How to avoid common dealer tricks in the finance & insurance (F&I) office.
1. Know your credit score before negotiating with dealers.
2. Shop around first for car loans and rates at credit unions, banks and online lenders.
3. Limit the term of the loan to 60 months (max.) or 48 months (better). If you can’t afford the car without increasing the term, you can’t afford the car. Make a bigger down payment or find a cheaper car.
4. “Payment buyers” are usually overcharged using these tricks: higher interest rates, overpriced or unwanted extras, even the price of the car.
5. Always negotiate the price of the car, NOT the monthly payment.