For many people, the process of buying a new car ranks right up there with going to the dentist or public speaking.

What makes it more difficult is that there's so much distorted information and myths floating around that it's difficult to know where to begin. To clear some things up before you buy a new car, here are the top five myths you should know before making purchasing your vehicle.

Go to the dealership on a rainy day

The logic behind this is that the dealership will be empty because of the rain and the sales associates will be desperate to sell anything that day. The only problem is that many other buyers have heard the same thing and are heading to the dealership as well. In some areas, rainy days are very busy.

If you're trying to find the best time to buy a new car, head to the car lot on weekdays between 9 am and 5 pm. Also visit the dealership at the end of the month when the sales associates are trying to meet their monthly quota.

If you're leasing, negotiate the purchase price first and then tell them you want a lease

 This doesn't work for one simple reason: The dealership would rather lease you a car then sell it to you. Think about it: You pay them for the privilege of driving a car for three to five years then return it to them, at which point they get to sell it to someone else. There's really no downside for the dealership. Besides, lease terms are usually better than purchase terms.

You can outnegotiate the salesperson

The dealership sales associates are experts at negotiating the best price for themselves, the dealership, and the car. Instead of banging your head against a wall or going to war against the dealership, find the exact car you want online and then contact the online sales department of several dealerships and find the best price.

Don't tell the salesman you have a trade-in until after you negotiate the purchase price

Deception like this won't help. In fact, it may antagonize the salesperson and the finance department. Instead, negotiate your trade-in value separately. Arrive with the real value of your trade-in and work for the best deal possible

Arrive with a cashier's check for the exact amount you're willing to pay

 It seems like you would have the upper hand with this tactic, but in reality, it won't help much. Figuring out the actual taxes, fees, and other costs of the exact car you want to buy is a difficult process. It also requires access to facts and figures that you may not be aware of. By using this method, you'll probably get a car but not the first car you want.

Buying a new car doesn't have to be a painful process. Most dealerships will be up front with you and will do their best to make a deal that's beneficial to the both of you. If you do your homework and shop several dealerships online before making a decision, your next car buying experience will be a pleasant one. 


Categories: Finance