How to buy a car in 4 (relatively) easy steps

Have you ever experience any headaches while talking with dealer? Don’t worry! We got you!

Whether you are stationed in the United States or in another country, a good car can be a lifesaver. But how can you maximize the benefit?

The following are the three tips that will assist you in leaving the dealer with confidence.

1. Decide on Your Requirements and Finances

• First of all, you need to define what and who you are and what car will fit into your life and how much money you can spend on it.

2. Think about these key points:

• Purpose: Do you want a car for the daily commute, something for the weekends or a car for the whole family?

• Budget: Do not forget that the price may not only be the price that is indicated on a product. Also, insurance, fuel, maintenance, and repair costs should be added. The recommended amount of money to pay for a car loan should not exceed fifteen percent of the income that one earns every month.

• New vs. Used: Warranties and latest features are available with new cars but used cars will give you more value for your money.

Defining the budget will prevent you from overextending your finances and getting a car that is not suitable for you.

3. Research and Compare Options

No one can argue that knowledge is the key particularly when it comes to purchasing a car. Spend some time doing your homework:

• Read Reviews: It is also helpful to read professional and consumer opinions to determine the car's dependability, output, and any possible problems when choosing the models.

• Compare Prices: Search for the car of your choice on the internet so as to be able to compare the price from different dealerships and private sellers. Be on the lookout for military deals and offers.

• Vehicle History: It is advisable to get a vehicle history report especially if you are considering to purchase a used car as this will show you if the car has been involved in any accident, if there are any title issues and service history of the car.

Researching will assist you in eliminating some of the choices and make sure that you get the right price.

4. Secure Financing and Negotiate

Once you have selected the car that you want and the one that you can comfortably afford, you need to sort out your financing and make the purchase. Here's how:

• Pre-Approval: Apply for pre-approval for a loan from your bank, credit union or an online loan company. This way, you know your financial standing and can easily negotiate with the service providers.

• Military Benefits: Some of the military benefits include; the Servicemembers Civil Relief Act (SCRA) that limits your interest rate at 6% and prevents car repossessions in active duty.

• Negotiate the Price: It is important not to get the price of the car from the sticker. Apply the information found in your analysis to request a higher discount. It is always negotiable from the price of the car you want to buy to the interest rate you will be charged on the loan.

• Read the Fine Print: Before making any signature, it will be better to read through the agreement. Beware of fees that are not stated upfront, warranties and other features you probably will not use.

Pre-approving for a loan, using your military benefits, and being ready to haggle will assist in getting you the most favorable terms.

Keeping the above strategies in mind will ensure that you buy your car without a hitch. Remember, it is a huge investment, so do not rush, research and then buy the car that makes the most sense. Safe travels!