How to Get the Best Financing on a New Vehicle
Buying a new car can be a complex and confusing process, and knowing what to do to get the best financing on a new vehicle will make your car shopping experience go much more smoothly. There are a number of things you can do to better prepare yourself for buying and financing a new car, and we’re happy to offer you the following tips.
There are a few simple things you can do to better prepare yourself and your budget for financing a new vehicle:
- Settle on your budget before you get to the dealership — Although this tip may seem simple enough, having a strict budget in terms of monthly payments and loan options can give you a real edge at the negotiating table. Plus, if you have a clearly defined sense of how much you can and want to spend when you start looking for cars, you’ll be less likely to be tempted by models at the outer edge of your price range.
- Check your credit rating yourself — There are plenty of independent online resources where you can check your credit history and get credit reports. One of them is FICO score, though you can find this information via multiple sources. The important thing is for you to understand how your credit will affect the buying process and to be aware of both your strengths and your weaknesses before committing to financing a vehicle.
- Shop around — The dealership is not the only way to finance a new vehicle. Be sure to consult all your local credit institutions to give yourself a greater range of options.
- Get ready to negotiate — Once you have done all of the above, you will be able to confidently and knowledgeably work with the dealership when determining how to get the best financing on your new vehicle. Show them that you have done your homework and understand your options beyond the scope of their financing department, and you will be in an excellent position to finance your new vehicle at a great rate.
We hope you found these tips useful in your new car search. For more tips and inside hints on buying, selling, and financing new and used cars, check back with us often at Honest Car Dealer.
April 4, 2012 by Jamie Rettig