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You can avoid a common scam that dealerships pull. Advertisers and marketers are there to mess with your head so that they can make you buy things. It can lower your interest rates on your car loan. Dealerships and private sellers rarely mark the cars actual worth. Salesmen are trained not to take no for an answer, and many word games and phrases come into play in order for them to get you to close the deal. This may seem complicated but if your use a pre-designed spreadsheet from CarsDirect.


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An impulse buyer is just another word for victim. Based on the above calculations, the dealers real cost is ,922 (invoice) - 0 (incentive) - 7 (holdback) = ,957. If you are really determined to get a new car, then you should try selling your current car on your own. This is also called harassment.

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How to Avoid Car Refinance Scams

Purchasing a new car from the dealership leaves you open to dealership scams, but what about when you need to refinance your car loan?
Many of the scams are the same as you will encounter when buying a car.

Here are the best tips for avoiding any of the refinance scams that dealerships force you through.

Get your own credit score and bring it with you to the dealership

Dont pay a cash deposit for your financing loan because if the deal goes bad, you cant get your deposit back

Dont apply for a car loan until you have been employed for at least 6 months if you are a recent college graduate

Apply for your loan online so you can avoid getting ripped off

Learn to fix your credit before you apply for a loan. Get your credit score to at least 680 first.


Pay off your credit card debts before you look for a new car
If you have recently moved wait 6 months before applying for a loan. You addresses are always verified. If you move a lot, they will not trust that they can keep track of your whereabouts should you make late payments etc.

Having been approved for a loan in the past helps

Dont get a co-signer for your loan because often times you will find that the deal is solely in the other persons name