New Cars, New Car Prices, Car Buying Tips, Used Cars

Money Saving Tips

For Car Buyers: First, do your homework. Learn all you can about dealer tricks because they can quickly erase any discounts or other savings that you think you're getting. Car dealers spend millions of dollars training their salespeople to get more money out of customers, and if you don't know the tricks they use, you could be overcharged by thousands of dollars. Find out the dealer's real cost on the car (it's typically less than invoice) and the prices that smart shoppers are paying for that car, then research any other items you might want (loans, extended warranties, car alarms, etc.). Shop around for competitive auto loan (or lease) rates at banks, credit unions and lenders on the Web. When you find a great interest rate, get pre-approved at that lender before you start negotiating with dealers. If a dealer can beat the rate you found, let him finance the car -- on a "simple interest" contract only. Otherwise, stick with your pre-approved loan. And don't forget to shop around for insurance before you buy that new or used car, or you may be in for a shock. To save you time and money, we've listed the best places for you to get free quotes on new or used cars, auto loans, car insurance, extended warranties and more. (Keep reading.)

When your homework is done and you're ready to buy, you start the negotiating process -- where dealers quote prices and you make counter-offers. If you've done your homework properly, this process should result in less haggling -- and lower prices. To make dealers compete (and drive the price down), use the Internet to get at least 4-5 price quotes before you start negotiating with any dealers. When you get to the contract stage, make sure the dealer doesn't slip any hidden charges into your loan or lease. (This is known as "payment packing.") To avoid this common rip-off, calculate your own monthly payments first. Finally, always negotiate the price of the car, not the monthly payment.

Money Saving Resources, Free Quotes
CarInfo.com has searched the Web to find the best car buying (and leasing) resources. These resources are listed below, along with direct links to their sites.

New Cars & Trucks - Free Quotes. Are you looking for a new car or truck? Get free (no obligation) quotes from the following car buying services, then use those quotes to convince other dealers to lower their prices. If the other dealers can't beat the lowest Internet quote, you may have found the best possible deal on that car. For free quotes on new cars & trucks, use Yahoo!Autos, CarQuotes, Autos.com, and InvoiceDealers. To make sure you're not missing out on a better deal, get quotes from all four services!

Used Cars & Trucks - Free Quotes. To get free (no obligation) quotes on late-model used cars & trucks, use Cars.com.

Auto Insurance - Free Quotes. Here's a great way to save money -- all the time! If you're in the market for a new or used car, be sure to shop around for insurance before you buy. Why? Because insurance on some cars can be a lot more expensive than others, so make sure you know ahead of time what it's going to cost. If insurance is too expensive for the model you wanted to buy, pick another model (unless you have money to burn). The easiest way to shop around for the best rates is to use Insurance.com. They offer free online quotes from multiple insurance companies using just one application. Depending on the state you're in, you could receive quotes from as many as 4-6 companies. If you're not in the market for a new or used car right now, you can still use this to save money by making sure that your insurance company is not charging more than the others.

Auto Leasing Direct Quotes. This new, innovative service allows you to lease your new or used vehicle directly from the leasing company thus eliminating dealer mark-up on the financing terms. Talk directly with leasing companies who have agreed to provide competitive leases on select makes with full disclosure of terms directly to our visitors, all without the hassles and scams found at dealerships. There is no cost or obligation to participate. Simply complete the short form and a representative will contact you to discuss your deal. Click Here for Auto Leasing Direct Quotes.

Auto Leasing & Buying Software. Expert Lease Pro can save you a pile of money on your next lease or purchase. This easy-to-use program will help you make the right lease vs. buy decision, avoid overcharges and negotiate a better deal. Calculates payments, reveals true APRs on leases, provides MSRP, invoice and residual data on all new cars & trucks. Warning: Dealers use computer programs to manipulate the numbers and increase their profits on new and used car transactions. If you don't have your own program to figure out what's going on, you're a prime candidate for the "payment packing" scam. (See the KCBS story on our front page.) To prevent dealers from slipping hidden charges into your lease or loan, calculate your own payments before signing any contracts. Click Here for Expert Lease Pro.

New Car Rebates, "Dealer Cost" Numbers. This is where many new car buyers make two big mistakes: They don't know how to get the real dealer cost number (it's usually a lot lower than dealer invoice), and they don't know what smart shoppers are paying for the same car. So they end up overpaying by $500 to $1,000 (or more). Most of the free "dealer cost" info on the Web is incomplete (secret payments and incentives to dealers are often missing), and random checks of free dealer invoice numbers keep finding inaccurate and/or outdated information. To avoid these expensive mistakes, pay a nominal fee to get accurate information on invoice prices, secret factory-to-dealer incentives, and customer rebates. For US motorists, click on Fighting Chance to get dealer cost numbers, secret incentives, rebates, and other valuable negotiating material. Their New Car Information Package also comes with a "coach" -- a live, new car buying and leasing expert you can talk to if you have any questions. Click Here for US information. For Canadian motorists, click on CarCostCanada to get information on dealer cost, rebates, and average dealer markup. Be sure to check out their Canadian New Car Buyer's Checklist.

Auto Loans - Free Quotes. If a dealer is not offering below-market rates, don't finance your car there. To help you shop around for loans with competitive rates, we've found two great online lenders. Capital One Auto Finance has posted rates, payment calculators, competitive rates on new & used cars, and quick service. They can also refinance your existing loan to lower your interest rate. Apply online during normal business hours and get a decision within 1-2 hours. After you're approved and you've signed the loan documents, you can get a check the next day. (If you are buying a car from a dealer and you don't know the purchase price yet, use the MSRP plus tax for the initial loan amount. Then negotiate a lower price at the dealer and fill in the lower loan amount on the BlankCheck that you get from CapitalOne.) Car shoppers with poor credit -- or bad credit, including bankruptcy -- can use InstantCarLoan to get multiple quotes. Both lenders have online applications and free, no-obligation quotes. Note: Be sure to read the Credit Report section below.

Credit Reports. If you don't know what your credit report looks like, get a copy of it before you apply for financing. This will give you a chance to correct any mistakes that may be in your credit file. Why is this important? Because "blemishes" on your credit will prevent you from getting the lowest possible interest rate on a loan. Never agree to a higher interest rate at the dealer without checking your credit report first to see if the higher rate is justified. And shop around for a better rate, of course. You can get your credit report (and your credit score) online by using Equifax or FreeCreditReport.com.

Lease Swapping. This service is a great idea for consumers who want to get out of a lease early without paying thousands of dollars for early-termination fees. And it's also a great idea for shoppers who are interested in leasing, but don't want to waste thousands of dollars on up-front costs just to "rent" a new car for a couple of years. (That's exactly what auto leasing is: a long-term rental agreement with no ownership.) If you are interested in saving thousands of dollars by getting out of (or into) an existing auto lease, use SwapaLease -- the national marketplace for auto lease assumptions. See their web site for details.

Extended Warranties/Service Contracts. If you're shopping for a new or used car, you can protect yourself against most major repair bills by purchasing a good extended warranty. But don't pay those high dealership prices just to get a little peace of mind! Use Warranty Direct for free online quotes. This company offers great extended warranties at discount prices, and they even run occasional specials that make their deals even better. If you already bought a new or used car without getting an extended warranty, you can still purchase one as long as the vehicle is within certain mileage limits. Vehicles that are still covered by the manufacturer's original warranty usually qualify for new car rates; vehicles with expired warranties are all rated as used cars. Click Here for Warranty Direct.

Return to Front Page

Note: If you don't see a menu frame on the left side of this page, you may have entered this site through an incorrect URL. For proper navigation throughout this site (using frames), click on one of the following links: