Buying a car
Here's a checklist for buying a car, whether new or used, to help you make an informed decision
Buying a car
Here's a checklist for buying a car, whether new or used, to help you make an informed decision
Buying a car
Here's a checklist for buying a car, whether new or used, to help you make an informed decision
1
Assess Your Budget
- Set a realistic budget based on your financial situation. A common rule is to keep the monthly payment at or below 15% of your monthly take-home pay - Consider total cost: Include insurance, maintenance, registration, and fuel costs when setting your budget
1
Assess Your Budget
- Set a realistic budget based on your financial situation. A common rule is to keep the monthly payment at or below 15% of your monthly take-home pay - Consider total cost: Include insurance, maintenance, registration, and fuel costs when setting your budget
1
Assess Your Budget
- Set a realistic budget based on your financial situation. A common rule is to keep the monthly payment at or below 15% of your monthly take-home pay - Consider total cost: Include insurance, maintenance, registration, and fuel costs when setting your budget
2
Decide Between New or Used
- New Cars: Come with warranties and the latest features but depreciate quickly - Used Cars: More affordable upfront and often certified pre-owned vehicles have warranties, but could require more maintenance
2
Decide Between New or Used
- New Cars: Come with warranties and the latest features but depreciate quickly - Used Cars: More affordable upfront and often certified pre-owned vehicles have warranties, but could require more maintenance
2
Decide Between New or Used
- New Cars: Come with warranties and the latest features but depreciate quickly - Used Cars: More affordable upfront and often certified pre-owned vehicles have warranties, but could require more maintenance
3
Check Financing Options
There are two ways to buy a car: all cash or through financing (aka a loan). There are pros and cons to both, and it is your personal decision. If you choose financing, read more about that decision here.
3
Check Financing Options
There are two ways to buy a car: all cash or through financing (aka a loan). There are pros and cons to both, and it is your personal decision. If you choose financing, read more about that decision here.
3
Check Financing Options
There are two ways to buy a car: all cash or through financing (aka a loan). There are pros and cons to both, and it is your personal decision. If you choose financing, read more about that decision here.
4
Research the Right Car
Identify your needs: consider size, fuel efficiency, and purpose (e.g., commuting, family, off-roading). Read reviews and check reliability ratings from trusted sources like Kelley Blue Book (KBB), Consumer Reports, and J.D. Power
4
Research the Right Car
Identify your needs: consider size, fuel efficiency, and purpose (e.g., commuting, family, off-roading). Read reviews and check reliability ratings from trusted sources like Kelley Blue Book (KBB), Consumer Reports, and J.D. Power
4
Research the Right Car
Identify your needs: consider size, fuel efficiency, and purpose (e.g., commuting, family, off-roading). Read reviews and check reliability ratings from trusted sources like Kelley Blue Book (KBB), Consumer Reports, and J.D. Power
5
Check Car Value & History
Use tools like KBB, Edmunds, and NADA Guides to check the car's market value and services like Carfax or AutoCheck to review its history for accidents, repairs, and title status. Make sure there are no outstanding recalls.
5
Check Car Value & History
Use tools like KBB, Edmunds, and NADA Guides to check the car's market value and services like Carfax or AutoCheck to review its history for accidents, repairs, and title status. Make sure there are no outstanding recalls.
5
Check Car Value & History
Use tools like KBB, Edmunds, and NADA Guides to check the car's market value and services like Carfax or AutoCheck to review its history for accidents, repairs, and title status. Make sure there are no outstanding recalls.
6
Take a Test Drive
Test multiple cars to compare how they drive, how comfortable they are, and whether they meet your expectations. Pay attention to braking, steering, acceleration, and overall comfort
6
Take a Test Drive
Test multiple cars to compare how they drive, how comfortable they are, and whether they meet your expectations. Pay attention to braking, steering, acceleration, and overall comfort
6
Take a Test Drive
Test multiple cars to compare how they drive, how comfortable they are, and whether they meet your expectations. Pay attention to braking, steering, acceleration, and overall comfort
7
Inspect the Car (For Used Cars)
Try to see the car in person to inspect the car for any hidden problems, especially if you're buying from a private seller. Check the tire condition, brakes, battery, and look for any signs of rust or damage.
7
Inspect the Car (For Used Cars)
Try to see the car in person to inspect the car for any hidden problems, especially if you're buying from a private seller. Check the tire condition, brakes, battery, and look for any signs of rust or damage.
7
Inspect the Car (For Used Cars)
Try to see the car in person to inspect the car for any hidden problems, especially if you're buying from a private seller. Check the tire condition, brakes, battery, and look for any signs of rust or damage.
8
Negotiate the Price
Start with the research: Use the information you gathered from KBB or Edmunds to offer a fair price. Be ready to walk away: If the price doesn’t match your budget or expectations, don’t hesitate to leave.
8
Negotiate the Price
Start with the research: Use the information you gathered from KBB or Edmunds to offer a fair price. Be ready to walk away: If the price doesn’t match your budget or expectations, don’t hesitate to leave.
8
Negotiate the Price
Start with the research: Use the information you gathered from KBB or Edmunds to offer a fair price. Be ready to walk away: If the price doesn’t match your budget or expectations, don’t hesitate to leave.
9
Finalize the Deal
Review the contract: Before signing, make sure all agreed-upon details, such as price and financing terms, are correct. Check for additional fees.
9
Finalize the Deal
Review the contract: Before signing, make sure all agreed-upon details, such as price and financing terms, are correct. Check for additional fees.
9
Finalize the Deal
Review the contract: Before signing, make sure all agreed-upon details, such as price and financing terms, are correct. Check for additional fees.
10
Arrange for Insurance
Shop around for car insurance before driving the car off the lot. Some lenders or dealers require proof of insurance at the time of purchase.
10
Arrange for Insurance
Shop around for car insurance before driving the car off the lot. Some lenders or dealers require proof of insurance at the time of purchase.
10
Arrange for Insurance
Shop around for car insurance before driving the car off the lot. Some lenders or dealers require proof of insurance at the time of purchase.
11
Close the Deal and Take Delivery
Ensure all paperwork is complete: Title, bill of sale, and financing agreements (if applicable). Double-check the vehicle's features and accessories before driving away.
11
Close the Deal and Take Delivery
Ensure all paperwork is complete: Title, bill of sale, and financing agreements (if applicable). Double-check the vehicle's features and accessories before driving away.
11
Close the Deal and Take Delivery
Ensure all paperwork is complete: Title, bill of sale, and financing agreements (if applicable). Double-check the vehicle's features and accessories before driving away.