Money Power: Save time, money with smart car-buying tips
By JESSICA ANDERSON Money Power on Sep 15, 2013, at 2:36 AM Updated on 9/15/13 at 4:25 AM
Money Power
As a group, the seven bond mutual funds in the Kiplinger 25 fared slightly better, but still suffered an average loss of 3.1 percent.
I know that open enrollment for health insurance on the new state exchanges will run from Oct. 1 to March 31.
Use our tips to put yourself in the driver's seat and get the best deal.
1. Forewarned is forearmed. For any vehicle you're considering, go to TrueCar.com to compare the average transaction price in your area with the sticker price. Next, head to Edmunds.com, and enter the make, model and trim level to see the dealer invoice price. Click on "Incentives and Rebates" (under "New Cars") to view current manufacturer offers. That way you'll know whether dealers get cash from the carmaker when they make a sale.
2. Prepare to cross swords. Salespeople have a host of tactics to boost the car's price - and their commission. They will try, for example, to focus your attention on the monthly payment; to keep it low, they may push you to extend the loan term or to lease instead of buy. If the salesperson asks about your trade-in, steer the conversation back to the new car. Lumping the purchase and the trade-in together means the dealership can give you a lower trade-in value and still look as if it's giving you a good deal.
3. Stand your ground. If the price is at or near invoice, the dealership is making a profit. Bottom line: Walking away is the best tool in your arsenal.
4. Or skip the showroom showdown. Once you've taken a test-drive and decided exactly what you want, go home. Contact the Internet managers at several dealers and ask for bids. Let them know you're shopping around, and get firm offers via email.
5. Let a pro do it. Free services, such as those from TrueCar.com and Edmunds.com, offer prices from participating dealers that are guaranteed but may not be the lowest possible.
Jessica Anderson is an associate editor at Kiplinger's Personal Finance magazine. Send your questions and comments to
moneypower@kiplinger.com. And for more on this and similar money topics, visit
www.Kiplinger.com.
Original Print Headline: Smart car-buying tips help you save
Money Power
As a group, the seven bond mutual funds in the Kiplinger 25 fared slightly better, but still suffered an average loss of 3.1 percent.
I know that open enrollment for health insurance on the new state exchanges will run from Oct. 1 to March 31.
