Best Money Saving Articles Online

The MSRP Price

Nov 15, 2009 More Saving

MSRP stands for “Manufacturers Suggested Retail Price.” It originated from laws enacted to protect consumers and small businesses. Before MSRP, dealerships were free to charge whatever prices they wanted and the unsuspecting car shopper had no idea what the car was really worth.

…So it would be hard to negotiate a dealer down in price when you didn’t have any idea of what a car actually costs.

But where is the MSRP price? It’s the actual sticker price! But let’s go over some car dealer terms to clarify things a bit:

The MSRP price is the sticker price. The Invoice price is the price the dealer (supposedly) paid for the car to the manufacturer. Holdback is Factory to Dealer Rebates. A good rule of thumb is you should start your haggling about $2000 below the invoice price.

Dealerships used to place the MSRP price of each new car on a big sticker on the windshield to advertise to passing traffic. This practice has been mostly replaced with a spec sheet on a side window that lists the MSRP price.

But the MSRP price is not on all of the spec sheets: Some dealers leave it off the spec sheet on purpose of car models that are in high demand, hoping to negotiate the best price possible. Because if they did put the MSRP on the high-demand cars, potential car buyers might immediately expect to pay less than the price the dealership knows the market will bear.

…And if a buyer asks for the MSRP, the dealer can talk about it along with various “extras” the vehicle has. This way the dealer can start the negotiations from a higher starting price.

The MSRP price of a vehicle does not include registration, taxes, destination charges, and other miscellaneous fees and charges. Most people expect to get a discount off the MSRP, but when all the extra fees are added, the final price may be higher that the MSRP price. In fact, dealers used to inflate the MSRP artificially high so that they could offer you a big “discount,” making you think you were getting a great deal.

The trend has been to set the MSRP closer to the actual real market value, however. Dealerships have been under increasing pressure to not inflate it. But the result is that often you will pay a price higher than the MSRP, once the added extra charges are added in.

So the MSRP is your friend. It allows you to start off at the same negotiating point as everyone else, no matter where you live. The MSRP puts everyone on the same playing field, while still allowing for free market trade.

Before laying down your hard-earned money on a new car, discover these money-saving tips on the MSRP price. Know your rights and options!

Tags: automotive, autos, Buying A New Car, car buying, car buying tips, Car Dealers, cars, cars for sale, How to Buy a New Car, how to purchase a new car, invoice prices, More Saving, MSRP prices, new car reviews

How To Buy Used Car Insurance

Oct 25, 2009 More Saving

When you are looking for used car buying tips you should know that in some states insist that when you pick your used car up from the dealers that you show that you are lawfully insured to drive the car. If you drive the car and don’t have documentation to show the police, then they will most likely fine you and in some circumstances some people have received a term in jail.

Insurance for your used car will cost you a substantial amount, but it will help you in the long run if you run into trouble. You should make sure that you go to the appropriate insurance companies for you car insurance, as some may refuse you if you don’t have sufficient driving experience.

If you are going to purchase car insurance for the first time or switching to another company, go online and do it. The reason why you should go online is that you can go to various insurance carriers’ websites and compare rates easily. You can get a free quote from practically anyone and you can use that quote to compare the rates of others, especially when you buy a used car online.

Another option to be aware of is asking your parents. See who their car insurance company is and see if that company offers discounts for multiple car insurance policies. Joining one of your parent’s car insurance companies may mean that you both get a discount on the annual policy amount.

Venturing online will allow you to buy used car insurance at a lower price and allow you to secure some great bargains. Many insurance companies will apply further discounts if you are a student or have your home insurance with them. Purchasing the right type of car also helps, as the smaller a car, generally speaking, the lower your insurance policy will be.

If you are wanting to lower the price of your car insurance premium then you should make sure that you buy a small car with a small engine and that you purchase it in a light colour. You should also speak to the dealer to see if they would know what other things that you should look at to reduce the amount of your car insurance price. Generally, they will advise you that low mileage, your age and previous driving history will all effect the price that you will pay for your car insurance.

The dealer will be able to pick out some cars in their lot that will allow you to have low insurance payments when you buy a used car online. Before you purchase the car, you may want to do to your insurance company and see what exactly you would be paying per month so that you know exactly what to expect. Then you can figure out of you can afford the insurance and the car payment.

When you are looking to purchase insurance from a company on the internet then you should make sure that you have some tips when doing so. You will want to get the best rate possible and this will help you when using the internet to buy insurance for your used car.

Stuart has been a used car specialhas beent, who likes to share advice and tips on buying a used car. If you need additional advice on car insurance buying tips, then vhas beenit hhas been blog to learn additional.

Tags: auto, car buying tips, Car Insurance, Cheap Used Cars, finance, first used car, how to buy a car, insurance, More Saving, trucks, used car buying tips, used cars

10 Money Saving Car Buying Tips

Jun 5, 2009 More Saving

If you are reading about car buying tips, you must be one of the lucky ones who still has some money to spend. The good news is that, with the economy in its current state, you will never have a better opportunity to get a great deal on a car.

Buying a car is always a big deal and you don’t want to get it wrong. If the car is cheap, but not what you need, it’s not a good deal. This is not a decision to rush into now and regret later.

The dealers are under pressure to sell cars, but they also need to make as much profit as they can on each one. There are opportunities for you, but also pitfalls.

Easiest Car Buying Tips

1. New models are launched from August to November, if that is what you are looking for. With few buyers around this year, there should be potential for good deals.

2. Be prepared for the agents sales tactics. If you feel pressurized, be prepared to walk away. There is always another car lot and they will be happy to see you.

3. Always ask for a better deal. They’ve cut the sticker prices, but are they down to the bone yet? They may go lower to get the sale.

4. Can you get a better deal on the internet? Online dealers have been able to offer better deals by cutting their overheads. That still applies.

5. In car buying, it’s all negotiable. If the price won’t go any lower, what about some free accessories. Is there anything you’d like?

6. Most potential buyers will be weekend shoppers. If you can go in the week, you will get better attention. And it’s hard for them to negotiate tough when you are the only person on the lot.

7. Near to the end of the month, car dealers are trying to hit their sales quotas. They need you to buy now, not next week, so ask them to make it worth your while.

8. If you are not too knowledgeable about cars, can you take someone with you. A mechanic is good if you are buying a used car. And at least someone who is used to car dealer tactics.

9. Time is on your side. It’s your money you are spending. If you are not sure, leave it. The great deals won’t disappear, despite what the salesman will tell you.

10. Have fun with it. Buying a new car is exciting. Get behind the wheel and enjoy the feeling. That newness soon wears off. Take some test drives and make the most of the experience.

Keep these tips in mind and get the best deal on your new car.

Tags: auto dealer scams, auto dealers, automotive, car buying, car buying advice, car buying strategies, car buying tips, car dealer tricks, cars, More Saving, vehicles

Private Party Auto Loans

May 30, 2009 More Saving

A private party car loan is used to buy a vehicle from either an individual seller or from a dealership. This type of loan is sought by a used car buyer independent of the dealership. A private party loan is similar to a traditional auto loan you would get through a dealership but there are some differences.

Length Of The Loan

Dealership lenders typically offer loans of long terms, between 48 and 72 months. That is four to six years. On the other hand the typical private party auto loan is only 36 months.

Remember that the longer the loan term the more interest you end up paying over the course of the loan. Therefore, if you can afford to make higher monthly payments on a shorter loan term you will get the best deal.

Higher APR

On average interest rates are higher on private party loans compared to dealership loans. This may be misleading because private party loans accept people with lower credit scores but charge higher interest rates. If you have good credit you can usually find a rate that is comparable to what you could get through a dealer.

Get Approved Before You Buy

In general you go through the loan approval process before you start seriously shopping for a car. Instead of picking out a car and then applying for financing which is the common practice with dealership loans. The result is more flexibility and negotiating power when you are actually shopping.

Furthermore since all of the loan processing is done before committing to buy a car, buyers with less than perfect credit do not have to worry about finding the perfect car only to be told after the fact that they cannot actually afford it.

Private Sellers

Dealers have a lot of overhead, and those costs are passed down to the consumer whether you buy a used car or a new car. Unlike dealership loans where you can only buy from the dealer, private party loans can be arranged for person-to-person transactions as well. If you can get a great deal from a friend or Ebay then a private party auto loan might be exactly what you are looking for.

Tags: auto financing, Auto Loans, Buying A Car, Buying Cars, car, car buying tips, Car Financing, car loans, cars, loans, More Saving, private party auto loans, private party financing

Tips For Buying Your New Car For Less

May 29, 2009 More Saving

Tips for buying your new car and not letting emotion get the better of you. It’s exciting sitting behind the wheel of those gleaming new models. The problem is that it is normally the dealer in the driving seat when you come to work out the deal. You have to be prepared.

You probably did some research, in magazines or online, before going out to look at the real thing. You will have made a realistic assessment of what sort of car you really need and what you can afford. You head out boldly with your goal in mind. But then you see the gleaming paintwork and smell the leather and …!

The salesman senses a kill. He has picked up on what you would really like and he’s going to make sure that you get it. He’ll convince you that the amazing deal he can get you puts it in your price range. But you’ll have to buy today.

He’ll have you sitting in a car that you hadn’t planned on or at least make some of the accessories and extras seem essential. With his great finance rate and the deal he can offer on servicing, it all seems amazingly affordable.

As you leave the lot, you are feeling pretty good. That’s because you don’t realise how you have followed the dealers carefully constructed plan. Each step gives him the chance to take more money out of your pocket.

The dealer has a playbook of pressure tactics and psychological tricks that are designed to get you to buy now and at the maximum profit for him. They range from subtle, to not so subtle, to downright dirty. And he’s an expert in deploying them.

A good tip for buying your new car is, don’t. You have to prepare your own strategy before you go to the dealer. Know what models would suit your needs and budget. Set limits that you won’t go beyond. It’s a major purchase and worth some effort to get right.

You have to go in with the proper mindset so that you won’t be swayed by emotion. It’s your money and it is up to you, when and where you spend it. Practice saying to yourself, “I can walk away”. There are lots of car dealers and lots of deals. If you don’t like the first one, there is always another one. The salesman is under pressure to get the deal signed. You are not, despite what he would have you believe.

If you feel under pressure, tell the dealer that you are going to buy, but not necessarily now and from him. Take back control and then ask for a better deal. There may be unadvertised offers. I got a salesman to check on this and saved $700!

Tags: auto, auto buing tips, auto buying, auto leasing, car buying, car buying advice, car buying guide, car buying tips, car leasing, More Saving, new car buying tips, Shopping, vehicle leasing

Does Your Car Buying Strategy Save You Money?

May 28, 2009 More Saving

Do you have a car buying strategy? Why would I ask that question? Because if you dont you could be getting taken for a ride. You can bet that the auto dealer will have his strategy planned, down to the last dot and comma. From the moment he sees you, he knows the path he wants to lead you down.

You need your own end goal in mind. The dealers focus is reaching his monthly sales quota. He wants the maximum profit from each customer. He’ll want you to take the options and extras.

The dealers offers on finance and servicing may sound attractive but they could work out better for him than for you. That is why you need to know what alternatives are available before you go to buy.

The next part of your car buying strategy is to know when to look. New models are released between August and November. Just before then is your chance to get the current model at a discount. The dealer needs to get old stock off his hands.

The end of the month is good because they will be trying to hit that quota. The pressure is on them to get you to buy now rather than later. Use that to your advantage. If they see that you are ready to leave, it might encourage them to improve the deal.

On weekdays, there are fewer shoppers around. The dealer will be more anxious to make the sale. If you are the only potential customer, he doesn’t want you to walk out. You can always do that if you don’t like the offer.

Buying a car is a major financial commitment. You dont have to do it today. It is easy to be seduced by the shiny paint job and that new car smell. And the dealer will have used every trick in his playbook to take advantage of that. He will want you to believe that if you want this car, its got to be now. Thats not true.

If you are not sure about the car or any aspect of the deal, or you are feeling under pressure, walk away. It is much easier to do that if you have prepared in advance. You will be able to get the same model, at an equal or better price, next week or the week after.

With your car buying strategy in place, you can take away the dealers advantage. Things are tight these days and you need to be sure you are getting the right car for you at the best price.

Tags: auto buying, auto buying guide, auto buying tips, auto leasing, autos, car buying, car buying guide, car buying strategy, car buying tips, car leasing, Family, More Saving, Shopping, vehicle leasing

Top 5 Reasons To Buy A Used Car

May 25, 2009 More Saving

If you are thinking about buying a new vehicle here are 5 of the most compelling reasons to buy a used car rather than a new car.

1. Used Cars Cost Less

Used cars are far cheaper than new cars. The most important function of a car is to get you from point A to point B so why pay more for something that will essentially do the same thing.

2. Used Cars Hold Their Value Better

A car, used or new, will depreciate the older it is and the more it is used. However the minute you drive a new car of the lot it loses a significant portion of its value. This means if you go to sell your new car you will have already lost thousands of dollars. On the other hand, if you buy used, when you go to sell your car you will be able to get most of what you paid for it back.

3. Used Cars Are Environmentally Friendly

Hybrids are huge right now, partly because they are perceived as being eco-friendly, however the carbon footprint of building a Prius is so large that if you bought a huge gas guzzling Ford-150 truck used and drove it around for 4 years you would still have a smaller carbon footprint than the guy you who bought the new Prius. Its a lot like recycling.

4. Used Car Owners Pay Lower Insurance Premiums

By virtue of the cars total value being lower than a new vehicle, used car owners pay lower insurance premiums on their used cars.

5. Replace Broken Parts With OEM Parts

If you buy a used car older than 5 years, especially for popular models, there is a whole industry devoted to creating cheaper replacement parts for your cars. In many cases these the exact same parts that were used in the new car but do not carry car-makers logo. This is because the car-makers outsource the manufacturing of the parts to smaller companies and their contracts typically prohibit them from undercutting the car-maker in the first 5 years. So you benefit when you go to get your car service because you can buy replacement parts without the hefty mark-up

Tags: Car Advice, car buying advice, car buying tips, cars, More Saving, pre-owned cars, trucks, used car auctions, used car tips, used cars, vehicles

Dont buy/shop for car w/o this ex-car salesman expose of dealer sneaky tactics

May 12, 2009 More Saving

In the past, the horse trader was always regarded with deep suspicion. And just why was this?

Well, this is the man who would buy a lame horse and know how to fix it …. temporarily. He would then sell it as a sound animal and take the money and quickly disappear. The horse, poor equine, would soon become lame again and the buyer would be stuck with an unusable animal.

The Car Dealer is the generic inheritor of the horse trader reputation, of course.

These folks know how to trick you in so many ways that it will make your head swim and your eyes water. You may even, if you are so inclined, swear a great oath at them. But, that will undoubtedly be much too late. You will already have purchased the car.

Now, not every dealer is this slippery and willing to do anything (almost) for a buck. But, those kind are out there in great numbers. How can you protect yourself from these wily, unscrupulous, into-your-wallet Car Dealers?

Well, there is a way to protect yourself. It is called Knowing the Tricks Yourself.

So, what are these mysterious, underhanded tricks? Well, there are about 14 of them which might be labeled as majors. They are listed here in plain words to help you with your automobile purchasing efforts.

1. Why “hiding your trade” until negotiating your new car is completely wrong - How the dealer can still pump profits right back into your deal (and with a vengeance). He will be happy to get back at you, secretly.

2. How can you get the best financing rate that you qualify for? Dealerships usually up your true financing rate by 2-3 points. Find out how to get them working for you not against you.

3. The easiest way to get the most for your trade from a dealership - This alone can save $2000 or more when you’re dealing with a trade-in.

4. How the “no hassle pricing” system works, and how it sets you up to pay even more money - The price of the new car is only a tiny piece of the puzzle. See the other angles the dealer works in to re-coup the lost profits . . . and then some.

5. Save up to 56% on your new car accessories - This simple method can add up to fast savings, while still getting manufacturer-quality accessories.

6. The truth about leases - See exactly how leases are calculated, and how their fancy terminology allows for even more profits to be packed in right under your nose.

7. Do you like those pre-paid service coupons? You will think again after reading this . . . Know what’s really going on with pre-paid maintenance plans.

8. The persuasion tactics they’ll use to push you onto colors, features, and sometimes even a whole different car that you normally wouldn’t want. Know how to spot and overcome their influence tactics to push you onto things you aren’t interested in.

9. How dealers stack the numbers to hide the true deal, leaving you comparing apples to oranges as you comparison shop. Discover how to see which dealer is really making you the best offer.

10. The absolute best day of the month to buy a car - Knowing this can save you thousands, even taking you well below invoice.

11. How the “end of model year sale” is burying you in your new purchase - buyer beware!

12. “Tires For Life,” dealer-only “Lifetime Warranties,” and many other common ploys. What’s really in it for the car dealer? Find out here.

13. What is a “documentation fee” (doc fee) really? And, what you can do about it. Don’t take the dealer at their word - check this out, first.

14. What they mean when they say they’ll “pay off your trade” . . . Watch out for this tactic. It can create a cycle of becoming “upside down” in your car purchases for years to come.

You can be in total Control of your Car Purchase. If you know what the dealer is about to do, you can anticipate it. Then, make your counter move or maybe just say NO.

For Instance “Just knowing how to get the best deal on accessories may save you a bundle ( #5 above). Plus all the 13 others

Tags: 14 car buying tips, auto buying, automobile buying, Buy Car, buy new car, car buying advice, car buying negotiating tips, car buying secrets, car buying tips, Car Shopping, More Saving

5 Reasons Why Used Cars Are A Better Value Compared To New Cars

May 8, 2009 More Saving

If you’re looking at buying a new car, you might want to reconsider. Here are five excellent reasons to buy used.

1. Used Cars Cost Less

Used Cars are much cheaper than their newer counterparts. And not simply because they are older, a 2009 used car will cost thousands less than a new 2009 car.

2. Used Cars Hold Their Value Better

If you buy a used car today and sell it in a year you will most likely be able to sell it for nearly what you paid for it. On the other hand if you by a new car and sell it in a year you will be out thousands of dollars.

3. Used Cars Are Greener

Whether you get a new Prius or a new Hummer you have to take into account the carbon footprint of making the vehicle. On the other hand if you buy used you are carbon-neutral.

4. Used Car Owners Pay Lower Insurance Premiums

Insurance premiums are lower on used cars because the full value of the car is often lower. Which means that regardless of what your driving history looks like, you will save a considerable amount on your insurance buying a used car compared to a new car.

5. Availability Of OEM Parts

If you buy a used car older than 5 years, especially for popular models, there is a whole industry devoted to creating cheaper replacement parts for your cars. In many cases these the exact same parts that were used in the new car but do not carry car-makers logo. This is because the car-makers outsource the manufacturing of the parts to smaller companies and their contracts typically prohibit them from undercutting the car-maker in the first 5 years. So you benefit when you go to get your car service because you can buy replacement parts without the hefty mark-up

Tags: Car Advice, car buying advice, car buying tips, cars, More Saving, pre-owned cars, trucks, used car auctions, used car tips, used cars, vehicles

How to Effectively Buy a Used Car from a Salesperson

Mar 8, 2009 More Saving

Buying a used car at a dealership is a daunting task, but you shouldn’t ever go unprepared to the place. You should know and have information on you that will help you get a great deal on your used car and make sure that the dealer is giving you a good deal fro the price that you are paying them.

When you enter into the parking lot or showroom at a used car dealers, the salespeople will be eager to sell a car to you before you leave, the amount of sales that they make in a month will help them build on their commission and payout. They will want to negotiate well with you and be able to sell a car to you that is within budget and nearly maxes it out. They will use quite a few of the well-known tactics that you should be aware of, and you should use against them when you go to buy your used car from them.

Any individual who works in sales will drive people to purchase products and services that they didnt necessarily want in order to meet targets. Therefore, identifying that you actually need a car for something, and are not just browsing, will influence their dealings with you in a unique way. You should also be highly aware that when you step into their office, they dont try and persuade you into buying something that you dont really need.

When you are on route to the dealership you should already have a clear indication of the amount of money that you want to spend on the used car that you want. This will then mean that the salesperson will be forced into working within your budget and getting you a great outcome.

You shouldnt be in a state where you havent made up your mind when you get to the showroom, as this is a good tactic that the salesperson can work on, meaning it will be more favorable for them to make your mind up for you and increase the amount of both time and cost you are willing to spend at the showroom. This may result in you purchasing a car that you didnt really want to buy or didnt like at first, but they will allow you to like the car by using certain key phrases and tactics, and allow you to place yourself in the car. Having the ability to resist these high pressure tactics and persuasion techniques, you will be able to throw the person off guard and clinch a deal that works in your favor ” that will be the car you want and be the right price within the budget that you have set.

Having the information about the different types of model and colour of car that you have done previously and the prices that the cars are worth and sell for will be beneficial to you when you visit the showroom and want to make a purchase of the used car you see. Having this knowledge will put you at an advantage when talking through the deal with the dealer as you will be able to negotiate with them confidently. If you don’t do the research though how will you be able to confidently negotiate with them and argue that their price is too over priced and how will you know if you are being ripped off? The internet is full of interesting sites that have a whole host of different information on cars and their worth - looking at the age of a car and the condition it is in, as well as how the wear and tear has taken its toil on the car. You should also be able to look at the different prices of cars at showrooms close to you and compare the different prices of the same model at different dealers - you will be surprised at the amount that they differ from one another.

So that you will be in a good position when you are talking through the deal with a salesperson at the used car dealers, you will need to also be aware of negotiation skills too. You will need to have these developed as the information will be good on its own but if you do not know how to talk to salespeople then you may not get a good deal in the end. You will also need to have some confidence when making your points about the deal. You will need to be able to stand out from the crowd and the salesperson recognize that you are going to be a good person to deal with. You will then be able to talk through with them and get to a point where you both have a sound deal and have the outcome that you want.

After all, when you are talking and dealing with a car salesperson, you are dealing with someone trying to do their job, but you should identify that they will want to increase their sales yield with a sale to you and also improve their commission paid each month. If you are firm when you are buying your used car, then they will respect that you want to complete the deal as much as you and negotiate with you until it is closed.

Tags: autos, car buying tips, cars, Cheap Used Cars, finance, first used car, how to buy a car, management, More Saving, trucks, used car buying tips, used cars, Vans