Did you know it’s possible to buy a car without ever setting foot inside a dealership?
Recently changes in laws and advances in technology mean it’s possible to buy a car online and have it delivered to your house. It’s great because you can choose exactly what car features you want, and you don’t have to haggle at the dealership about the warranty or resist high-pressure sales tactics.
But with a purchase this large — whether it’s a new car or a used car — it’s best to be cautious. Here are a few dos and don’ts to keep in mind when you start scrolling for your new ride.
Tip: Know your budget. No matter where or how you buy a car, you need to know your budget, both in terms of total purchase price and monthly payments, including any taxes and fees. You’ll also want to call your insurance company to get estimates before you bring your car home, because usually a car (even a used one) will make your insurance more expensive.
Tip: Get pre-approved. Once you know your budget, you should go ahead and get pre-approved for a car loan. Even if you’re buying online to avoid, getting your financing lined up in advance can save you money in the long run. Take the time to research lenders, find your best auto rate and get pre-approved. Of course, we encourage you to talk to CommonWealth One, where right now you can get a new car loan as low as 4.39% APR* or get a used car loan as low as 4.74% APR*. (Learn more here.)
Tip: Research your seller! There are some sellers out there, including dealerships, that are unscrupulous, and you don’t want to get caught up in a scam. This can be especially true if you’re buying a car from an individual through services like Facebook Marketplace or Craigslist. To protect yourself, you should take the following steps before you purchase a car:
- Get a vehicle history report using the car’s VIN. Make sure the VIN matches the car and the mileage on the odometer checks out and hasn’t been rolled back.
- Don’t send money to buy a car before you physically see the car in person and verify that it starts and runs properly.
- Ask an independent mechanic to check out the car for you before purchasing it.
We recommend that you start your online searching at cofcu.truecar.com. From there, you can find your car, lock in a price, get financing and buy with confidence.
Pros and Cons
Pro: You can browse a wider selection of vehicles. When you’re shopping online, you can browse through a wider selection than you could by spending hours visiting local dealerships. But if you stray too far out of your area, be prepared for delivery fees.
Con: What about a test drive? With some online car shopping experiences, a test drive isn’t in the cards. You may be able to request a test drive from a local dealership before you buy online. Or, you may be able to message your neighbors or reach out to your network to find someone with a similar car you can test drive.
Con: What about returns? You may not be able to see minor damage from online photos, like a scratch on the bumper or the tread on the tires. Before you commit, make sure you’ve read all the fine print about how to return your car if it’s not to your liking. Also, find out if you can get the car inspected by an independent mechanic before you buy it so you aren’t stuck with a lemon.
No matter where you are in your car-buying journey, the professionals here at CommonWealth One would be happy to talk to you about your budget and auto financing to help you get the ride you want this spring. It’s always easy to contact us through our website or online banking, or pick up the phone and give us a call. We’re here for you, for life, on whatever road you travel.
Happy car shopping!
