Many people are willing to give advice on how to behave in the car dealership when you’re ready to purchase a vehicle. Tips on financing, test driving and negotiation are also valuable. The road to buying a car is littered with so many boulders, that if one doesn’t take care, they can trip over them and break their leg. It can be a complex process to buy a car. Knowing what and are not to do at the dealership is more important than what you should do.
You will find it much more difficult to get ahead if you do any of the seven things that we recommend against. Avoid making things harder for yourself. Here’s how to get the best deal on a vehicle.
Do not enter the dealership without a plan
You can walk into a restaurant and order a meal without having any idea what you’re looking for. You can walk into a big box store to kill time and leave with a good microwave oven or button down shirt. If you walk into a dealership without a plan and leave with nothing, you could end up with a huge hole in your wallet. Your Saturday morning can haunt you for many years. The purchase of a car should not be impulsive. Don’t guess; Know what your car is worth. Also, know how much you can afford to pay for a car each month. You’ll be ahead of the game if you have all these details before you start shopping.
Do not let the salesperson steer you to a vehicle that you don’t want
Fuller said that a dealer is usually trying to sell all the cars it has on hand. This is not always the best thing for the customer. Fuller explained that if the salesperson knows their inventory well, they will try to match the customer up with something which can be sold immediately. You will be pushed into the vehicle you don’t want if you’re not clear and specific about what you’re looking for. Do not let yourself be sold an automobile.
Do not discuss your trade-in too early
With a little time and effort, it’s possible to sell your old car for more money than what the dealer will offer in exchange. Although many buyers find it convenient to drive their old car into the dealership and then take their new vehicle away, others do not. If this is your goal, you should research the value of the trade-in before making any offers. However, do not discuss the issue until the new vehicle has been purchased. You probably shouldn’t be in a car dealership if you are “upside-down” on your old vehicle, i.e. you owe more on it than the trade you get. The vehicle should at least be sold privately in order to repay the debt. The dealer may offer to convert your old loan into a new one. This is not a wise idea.
Do not give your car keys or driver’s license to the dealer
According to Christopher Sutton of J.D. Power, Vice President of Automotive Retail, some dealers still use tactics that keep you in the showroom until a deal is made. Power still uses tactics to keep you in their showroom until the deal is closed. A couple of the tried-and-not-so-true tactics revolve around test-drive vehicles. Sales persons may ask you for your license or car keys before a test-drive. If you decide to return without purchasing, they will disappear. Sutton said that abusive dealer tactics are not as common. “I think that the online ratings and reviews have made it easier for people to find out what other people are saying about a dealer. . . “It has been a major factor in that.”
A wise dealer will check to see if your license is valid before allowing to test drive a vehicle, but it doesn’t mean they need to hold onto it and use it as a deposit. Your address and identity should suffice. You are more likely to return if you usually park your car at the dealer. It is also important to bring your license with you when you take the test drive.
Do not let the dealer run a credit check
The dealer will run a credit report at some point if you plan to finance a new car. However, don’t accept this until you have already completed the deal. Credit checks, or “hard pulls,” can have a negative impact on your credit score. It’s not worth it to risk a negative impact on your credit rating by approving a credit report if you are a long time away from purchasing.
Do not engage in monthly payment negotiations
You’re not in the dealer to add a monthly vehicle payment to your budget. You should have a budget that includes a maximum price for the vehicle, based on what you can afford. The monthly payment is a result of your negotiation. Fuller explained that problems arise when a customer wants to buy more than they can afford. “To make a deal work, the typical solution is to extend the length of the payment schedule dramatically. The customer may be able to afford $500 per monthly, but that won’t work at 60 months. The dealer then bumps the payment to 72 or even 84 months. “This is a bad idea for customers.”
Do not feel compelled to buy right now
Many people find buying a car stressful and rush through the process. This can have negative consequences. They don’t take the time to carefully consider their options or negotiate. You might not use a good negotiating technique like walking away if you are just looking to get the deal done. Dealer personnel may try to pressure you into buying now by using tactics like “I can only offer you this price today”, but you should take your time. The new-car industry is fiercely competitive today. It is not necessary to rush because of a limited time offer. Chances are, a better or similar offer will be available tomorrow.
If you heed these warnings, your journey to buying a new car will be much less stressful. Once the deal is completed, you will be better off financially and emotionally.