| If you think about it, the most grueling part of the | | | | know that many local car dealerships are now online |
| car-buying process, after agreeing on a price, is | | | | as well? The advantage of working with a local car |
| acquiring the right kind of loan for your new or used | | | | dealership can outweigh working with the |
| car. Most consumers enter the car dealership | | | | manufacturer or a national website when you want |
| completely unprepared for the loan application process, | | | | the best in quality customer service, a relationship for |
| and that lack of knowledge and planning is costing | | | | the lifetime of your car and the best deal on your auto |
| them millions of dollars every year. | | | | loan. |
| If you want to create a win-win situation for you and | | | | The advantages of getting a loan through a local |
| the car dealership you purchase your car from, there | | | | dealership is similar to the reason every town in |
| are five steps to take before you sit down at the | | | | America has a locally-owned restaurant that has |
| negotiation table: get your credit report, surf before | | | | regulars: local businesses have a sincere investment in |
| buying, go local, speak the language and be prepared | | | | the community. That interest often leads to better |
| to negotiate. | | | | customer service, a more customized approach to |
| 1.) Get Your Credit Report | | | | selling, and the ability to get you a better loan than you |
| You can't pick up a personal finance article, magazine | | | | will receive from a lender who doesn't know - or care |
| or book that does not refer to the importance of | | | | - who you are. |
| knowing what is on your credit report. Despite the fact | | | | Lastly, the local dealership may have more than one |
| that modern media has been beating us over the head | | | | location, increasing your options for finding the car you |
| with this advice for the past couple of decades, most | | | | need but offering the same uniform auto financing |
| people do not know their credit score or check their | | | | options. For example, Conklin Cars Salina, a car dealer |
| credit report on a regular basis. You can get a copy of | | | | in Kansas, is also a Hutchinson car dealer and a |
| your report by directly contacting the three credit | | | | Newton car dealer. So, if a customer goes to one |
| bureaus: Equifax, TransUnion and Experian (formerly | | | | dealership and does not find what they need, they can |
| TRW). | | | | visit another location and expect the same quality |
| Not knowing your credit score and the details of your | | | | customer service. |
| credit report before applying for a car loan is a | | | | 4.) Speak the Language |
| monumental mistake. You want to have any blemishes | | | | There's nothing more frustrating than going through the |
| on your report resolved before you apply for a car | | | | entire car-buying process, thinking you have a good |
| loan, because the results of your lender's credit inquiry | | | | deal, and learning down the road that you were taken |
| directly impact your interest rate. | | | | advantage of - simply because you had no idea what |
| Your credit report includes: basic information about you | | | | your sales rep was talking about. |
| - name, address, social security number, etc.; your late | | | | From dealer holdback to Rule of 78s, make sure you |
| payments, any outstanding debts you have, the | | | | have an understanding of some of the basic industry |
| amount of credit available to you; any public records | | | | terms that could be thrown at you during your |
| on you such as judgments and bankruptcies; and | | | | transaction. With this knowledge, you won't |
| inquiries into your credit from potential employers or | | | | misunderstand the details or find yourself being signing |
| lenders. | | | | a contract or paperwork that you don't understand. |
| And just because you have caught up late payments, | | | | 5.) Be Prepared to Negotiate |
| cleared outstanding debts or cleared up any | | | | If you've followed the four previous steps in this article, |
| judgments does not mean these blemishes are | | | | you will be armed with the necessary tools to |
| automatically removed from your credit report. | | | | negotiate the best rate possible for your car loan. |
| Sometimes, you need to follow up with the creditors to | | | | There's nothing wrong with shopping around and |
| make sure they report your reconciliation of debt to all | | | | checking with other lenders to see what kind of rate |
| three credit bureaus. | | | | they can offer you, but you must remember that |
| In addition, identity theft and/or fraud can result in false, | | | | numerous inquiries into your credit report may go |
| unfavorable records on your credit report. In January | | | | against you. |
| 2006, the Federal Trade Commission reported that | | | | And, when you go through the dealer for your auto |
| more than 686,000 people reported identity theft and | | | | loan, the sales rep wants a long-term relationship with |
| fraud complaints in 2005. Stolen identity and fraud can | | | | you. This motivates them to work harder to get the |
| result in major credit report issues. | | | | best rate possible for you. In contrast, an online or |
| 2.) Surf Before Buying | | | | off-site lender's interests begin and end with the loan - |
| You'll be far less tempted to impulse buy, driving away | | | | but the car dealer wants you to: come back and have |
| from the car dealership with a car you can't afford if | | | | your car serviced, return when you want to purchase |
| you have established boundaries in your mind before | | | | your next car, and tell your friends about them, further |
| you begin. | | | | strengthening the dealership's reputation in the |
| You can save big money on your car loan if you have | | | | community and increasing business. |
| a budget and type of car in mind before you go | | | | Before you sit down to get your next auto loan, take |
| shopping. One easy way to accomplish this is to go | | | | the time to do a little homework so that you can feel |
| online and check out different car dealership websites. | | | | confident about securing the best deal for your auto |
| You can compare and contrast vehicle makes, | | | | loan. Investing a little time and effort before making the |
| models, styles, features and pricing. | | | | deal can go a long way in creating a win-win situation |
| 3.) Go Local | | | | for you and the car dealership. |
| There are many national auto websites, but did you | | | | |