They’ll introduce themselves, and it won’t be long at all before the the idle chat (which is really an inquisition by a trained salesperson) begins to ensue.

Most people tend to believe that this seemingly softball conversation is just that and no harm… no foul.

Not so fast though… this is actually the beginning of the car buying sales process, and here at acarbuyinguide.com we just can’t let you get off that easy. You want to learn how to get your best card deal don’t you? Then you need to know when the sales process actually begins… and it just did.

Never forget… the goal of the SALESperson is to sell you something and you can bet that it their focus on you.

So, I would like you to take this short little quiz over such a scenario as this… are you ready?

• Salesperson: – after the brief introduction…. “What type of car are you interested in?”
• You: “The LX-vr7″ (names have been changed to protect the no so innocent)
• Salesperson: “Do you have a trade-in?”
• You: I do… it’s a (insert year) (insert car).”
• Salesperson: “Do you owe anything on it?”
• You: “I think around $4,000.”
• Salesperson: “How much are you paying per month?”
• You: “Around $300″
• Salesperson: “And how much are you looking at budgeting for your new car?”
• You: “Maybe $350 or so.”
• Salesperson: “Let me ask you… if we found just the right car for you, would you have the flexibility to go say $375 to $400?”
• You: “That would be a little high, but for the right car, I would consider it.”

Okay…

So what is harmful about this very typical type of conversation?

First let me back up just a bit and say that for the purpose of brevity, all of the small talk between each question and answer has been scrubbed out. The point being so you can see exactly what type of knowledge the salesperson is gathering here.

There are six buyer responses to questions just above… how many mistakes can you spot the buyer making as they relate to the car buying – deal getting process?

Take your time………….

Of the six lines that the buyer had just above, they made car buying mistakes in at least 5 of the 6!

The buyer (or you) have just had your expectations bumped and beyond that, you’ve just given out valuable information that can (and will be) used against you later on during the negotiating process and end up costing you thousands of dollars.

If you’re not sure what went so wrong with the innocent conversation and exchange of information, then you need to spend a little time on the website… or fast track your way to saving big on your next car purchasing by ordering a copy of my top selling car buying guide.

Oh… okay… here are the answers to the car buying quiz… seriously though you should at least check out the details of my car buying guide.

So, let’s break it down.

By the way… if you’ve found your way here and not taken the quiz yet, you need to do so… go here for car buying quiz.

What just happened with a little bit of seemingly harmless small talk out on the lot between you and the sales person?

For the salesperson… plenty.

The sales person now knows:

• You are planning on trading in.
• What you owe on your trade-in.
• What your position of equity or negative equity you are in.
• What monthly payments you’re comfortable with.

And has gotten you to already mentally spending $50.00 more per month than you intended.

The biggies here are the monthly payment information and the fact that you’ve just been mentally bumped.

Good job by the salesperson… you however… need to invest in my car buying guide.

Right now the salesperson has about $3,000 more negotiating dollars in his/her favor to work your deal with… or should I say… against you.

$50.00 per monthly payment bump times 60 months (standard 5yr financing).

You openly admitted that your current payments were around $350.00 and you openly admitted that for the right car you would consider as high as $400 per month payments… so here is some typical math given the two payment amounts over the life of the loan.

If you were able to stick to your original $350/month budget had you not revealed it to the salesperson.

18,500
5% Interest Rate
60 mo
349.12 x 60 = 20,947.20

========================

But… since the salesperson has bumped you mentally both the salesperson and the sales manager can pour on the pressure (and oh yes, the charm) knowing that they can most likely get you to $400.

Here is what your $400/mo payments look like over the life of the loan.

21,200
5% Interest Rate
60 mo
400.07 x 60 = 24,004.20

You can see that by using the mental bump method in the car buying process, the sales staff has you now paying almost $3,000 more dollars in total.

This is why you NEVER give up any of this type of information to the salesperson during the course of any conversation.

They simply do not need to know anything about your budget or what you want your monthly payments to be. The only information the dealer needs at this point is your name and what type of car you’re looking for… period.

Not much, don’t want to bore you (or me) with it, but you would probably like to know that the information on negotiating car prices in this website comes from several years working in the automotive industry and not just somebody piecing together information on all this and sticking it up on a web site.

I started on the sales floor. Worked my way into the F&I (finance and insurance) office. More on F&I of course later. From there I moved up to used car manager, then new car sales manager, and finally general sales manager. Pretty typical path for those in the business wanting to go beyond the sales floor and get into the management side of things. O.K. hope that’s enough on me.

So, let’s get started….

The very first thing that you must understand before venturing off car shopping, is that you must take some time to do your homework and educate yourself. And unlike not too many years ago, before so much information was readily available on the internet, today this task is really easy to do….

But to do is a must.

Aside from the frustration, headaches, and even heartaches that taking the time to get yourself up to speed on how to negotiate car deals can save you, taking the time to do so is like paying yourself.

That’s right. Paying yourself.

Knowing how to negotiate car prices and knowing what’s going on can save you literally thousands of dollars. So, you get paid to get yourself schooled. Still not sure if you want to put forth any effort in the area of car buying and car negotiating education before you go vehicle shopping?

Some simple math perhaps to shed some light.

Suppose that you spent just 10 hours learning about all the facets and variables about what come together in negotiating a card deal, and let’s say that with those 10 hours with a higher degree of enlightenment and confidence you were able to save yourself $1,000 either on just a purchase price of a new or used vehicle or in trade difference if you were trading in a car.

The math is easy….. you just paid yourself $100 per hour to do that research. Not a bad wage! And now you posses a skill you can carry with you and build on the rest of your car buying life.

First of all, automotive dealers (or any business for that matter) is entitled to make a profit on their goods and services. I am not advocating that with a little practice you can whittle the dealer’s profit down to nothing by driving a hard bargain.

However, the very nature of the car business and car dealings can put the average person at an expensive disadvantage.

Especially if you are a bit of a mild mannered person. You may feel as though you have been taken advantage of during previous car shopping excursions. Perhaps you have. Many people do feel that way.

But if you go and try to ‘wing it’ without understanding what it is you’re doing and how all the pieces of a car deal fit together…….. taken advantage of???? I can’t say that with all certainty. That’s a personal perception.

But, probably paid more than you needed to??? ……. Very likely.

Let’s take a look at some of your prep work with some… car buying basics

We’ll cover some of the costs involved in the actual automobile ownership experience, what to expect in general, automobile buying negotiating tips, and generally help you through the steps to buying a car as a whole process with your sanity in tact.

Remember the more knowledge you carry with you into the dealership the stronger of a negotiating position you command. What you don’t know puts you at a disadvantage and could cost you literally thousands of dollars!

So, at a high level what we are initially discussing here are two basic operations when buying or leasing a vehicle. Research and Educate first. Then (and only then) go begin the work of negotiating your next automobile deal.

When purchasing a vehicle it is important that you understand the nature of the beast.

Negotiating and working hard to put a good deal together is a vital part in the anatomy of buying a car. It’s not just ….. I want – I see it – I buy it…… that is unless you have unlimited financial resources, and if you do you probably wouldn’t be on this website right now.

When working on a car deal (and keep in mind as we go forward, the ‘deal’ is the complete package of events not just buying a car. O.K.) you will probably be introduced to and have to work your way through the various departments at the dealership.

Sounds innocent enough…… right? Well, maybe not. Let’s take a closer look at some of the pieces and see what’s going on.

Remember, each person involved in selling you your next car has to make their own living just as you do. They have their own monthly bills to pay, their own families to feed, and certainly enjoy some disposable income just as you do. That’s right. The salesperson has to get paid.

The used car people have to make their money (if you are trading in). The finance manager is also on some commission and bonus pay structure. As is the sales manager, and the general manager. And then there is the owner or the ownership group. They have the same wants and needs from each deal as well. Starting to get the picture?
The 3 Basic Pieces Of The Car Buying Deal

Car Buying Negotiating Tips

• New & Used Cars
• The Trade-In
• Financing

The big thing to keep in mind that each of these departments are operating under sales forecasts and goals and profit expectations from management and ownership. And believe me, at times there can be a rather intense amount of pressure applied to meeting these goals from the powers that be! And this can be to your advantage (or disadvantage if you are out there winging it).

Think of each of these areas within the dealership as a business within a business responsible for their own profit margin. Keeping this at the forefront of your mind is essential as you work your way through the dealership on your journey to put your best deal together in the car buying process.

Always treat each area separately in your steps to buying a car, and work your best deal individually with each department. This is an important point. Work each area diligently and mentally keep them separate. It isn’t just one big car deal you are working on. It has distinct pieces.

Let’s talk about what to do before you buy a car next…

For the purposes of this car buying guide let’s start first with buying a new car.

Car Buying Guide – Benefits and Drawbacks of Buying a New Car

Benefits of buying a new car:

* A new car is going to come with a comprehensive three-year 36,000 mile bumper to bumper manufacturers warranty. Today some manufacturers will provide power train warranties of up to 10 years and 100,000 miles. This of course, provides for great peace of mind and the possibility of having to come up with some major bucks in the event of needing repairs.
* A new car is going to have all the latest safety features and creature comforts as well as the latest body style. So if it’s important to you to be on the cutting edge of features and style and buying a new car is recommended in this car buying guide.
* Since it is a new car you’re buying, you have the comforting thoughts that you are the first and only owner and there is no worrying about how the car was treated previous to your ownership. This can be for people and that is why I included in this car buying guide.

Drawbacks of buying a new car:

* It is going to cost you quite a bit more than if you had opted for the used car purchase; simply because the sticker price for a used car is going to be significantly less than the sticker price for the same car as a new model.
* The car insurance coverages are going to probably cost you more with a new car as a pose to a used car simply because the cost to replace anything on the new car is going to be higher and the possibility of car theft with a new car is also higher. So even though you may get safety feature discounts with a new car, all in all your insurance costs with a used car will probably be less.

Car Buying Guide – Benefits and Drawbacks of Buying a Used Car

Benefits of buying a used car:

Even though the benefits of buying a used car are very much the opposite of the drawbacks on a new car, let’s take a quick look.

* The used-car is going to simply cost you less to buy than a new car would. Also, generally speaking the folks on the used-car lot are going to be much more willing and have much more flexibility when it comes to negotiating the asking price of a used car versus that of a new car price.
* Your comprehensive and theft insurance is going to be less with the purchase of a used car. The important point to keep in mind on this subject from this car buying guide is that you keep in mind that insurance is indeed a monthly expense on top of your car payment.
* With a used car, you may be able to buy an upgraded version of a model on the used-car lot that has all the extended features; whereas on the new car side you might only be able to afford the base version of the same model.

Drawbacks of buying a used car:

* The unknown — you won’t really know how the previous owner treated the car or if they provided the routine maintenance for the used-car.
* The used-car will only come with a limited warranty at best. Whereas the new car as we mentioned above in this car buyers guide will always carry with it at least a three-year 36,000 mile manufacturers warranty.
* Certainly, the used car will have a head start on how many miles it has on it. And any car as the miles begin to pile up is going to cost you more in maintaining the health of the car.

Hopefully, the bullet points outlined in this car buying guide has given you some food for thought when it comes to buying a new car versus buying a used car. In this short car buying guide article, I haven’t had the time to cover all the features and benefits of the new car versus a used car, but this is certainly giving you a good place to start your thinking.

When it comes to vehicle trade in value, certain sites provide a big help to buyers. These are practical ways which you can effortlessly access online and right there, consumers can visit at any time of the day. You can enter some of the basic information about your car and then receive an appraised trade in value of the car based on the estimated condition. This judgment is going to be higher than what you will find in other resources and with that, the internet is among the most user-friendly resources when it comes to trade in value issues on vehicles as it provides the user with a high trade in value for their car.

Should you have already considered vehicle trade in value for your car before at your local dealership, you experienced a moment when after the sales representative looked at your car and answered some basic questions and then they leave you for a short moment as they go back to their manager to establish the trade in value. This cautious process is where the dealership will research your car against unreliable data which they subscribe to obtain fair value for your car. The dealership uses a highly reliable source as it provides present pricing trends for your used car based on actual sales from recent auctions.

Vehicle trade in value is a very important aspect in buying a car without considering the resource used and instead highly considers the ultimate value which must be established between you and your local dealership in the same way that the final value should be placed after a physical check up of a car.

As a part of your used car buying checklist, know your budget limit and stick to it. If you do not have sufficient resources to pay for the car in full, you can consult some car companies for financing alternatives. Also, check the ownership of the car. Make sure that there is a clear transfer of the ownership to avoid potential legal problems. You also have to make sure that you inspect from the major to the least details of the used car. Remember, you are trying to purchase a pre-owned car. Thus, check the engine and all the parts to make sure that you picked a car without or with minimal problems and defects.

Within your used car buying checklist, do not fail to identify the make and model of the used car which you have short listed. The make and model can provide you with an idea about the availability of the parts when the defective components need to be repaired or replaced. As much as possible, it is best to choose a used car with a reputable brand name which has high availability of parts. And finally, you cannot just purchase and pay for a used car unless you have requested for a test drive. A 15 minute test drive must be enough to provide you an idea regarding the running condition of the car.

All through the test drive, remain cautious of the noisy components and the response of the steering wheel on various terrains. Used car buying checklist will absolutely help you opt for the finest used car offered to you so start making your checklist now.

When you or any of your friends are planning to purchase a new car, it will be good for you to come upon this article which is about new car buying advice. One of the most effective pieces of car buying advice which anyone can offer you is to time your visit to the car dealer. The objective is to catch these dealers at a time when they will be more open to negotiations when it comes to offering you a great deal on a vehicle. Weekdays are the best times to visit a car dealer. Weekends are times when most people shop for cars and it is when you will not obtain the best attention from the dealer.

Another piece of new car buying advice is to consider is that if you buy from a car dealer, you will end up having to pay the complete dealer price while still having to make do with fewer additional which are usually added to the deal to attract you to buy the car from the dealer. It is also important to consider how much value will remain after having used your car for two years. For the most part, a two year old car will depreciate at approximately 40% of the value of a new model and when your car is around five years old, it will depreciate by about 60%.

To obtain the best possible catch, you can also visit car auctions, local and online. They work simpler than having to go to a car dealer and agent. New car buying advice will make sure that you are getting what you want when it comes to your prospective car choice.

Establish a sensible budget for a loan against car. Do not dream of driving a Porsche 911 if you cannot afford to pay for it. Do an online research and determine your financing choices before finally applying for a car loan. Save money on your car loan through an online application. It is advised that you borrow up to a certain limit that you need and can repay without getting submerged in debt. During the time of your application, you might need to provide some details about your age proof, residential proof, bank account details and other points.

Remember not to allow a bad credit to slam on your loan against car and that dream car of yours. If you are battling against a bad credit score and wondering if you will ever get the chance of driving your ultimate dream car, you might as well relax as you still have an option – the so-called bad credit car loan. As the name says it, bad credit car loans are made for individuals who are enchained by a bad credit history and are running short of budget to purchase a car. It can be the outcome of financial mistakes from the past like mortgage arrears, IVA, missed loan payments, CCJs or worse, bankruptcy.

Well, all of them need not hinder your endeavor of getting a car for yourself. Lenders believe these and thus offer lower rate on bad credit car loans. Loan against car is offered at low interest rate coupled with a flexible repayment scheme, thus your goal of obtaining a smart, sophisticated and fancy car is no longer a problem.

Before deciding on lease versus buy car, here is what you need to know about leasing. After you have made all of the payments, you still do not own the car at the end of the lease. And when you, the leaser, wants to own the car, you need t buy it for a large sum. On the other hand, if you don’t feel like buying it, you’ve got no trade in on your next purchase. Well, if you are smart, you know how to negotiate deals, you have done your homework and you are one tough cookie, you may be able to negotiate a reasonable deal or even a fine deal in your favor.

When lease versus buy car comes into your mind, what exactly is your intention in leasing or buying a car? If you are planning to turn the car over each few years, say for instance at the end of the lease or even prior to the pay off of the purchase contract, it may serve you well to lease instead of purchasing. Conversely, if you are planning to won it until the paint falls off, buying is absolutely the best choice there is. One thing to remember though is the depreciation rate of a new car. It is common knowledge that a new car loses hundreds of dollars in value when you start driving it off the parking lot. Lease versus buy car – think about it comprehensively and do the math to obtain the best decision.