With tax season upon us, you may be thinking about your next big purchase. Many people decide to purchase a new car after the receive the lump-sum of cash. Buying a new vehicle is a huge investment and we want to make sure you consider your options first so that you don’t get ‘dealed’ by the car dealer.
Here are 6 tips you should consider before purchasing your next vehicle:
- Do your research before visiting the dealer. Find out which kind of vehicle you want, determine your budget, and read up on customers’ reviews of your chosen car. If you walk in knowing nothing, the dealer will quickly take advantage of your naivety.
- Be ambiguous. Don’t give the impression that you’re definitely buying through this dealer or they won’t be trying their hardest to give you the best deal. You can even drop hints that you’ve already found several vehicles that you are seriously considering.
- Don’t agree to any “extras” for protection. Etching, rustproofing and paint-and-fabric protection aren’t worth much – and they definitely aren’t worth what they charge you for it!
- If you have good credit, expect an interest rate between 1.49% and 3.49%. Don’t fall for anything higher or it means the dealer is just hiking up the rate at your expense.
- Don’t automatically agree to all damage waivers you’re offered. Many are unnecessary and provide insufficient coverage. Do careful research on each service before signing up for it.
- Visit Cooperative Teachers Credit Union for financing, no matter how great a deal may sound.
We are here to serve our members. Visit with someone in our loan department before you ever set foot on a dealer’s lot. If you qualify for a loan with CTCU and have a quote in hand, you’ll have a better understand of the price range to stay in and the rate to beat.
Your Turn: Did you ever get taken for a ride by a car salesman or put a stop to their attempts? Share your story with us in the comments!