`10 Worst Car Buying Mistakes'
LOS ANGELES--July 1, 2002--This year, American consumers will purchase more than 16 million new cars and trucks and 42 million used vehicles. With a car being the second-biggest purchase a consumer will make, mistakes can prove quite costly. The experts at CarsDirect.com, the leading multi-brand online car buying service, have compiled a list of the "10 Worst Car Buying Mistakes" to help car buyers make better-informed decisions before they step into a showroom or visit the Web to buy their next vehicle."Purchasing a car is one of the most important buying decisions a consumer can make," said Bob Brisco, CEO, CarsDirect.com. "Making hasty or uninformed decisions can cost car buyers hundreds or thousands of dollars, or leave them with a car that is not suitable to their needs. The abundance of car buying information available on Web sites like CarsDirect.com puts today's shopper squarely in the driver's seat, with unprecedented access to comprehensive research, pricing and financing information."
Following is CarsDirect.com's list of most common mistakes and tips on how to avoid these common pitfalls when purchasing a car:
#1 Not determining exactly how much you can afford to spend
BEFORE you begin the shopping process. You should consider
the cost of both principal and interest, and any possible
increase in your car insurance rate for the vehicle you are
considering. (Of course, these costs may be offset somewhat
by repair costs for your current used vehicle.)
#2 Not shopping around for financing first. You should always
check with your bank, car dealers, car manufacturers and
other sources of financing such as your credit union. An
abundance of low-rate auto loans are now available online for
new and used cars.
#3 Not knowing what kind of car you're looking for. Don't start
out all over the map -- decide what kind of car you either
want or need. Take into account the driving distances you
normally encounter, the number of people that will be using
the vehicle, and your own personal preferences for comfort
and style. Establish criteria that include attributes
important to all those who will be driving the vehicle. It's
also important to look three to five, even 10 years down the
road, to determine what type of car you'll need and whether
this purchase will be appropriate when your needs change.
#4 Not taking a test drive. NEVER buy a car without driving that
make/model first. Quality is so consistent in today's
vehicles that you don't need to drive the exact vehicle
you're going to buy. But you will want to drive at least the
base model of the car or truck you're interested in to make
sure you like how the vehicle handles.
#5 Forgetting to search online for product information. There
are many online car buying services and also car
manufacturers' Web sites that have detailed product
information. Many Web sites have vehicle comparison tools
that enable you to compare four or more vehicles side by side
to see which has the best features for the money. For
example, one four-door sedan might come with anti-lock brakes
standard, while a similarly priced sedan might list anti-lock
brakes as a costly option that adds to your price.
#6 Forgetting to search online for pricing information. Many
manufacturer and independent Web sites list information such
as MSRP and invoice pricing for a specific vehicle. Keep in
mind that invoice and MSRP are merely yardsticks, and not
likely the price that you'll end up paying. The only way to
know if you're getting a good deal is to know the exact
product and its out-the-door price. A good source for this
information is CarsDirect.com, which lists actual sales
prices for every vehicle.
#7 Not checking for available rebates and customer incentives.
Rebates and incentives have become the norm rather than the
exception over the last year or so. Keep your eye out for TV
commercials that mention special vehicle promotions and check
auto Web sites and your local paper to see if there's a
rebate available for your desired vehicle.
#8 Dealing before you have established the value of your trade
in. From online sites to guidebooks to your local
classifieds, you should know what your car is selling for
before you ever begin negotiations about its trade-in value.
#9 Not putting your cards on the table. You should let your
salesperson know exactly what your expectations are. Let the
salespeople know your criteria up front; that way they'll
realize you have put effort into this decision and they'll
more likely treat you as a serious buyer.
#10 Not knowing a car's history. Never buy any car or truck
without first talking to people who already own the same make
and model. If it's not a first-year model, investigate its
quality and service record. There are many consumer
publications and online sites where you can read about new
vehicle complaints. If buying a used car, use services such
as Carfax.com to uncover any unreported damage.
About CarsDirect.com
Los Angeles-based CarsDirect.com (www.carsdirect.com) is the leading multi-brand online car buying service, providing new and used automobiles and related products and services, such as loan and lease financing and in-demand aftermarket products including extended warranties. CarsDirect.com is the first online car provider to offer visitors three distinctive car buying options: buying a new car online through the company's award-winning direct channel; being matched with a top-quality new car dealer of their choice via the CarsDirect Connect channel; or locating and purchasing a previously owned vehicle through the CarsDirect Used channel.
CarsDirect.com has been named one of the "50 Best Websites" by Time Magazine, chosen a "Forbes Favorite" three times by Forbes Magazine, selected as a "Gold Star Site" by Yahoo! Internet Life Magazine, and received the highest ranking for an online car buying site from SmartMoney Magazine. Technology experts at PC Magazine, PC World Magazine and PC Computing have also recognized CarsDirect.com as a leading e-commerce Web site since its inception in May 1999.