How to Avoid Scams when Concerning Canada Car Loans

November 23, 2014, 9:20 pm
How to Avoid Scams when Concerning Canada Car Loans

Let's get something straight right away. Those in the car business are not out to be your friend. They are out to make money. All they can care about is the money. Don't think for one second that you are their new best friend. When it comes to Canada car loans, the seller will use every trick in the book. It's in your best interest to not get deceived. In keeping with this train of thought, here are a few suggestions to help you out.

1)Don't shop based on the monthly payments. You will shoot yourself in the foot every time. Always shop based on the basis of the loan. Car dealers want you to shop based on the month. This way they can overcharge you and make more money. This is what they are in business for.

2) You can get the payments down by extending the loan period. If you ask to have an extension, they will work with you. However, they will not bring it up to you. You have to be the one to approach them.

3) Which brings me to my next point. With much of this inside information, you have to approach the dealer or seller. They are not in the business of disclosing information. Why? They don't make money that way. They want to make money. As mentioned, they will wait for sucker and then pounce. Don't get caught in this trap. Come armed and prepared to expect anything. The only way to win is to walk in without fear. Once you disclose your own vulnerability, they have you.

4) Always look over the details of the contract and extras. Dealers will put extras in there. They do this without your knowledge. Then they overcharge you for these extras. If you aren't paying attention, you won't pick up on it. If you notice something a bit odd, bring it to their attention. If you don't mention it to them, they assume they have gotten away with it.

5) Look over your credit score before you go. Know your credit history inside and out. Dealers have a way of lying about this information. They do this so they can charge you more money. That's why knowing this information is vital. Too many consumers have gotten caught in this very dangerous trap.

6) If a dealer offers a 60 month car loan, think it over very carefully. You might think you are getting a good deal, but you may not be. Look over all the details first. Mention anything that seems suspicious. Many times the dealer will sneak things in, knowing the consumer rarely reads over the fine print. This is mistake number one. Don't let this happen to you.

Buying a new or used car can be an exciting experience. However, with Canada car loans you need to be cautious. Know all your options going in. Always be smarter then the dealer and know when to call the dealer's bluff.