Archive for the ‘purchase’ Category

Who needs a co-signer for a car loan? How does it work? New or first-time car buyers are often surprised at being turned down for a car loan because they have no credit history, which unfortunately has about the same effect as having bad credit. Getting a co-signer might be the answer. Lenders want to […]

About principal and interest If you purchase a new or used car with a loan, you agree to pay off the loan amount (principal) over a specified number of months. But you also agree to pay a finance charge, or interest, for the privilege of using the bank’s (or finance company’s) money for your purchase. […]

How much down payment do I need for my car loan? Until recent times, it was standard for car dealers and finance companies to require at least 20% down payment on the purchase of a car. It was for a good reason. Because cars depreciate in value from the moment they are driven off a […]

It’s a common predicament. You have a car that you want to trade for a better car, but you still have an outstanding loan on it. The Question The question is — is it possible to trade when you have a car loan that is not yet paid off? The short answer is yes, you […]

What is the car trade-in process? Do I lose money by trading? Here is how a car trade works. Car dealers buy your old car from you and give you credit toward the price of a new car. The trade-in credit is like a down payment and reduces the price of your new car, making […]

What Are the Best Cars to Buy? There are literally thousands of combinations of different automobile types, makes, models, styles, and prices, which can make it difficult to choose which to buy. However, we will help you determine the perfect car for your needs. What is a good first car?  Which car is the best buy? Which is […]

What to Pay for a Car — What’s a Good Price? What to Pay For a New Car All new cars have a window sticker that displays the manufacturer’s suggested retail price (MSRP). It may also include destination charges, dealer-installed option prices, and other miscellaneous charges. The total of these charges is the price you would pay for that vehicle, […]

When buying a car, everyone knows you don’t pay the asking price or sticker price. Right? Right. The process of buying a car in the United States is unusual in that it’s one of the very few times when we actually negotiate or “haggle” over prices. We don’t do it when buying a refrigerator at […]

We answer questions from first-car buyers almost every day when we participate on the Yahoo! Answers web site in the Car Buying and Selling section. The majority of those questions come from teens and young adults who have little or no experience in buying, trading, or selling cars. In the few years that we’ve been […]

Many people know they need/want a new car but struggle with what car to buy. There are so many choices. How does a person go about deciding what car is best for them? There are actually a number of different approaches that be taken in making a decision. One way is to simply do detailed […]

First-time car buyers are often unaware of everything that’s involved in the process. It’s not surprising because it’s not simple and not like buying anything else that we normally buy, even a house. We’ll explain it all in this quick guide to buying a car. Further details can be found in the various articles posted […]

There’s nothing worse than spending your hard-earned money for the perfect used car and finding out after the sale that it has serious problems that are going to cost a fortune to repair. It’s even more disappointing when you discover that used cars are sold “as-is”, which means that you have no legal grounds to […]

Car buyers are being cheated every day by a common scam that is usually associated with Craigslist, as well as other online car-for-sale web sites. Craigslist even posts warnings on their site about it but many buyers are so focused on the “deal of a lifetime” they’ve found that they don’t read the warnings. It […]

Used cars are for sale everywhere but many people find it difficult to find just the right car for the right price.  It can be frustrating and even overwhelming. First-time buyers, in particular, often have difficulty with the various stages of the process: buying, pricing, negotiating, applying for loans, registering, and getting insurance. What seems […]

Cheap cars can be found in many places — if you know where to look. Following are just some of the places you might find cheap cars: Independent Used-Car Dealers – Independent used-car lots are a potential source of affordable cheap second hand cars. Many lots have older vehicles that can be real bargains, but […]

Your First Car – Making Your Decision Most of us get our first car as teenagers. It’s the car we’ll always remember. Let’s take a look at some of the important questions you’ll want to consider when deciding about what you’ll buy as your first car, how you’ll pay for it, and how to go about […]

This is the kind of question we see posted on question-and-answer web sites every day. The details might vary but the basic question is always the same. The askers of the question seem to understand that $3000 (or $1000, or $2500) is not a lot of money for a car and they are asking how to […]

Online car buyers exposed to common car scam by criminal sellers Users of online car buying sites such as AutoTrader, Craigslist, online newspaper classified auto ads, and other non-dealer car sites often find unbelievable good deals, only to find it was no deal at all, but a common car seller scam. We often hear the question, […]

Should I keep my old car and fix it up, or buy a new car? Expressed another way, the question is this: Is it smarter, more practical, and more economical for me to keep and fix my old car than to buy another car, new or used? This is always a tough one to answer. Generally, […]

Buying a car with a low credit score? Having bad credit means that sometime in your past, possibly as far back as seven or ten years, you have had missed or late loan payments, repossessed property or cars, or have declared bankruptcy. You may also have an excessive number of credit cards with high balances. […]