Are you shopping for a new car? Hitting one car lot after another can start off exciting, but eventually wind into an exhausting search for something that fits your budget. Maybe you know the exact model you want, or maybe you’ve started browsing just to see what’s out there. Either way, when it comes time to sign papers, you need to try a negotiation tactic before settling on the terms offered at face value.
Many shoppers don’t realize that they can negotiate a car loan, even on a new car. Some dealerships will leave a bit of wiggle room for the bargain-hunters who walk in ready to ask for better terms on their offer, but some others (the honest type) will give you the best terms right out of the gate. Either way, it’s worth asking: “Is there anyway you can get this interest rate lowered?” or “Can you knock any money off the list price of the vehicle?”
Sometimes just asking is all it takes. Your salesman is well-versed in negotiation skills, so don’t be afraid to ask. After all, they didn’t set the interest rate (the bank did) and they didn’t set the list price either (the manufacturer did). Don’t be afraid to try and save a bit of cash, especially if you truly can’t afford what they are offering. If you can’t accept the terms as is, ask for a potential discount before you reject it all together.
Above all, while you’re car searching, remember the features that matter most (i.e., put gas mileage over a leather interior, no matter how great it looks).