How to Not Get Scammed Buying Your First New Car
Buying a car for first time is an exciting experience, one which you never forget. Unfortunately, the memories can be soured quickly if you have agreed on a deal which sees you paying a lot more than you can afford. Therefore it is important that you have done all the relevant research and budgeted your income in order to avoid getting scammed at the hands of a car dealer.
Instructions
-
1
Do Your Job
Lets face it. Every sales person is doing his or her job. Their main aim is to sell a car, regardless of your buying power. In order to avoid getting hit financially, it will be on you to do the necessary homework, which ensures that you are not being trapped in a scam.
The first thing is to not let emotions come in your way. Salesmen prey on your emotions and will likely do everything to make sure that the deal goes through at that particular moment. Their methods will vary depending on the customer’s willingness to buy the car. -
2
Spot Delivery
Spot Delivery is by far the greatest threat for a new buyer where the sales person is willing to hand the car keys even though the final documents have not been prepared. However, a general overview will be provided to you where the deal will be an attractive one. Once you have made up your mind and drove the car home, the dealer will call you in day or two, claiming that the final paperwork is ready but with certain amendments, which will range from higher interest rate to increased monthly payments. Since you would have already driven the car and considered it your own, you will somewhat be forced into agreeing. -
3
Financing
As dealers, they are likely to present the car in a way that will fit your budget. For instance, if you can afford $300 on monthly payments, they will make sure that you only have to pay this much amount. However, the bottom line is that they will hide all sorts of back end payment, and will just extend the term of the loan, forcing you to pay more than the actual price.
In other situations lease payments will be misinterpreted, the contract literally tampered with and insurance coverage etc not revealed until the last moment. -
4
Avoiding scam
To avoid such scams, it is important that you contact multiple dealers, read the contract agreements and make copies of it, don’t spot buy and never go beyond the limits of your budget. This will be done only if you separate each component of car financing.
