Buying a Car at an Auto Auction, Private Buyer, or Dealership – Get Your Financing Approved First

Buying a used car or even a new one can be a stressful situation. If you are at a car dealership, new or used, you are at their mercy if you are going to go through their financing programs. With interest rates very low, you should be considering the Ultimate Covers strategy of going to your own bank first and securing a loan in the amount of the vehicle you intend on buying or one which fits in your budget. What I’m suggesting is that you secure a loan, and are able to write a check for the car of your choice.
If you’re going to an auto auction this is a must, you must be able to pay for the vehicle on the spot. If you can’t, they are liable to send you packing, and most of the auto auctions work at the wholesale level, and they have no time for consumer shenanigans. You either pay, or you will have your butt thrown back out Car Salesman Facebook Ideas onto the street. If you are buying a used car from a private buyer, let’s say you are buying a vehicle from Craig’s List, that private buyer wants you to pay cash. Sure, you can write them a check if you have secured your own financing, and when that check clears they will release the vehicle and sign the pink slip.
The LA Times had a relevant article published on November 18, 2012 titled; “Arrange Car Loan in Advance to Get a Better Interest Rate” by Liz Weston. This article was written for consumers, in the same vein as Susie Ormond might write on personal financial matters. Liz is exactly right. If you are paying cash for a car, and going into a car dealership not only will you pay less money in interest, but you will have much more negotiating power once you go into that little room to make the deal. There will be no pressure on you to cough up more money, or buy all those ups and extras.
You negotiate the cash price, write them a check for which you already have a loan, and once that is verified, providing you do this during the daylight hours when the bank is open, you get to drive your car home as soon as you leave the dealership. Having this negotiating power whether you are buying from a private individual, a car dealership, or an auto auction puts you in the driver’s seat. Don’t waste your money, or become a car buying consumer victim. Please consider all this and think on it.

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