Advice for New Car Shoppers on Financing A Vehicle

June 13, 2015

Dear Cathy:

I am looking to buy my first car and instead of a used car, I am looking for a new car.  I have heard many stories about financing falling through and car buyers especially women being told to bring cars back in.  What can I do to avoid this?  Car Shopping, Minnesota

Dear Car Shopping:

It’s always best to go to a bank or credit union and prequalify for a car loan or apply online at an online lender such as http://www.CarFinance.com or http://www.CarsDirect.com.  In general, credit unions offer lower loan rates than banks.  

Once you prequalify, you’ll know how much car you can afford and what type of monthly payments you will have. It also means your purchase won’t collapse because you can’t get financing.

The best time to go and look at cars is when the dealership is closed. That way there is no pressure from salespersons.  Once you narrowed your search to a couple of different models, call your insurance agent to find out how much it will cost to insure those vehicles.

Use the Internet to buy a car for incredible ease and price savings. To look up actual dealer cost on the vehicle and options you are interested in, go to http://www.Edmunds.com.  To get an instant price quote for the model you want, go to http://www.CarsDirect.com.

For more on how to buy a new or used vehicle and keep up the maintenance read “A Woman’s Guide To Buying A New or Used Vehicle: Everyday Secrets Your Should Know” (Part 1 & Part II) – available as an e-book only.