Issues to consider Make and model of car Options you want vs. need New or used Dealerships you wish to patronize Private sale

Make and Model of Car Determine the type of car you are interested in purchasing Size Consideration –Small –Medium –Large –2 or 4 door model –Sports car

Options Air conditioning Automatic transmission Power windows Engine size Sun roof Other

New or Used Used Advantages - Disadvantages –L–Less expensive –T–Tend to depreciate less –M–May sacrifice new technology –N–Not certain properly maintained –F–Finance rate

Where to buy a Car Car Dealership Private Sale

Car Dealership Generally charge more than other sources Tend to sell only better used cars Many will give a limited warranty

Private Sale Eliminates the Middle Man Usually no warranty Buyer must secure: –Own financing –Paperwork to transfer ownership

Financing the Car To determine the maximum car loan allowed, your total monthly installment debt cannot exceed 20% of your take home pay. Estimate the maximum monthly payment you are permitted. This is a maximum, not a minimum.

Sources of Financing Banks Credit Unions Automobile manufacturer financing Find the interest rate on buying a new or used car.

Give a profile of the type of car you are looking to buy. Keep in mind the cost must be realistic. Assignment