Car Dealers HATE When YOU KNOW THESE 3 THINGS

Hello, my name is Ray shfa. I sold cars for 43 years, managed

dealers

hips, did the whole nine yards and today I'm here with Car Edge to help educate and inform you to become an empowered buyer on how to best save money. You're trying to buy your next car, okay, today friends, I want to talk to you about the

things

that we need and

when

I say we, I mean you and me, but really, mainly you, what you need to focus on in dealing with his car. Okay, we talk about it all the time and it's really one of the most important

things

we're going to talk about and that's the retail price.

What does that mean? The retail price is the total of the vehicle, including everything. tariffs, all the taxes, all the dealer nonsense, everything you told them, Jimmy, I'm going to write you a check, what size should that check be okay and that's the starting price? Jimmy will tell you Ray, I need a check for $53.87218, at which point I'll probably say Jimmy, you're crazy, work at a discount, work at a discount on negotiable rates and get the starting price, the other thing you want what you need to focus on is your commercial ACV ACV means actual cash value, not commercial allocation, actual cash value like if I said to you Jimmy, I want to sell you my car, how much will you write me a check for that car?

That's the actual cash value. Now how do we determine the actual cash value? They will ask your appraiser to look at the car. It will take into consideration how cars like that have performed in the past. What are you going to do to maximize value? your car, you're going to go to car edge.com and you're going to hit the sell button, you're going to enter the information into our widget, all the information that you ask for, and you're going to get competitive offers from third-party outlets as to what I would write you that check for then You can use that information and take that information to the dealer to negotiate a stronger actual cash value for your trade-in now that the actual cash value will be subtracted from the starting price and your door price will drop by the amount of that value in cash plus any tax savings.

The third thing you need to focus on is the finance and insurance process, the fni process,

when

you go in to sign all the final documents you'll need. to find out what the annual percentage rate is the annual percentage rate of the loan you are going to ask for well, can you share with me? Would you share with me what the purchase rate is? and you're looking at me and you're going to say Ray, what? is the purchase rate, this is an indirect loan, the dealer is arranging the loan for you, they get a rate from the bank so they can buy the money, and they can increase that rate for you, let's say they get a rate of 5.79% and I tell you it's 7.79%, the buying rate is 579, the selling rate is 779, that's a two point spread, they make a profit on that two point spread, so you have to ask what the buying rate versus selling rate, so you want to

know

how much. you're paying more for the money and you can tell them, I don't want you to sell it above the bid rate, but they'll probably sell it to you because you can't walk into the bank and get that R, they can because well, I don't

know

, they originate.

Many more loans than you are about to get now. The next thing you want to know is if you want to know about the cost of the products offered. They will offer you all kinds of products. While some might have value to you, like the tire and rim program or dents and dings, they'll just want to include it in your payment and won't really want to reveal to you what each one costs. One of those things is that you want to get a breakdown, you want to know how much they are charging you to understand how it affects your monthly payment and why it works the way you want to really have a firm grip on the term, one of the ways that

dealers

hips do To make vehicles affordable, since most people are aware of the payments, they extend the term to reduce the payment.

If you want to stay within 60, no more than 72 months, start at 84 months and 96 months. and it will be virtually impossible for you to build up equity in the vehicle and you want to know if there are any prepayment penalties and the reason you want to know that is well, let's say you win the lottery and you want to pay. the damn loan paid off early, are they going to charge you additional fees or interest for doing that? Most loans don't have a prepayment penalty, but you just want to make sure of that now before you do any of that. your credit union or your local bank and you'll get pre-approved for a car loan so you know what your rate should be, B what your term should be, and C how much money you can actually afford to pay each month, like this. , you'll avoid looking at a car that's too expensive, so get pre-approved for a car loan first to better understand what you'll need to pay for the car when you need it.

I hope you found some of this information useful today if you did and you want more videos like that tell my son and he will get me back to Washington DC so we can film more of these for you thank you very much