What to Know When Buying or Leasing a Car

Spring brings sunshine and flowers—the perfect weather for car shopping.  But before you head out to the auto lot it’s important to carefully consider these things:

Your needs:  full size or compact? room for kids or room for work tools? 

• The car you shop for should address your needs and the needs of your family or business.  Understanding your needs and being very clear about those needs can make your car shopping faster and easier.

Your budget:

• The ar market is filled with choices, so having a budget prepared before you start shopping lets you focus on the right cars with the right features.

Safety: 

• Safety testing is essential to protecting our streets and drivers.  The National Highway Traffic Safety Administration (NHTSA) and Insurance Institute for Highway Safety are two places where you can find information on a car’s safety rating, features, and any safety defects or recalls.

Title:

• When you are working to buy or lease a car be sure you are working with the car’s actual owner.  You can check an individual seller’s title with the Better Business Bureau and a dealer’s credibility with your local consumer affairs office.

Leasing: 

• If you are thinking about leasing a car, be sure to get all the lease information upfront, including details on wear and tear standards, yearly mileage limits, and manufacturer’s warranties.

Financing:

• Before you take a loan to finance your car, research your options.  Choosing the right type of financing, whether by direct lending or dealership financing, can significantly impact the price you end up paying. The Federal Trade Commission can help explain your options and understand finance fine print.