What to Watch for When Buying a New Car
Buying a new car can be an exciting experience. However, it is important to be an informed consumer and go into the process with proper research, thought into the type of vehicle you want and a set budget which you will not exceed.
These components ensure a successful purchasing experience and a car that fits your budget and lifestyle. To make sure this happens, watch out for several key issues when you buy a new vehicle.
Salesmen work on commission, so their bottom line is likely to be more important than helping you find a car that fits your budget. So, in that vein, be prepared for a certain amount of pressure to buy.
However, salesmen who engage in high pressure tactics that are unethical, such as lies, veiled threats or uncomfortable innuendos are not part of the process. If you encounter such tactics, find another lot from which to purchase your vehicle.
According to the Carbuyingtips.com website, one of the most common scams that befall new car buyers is the financing scam, in which the dealer asks you for more money after you’ve already driven the car home.
Generally, he may call and say the original financing fell through and now you need to sign new loan papers and put additional money on a down payment. To avoid falling victim to this, keep a copy of any papers you sign from the dealership and make sure you get the contact name and number for your car loan representative before you leave the lot.
Once you sign on the dotted line, the deal is legal and binding, so you aren’t required to pay more money.
High Risk Vehicles
Insurance is yet another financial component of buying a car, and while you may be excited about getting the car you’ve always dreamed of, you may not be as excited about the insurance premium.
According to the Beatthatquote.com website, new cars with powerful engines are more expensive to insure, as are cars without key safety features, such as anti-lock brakes, theft prevention systems and air bags.
New Doesn’t Last
New cars depreciate quickly, losing as much as 40 percent of their value in the first three years that you own them, according to Beatthatquote.com.
So, unless you just really feel like you need a brand new motor, you might opt for a slightly used model. This might save you thousands on the sticker price for a vehicle that is as good as new.