How to

How to purchase a car

Buying a new or used car, whether it's a first-time purchase or not, can seem like a exhausting/stressful/difficult task. You've probably seen your share of car commercials on TV and recall hearing phrases like "down payment" and "APR." Although some of the terminology may seem confusing, once you break it down, buying a car is pretty straightforward. There is certainly a lot of information you need to understand before you run off to your local dealership.

Lets Begin:

Step 1: Decide on the right car for you. This may mean not getting what you want, but more what you need. Research the Consumers Reports Buying Guide or check out their free guide to used car buying. Highly rated cars command premium prices. A lower rated car can be a great if you can put up with a design flaw or two.

Step 2: Read up on the make and model you are considering. Peruse consumer reviews, compare Kelley Blue Book values, and conduct vehicle history reports with VIN numbers.

Step 3: Use an online calculator to figure out payments. Don't dwell on a price just yet; consider how long you will keep the car, what an affordable payment is for your budget and how much you can put down.

Step 4: Determine what you can pay. When you attempt to buy a used car, you need to consider what (if any) down payment you can make, how much you can afford for monthly payments, and how much insurance premiums are going to cost you on your used car purchase.

Step 5: Establish financing options. Banks are typically willing to offer financing on a used car. However, some banks refuse to finance a used car that is six years old or older. If your bank will work with you on financing, this may be the wisest decision..

Step 6: Ask a lot of questions. Get as much history as possible of the vehicle. Run your own CarFax and Autocheck reports. Make sure to obtain the vehicle identification number ("VIN") off of the car you are inclined to check out with CarFax, Autocheck, or any other...