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Put your car shopping into high gear by taking your quest on the information superhighway. From loan applications to monthly installment calculators, everything you need to make an informed decision can be found easily on the Internet. Request a price quote, compare options, and inquire about exclusive deals from national and local dealers—all without leaving the comfort of your home or office. But let the buyer beware: pitfalls do exist for online car buyers. The following is a list of what to do and what not to do when shopping for a vehicle online:
The Dos
Do research your options. Though you might already have a good idea of what kind of vehicle you want, it never hurts to know more about your desired set of wheels. Check out the safety features, reliability record, and fuel economy of your prospect vehicle and those of comparable models. Read car reviews to find out how your candidate vehicles fared in test results and performance evaluations. Most importantly, research invoice and manufacturer’s suggested retail prices to narrow your choices to models you can afford and gain the leverage you’ll need to negotiate the price of your dream car.
Do contact more than one dealership. Having more options gives you a greater chance of finding your desired vehicle at the price you’re willing to pay. Let dealers compete for your business. Contact several dealers within your area to request a price quote, search their inventories, and compare available options.
Do consider applying for an auto loan online. Interest rates on online auto loans are generally lower than the national average, a deal that could save you up to a couple of thousands on the total cost of the loan. Shop around for an online auto loan that best suits your financial capacity. To qualify for these incredibly low rates, you will need to apply for the loan online and agree to automatic, electronic loan payments.
Do check your credit rating. Your credit rating affects the interest rates on your loans. Having an excellent credit rating qualifies you for low interest rates from various lenders and special dealer offers, such as zero-percent financing.
Do inquire about regional price incentives and other special deals. Some manufacturers offer regional price incentives to boost sales in slow-moving markets. Regional price incentives could save you anywhere from several hundreds to a couple of thousands. Check with local dealers if any regional price incentives are in effect for the model you’re interested in.
Do crunch the numbers. The purchase price doesn’t give you the total cost of acquiring the vehicle. Keep an eye on the total cost of the loan, as well as the cost of taxes, insurance, finance charges, and, in the case of used vehicles, the repairs and maintenance. Use online car-buying calculators to find out how much car you can afford.
The Don’ts
Don’t be rushed. A vehicle is a big-ticket purchase. Make sure you get your money’s worth by taking your time finding the vehicle that suits your needs and preferences and nabbing the best deal. Resist the temptation to grab the first offer that comes along, and never let yourself be rushed into a sale.
Don’t load up on nonessential options. Be wary of dealers who might attempt to squeeze more money out of you by offering extras that you don’t really need, such as extended warranties, rustproofing, aftermarket paint jobs, and Vehicle Identification Number etching.
Don’t overlook alternatives, such as used cars or leasing instead of buying. Why limit your choice to new vehicles, when you could get a higher-end used vehicle for the price of a new entry-level car with standard equipment? Recent models of pre-owned vehicles have vastly improved reliability, so buying used is not as risky as it used to be. Also, you might want to consider leasing, if you’re the type who gets bored with a vehicle after several years of using it, don’t have the down payment to buy a car, and are capable of keeping the vehicle in good condition at all times.
Don’t commit to a sale without seeing the vehicle first. Never, ever buy anything sight unseen. Whether you are buying a new car or getting a used vehicle, it’s important to conduct a thorough physical inspection of the vehicle and take it for a test drive to make sure you are making the right choice. |
