Top 5 Myths Of Buying From A Car Dealership

Autoplex Alberta
Gripping Gears Blog
Top 5 Myths Of Buying From A Car Dealership
Autoplex Alberta

Top 5 Myths Of Buying From A Car Dealership

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Purchasing a new or used vehicle can be a long process with many unknown factors to consider, especially when unfamiliar with the market. Autoplex Alberta uses their expertises to assist clients in finding the right vehicle that best fits their lifestyle, finances and daily needs. When buying a car there are many myths and misconceptions that hesitates clients from confidently purchasing.

Myth #1: You need to accept the deal on the spot or lose the deal. 

Depending on the type of vehicle that you are interested in buying, such as a vehicle that is in high demand or low in supply. It doesn’t matter if a deal is accepted immediately. Having this mindset allows you to think through the options given by the dealership and make the right decision. Autoplex Alberta utilizes their services and expertises to guide their customers in deciding on the right vehicle and payment options for them. This allows Autoplex Alberta to set a deal that best fits the clients needs while allowing them to take the opportunity to think it through. 

IMPORTANT NOTE! As stated above, vehicles that are in low supply and high in demand are difficult to keep on the lot. It is important to do your research on the vehicle, speak with an Autoplex Alberta representative, and understand the market you are currently in before it is no longer available. Placing a 100% refundable deposit when buying a vehicle is a great way to show your commitment to purchasing, while also taking the time to review your options with the dealership. Autoplex Alberta will ensure clients always get their hands on vehicles by taking care of needed arrangements while creating the best deal for you in a timely manner. 

Myth #2: If you have bad credit, it will be impossible to buy a new vehicle. 

Credit score is an important factor when purchasing a new vehicle, however, individuals with less-than-perfect credit can still purchase a new car too. To learn more about purchasing a vehicle with less-than-perfect credit check out our previous post blog post (How To Finance A Car With Less-Than-Perfect Credit). There are other factors that dealerships look over when assisting new customers in purchasing a new vehicle. For instance, your individual income (with no minimum income requirement) is a factor used to help applicants get approved for financing a vehicle. Individuals with bad credit can use this factor along with a deposit or trade to boost their application. If you have bad credit, Autoplex Alberta has financing options with low and affordable auto payments which is a great way of rebuilding your credit. However, it is important to keep realistic expectations for your vehicle options if financing with bad or no credit. Another option is to consider using a cosigner, such as a friend or family member that can share responsibility and boost your auto loan application. There are ranging factors to consider when purchasing a new or used vehicle that can help applicants that have bad credit. It is not impossible for individuals with bad credit to purchase a new vehicle. 

Myth #3: Used cars are considered risky and less safe. 

Used cars are a great option to get a vehicle without breaking the wallet. The condition of used vehicles depends on the history, the previous owners experiences and upkeep of the vehicle. However, used cars that are in-near or perfect condition can be a better opportunity to get a great deal on a practically new vehicle. Autoplex Alberta only offers great condition vehicles that have passed the Alberta Motor Vehicle Council (AMVIC) governed Mechanical Fitness Assessment (MFA). Never buy a vehicle without an inspection, Autoplex Alberta will make sure of that. This allows you (the car buyer) to know exactly what vehicle you are buying today, and be assured your vehicle is safe to drive on the roads. Following this strategy eliminates any fears of used cars being considered risky or unsafe to drive. 

Inquiry about the Carfax when buying your vehicle! Every vehicle (with some slight exceptions) will always have a carfax that can be purchased and accessed to reveal the vehicle history report. At Autoplex Alberta all customers are provided Carfax reports on any and all vehicles, which are 100% free upon request! It’s one of the added benefits of purchasing at a dealership like Autoplex Alberta. The Carfax report will reveal a car's maintenance history, accident and theft reports, recalls, and if there are any existing liens (outstanding unpaid loans). By following this strategy this eliminates any fears regarding unknown vehicle history and you can feel confident in your purchase. 

Myth #4: Warranties are always scams. 

Extended Car Warranty is offered at most dealerships or 3rd parties and can be purchased anytime as an additional bi-product to a vehicle purchase. Depending on the warranties being considered and by choosing only credible institutions they can be a useful addition when purchasing a used vehicle. Autoplex Alberta works with only the best and most credible warranty providers to ensure customers are purchasing the best value and coverage. If you are interested in the warranties that Autoplex Alberta offers, Check out the Extended Manufacturing Warranty we currently offer.

Why should you consider purchasing extended warranty coverage? As previously mentioned, buying a used vehicle poses some risks. Although most risks to buying used vehicles can be avoided through proper purchasing strategies. As nobody can predict the future. It is always possible that a perfect condition vehicle and auto parts could wear-out faster under a new driver and road conditions. Therefore, auto warranty is your security in case any issues occur in the future. Different warranty packages and prices will be available based on vehicle year and mileage, therefore, it’s important to talk with your sales representative to see what coverage you can get.

What to be careful of when purchasing extended auto warranty. Firstly, your vehicle may still have manufacturing warranty so in this case, you do not need to buy extended warranty. It is important to research your vehicle to see if given its year, mileage and history if it still qualifies for original manufacturing warranty. If so, some or all options may be avoided with the extended warranty and you can save some money. Secondly, read the fine print of your warranty policy and features; Not all packages are the same. Address coverage features that are important for you with your sales representative, and make sure they are included in your package.

Myth #5: It’s better to finance through a bank than a dealership. 

There are some aspects to consider, yet ultimately the answer is that there is no better option between deciding to finance through a bank or dealership. Why? Because financing with a dealership is financing with a bank. All car dealerships that offer financing payment options have banks signed as credit providers for their customers. The array of available banks for auto loans will be different at each dealership you visit. Banks are very selective with who they choose to work with. Thankfully, at Autoplex Alberta choosing the bank to finance you for your purchase is simple as we work with all Major Canadian banks. If you would like to Finance a Vehicle with your own specific bank, Autoplex Alberta will be happy to assist you with your application and documentation for approval. However, depending on your credit and financial situation (bad or no credit), alternative lenders may actually be a better option for you. It is important to speak with your finance representative regarding the best option for you because your own bank may not always be the best option.

Some dealerships offer in-house financing. In such cases the dealership is not utilizing a bank as a credit provider, but instead, the dealership is the sole provider of credit for the auto loan. Only certain institutions are allowed to provide such payment options, however, it can be beneficial to car buyers who have previously struggled to get approved. While most banks have strict approval requirements, in-house financing can be much more lenient for you. However, in most cases an in-house finance will carry larger interest. Therefore, financing with a bank is a better financial alternative.

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