Follow These Strategies to Get the Best Deal on a New Car

If you’re like most car buyers, you’re probably wondering how you can purchase the best possible car without breaking the bank. With the practical strategies below, you may find you can afford more car than you initially thought. Don’t compromise on quality to save money. Instead, learn what steps to take to get the best deal and drive off in a car you love.

Strategies such as doing market research, getting pre-approved for financing, and securing the best auto loan rates in Wisconsin can help you maximize your budget. You’ll be empowered to tick all the boxes on your new-vehicle wish list without spending more than you can afford.

Keep reading to discover practical tips you can implement today.

Conduct Thorough Market Research

One of the first steps in securing the best deal is researching the specific vehicles you’re interested in, their price points, and which dealerships offer the best deals.

Start by clearly defining what you need in a vehicle. Are you looking for an economy car that will save you money on commutes, or do you need something more utilitarian for hauling large loads or safely navigating rough terrain? Do you need a compact car for inner-city driving or a roomy SUV for carpooling? Or are you finally upgrading to a luxury car with all the bells and whistles?

Knowing what you need will help guide you to the right car. It will also help you set an appropriate budget. Which cars are valued at higher price points and which ones are budget-friendly? Research what features fall within a particular price range so you know which to prioritize and which ones you can settle without if necessary. When looking for a deal, carefully research which makes and models offer more features as a part of their basic packages. This can save you money since you don’t have to spend extra on upgrades.

You should also research which dealerships offer the best deals on new cars. Look at promotions, sales, and special discounts. When you are ready to test drive a vehicle, you will know where to go for the best deal.

Set a Clear Budget

Once you’ve determined what type of vehicle best accommodates your lifestyle, set a realistic budget. What can you comfortably afford to pay each month on your auto loan? Your budget should include the cost of the vehicle as well as maintenance and repair expenses. Narrow down your vehicle choices while staying within your budget.

It’s wise to avoid looking at options that stretch your budget. Instead, stay on track by exploring options within your desired price point. Knowing your budget will also safeguard you from salespersons talking you into upgrades you don’t need so they can make their commission.

Time the Purchase

Car prices can differ dramatically depending on the time of year you buy. If you can wait to purchase your next car until November or December, you may be able to snag a better deal because manufacturers will be attempting to clear out the previous year’s vehicles in anticipation of debuting next year’s models. As a result, there is often a dramatic reduction in car prices toward the end of the year and sometimes into January and February as well, depending on inventory.

Obtain the Best Auto Loan Rates

Perhaps the most effective strategy for securing a deal on a new car is locking in the best auto loan rates Wisconsin has to offer. How can you obtain great rates for greater savings? The key is shopping around for the financial institution with the best available rates.

You can obtain auto loans through several different types of lenders. The three most common are dealerships, banks, and credit unions. Though dealerships will try to entice you to finance directly with them, they don’t always have the best deals. Dealerships trade savings for convenience. The biggest advantage is being able to test drive and finance your car all in one stop. However, you may pay more for this convenience. Dealerships offer special deals, but some deals may be designed to incur profit for the dealer at the expense of the customer.

For better rates, auto finance through your local credit union. Since credit unions are not-for-profit and member-owned, they invest their profits back into the institutions themselves. This means credit unions can offer lower rates than other financial institutions such as banks. They don’t have to turn a profit to satisfy shareholders or make commissions. Become a member and unlock lower interest rates and fees with added benefits for members. Joining a credit union is easy!

Capital Credit Union offers expert guidance on auto loans with low rates and low monthly payments. Find the right vehicle for your lifestyle, and we’ll help you get exceptional rates on your auto loan. Get moving with added perks such as:

• First-Time Auto Buyer Program
• Guaranteed Asset Protection (GAP)
• Mechanical Breakdown Protection
• Debt Protection
• Insurance designed for credit union members

Qualify for Pre-Approved Financing

Another great strategy is to get pre-approved with your lender before you even head to the dealership. Pre-approval can tell you how much money you are eligible to borrow and at what interest rate. This can help you choose a realistic vehicle for your budget.

Auto loan pre-approval also gives you negotiating power. Your pre-approval letter shows the dealer you’re a serious buyer and what your buying power is so you can negotiate a better final car price.

Ready to start your car-buying journey? The Capital Credit Union Car Finder is your one-stop shop for finding the best deals on cars, financing, and more. And if you’re already working with a dealership, be sure to ask if they work with Capital CU. We provide indirect lending options with some of the best auto loan rates in Wisconsin.