You need to understand that 9 times out of 10 times the salesperson is not really out to help you save money as he/she says they are. The more money you save is less money they make for their dealership and less they make on Friday’s check. Which is ok, it is their job, but you can help yourself with a little information obtained Used Cars Sales Tactics Revealed Chevrolet Colorado Z71 Eau Galle WI 54737 before you start negotiating on that next used car.

Working the Numbers

As you sit in the car salesman’s office talking about the used vehicle you are wanting to purchase, the salesman looks at you and says “Let me work the numbers.” but what does that mean really?

Salespeople will “work the numbers” on a four square worksheet as you and them negotiate a deal. This worksheet Chevrolet Colorado Z71 Eau Galle WI 54737 is broken down to cover everything from car loan payments to your trade in.

This only helps the salesperson and finance manager or sales manager figure out how much THEY will make off of you in this deal. Not how much they can save you.

As the name suggests, the sheet is divided into four large squares:

  • Trade-in: How much the dealership will credit you for Television – An Overview Chevrolet Colorado Z71 Eau Galle WI 54737 your trade-in. This figure is credited toward your purchase of a new or used vehicle. But don’t be surprised if they are nowhere close to what you think your trade-in is worth. They are giving you a price that they can make a profit on later.
  • Purchase price of the dealer’s car: This is the asking price of the car. Often a car salesman Chevrolet Colorado Z71 Eau Galle WI 54737 will write the price of the car, then write “plus fees,” which in most cases are sales tax, title and licensing fees.
  • Down payment: Do you have cash you are willing to pay up front for the used car?
  • Monthly payments: What is your maximum monthly auto loan payment that you are willing to make? Car salespeople try to get the customer to focus Chevrolet Colorado Z71 Eau Galle WI 54737 on this figure since it most directly affects a buyer’s budget.

This sales tactic is practiced all over the country in any car dealership you come a crossed. As you can see the four parts of the sales deal worksheet are very closely connected.

Let me give you an example.

EX.

You the customer is worried about having a high monthly auto loan payment so to make Chevrolet Colorado Z71 Eau Galle WI 54737 the numbers work to their advantage the salesperson will lower the monthly payment and in turn lower the trade-in value of your car.

Now you are more satisfied with your monthly payment and the dealer is still making the same amount because they can now sell your trade-in for more money later. Granted it may take them a little more work but they have a Chevrolet Colorado Z71 Eau Galle WI 54737 ton more room to make the deal happen later on.

Avoiding the sales trap

Do yourself a favor before going onto a used car lot, hit up some of the online car sales sites like Autotrader, or Edmunds and really see what your car is worth. Try to sell it to someone before you go look at another car on a lot. You will get quite Chevrolet Colorado Z71 Eau Galle WI 54737 a bit more for the car than you would if you traded in that car on the one sitting on a used car lot.

Also have your auto loan financing already worked out with your local bank or credit union, go in knowing what you are able to spend a month. Having these two parts of the “four square” already off the table, you put Chevrolet Colorado Z71 Eau Galle WI 54737 yourself in a much better place when negotiating the price of the pre owned vehicle you want to purchase.

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