There's nothing like that new car smell. It says you're smart, responsible
and successful. In fact, the only thing better than the new car smell is
the pride you'll feel as you take your new wheels for a spin.
It's
no secret that driving a stylish new car is fun and exciting. New cars
carry warranties that protect you from unnecessary maintenance and repair
bills for extended periods of time, so they can be great investments. The
secret is in buying a brand new car, truck, van or SUV without deflating
your budget. For many smart shoppers, the right car loans turn their new
car dreams into realities.
Direct Auto Financing
One of the
biggest money-saving actions you can take in purchasing your new vehicle
is with financing through an independent car lender. This borrowing plan
is referred to as "direct financing" or "direct loans." Direct financing
is any kind of financing action, set up by you, without the help of the
car dealer. There are considerable savings and minimal risks involved in
direct loans, making them the best option for many new car buyers. When
you walk into a dealership with a guarantee new car loan in hand, you've
got automatic bargaining power. You're able to have an upper hand in
negotiations, and you can stand equally to your dealer. In the end, this
increase flexibility keeps you from falling into the common trap of
dealership price fixing and additional financing costs.
Shopping
Strategies
The first strategy in shopping for new car loans is
securing independent financing. With that in mind, allow yourself further
flexibility by applying for a loan limit of at least a little over what
you expect to pay. This gives you extra room for flexibility at closing
time, without having to worry about the loan limit. Of course, you're
under no obligation to use your entire loan limit. Arranging for automatic
payments is another way to lower your rates. By having your car loan
payments deducted electronically from your bank account, you can save more
money over the duration of your loan.
Price Haggling
Car
dealers are seasoned professionals who are trained to get every dime out
of you. For that reason, it's no wonder that so many people part with a
lot of money after "negotiating" with a car dealer. Unless you're an
experienced negotiator, or have an armor of thick skin, going through a
new car purchase can be an agonizing experience. The best protection from
slick sales types is to walk in to the dealership with your financing
already in place. When you're in this position, you'll find car dealers
haggling with each other to get your business. Talk to local car dealers,
and make it clear to them that you've been shopping around. Let them
understand that you won't settle for anything less than the very best
deal. This leaves the dealers working to get your business, while all you
need to do is choose the best one.
Owning a new car can make you
feel like a million bucks, without feeling like you've just spent a
million bucks. Shop around for car loans and make smart financing
decisions, and you'll soon be cruising along and taking in that new car
smell.
|
