by Chelsea Springli 
A lot of decision-making goes into buying a car, but you can spend less time on the lot by planning ahead. To help streamline your car buying experience, we’ve put together a list of a few key things you should know before buying your next car.
Do Your Homework
Feel confident when you arrive at the dealership by taking the time to plan for this big purchase. Look at your budget and decide how much of a monthly car payment you can afford. Your budget may be able to stretch to take on a bigger car payment, but can you still reach the other financial goals that are important to you? Don’t forget, getting a new car is about more than just the monthly payment, you also need to consider additional expenses like insurance, extended service contracts, and maintenance.
Research Financing Options
- Finance at the credit union. This is considered the best option for most car buyers, as it allows you to compare interest rates between lenders and go with a financial institution that you trust. Oftentimes, you can also get lower rates when you finance directly through a financial institution (like Alltru!). You’ll be able to walk into the dealership with the confidence that you are preapproved and can purchase the car you want with on the spot.
- Finance at the dealership. We know that many people would prefer to make one stop and finance their new car at the dealership. We get it! If that’s what works best for you then you are in luck because we also partner with many local St. Louis auto dealerships. All you have to do is ask for Alltru Credit Union when it’s time to work out your financing!
No matter whether you choose to finance with a credit union or at a dealership, you need to have your down payment ready. Make sure it’s in an accessible count to create a smooth experience.
Consider Insurance
You may know how much you can afford and the kind of car you want, but how much will the insurance cost? Connect with a car insurance company prior to purchase and evaluate how those costs will impact your budget. You can even give them the VIN number of the car to compare different trim levels of the same car. When I asked my insurance company for quotes on a couple different Ford cars with varying trim levels, The difference wouldn’t been hundreds of dollars a year! If the car you want to buy comes with high insurance premiums, it may impact your choice.
Question the Fees
Make sure you fully understand all of the costs that you are paying for when you buy a new car. Service warranties with free oil changes and simple repairs might sound great at the time, but run the numbers see if it makes sense for you. How much will small repairs on your car cost? It’s possible that the repairs may be cheaper than the extended warranty cost. Your lender may also offer a warranty package without the dealership fees. It’s worth the inquiry.
Don’t Feel Pressured
Be prepared to walk away. Car salespeople are paid commission, so the more expensive your purchase is, the more money they make. A car may look great online but then you get to the lot to look at your options and you’re not happy with the car for any of these reasons.
- You find blemishes in the paint that are just an eyesore.
- You get to the test drive a car and then realize you don’t like how it accelerates or brakes.
- Your spouse feels crammed in the backseat
- The dealership won’t negotiate the price down enough to fit your budget.
Whatever your reason. Don’t feel pressured to get into a car if it’s not right for you. Be patient and you’ll find the car you want in the price range that fits your budget. Your salesperson may even contact you in a couple days with a new deal or car with different features that fit your needs.
Get Ready To Buy a Car
You are on the right path! With just a little prep work, you’ll be on your way to having a great car buying experience. Before you visit the dealership, remember to budget how much you can really afford and research the auto loan options at your local credit union. Get quotes for the different cars you like to see how the costs fit in your budget. Remember you can push back on the fees at the dealership, even if it causes you to walk away for a few days. An car loan is a big commitment, so getting the best car with the best loan for the best price may take some time. Be patient, and don’t give up. You’ll be in your new ride before you know it. Happy car buying!
