The Single Best Way To Save Cash On A New Car: Stir the Competition

We all know competition breeds lower prices but how can you use the internet to get the most out of your next new car purchase?

First you need to be aware of what is out there. Cars.com, AutoTrader, KBB, Edmunds, Manufacturer sites, Dealer sites - it can all be a little overwhelming.

When it comes to getting a great deal, kick out the Manufacturer sites. They provide a great starting point but do little for negotiation other than pointing you to your local dealer.

The Dealer sites are a hodge-podge collection of designs whose goal is to get you on the lot. After all, Dealers excel at selling face-to-face and there are very valid reasons why the buying public has such negative connotations of their local car dealer.

And then there are the "Informational" sites. Some of these provide actual inventory, some contain dealer advertisements. Yet they all provide access to pricing and allow you to "Get a Quote."

But there is a very real drawback to these sites - they are working an angle that is not necessarily in the consumer’s best interest. In addition to advertising revenue, they make their money selling consumer contact information to large numbers of dealers.

Under this model, the dealers can then contact you to “Give" you a quote.

Sounds good, right? Not when you really think about it.

Many of these dealers begin to send you voluminous emails and repeatedly call you (even when you indicate email is your preference). The goal of their online strategy is exactly the same as their more traditional radio & television advertising - THEY WANT TO GET YOU ON THE LOT!

And while there are some dealers who will actually give you a quote via email, these are far more the exception than the rule.

BUT EVEN THEN, you can still bet that the quote they give you is not their best offer.

Does this strategy sound good now?

Enter the newest way to shop for your next new car - AutoBidsOnline.com. AutoBids simplifies the negotiation process and works in the best interest of both the consumer and the dealer.

“How can they do that?”, you might ask.

First you have to look at it from the dealers’ perspective. For the last several years, dealers’ internet departments have been flooded with the online quote requests described above. Yet many of these requests are from nothing more than online tire-kickers or even 10 year old kids fooling around on the net. At best, dealers can only expect to make a deal with 8-9% of all online quote requests. Most are in the 2-3% range.

Imagine you are a car salesman whose livlihood depends on closing these type of leads. It's pretty troubling. And none of this is setting well with dealers who are struggling just to stay afloat. In fact, there is a growing trend of dealers dropping third-party internet leads altogether.

Now take a look at the AutoBids model from the consumer’s perspective. Unlike the other "Informational" sites, AutoBidsOnline charges its members a nominal one-time fee to keep their data private. Instead of "Getting a Quote," AutoBids members can "Set Their Price."

Dealers can then either accept the bid as-is, make a counter-offer or suggest another vehicle that may better fit the consumer’s needs. Either way, the dealer knows the consumer is a serious buyer and can be confident he stands a good chance of making a deal.

As you can now see, AutoBidsOnline greatly simplifies the car buying process. It creates a competitive environment that leads to a great deal for the consumer. And while the dealer may lose a slight amount of margin, his people are more productive, he has a much happier customer and he is free to turn his attention to the more profitable aspects of his business.

Lease Your Way Out Of Debt

It amazes me how so-called educated and informed writers still cannot see the forest for the trees.

I read yet another article in today's Dallas Morning News talking about how "many auto finance companies stopped offering (leasing)."

While this is true, you can still lease almost every new vehicle on the market and most pre-owneds three years old or less. That's right. You can lease pre-owned vehicles too!

In today's tightening economy, many are looking to free up cash to keep up with monthly bills. And while shunning your car payment completely makes sense for some, it is simply not practical for many.

So if you are going to have a car payment, why not look at a lease? Here is just one example:

A $30,000 new Altima with a 2.9% APR will cost you $662.70 per month. Compared to a similarly priced used car at 7.0% and its $718.38 payment, this is seemingly a no-brainer.

However, when you look at a 3 year lease, your payment of $513.32 is 23% less.

If you are the kind of driver who is always trading your car before you pay it off, you should really look at a lease.

Use the savings to pay down your higher-interest debt and enjoy a new car every three years to boot.

Now THAT is a no-brainer!

NOTES: For more information on great lease deals, look to our friends at D&M Leasing (www.dmautoleasing.com). Based in Texas, they lease hundreds of vehicles a month to customers throughout the US.

The Best Time Ever?

Quick question: Is now the right time to buy a car?

On this, 2009’s tax day, the national economy is a mess and most question the logic of making a major purchase.

Yet now might very well be the best time ever to buy a new car – IF you can obtain financing.

Most analysts are pointing to the fact there are fabulous deals in this buyer's market. So long as you know where to look and you have a reasonably good and steady financial set up, you can find a great deal on just about anything you want.

The volatility of gas prices and the struggling economy have caused sales to fall and they have fallen faster than automakers have been able to cut production. The result is that dealers are left with burgeoning inventory and they are quite eager to sell.

Estimates for new vehicle sales are still way off compared to recent history. This is noted as the worst rate since World War II but it has a very positive side as well.

In the current market, most anyone can find what they want with a bit of patience. Dealers lots are overflowing with vehicles they’ve been floor-planning for 100’s of days. In fact, the only type of vehicles they are likely to run out of any time soon are pickups and large SUVs which were shunned so quickly in the face of $4 / gallon gasoline.

Certainly, GM and Chrysler are facing financial difficulties serious enough to threaten their very existence. Ford and the others are not far behind. However, you can still find a good deal on a car that will retain its value for many years, allowing you to make a successful sale or trade-in when you decide to get your next new car. You should also look at leasing which will eliminate this risk altogether.

You can make the most of the current climate with AutoBidsOnline.com. Select your vehicle down to the last option and name your price. Dealers who are hungry to make additional sales will compete for your businesss.

By reaching out to dealers through AutoBidsOnline, you dramatically minimize the legwork involved in the deal process and dramatically decrease the risks you face as a potential car buyer.

With AutoBidsOnline, you make it easier for dealers to come to you with the best offers, eliminating the need to reveal personal information.

If you need a new car, there are many reasons to buy now.. Make the most of a true buyer’s market by finding great deals at AutoBidsOnline.

The Best New Cars In 2009 And 2010

Some of the best new cars and trucks are listed below to give you an idea of what to look out for if you are considering buying a new car in 2009.

These vehicles are either completely new, completely redesigned, or significantly changed to stand out in the current market. If you are seriously considering a new car, those listed here might well rank among your top choices.

Acura
2009 Acura RL
2009 Acura RL
2009 Acura TL
2009 Acura TSX

Audi
2009 Audi A4
2009 Audi Q7
2009 Audi TT

Bentley
2009 Bentley Brooklands

BMW
2009 BMW 3 Series
2009 BMW X5

Cadillac
2009 Cadillac Escalade Hybrid
2009 Cadillac CTS-V

Chevrolet
2009 Chevrolet Corvette
2009 Chevrolet Traverse

Dodge
2009 Dodge Challenger
2009 Dodge Journey
2009 Dodge Ram Pickup 1500
2009 Dodge Durango

Ford
2009 Ford Flex
2009 Ford F-150
2010 Ford Fusion Hybrid
2010 Ford Mustang
2009 Ford Taurus

Honda
2009 Honda Fit
2009 Honda Pilot
2010 Honda Insight

HUMMER
2009 Hummer H3T

Hyundai
2009 Hyundai Genesis
2009 Hyundai Sonata

Infiniti
2009 Infiniti FX35
2009 Infiniti FX50

Jaguar
2009 Jaguar XF

Kia
2009 Kia Borrego

Lincoln
2009 Lincoln MKS

Mazda
2009 Mazda 6

Mitsubishi
2009 Mitsubishi Lancer

Nissan
2009 Nissan GT-R
2009 Nissan Maxima
2009 Nissan Murano

Pontiac
2009 Pontiac G8
2009 Pontiac Solstice
2009 Pontiac Vibe

Porsche
2009 Porsche 911

Subaru
2009 Subaru Forester

Toyota
2009 Toyota Corolla
2009 Toyota Matrix
2009 Toyota Venza
2009 Toyota Yaris

Volkswagen
2009 Volkswagen Routan
2009 Volkswagen Tiguan
2009 Volkswagen CC

Volvo
2010 Volvo XC60

Spend some time at AutoBidsOnline.com and see if any of these cars meet your needs and wants. If you find a car you want, see if you can get pre-approved at a local bank or credit union and submit an anonymous “Buy Bid” to the ABOL Dealer Network.

Dealers will compete in a Reverse Auction to accept your bid ensuring you receive a timely response and the most competitive price possible.

How To Find The Best Car For You

Finding the right car can seem like quite a daunting process but it need not be. In reality, there are a few simple, quick, and easy steps to follow. Stick with them and you will end up with the best possible car for you and your money.

Step 1: Decide what kind of car you need. Start by examining your needs rather than your wants. Think about how you are going to use your car:

· How many people do you need to transport?
· What kind of driving do you need to do most often?
· How long is your commute?
· Manual or automatic transmission?
· Four-wheel or all-wheel drive?
· What safety features do you need and want?
· Do you need cargo-carrying capacity?
· Do you need to tow anything?
· Do you have a garage or parking area to fit your car?

Step 2: Determine how much you can afford and secure third-party financing. A good rule of thumb is your car payment should not exceed 20 percent of your monthly income.

Step 3: Seriously consider leasing! Keep in mind that a lease requires little or no money up front. It also offers lower monthly payments – most times as much as 40-50%! The obvious downside is that when the lease ends, you will not have a car at the end of it but if you trade your car every 3-5 years, this becomes a moot point. And yes, you can lease a pre-owned car too.

Step 4: Use the internet to research all vehicles in your desired class. There are numerous products and deals in each vehicle segment and designs, features and functions are changing at a rapid pace. Spend time online to compare them all and don’t give in to familiarity and frustration.

Step 5: Test drive if you like. Most people will not buy a car without test driving it first. However, this is not mandatory! You are already protected by Lemon Laws in most states and the quality and drivability of vehicles across the board are better than ever. Take advantage of online reviews and learn from others. Why spend your valuable time traveling to multiple dealerhsips only to endure “buy-it-now” pressure from each of them?

Step 6: Determine your vehicle’s options. Once you have selected your desired vehicle, take a good look at the option packages. Don’t settle for a vehicle that may have extraneous and unneeded options just because a dealer has it in inventory. Spend the time to find the EXACT car you are looking for!

Step 7: Use AutoBidsOnline.com to post the details of the car you want to buy and how much you are willing to pay for it. Let the dealers find the exact car you are looking for and really compete for your business.

Is This a Good Time To Buy a Car?

In the current economic climate, there is a lot of speculation about the logic of buying a new car. After all, the economy is considered to be so unstable it is doubtful whether there are any good deals out there. It’s also questionable whether anyone but the seriously wealthy can afford to sign off on a major purchase at this time.

The interesting truth, however, is that we are not being entirely honest about the real issue. We are all asking whether we can get a good deal on a new car when in fact we are mostly wondering whether we can find the means to purchase a car in an affordable way. If you cannot get approved for a good car loan, it can be extremely costly to buy a new car. That is, unless you are well prepared.

The best outcome for a new car purchase is of course approval for a car loan with favorable terms.

This is easier said than done because of the uncertain economic climate. Auto repossessions have increased by ten percent along with car loan delinquencies, which are also on the rise.

The good news is that the problems of the housing market, setting the trend for economic troubles, do not necessarily translate directly to car loans. The collapsing of the housing market has definitely caused problems in the automotive sector but several significant differences between home mortgages and automotive financing mean that the problems do not exactly correlate.

Perfect credit is still perfect credit when it comes to auto financing. Anyone with stellar credit should have little trouble getting approval.

Those with less than perfect credit may not be rejected entirely, but they will find themselves receiving a response that they will need to come up with more of a down payment.

It is particularly important to have a budget and know what you can afford. You also need to know your credit score, scrutinizing the details to ensure that everything is accurate.

One of the best ways to combat the changes to the market is to get pre-approved for a car loan through a bank or credit union even if dealership financing is something that you want to consider. Anything you can do to put yourself in a stronger negotiating position as a "cash buyer" will help you.

Although the credit market is reasonably tight and car sales are low, waned consumer confidence is not going to last. The economy is always cyclical and just like anything else, defined by ups and downs. Consumers are going to need to borrow more responsibly and live within their means but there are still some great car deals out there!

Navigating the Trade-In Process

When planning your next car purchase, take some extra time to evaluate the trade-in process. This is the Achilles’ Heel for many buyers as they neglect to take into account everything involved in the trade.

One key is staying focused. Do not be dazzled by your new car, or your dream of getting that new car. Think about your trade-in and do not let its significance disappear as you negotiate with the dealer. They are in business to make money – just make sure they don’t make it all on you!

First you should consider selling it yourself. This will most always yield a higher return. However, many of today’s new car buyers just don’t have the time, energy or desire to do this effectively.

If selling it outright is not for you, spend an hour to get an actual appraisal for your trade. If you have a local CarMax, take it in and get a guaranteed appraisal from them. It’s painless. In fact, their prices are often higher than BlackBook trade values or what your dealer may be willing to pay.

If you don’t have a CarMax nearby, check with your local bank or credit union. Many of these institutions will offer an appraisal if you ask.

Take these appraisals with you and use them in your dealer negotiation. Also be sure to spend the roughly $100 necessary to fully detail your vehicle. A clean car will always bring more money.

The next thing is to keep in mind that many trade-ins offer a high source of profit for a dealership – but certainly not all of them. Keep this in mind as you shop your trade-in. Not every dealer will offer the same price for a particular car. Some won’t give you the top dollar because they have other similar cars or no demand for the make and model in your local market.

Nevertheless, emphasize you expect full credit for your trade-in. Write down the figure before you begin negotiations and stick to it.

Lastly, you need to be realistic throughout the trade-in process. Be firm about the value for your trade but keep in mind the dealer costs of accepting your trade. They incur very real expenses as a result of this process. They will need to insure, inspect, repair, service and detail your car to make it ready for resale.

In addition, they are not only accepting the resale risk of your car, they are also risking a no-sale. If the dealer cannot sell your vehicle in roughly 45 days, he will incur transportation, additional detailing, and auction fees. All of these weigh heavily on the actual profit a dealer will make on your trade.

Knowing what your vehicle is worth going into the negotiation is certainly important. However, recognizing the dealer’s risk in the transaction will help ensure you get the best deal possible.