There are a number of pitfalls a buyer can trip into when purchasing a vehicle. Many of these mistakes can be avoided by simply arming yourself with knowledge. We are not suggesting that every dealer out there is attempting to rip you off, nor are you trying to pull one over on them. Their job is to up-sell and move product to customers. A sound understanding of the processes they are working from and the options you have available can potentially save you thousands.

Many consumers and dealers will focus on the monthly payments. A common method is to suggest such additions as electronics or leather seats for “only another $40 a month”. That $40 a month does not look like much in that context, but it can add thousands to the total of the vehicle. Stay focused on the total price of the vehicle as opposed to the monthly payments.

No car buyer should walk onto a dealer’s lot without researching financing options ahead of time. Many places will provide in-house financing that is generally backed by another financial institution. They make the loan out and get reimbursed. Their interest rates may not be the best available specifically for you. Head over to your bank and find out what kind of loan you can get with your specific credit rating. Armed with that knowledge, you will be able to choose a means of financing that is best for you, not the dealer.

Quite a few consumers dread the negotiating process that comes along with buying a car. Though there are dealerships that offer a fair sticker price to help remove this obstacle, there are others continuing with the traditional method. If you walk onto the lot with no preparation you will only have the sticker price to work from. Instead, familiarize yourself with the vehicle’s other financial information.

Look up information such as the manufacturer’s suggested retail price (MSRP) and the invoice price. The invoice price will be how much the dealer actually paid for each vehicle. Direct-to-dealer incentives, dealer holdbacks (a percentage refunded to the dealer on the invoice price), and consumer rebates can all affect what you have to work with.

The end goal of using that information should be to get yourself a great deal while still allowing the dealer a decent profit on the sale of the vehicle. Operating with the understanding that the dealer needs to profit to stay afloat will allow you to negotiate without the dealer digging their heels in.

Many people have unique and even sentimental relationships with their car; they often name them, pamper them, and we all place trust in our cars that it will get us to our desired destination. So, it should come as little surprise that many vehicle owners have trouble realizing when it is time to put their car in the garage for good or trade up to a newer model. While the truth may be difficult to face, there comes a time in every car owner’s life when they must part ways with their beloved older car and replace it with something newer and more reliable.

If your car is older than 12-14 years, it may be time to start considering buying a newer model vehicle. There are of course exceptions to this rule, like if you own a completely reconditioned 1969 Pontiac GTO. In essence, if you have a classic car or one that has been immaculately reconditioned that is not a daily driver then having an older car is fine, however, if you have a 1995 Honda Civic hatchback with the original engine and clutch then getting a new vehicle should be a top priority.

Repairing older cars can often be a waste of money. Unless you are a mechanic yourself and do not mind spending the time to frequently work on an older car, a trip to a certified technician can easily cost more than your old clunker is worth. This is especially true if your car needs engine, transmission, or electrical work; all of which can be costly to repair.

While older, high mileage automobiles can be unreliable and costly because of numerous repairs, they also cause much more pollution than newer cars. There were much fewer pollution and emission regulations when older cars were built and anything older than 1996 likely produces much more pollution and smog than anything on the market in the last decade.

Before older model cars have major mechanical issues there is often a “silence before the storm”. What this means that if the only time your car has been to a mechanic lately is to get an oil change and everything seems to be working fine, a major problem could be lurking in the shadows. Many drivers are lulled to sleep when their older car does well for a lengthy period of time and the owner may believe that their car is different from all the rest and it was well taken care of so major issues will not affect their car. The fact is that all cars will have mechanical issues if they are driven long enough.

Avoiding an annoying breakdown or costly repairs is possible if you can see the warning signs and retire your older model car in favor of a newer one. So, if you are the proud owner of an older model car and you believe that your vehicle will not have mechanical problems, then please do not be too proud to ask for a ride when your trusty old car bites the dust.

Buying a car twenty years ago was much different than it is today; in fact there have been many changes in the automobile industry in the last five years. Electric cars, federal bailouts, and astronomical fuel prices are some of the changes that have affected the automobile industry in the last several years but the exponential growth of the internet and its users have influenced the car buying business the most.

Buying and selling cars has become much more convenient with the use of the internet and other digital technology. In the past, consumers searching for a car to buy had to physically go to each car dealership or individual seller to look at a vehicle before a purchase. In contrast, the digital age allows consumers to easily view thousands of vehicles all over the country just by using the Internet. Since the Internet has become more pervasive, many car dealerships have adopted new policies specifically regarding car buying and selling on the internet. Even more dealerships now have employees whose jobs focus solely on internet sales.

Many cars in the United States are sold without the buyer and seller ever meeting in person and without the buyer test driving the car. While it may seem crazy for consumers to purchase a car without a test drive, many cars sold today can be returned more easily if the buyer decides after receiving the car that it is not suitable. Websites often auction cars online and others allow individual sellers to post information, photos, and buying terms in an easily accessible online format.

The digital age has also given rise to a new phenomenon in the automobile industry that uses social networking to drive sales. Automakers and car dealerships have found a new way to connect with their customers by being a member on social media websites Facebook, MySpace, and Twitter. Consumers can become “fans” of the dealership or car brand as well as “follow” their profiles for information regarding discounts, promotions, relevant news, and other important information. Buyers often feel more connected with dealerships with the use of social media, which can produce financial gain for sellers as well as a sense of security for buyers.

Advances in technology have completely transformed the entire automobile industry, especially how vehicles are bought and sold. The internet and social media have created new business opportunities for consumers and sellers, increased overall convenience, and decreased operation and advertising costs for the industry. While these changes are mostly positive, it is important to understand that face to face interaction and relationship building cannot truly be substituted with the Internet and technology should be used as a supplemental tool for buying and selling cars.

Have you ever been having a conversation with someone and things seem to be going great but then it seems as if there has been a sudden shift in attitude and the conversation goes downhill? You may think to yourself later about what went wrong but be dumbfounded as to why the conversation ended on a sour note. There is a good possibility that you may have offended your communication partner by displaying a nonverbal message that he or she interpreted in a negative way.

Nonverbal communication consists of messages other than spoken or written ones that people give meaning to. This includes almost any nonverbal action, even if people have no intention of sending nonverbal messages. For example, let’s imagine a scenario where a spouse asks their partner, “Is meatloaf OK for dinner?” Even if the other partner says “Sure, meatloaf is fine.” if they crinkle their nose up while they say it and make a disgusted expression they are sending a message that meatloaf was not going to be their first choice for dinner despite what they said.

This same principle applies to the business of buying and selling cars and your nonverbal cues have more importance in sealing the deal than many people might believe. While no one can be a flawless interpreter of what all nonverbal messages mean, there are ways to hone interpretation skills. If you are in the market for a new car try to pay close attention to the salesperson’s nonverbal messages.

For example, if the salesperson has trouble keeping eye contact with you during a conversation, they may not be telling the whole truth about something regarding the car or cars you are interested in. Other signs of being dishonest include keeping their hands in their pockets for long periods of time, looking away when answering a question, and even slouching or bad posture can scream “I’m a liar” without actually saying a word.

If you are buying or selling a car be sure to keep your emotions at bay. If you are selling a car and someone makes an offer that is more than you thought you could get out of the deal nonverbal messages like a raised eyebrow or a smirk may tell the buyer that they are overpaying because you are so excited about their offer and they may back out of the deal. Buying a car is much the same way, showing nonverbal messages about how excited you are about a car can tell the dealer or sales staff that you like the car enough to pay more than you should. This could make negotiation difficult if the seller knows that you are in love with the vehicle.

If you can learn to pick up on other people’s nonverbal messages and interpret them accurately, you may be able to navigate life in a better and unique way including getting a better deal the next time you buy or sell a car and that would be a big thumbs up!