10 Money-Saving Tips for Auto Loan Shoppers

Car dealerships rarely have lower rates than online auto loan lenders. Dealerships do not give consumers the best loans available because they add their mark-up onto the interest rate of the original loan. For example, if a dealership finds a lender that approves you for a loan with a 9% interest rate, the dealer might actually give you a loan with a 13% interest rate. Here is a list of tips to ensure that you get the best auto loan rate:

TIP #1
When you are ready to get a loan, check online first. Never settle for one quote. When negotiating the price of the vehicle, always ask for an invoice ahead of time.

TIP #2
Don’t purchase a vehicle unless it is at the end of the month. At the end of the month, car salesmen are more willing to cut a deal with you to make their monthly quota.

TIP #3
Always ask questions. If you think something sounds fishy, ask different versions of the same question repeatedly to verify that you’re getting the correct answer. Dealerships can often sneak things by customers simple because the buyer didn’t ask the right questions.

TIP #4
Prepare yourself before setting foot in a dealership. Know the ideal price of the vehicle you want to buy before you start shopping.

TIP #5
Don’t deal with a salesman that seems to be rushing you through the process; only buy a car if you know for sure that you are not being pressured.

TIP #6
Buy a car that you can afford. Don’t buy a car you can’t afford just because it has curb appeal. You will regret it later.

TIP #7
Put as large of a down payment on the vehicle as you can. You should aim for a goal of 20% of the vehicle’s purchase price.

TIP #8
Don’t be afraid to turn down a salesman. A car is a major financial obligation that you should take ample time to consider. You should feel 100% comfortable when you finally decide to buy.

TIP #9
Never trust a car salesman. Look up the facts for yourself before deciding. Salesmen will say anything to make a sale.

TIP #10
Have patience. Sometimes buying a car at a dealership can take a long time. Don’t rush yourself into the decision.