New Car Guide

This Article will give you a crash course on negotiations, price, shopping, and save you Thousands of Dollars.

Tools & Resources You will Need as you Read this Advice

 

Introduction

There are many guides and books out there that teach you how to purchase a new or used car. Most of them claim that they have all the tips and strategies that you need to make a good deal. Others go as far as giving you the “inside scoop” on dealerships, but the truth of the matter is that no one knows unless you have been a car salesman. If you really want to know what goes on behind the scenes and truly defeat the salesman you have to get the right information. In this guide I will take you from the beginning to end when it comes to purchasing a new car. This guide will to educate you on dealership terminology and tricks that dealerships commonly used around the country to take your hard earn money. This guide will truly help you grasp an understanding of what really happens in the automotive industry. The main objective is to give you enough information for you to make a good decision when it comes time to purchase your automobile.  

The Myth On Dealerships

Most people perceive dealerships as evil and shady. They believe that all dealerships are filled with crooks waiting to pray on them. There are countless horror stories of customers loosing thousands of dollars and even their credit worthiness. People tell stories of getting insulted, trapped, and even held hostage. Some dealerships tell customers that their trade-in has already been sold, leaving the customer stranded. The automotive dealership is almost like something out of the occult. People are terrified of going into a dealership. People often describe salesmen as hungry vultures waiting to feed. Customers walk into dealerships with their guard fully up. Most people go into the dealership saying that they are “just looking” to free themselves from a chatterbox. Other unfortunately go in not knowing what to expect, and end up putting a hole in their savings account.

Should you be scared of a dealership? Should you be intimidated by the finance manager? The answer is YES. It is common human nature to fear what we don’t understand. This is why we always fear the unknown. After reading this guide you will have the upper hand and no longer feel fear, but rather gain knowledge, and knowledge gives you leverage when making a deal.

In truth a customer does not know how to differentiate a good deal from a bad one. I promise you, unless you’re in the automotive industry you will probably never know a good deal from a bad one. In-fact in my experience as a salesman the customers who leave the happiest are the ones that lost the most money on the deal, and those who left angry are the ones that stole the car from the dealership. You are trying to save as much money as you can, while dealerships are working opposite, trying to make as much money as they can.

There are only two types of dealerships. The first is a gross dealership and the second is a volume dealership. A gross dealership is one who has a bad reputation. This type of dealership is there to make as much money as they can from you, knowing that you will never come back again. These are the dealerships who hold you hostage, harass you on the phone 24/7, make you angry, and insult you. The second is a volume dealership. The volume dealership on the other hand is a dealership that is willing to bow down to you, and truly earn your business. Can you get a great deal from both of them? Absolutely, I am show you how save an average of $8,000 on your next purchase.

Preparation For the Big Purchase

Like most things in life you must prepare for your big day. The first thing that you have to do is research. First know where you stand in terms of your credit. Your credit will determine your payments or even you ability to get a loan. We worked out a deal so that you can  See your credit score on FreeCreditReport.com free of charge, so take advantage of it. If you have weak or bad credit don't worry you can still finance a car, because the lenders mentioned above offer great rates for both people with good or weak credit, so you'll be able to finance. I have prepared an article showing you exactly how to beat the odds Read Here. If you want to get the best interest rate you might want to check out my Credit Article to patch up your credit before you shop. I know what your thinking a law firm? That's going to cost an arm and a leg, well not this time. We made sure to research the available credit repair companies out there and we only recommend what we have tested. They are affordable, I mean cheap any average Joe can afford them, and they work for you fast.

Part of your homework is to know exactly what you are looking for before you go out and start looking. Most dealerships know that customers buy based on emotion. You might go into a dealership asking about a van and walk out with a sports car. Once you have your heart set on a car, it’s time to research it. A close friend of mine is an expert in the field of research. He takes approximately two weeks to research an issue, and most importantly he does not act on emotion, but rather on facts. What do I mean by emotion? Most of us go to the mall just looking around, but then we see something we really like or that we think we like and all we need is a bit of encouragement to justify it and buy it. This same principal applies when you are buying a car. If your just looking around your eye might catch something you would not normally buy or afford, but its that salesman’s job to give you just enough encouragement for you to go out and buy it.

Let me share with you an experience that I had in the automotive dealership

A couple came into the dealership looking for a Mazda 3, a small 4 door, 4 cylinder car that they could afford. That same month Mazda the manufacture issued a salesman incentive on Mazda Tributes, which are Mazda SUV’s. Well if you sold 10 by the end of the month Mazda would give you a retro pay of $250 per unit sold. This means that if I sold 10 by the end of the month I would get a credit on my Mazda debit card for $2500. Was that enough motivation for me to switch customers from a small 4 door, 4 cylinder car? Of course it was. I was able to sell the couple on the idea that an SUV would be more useful and roomier based on some qualifying questions that I asked them when I greeted them at the dealership. Folks I was able to bump up the customers from a no more than $350 a month payment to a $523 a month payment and sell them the SUV. Why? Because the wife feel in-love with the SUV and they set their heart on it. This is a prime example of what emotion does to the buyer.

Another example of emotion is a present co-worker of mine. She had a free and clear Cadillac that she had purchased. Well one day she decided to go a just look around to kill some time at a Nissan dealership, because the new Maxima had a new innovative moon roof. Let me remind you that she had no intentions of buying anything that day. Well to make a long story short the salesman sold her on the idea that a smaller more fuel economical car would benefit her now and in the future. In fact she was so sold on this idea that she traded-in her Caddy for almost nothing, and ended up having a monthly payment, which she didn’t have before, but to top the icing she ended up buying a car that she hated.

Don’t buy on emotion

Nex Page