While consumers with bad credit history may benefit more from purchasing a used vehicle, that glimmering temptation of a shiny new car can be hard to shake. Those who are set on buying a new set of wheels should keep these helpful tips in mind to make the most of their car loan.
Consumers should remember that the dealership is a business and will do their best to make the most amount of money, but also that the cost of most vehicles, except for the ones in high demand, can be negotiated. This often turns out to be a numbers game between the customer and dealer.
The price people see on the cars is the suggested retail price, which is always higher than the what the dealer paid to get the model from its manufacturer, otherwise known as the "invoice price." Dealers often receive incentives from automakers, which ultimately decreases the invoice price and, if played well, could potentially knock down the sale price.
Be firm and make your background knowledge apparent to avoid being tricked by salespeople, who pull their best moves when a potential customer seems confused. Also, save the discussions about car financing for last, as it is better to first agree on a negotiated price.