How not to buy a car

Before you go, we thought you'd like these...
Before you go close icon
Check out the video below for the results of a Dateline investigation into one car dealer's slimy sales practices. Here are 2 tips for how to avoid getting taken at the car lot based on the clip:

Don't negotiate based on payments: When you're buying a car, keep your eye on the total amount that you're paying, not the monthly payment. If you can't get super low-interest financing, consider paying for a car in cash. If you can't afford to pay cash for a car, you have to wonder whether you're buying more car than you can afford. The young lady in the video thought she was getting a good deal when she negotiated a lower payment but the dealer extended the terms of the loan by 12 months, meaning she was paying thousands more for the car when she thought she had been a shrewd negotiator.

Don't lie on your loan application:
This one seems obvious but it's pretty common. First, lying on a loan application is a felony in some cases. Second, exaggerating your income to qualify for a bigger loan is a great way to get yourself in over your head. So don't lie. Watch the video for a good cautionary tale.

Read Full Story

Sign up for Breaking News by AOL to get the latest breaking news alerts and updates delivered straight to your inbox.

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners