16 Things to Consider When Buying a New Car

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3. Show up to the Dealer with Financing Approved

Before walking into an auto dealership, having a pre-approved auto loan through one’s bank or credit union will place one in a position of power when negotiating the final price of the automobile. Most car dealers rely on making money from shoppers financing their purchase through the preferred bank or financing company of the dealership. Not only will one likely see a lower interest rate through their regular bank or credit union, but it is entirely possible that the dealership’s financing company will try to beat the interest rate of the pre-approved loan the consumer walks in to the dealership with. This also gives the shopper the chance to compare rates across different financing companies resulting in the lowest possible car payment each month.