How To Avoid Car Dealer Rip-Offs & Scams - How to Buy a New Car, Used Car, Car Leasing, Car Financing, Auto Warranties & More! - Spilling the Beans on the Car Dealers!
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The "payoff" is the amount of money remaining on YOUR car loan! This is money that YOU owe! The car dealer doesn't owe it! You do!
So, when you trade in your vehicle, the "payoff" balance must be paid off, or the bank will not release your title to the car dealer you're trading to!
Read more. . .

Dealers often advertise "Program Cars" in their ads. "Program Cars" are usually advertised as "Smart Cars," or "Factory Official Cars" or "Factory Demo's." They are usually one or two year old vehicles with 30,000 miles or less on them. Read more...

Now understand this: Even if the car dealership sells you a vehicle at dealer cost or "invoice," they are still making money!
The factory gives them what is called "holdback" on each new vehicle sold. On a vehicle that stickers for $30,000 the "holdback" could be as much as $800 to $900!
Now, don't get too excited just yet!

How The Car Dealership's Selling System Manipulates You Into Buying a Car "TODAY!"

By Tony Iorio

Most car dealerships train their salespeople in a "Selling System" that is designed to lead you - the customer - through the selling process in such a manner that you don't realize that you are being manipulated and led down the "Yellow Brick Road" to the sale!

Their professional team - which includes the Salesperson, the Sales Manager, the Finance Manager, the Used Car Manager and often a Floor Manager who is the "Closer" - go to work on you, using a professionally designed selling system in which they are all well trained and rehearsed.

You're not up against just a Car Salesperson! When you walk into a well run, professionally organized dealership, you're up against a whole team of pros who go through their act numerous times a day!

So beware, and get prepared before you ever step foot into a car dealership!

This system takes on different variations. For Example, the "Ten-Step," the "Eight-Step," the "Four-Square" and so forth, but the end result is always the same; To get you to make an emotional buying decision right on the spot.

Basically, the salesperson will greet you, try to put you at ease with some small talk, and then try to find out what you're looking for.

The salesperson will ask you if you're trading, if you owe money on your trade, if you're financing the new car, what kind of monthly payment you want, how much money you can put down, and who the decision makers are.

He or she will try to get as much personal information from you as possible, certainly your name, address and phone number. This is so they can follow-up with you if you leave without buying. Or more accurately, bombard you with phone calls in order to get you back in to buy. Car Sales Managers have a saying for this situation, "Keep calling them until they buy or die!"

The salesperson may ask for your Social Security number. Don't give it to him or her! He or she wants to run a credit report to make sure you are credit worthy and can buy. If they find out you have credit problems they will blow you off, or T.O. (turn-over) you to the Special Finance person (if that particular dealership has one) who handles people with credit problems.

In any event, your credit report contains a great deal of personal information, and you don't want the Salesperson, the Sales Manager and the Finance Manager in the dealership reading it!

Once the salesperson has all this information he or she will try to get you landed on a car or truck. They will go to great lengths to get you to test drive it.

If the salesperson can't get you to test drive the vehicle that you are considering, he or she is going to get an earful from the Sales Manager! There are some Sales Managers who won't let the salesperson begin negotiating price until you take a test drive!

They want you in the car. They want your senses stimulated. They want you emotionally involved with the car! Their theory is that the more emotionally involved you get the easier you will be to close, and the more money they can make on you.

The salesperson may ask you something like "If we can get together on price will you buy the car today?" Once you signal that you are willing to make a deal "today," the salesperson and the manager will pull out all the stops to close the deal with you.

If you are financing they will try to close you on a payment. This is bad for you, and good for them, because you have no clue what the selling price is.

If you have a trade they will offer you peanuts for it, and then very grudgingly increase their offer as you fight for every penny.

Understand that every move they make is calculated and deliberate. They have all the angles covered, and they're going to come at you with every trick in their arsenal.

The good news is that you Can Turn the Tables on Them. Here are a few tips to remember:

  1. Always research the car or truck you are interested in before you step foot on the car lot. You can easily do this by going to New Car Price Quotes! Not only can you get free price quotes, but you can research invoice price, models, equipment and so forth.

  2. When it comes time to negotiate price don't negotiate payment. Always negotiate the selling price of the vehicle.

  3. Don't tell them you have a trade until after you have negotiated a firm selling price. Then negotiate the trade-in price separately. Go to The Used Car Guide for more insight into how to deal with a trade.

  4. Arrange your own financing ahead of time. If you let the dealer arrange financing for you it will cost you dearly. For more information on this subject go to Car Finance Tips!

  5. Consider purchasing your next vehicle right over the Internet. You can save yourself money, time and a lot of aggravation. Click Here to Get Free New Car Price Quotes from a variety of sources, then either purchase right online or use the quotes to strengthen your negotiating position.

  6. ....And Please Remember....There is no 3 day right of cancellation when buying or leasing a vehicle! I've lost count of all the people who have e-mailed me about this. Once you buy the car it's yours!

The bottom line is Be Prepared when you go to a car dealer, so you don't get caught up in their "Selling Trap!" You can get all the information you need to beat the car dealers at their own game right here on this web site!

One more point just to be fair; Not all car dealers adhere to such a strict selling system. Some give their salespeople a little more latitude when dealing with customers. Nevertheless, even if the dealership itself is not that organized, an experienced salesperson knows that if you leave without buying a car he may never see you again.

The reality is that a customer will go from dealer to dealer until they run into a salesperson who will take control of the sales process and sell them a car. So, even if the dealership has a loose system, a good salesperson will look at the customer like a dog looking at a juicy pork chop!

When I was selling there were countless times when after the sale was complete the customer would say with a sense of bewilderment "I had absolutely no intention of buying a car today!" If you find yourself saying that after buying a car rest assured that you've been victimized by a car dealer's selling system!

Prepare yourself by following the tips on this web site so that you are the one taking control of the buying process. Then have some fun, buy the car of your choice, and be secure in the fact that you are getting a fair deal and not just needlessly lining the pockets of the car dealers and the salespeople.

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