In today's world you have a wealth of information at your finger tips

One thing that has changed for the better is the consumers access to all kinds of information via the internet.  And that includes all kinds of information regarding car buying.  It makes it relatively easy to research the make and model you want.  See history of repairs and reliability and most important what the value of the car is.

Sites like Edmunds and NADA will give you the approximate value of your current car based on the information to fill in.  That gives you a starting point to work with to help you decide which way to go with your current car.

Here are a few links to these important sites http://www.nada.com/

http://www.edmunds.com/

http://www.cars.com/buy/car2/?type=car&knc=LedAybGENusNmmACV&aff=aybsema&mkwid=nVV9EFJo_pcrid_2373982750_pmt_e_pkw_car%20buying%20sites&pse=bing

The dealer marketing campaigns

If you in the market or thinking about buying a new car, suddenly your senses become aware of all the radio, tv and print ads to entice you to come to the dealership and take advantage of their great deal.

This is where a lot of smoke and mirrors comes into play.  In our local market I've seen and heard ads that make me want to scream and here are a few promos they use to bring you in.

1.  You seem them on tv and hear them on the radio offering a certain model or model with a payment of so much per month.  Sure most people are going to select a vehicle they like based upon choice and the monthly payments.  The dealer howeve has take the payment question and put it right out front without bringing the value of the car into the mix.  So their hoping that you hop right in and take their deal and in the end you really don't know how much the car is really worth?  Always go after the bottom line price on the car and then worry about the payment and finance programs.  Otherwise you might as well walk in hand them your wallet and say here take as much as you need.  There again this all comes down to patiencs and planning on your part.

2.  This on really kills me.  Pay so much down and take over the payments.  Hello!  Of course if you buy a car you'll be taking over the payments.  Sometimes I wonder if people are really guluble enough to buy into that nonsense.  To me this just shows the utter disregard for the buying public and helps the stereotype of dealers get even bigger.

3.  Good credit, bad credit, no credit at all.  The first thing I have to say is that credit if a previledge not a god given right.  And like anything else if you don't take care of it you lose it.  These kind of programs are intended for those who have either fallen on tough times or flat out abused prior credit experiences.  These programs just like the rent-to-own furniture and appliance are expensive.  The interest rates can be close to the maximum rated allowed by state governments.  Yes they do report to the credit agencies but at the point where you have to use this type of service your credit score is of little use to you.  I hope you never find yourselves in this kind of situation. 

4.  To lease or to buy that is the question.  I guess it would depend on whether you are a person who likes to drive a new car every two or three years or if you want to keep the car for a long time.  Leasing gives you that option to drive new when your lease runs out.  But keep in mind, it's just like renting anything, you have no equity in it.  You also have to check for the best leasing programs if leasing is your choices.  Make sure and ask what the residual value of the car should be worth once the lease runs out.  If you like the car well enough at the time of expiration, you will have the option to buy the car at that value.

The finance game

One you've agreed upon a price and have the final figures your comfortable with then comes the question how do you finance the car?  The dealer makes it easy and convenient, but is it the way to go?

If you belong to a credit union or have a bank that you do business with the first thing to do is contact them and go over the agreed price and terms.  Not only will they have alternative finance programs, but if they lend you the money then will also tell you if the amount your buying the car for is in line with what it's really worth.

The dealer on the other side has it's own finance manager who will also offer you financing.  Just as in the other option the outcome can be determined by your credti worthiness.  If you have good credit it's not a bad idea to at least set down with the fianace manager and see what incentive programs are currently being offered by the manufacturer.  Then you can go home and make a decision without the pressure of the dealer wanting you to sign right away.  You have to control the pace of the car buying experience, otherwise the deal will snowball into a blurr where by the time you know it, the dealer has put you in that new car and sent you down the road and the details in your mind become foggy and confusing.

The other things to consider is an area where the dealership makes lots of money and that is what they call add-ons.  When you get to the finance office, the finance manager is not only looking to finance the deal, but also to selling you things like clear-coat, extended warranties, sound systems and other accessories that weren't standard on the car.  Down underestimate these people, they are good at what they do, which is why you have to be good at what's coming your way and turn down things you don't want or need.

Into the gauntlet

When you walk into a dealership is when the games begin.  Your goal is to get the best deal possible and the dealers job is to extract as much money from your wallet as possible.

This is where having enough ammunition comes in.  The dealership is going to try and confuse you with all kinds of numbers. 

For the most part car sales people are commissioned based so their job it to make as much profit for the dealership which then translates into how much they get paid.

There again this is where the amount of time you took in preparing comes to be invaluable.  You have the figures regarding dealer cost and what a reasonable amount of profit the dealer is willing to make.  You also have the approximate value of your old car if trading is in the mix.

Planning ahead can literally save you hundreds if not thousands of dollars in the end.

To trade-in or not trade-in

So your going to buy a new car!   Why are you getting a new car?  Is it because it's on it's last leg, or you just got the urge to drive something different.  Or maybe you presently don't own a car or truck.  If you do have a vehicle currently the next question you have to ask yourself is do I sell it or trade it.

This depends on several factors.  First how old is your car, is it in good condition?  How many miles are on it and does it have any rust or body damage?

If you current car or truck is in good shape you might consider selling it yourself.  The difference between what you could sell it for and what you would get in trade could be a lot of money. 

The dealership likes to take in trades, especially if their in good condition because they know they can clean them up a little and put them on the used lot where the profit margins are a lot higher than on new cars.  The problem for you is no matter how good you took care of your old car you going to get wholesale dollars.  What level of wholesale depends. 

So I guess the answer boils down to how bad you want that new car, if your willing to spend some time and money and sell it yourself or if you just want to move on and trade it in.

There is no wrong answer it is simply a matter of what your end plan is and whether it's worth taking the time to sell your old car.

The key to success is knowledge

Before you even think about heading into your local dealership to pick out that shiney new car, there are a few things you can do to prepare yourself.

1.  Determine what make or model your most interested in.  Then you have to decide whether or not to trade-in the old bucket of bolts, keep it or sell it outright.

2.  How are you going to pay for the car?  The best option would be to get pre-qualified at your local bank or credit union.

3.  If you married you have to maintain a united front.  United you stand divided you fall.

4.  New or used?  The temptation to get into that brand new car with the new car smell sounds good but are you will to take the hit on depreciation as soon as you get behind the wheel.

5.  The internet.  One thing the internet has done is allow us buyers to peak behind the curtain and see what the car or trucks cost the dealer for the most part.

These are but a few of the subjects we will be addressing in order to save you time and money.