3.1 Before Purchasing a New Vehicle
3.0 Purchasing a New Vehicle
Before Purchasing a New Vehicle is going to outline some of the basic steps you should take before even leaving your house.
Before you even decide what dealership you are going to choose, these simple steps can help you save thousands of dollars. From the comfort of your own home.
Two recurring themes you will see throughout our guide: Do your homework and always be prepared. They are the simplest, but also most overlooked. And they apply to almost all aspects of life.
Research the Manufacturer and Model
At this point it is safe to say that you have narrowed down the make and model you have decided on. So do your research before purchasing a new vehicle. Read independent reviews on line or in print. Chances are very rare that you are the first person to purchase a vehicle. Thousands of people have already bought the same vehicle and had a chance to use it on a daily basis.
They might bring up points or concerns that would never have crossed your mind by going to the dealership a handful of times and only test driving a vehicle once or twice.
Does the vehicle you are considering have horrible blind spots? Is the trunk space just unbearably small? Or perhaps this specific model and year has a part that malfunctions constantly?
Consumer reviews and complaints will definitely be able to highlight these short comings so you can make up your own mind.
Check Manufacturer's Suggested Retail Price (MSRP) and Features
Before heading over to the dealership, check out the manufacture’s website. One of the most important things to check is the MSRP and cost of available features. Most websites will even give you a chance to customize their vehicles. Although you should never have to pay full price, it gives you a starting point when you start to negotiate.
This is also the simplest way of finding out if you are being over-charged by the dealer. Most of the time, the manufacturer’s website will also inform you of any rebates or sales that might be available in your area.
Research the Dealership
Before purchasing a new vehicle, read the reviews! The main reason Auppo exists today is so that people can review and share their experiences with dealerships in your area.
Once you have narrowed down what make and model best first your needs, find the dealership that will be able to best serve you. Although vehicle manufacturers have guidelines that their dealerships have to follow, not every dealership is created equal.
Do the dealership’s associates adopt deceptive or deceitful tactics?
Does their finance department clearly explain every aspect of the Lender’s Agreement or do they purposefully avoid answering your questions?
Will their service department take care of your concerns once you’ve already purchased your new vehicle or will they try to nickel and dime you every chance they get?
By reading reviews on a dealership before purchasing a new vehicle, you will be able to avoid these pitfalls and save yourself unnecessary stress.
Manufacturer's Warranty & Financing
Before purchasing your new vehicle, look a little further into the manufacturer’s specific warranty and available financing.
Every manufacturer has something as different as their models or features to offer you. While some offer a 5 year / 100,000 km power train warranty, another might offer 10 year / 160,000 km. Or perhaps they might promotionally offer free oil changes for the first year.
Looking into the various differences between manufacturers could not only save you money when it comes to costly repairs down the road, but the resale value of a vehicle will be higher as well.
Much like the warranty, most manufacturer’s also offer their own financial services to customers who purchase a new vehicle. Sometimes that could mean 0% financing. Or perhaps getting approved for a lower interest loan, where most lenders would only approve you for a sub-prime rate. Sometimes the difference between a 1% could mean thousands over the life of the loan (see late articles on how financing works).
Doing your research into what financing options are available to you before purchasing your new vehicle could mean saving big.
Know Your Credit
The dealership might claim that their main priority is their customer. But I would imagine that its profits and bottom line come before any other priority. No business operates for free and this most definitely applies to dealerships.
If you don’t know what state your credit is in, then you are completely at the mercy of the dealership. The dealership will always try and push a sale as soon as possible, because they have monthly sale’s targets to meet. But perhaps if you waited a few months or followed Auppo’s Guide to Building and Establishing Credit, it could mean the difference between getting approved for a 5% loan, as opposed to paying 14% interest.
Nobody is going to look at for your credit except for you.