Buying a new car can be like walking through a mine field if you are not knowledgeable on the subject. Firstly, there is all the technical jargon to understand, and even when a deal is made you still have the car finance to sort out. Car finance is usually done through one of several sources, two of the main ones being the car dealership where the car was purchased and a bank or credit union.
When financing a new car through a dealership, the rep will be working on commission so he will not necessarily be trying to sort out the best possible deal for you. The rep will try to get you to add clauses to the deal that you may or may not need, such as extended warranties, undercoating or an alarm system
As these extras are often where the dealer makes the most commission it is always good to do an internet search and find the best deals beforehand. Make a print out and show it to the finance officer (after he has made an offer) and ask if he can match it. More often than not he will do his level best to help you.
Getting your car finance through a bank or credit union can be a good idea as they usually offer competitive rates, a personal service and do not tend to give a sales pitch for extras. They can also give advice on how much you should be paying for a car and their loans often come with free life and/or disability insurance.
Though they are not quite as convenient as getting financing from a dealership as it cannot be done in the evening or on weekends, getting your finance from a bank is overall more advisable.
