Former Dealership Employee Shares Secrets The Dealer’s Don’t Want You To Know About Financing A Car
Buying a car can be pretty intimidating, especially with all of the tricks dealers have up their sleeve to pad how much you end up paying for one.
People who know nothing about cars (like myself!) can be convinced of all different types of deals and upgrades, only to find out later they’ve been swindled!
Luckily for us, this user @usedcarbuyingwithmeg, is using her experience in the Automotive Industry to teach us everything the dealer finance office doesn’t want us to know!
Meg starts by giving us her credentials: 17 years in the auto industry, ranging from sales, retail, management, to service. You go, Meg!
She goes on to say she now buys used cars all day every day, and she’s here to tell us all the secrets the finance managers don’t want us to know.
First, she says they will mark up your interest rate by 2%, which is actually entirely negotiable.
Next she says they will offer you products you don’t need, or at least can find much cheaper somewhere else.
The first of these is Gap Insurance, the difference between what the car is worth and what you owe on a car, which she admits is essential to financing.
The trick, however, is that you don’t need to pay for it at the dealership, where they will charge you interest on the loan.
She suggests getting your Gap Insurance through the same company you buy full coverage insurance.
Next is the Vehicle Service Contract, which she describes as your prepayment for oil changes and tire rotations.
Again, this is something Meg shares you will pay interest on, and these contracts rely on manufacturer recommendations for oil changes, something she doesn’t trust too heavily.
While most manufacturer’s reccomend an oil change after 7,500-10,000 miles, she says she would never go more than 5,000 without a change!
Meg then moves on to the Extended Warranty, which she emphasizes you do not have to buy at the time you buy the car!
She says you can walk into any dealership and buy an extended warranty at any time, so you can shop around for the best deal for your warranty!
She also stresses that you don’t have to pay for it all at once, and the dealership can just auto-draft payments every month from your account.
Finally, she warns potential buyers to stay away from tire and wheel packages!
She says it only costs 150-200 dollars to fix a wheel, and most tires have roadside hazard warranty on them anyway.
She says the only exception to this last warning is if you’re leasing your vehicle.
Thank God for Meg and her sharing the wisdom, I’m sure most of us wouldn’t have the first idea about any of these packages!
Check out the video!
@usedcarbuyingwithmeg Dealership finance office secrets. Everything they don’t want you to know about the finance office at the dealership. #saveonyournextcar #usedcardealer #carbuyingtips #usedcarbuying
Tiktok rushed to Meg’s comments with all kinds of questions for her.
This user wanted advice for buying cars as a woman.
And this commenter said Meg’s advice came too late, as she almost got scammed at a dealership!
And this commenter asked the question on all of our minds, are they really going back to “talk with their boss?”
Check out Meg’s account for some more great auto advice, and remember her warnings when its time for you to look for a new car!
Don’t get scammed people!
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