Seven secrets to help you save thousands of dollars when buying a car in the USA - ForumDaily
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Seven Secrets To Help You Save Thousands Of Dollars When Buying A Car In The USA

The process of purchasing a car in America is radically different from what we are used to at home. It’s like this: you come to a car dealership, look at a car, if you like the price, don’t like it - pay. In the USA, when buying even the latest car that has just rolled off the assembly line, you can and should bargain. The price you see in the showroom or on the website is not at all the price for which you can buy a car. Here it is quite possible to get a discount of several thousand dollars, depending on the brand of the car and its original cost. Next - from the first person.

Photo: Shutterstock

I'll say right away: I bought only one car in the USA, but my husband worked in the automotive business for many years and knows him from A to Z. So these are, rather, his secrets, not mine 🙂 I draw your attention that we will only talk about buying new car in the showroom and all advice is based on how the process works in California. Perhaps other states have their own nuances.

1. Find out the price in advance

When you have decided what kind of car you want, check on the sites Truecar и Edmunds its cost. Truecar, as a rule, shows the lowest price for which you are likely to buy the car you are interested in. On the site Edmunds You can compare the prices for cars offered by nearby showrooms. However, to view them, you need to leave your data on the site: first name, last name, email and phone number. You look and compare prices - car dealerships receive your contacts. And then the “hunt” begins for you, which is very beneficial for you, the potential buyer, since thanks to the competition of salons you will be able to negotiate the best conditions for yourself.

2. Go shopping online

Many car dealerships now have special departments that work with customers who came from the Internet. It is important for sellers to lure you into the salon, so they are ready to offer fairly low prices. Here you can proceed as follows. Send requests for the car you are interested in to all more or less nearby salons (determine the distance you are ready to travel for a good deal) and choose the cheapest offer, even if it is far away and the car is not the color you want. Then announce this price to other salons and find out if they can outbid it and sell the car even cheaper. This maneuver can be done several times.

On the subject: 20 questions to ask a car dealer before buying a car

3. Bargain

It is worth bargaining even when you have already arrived at the store. The policies of car dealerships may differ: some are more willing to give discounts, others less so. But everyone is lowering the price.

When the cost of a car is about 30 thousand dollars and more, it is quite possible to get a discount in 10-15%.

But keep in mind: if this is a new model and relatively few cars have entered the market, the salon may not reduce the price.

4. See invoice

Photo: Shutterstock

Ask the seller to give you an invoice for the car. Again, some salons may not provide it, but usually they still show it. Based on the invoice, you can determine the real cost of the car.

The price of the car on the invoice will be already less than the MSRP (Manufacturer's suggested retail price — manufacturer's recommended retail price). The seller may say that the invoice shows their final price, but this is not entirely true, since it usually includes local advertising costs. Therefore, you can easily knock off another 2-4% of the invoice price. If this is a car from the luxury segment, then even more.

5. Choose the right time

The best time to buy a car is the last days of the month or year. There is internal competition between showrooms in terms of the number of cars sold. And if at the beginning of the month, showrooms look more at the profit they receive when selling cars, then at the end of the month they are chasing the numbers of cars sold. That's when you can expect to get a really good deal.

In addition, on big holidays (Independence Day, Labor Day, Presidents Day, etc.), salons offer good discounts, so it makes sense to time the purchase on a public holiday.

6. Decide on additional services

Some salons are ready to sell you a car either with zero profit for themselves, or even go into negative territory. The secret is that they often receive their main income thanks to additional services, such as an extended warranty (extended warranty), prepaid service (prepaid maintenance) etc. Therefore, even if you fight for every dollar when bargaining for a car, but then buy all these additional services during registration, the salon will remain with a good profit.

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If you decide in advance that you plan to buy additional services, tell the seller about this - he will be more willing to reduce the price of the car. At the same time, it’s worth calling the nearest salons in advance and finding out how much similar services cost them. You can also bargain when purchasing these services.

If you do not plan to buy additional services, do not say anything to the seller, otherwise it may be more difficult to get a favorable price.

7. Consider other financial factors.

Often car manufacturers offer special conditions to buyers with a good credit rating. For example, a refund of a certain amount (alarm) or super beneficial interest on the loan. When we bought the car, Toyota offered either a refund of $1000 (in fact, they deduct this amount from you upon purchase) or an interest rate of 0,9%. We chose the latter - with this rate, we would need to overpay less than $25 for a loan of $5 thousand over 600 years. As a rule, such a low rate is a better offer than a refund, but it all depends on your individual situation - how long you take out the loan for and whether you plan to pay it off early.

Buyers of all-electric or hybrid cars (but only those that can travel a certain distance on electricity alone) can expect compensation from the government - up to $7,500. For example, we bought Prius Prime Plug-in Hybrid, which after a full charge can travel 25 miles (40 km. - Ed.) solely on electricity. This model was more expensive than usual Prius, but customers who buy it receive bоmore compensation. We have already received a $ 500 PG&E check and still have a $ 4,500 tax credit to file our tax return. Compensation amounts for all electric and hybrid vehicles can be viewed here.

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