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The Dos and Don'ts of Car Buying

There’s a lot to think about when you buy a car, from wading through an ocean of online information on the market to deciding which cars to test drive.

Yet no matter what type of car you are shopping for, there are some best practices—call them dos and don’ts—that can help you navigate the buying process, find a car that is right for your lifestyle and your budget, and pay a reasonable price.

For example, one very simple “do” is to get pre-qualified for auto financing. It will give you insight you can use to set a budget and undertake a smart search that is focused on your needs. Credit Acceptance can help. Just fill out the quick web form to get pre-qualified.

Here are some additional dos and don’ts to have in mind as you start your process.

DON’T Be Too Emotional

Sure, it’s easy to imagine yourself in a dream car. Maybe it would be fun to go look at one, just for kicks. But be realistic about what you can afford and what’s right for your lifestyle before you sink into buttery leather seats and are charmed by a sales person telling you how great you look behind the wheel. When it comes to narrowing your choices, stay within your budget and be realistic about your needs.

DON’T Get Pressured

They may be telling you that the deal is only good today. Or that the model won’t be around much longer. Get to know the Kelley Blue Book website, or similar sites, and look up the cars you’re interested in. You’ll be able to determine what’s true and what’s a pressure tactic.

DON’T Wait Until You’re in a Crunch

The best way to buy a new car is when you don’t need a new car. It’s like the old rule to avoid the supermarket when you’re hungry, because you will make bad choices. Shopping when you need a car immediately puts pressure on you, and that pressure can lead to bad decisions.

If you’re in the market and you know your car is on its way out, start looking for a new car and planning your purchase before the tow truck arrives. If you wait too long, you may be forced into a hasty decision, with a car and a financing package that does not meet your needs.

If you start early, before you absolutely need a new car, you will be able to cultivate more options, avoid “do it or lose it” scenarios, and find the vehicle you want at a price you can afford.

DO Your Research on the Market

Hang out on the Kelley Blue Book website, or similar sites. Their data is big-picture and super granular. They will guide you through the marketplace, tell you what government action and financial markets are doing to your buying power, and provide everything you need to know about pricing on specific makes and models.

Check out Kelley Blue Book and other resources for up-to-date news on the world of car buying so you are prepared and know what to expect. A hiccup in the marketplace, interruption in a shipping route or interest rate cut can give you guidance on whether to postpone or pounce on getting your new car.

DO Look at the Calendar

The end of the month is a good time to buy because some dealerships are scrambling to make monthly quotas and might be willing to make deals in order to get bigger incentives from car manufacturers.

May is the beginning of the summer selling season and Memorial Day sales often yield big discounts, according to an analysis by Edmunds. This is also the time that dealers are clearing out this year’s models and making room for the next year’s. December is the month that shows the deepest discounts, as dealers want to close out the year’s sales.

DO Your Research on the Car

Check listings for the exact price of the car you want and arrive at the dealership knowing the real starting point for pricing. That way, you’ll know if they’re boosting the price. Check on recalls and maintenance issues, which can vary year to year on some models. Arm yourself with data—it’s all out there. Do your homework and you cannot be fooled.

DO Negotiate Your Deal

The car market is one of the last few places you can negotiate and haggle. Sales folks may throw in some extra accessories or drop the price to meet a quota. Once you’re happy with the price they’re offering, ask again for a deal sweetener—car mats, free maintenance or anything else important to you. If you ask for this before you’re happy with the price, you may get $100 worth of car mats, but not $100 off the price of the car.

DO Take a Test Drive

You can spend hours learning, reading and comparing, but make sure you get behind the wheel before you sign the deal. Every person is different and it’s amazing how a short drive can tell you a great deal about how a car matches your body or driving style. Make some U-turns to feel the turning radius, run the air conditioner and see where the vents blow. If you can, drive it at night, too, to make sure there are no lighting or glare issues.

DO Get Your Finances in Order

Buying a car is a great time to learn about your credit scores, examine your debts and set a budget to find out exactly what you can afford to spend. Getting pre-qualified for auto financing is a solid start, because it gives you a great deal of information all at once. You can do this immediately—even before you shop for a car—by filling out the form to get pre-qualified with Credit Acceptance. It’s one “do” that is easy to tackle.