4 Money Saving Tips for Buying a Car — The Kind Tips - Tips for Life, Study, Work and Entertainment

4 Money Saving Tips for Buying a Car

4 Money Saving Tips for Buying a Car

Buying a car, no matter a new one or a used one, can be a challenge for people who wants to save money but has little patience. The beginning of a car purchase starts with a decision—you may choose to pay cash for the full price of the car once, or you can also choose the financial plan with zero or small interest rate. Anyway, with some handful tips, you’ll know more about how to save money when buying a car.

1. The art of negotiation.

The key point of negotiation on the car price is—don’t negotiate an amount off the full price published by the dealer, but negotiate a certain amount up the dealer’s actual cost. Sometimes the dealers advertise that they can show the invoice to you but most times you need to ask for that information personally. Keep in mind, in order to get the best price, go up from the baseline! In addition, if you belong to a certain bank or credit union, you may automatically have some special offers such as a price of $500 higher than the invoice. To get the best price, ask your financial institute first to see if applicable financial agreements are available for your car purchasing.

2. Buy used cars.

Buying used cars instead of new cars is a common way to save money on cars. Herein, the used card are not referring to those that have been used for 10 years, but those that only are used for 2 to 4 years. These used cars in very good conditions with low mileage, which give you almost similar experience compared to brand-new cars, while you save a lot in the same time. Kyle Busch from Road and Travel Magazine commented, “A 2-to-4-year-old car can be purchased with savings of 25 to 50 percent when compared with new ones.” Besides, by trade-in your old car can also cut you one or two thousand more off from the total sales price.

3. Keep an eye on the obvious extras.

Before you sit down and read paper works for a model carefully, you should compare the cars in the showroom and the ones in the parking lot first to see if there are any add-ups. Normally such add-ups include custom tinting, pin-striping and leather interiors. In the case you don’t want the upgrades, ask the salesman and tell your preference to just include the features you need. By doing so, you can save a lot of money.

4. Be aware of hidden costs.

When you are shopping for a car, before sign any forms or contracts you should always read all sections with caution. Be aware that there may have some hidden fees such as dealers’ administrative costs. Sometime if the salesman really wants to make the deal come true or you are smart enough, for example, during the end of month, you can avoid such hidden costs if they are not federal or state required.

*Image source: http://business.time.com/2012/09/05/how-to-make-the-worst-part-about-buying-a-car-a-little-less-miserable/.

 

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