Helpful Tips to Car Buying

Do not discuss financing with the dealer.
The best strategy is to get pre-approved for a car loan at Idahy before you shop. That gives you the ability to negotiate a "cash" price with the dealer and to take advantage of any manufacturer rebates or other dealer incentives. If you get low financing rates from a dealer, it will probably increase the price tag on the car you are looking to buy.

Be an informed shopper.
Save hundreds of dollars by researching in advance the value of the car you want to buy and also the value of your trade in. Idahy’s loan specialists would be happy to assist you in determining those values.


Bargain up, not down.
For new car purchases, it’s important to know what the dealer paid for the car (invoice). That way, you can begin your price negotiations from the invoice price and bargain up instead of starting with the sticker price and trying to negotiate the price down. If the car you want is in tight supply, you may have to pay the full sticker price. Otherwise 4% to 8% over the invoice price for popular models is reasonable. Beware of “extras” the dealer may try to get you to buy, such as rust proofing--they are generally overpriced or worthless. Do not discuss financing with the dealer. The best strategy is to get pre-approved for a car loan with the financial institution of your choice before you shop. That gives you the ability to negotiate a “cash” price with the dealer and to take advantage of any manufacturer rebates or other dealer incentives. If you use low financing rates from a dealer, it will probably increase the price tag on the car you are looking at.

Trading in your old vehicle?
Make sure you know what your vehicle is worth before you shop for a new car. Contact Idahy for values of used cars or look up the value yourself using our convenient links to NADA and Kelly Blue Book. If possible, try to sell the vehicle yourself. If trading is your only option, don’t even mention a trade-in until after you have negotiated the price for your new car.

Extended Warranties can be a great way to protect you from high repair bills after the manufacturer's warranty expires. Be sure you compare the coverages and prices with what the dealer offers before you buy. Idahy's AutoCare Program often provides more coverage at up to 50% off the cost of many other extended warranty packages.

Be patient.
Shop around—check with more than one dealer or private party. Sleep on it rather than buying impulsively. That impulsive purchase could cost you hundreds (if not thousands) of dollars. Did you know you will probably be able to negotiate a better price with a salesman at the dealership if you wait until the last couple of days in the month?

Dealers have several profit centers. When the dealer offers low financing, they often are usually making up for that cost in another area. Some of those areas might include: purchase price, add-ons, mark-ups or trade-in price.

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