Car Buying Tips
Identify your needs and wants - Think about what you really need in your future vehicle and what you want. Is space for six people a need? Do you want a red vehicle? Carefully go over with yourself what you want out of the vehicle and what your vehicle has to be able to do.
Identify what you can afford - Be honest with yourself and look at your finances carefully. Are you going to pay for the vehicle in full at the time of purchase or are you going to finance the vehicle? Can you easily pay for the vehicle or are you going to have to make changes to your lifestyle in order to make the payments. A good measure is to keep your automobile monthly payment at 12% or less than your monthly income. Search for ways to decrease the monthly payment prior to getting the loan, such as saving up for a larger down-payment, search out lower interest rates, leasing vs. borrowing.
Read all the paperwork - Remember, the papers you are signing for the purchase of a vehicle are a legal contract between you and the auto dealer. Make sure you have read and you understand everything on the contract. If there are any questions, get them clarified in writing and initialed or signed. Make sure to go over all "fine print" items within in the loan contract as well as the purchase contract. The loan contract should allow you to make early payments without penalty. Also, make sure you are able to submit a payment directly to the principle once the interest for the monthly payment has been met and that there is no penalty or extra cost if you pay off the loan early.
Get what you want and need - After searching within yourself for what you need and want, go find it; it is out there. Don't buy a vehicle if it doesn't match up to your inner search. If your wants change during your search, make sure you are not swaying on your needs.