JOINT BASE ANDREWS, Md. –
When buying a new vehicle, servicemembers may run into several problems such as: receiving financing under different terms than those promised, inability to return vehicle for a full refund, not receiving a fair value for trade-ins and other complications or scams in vehicle sales. To best protect yourself, you should research to determine the approximate price and included features of the vehicles you are interested in before visiting the car dealership. Also, before buying a new vehicle, you should read any documents extremely carefully and ensure that you fully understand dealer's terms before signing them.
Here are some additional tips for avoiding some of the common pitfalls buyers encounter when purchasing a vehicle:
* Do not give a deposit for a vehicle until you receive the exact price and terms of the sale in writing. Otherwise, the dealer may change the price or add additional fees and you may have difficulty getting back your deposit.
* Make sure you research the value of your vehicle before trading it in to protect against a car dealership undervaluing your trade-in. Better yet, in order to maximize the value, sell your vehicle yourself to a private buyer.
* Obtain financing for your vehicle purchase from your bank. However, if you decide to receive financing from the car dealership, do not drive the new vehicle off the lot or give the dealer your trade-in vehicle until you receive loan approval and everything is finalized in writing. If you take the new vehicle home or give the dealer your trade-in before your loan is officially approved, the dealer may inform you a few days later that your loan was not approved and you may be required to accept financing at a much higher interest rate.
* Do not rely on any statements made by the car salesman unless they are in the written contract.
* Understand that there is no cooling off period or a three-day right to cancel for vehicle sales. Once you sign a contract to purchase a vehicle, you are bound by its terms.
* Negotiate the vehicle price-not the monthly payment.
* Read documents carefully. Look for hidden fees categorized as prep work or additional features which can often be completed at a much cheaper rate by you or a mechanic.
* Do a thorough inspection and test drive the vehicle, even if it is new.
* Research the car dealership before going in person. There are several websites where you can find customer reviews on particular dealerships.
Remember, buying a new vehicle is an important decision, one which should not be made lightly. Educate yourself before visiting the car dealership so that you can make a well-informed decision when purchasing a new vehicle.