1. Car Buying & Financing Confidence Education that will save you time & money Brought to you by: Georgia United Credit Union

2. Who is Georgia United Credit Union? 100% member-owned and not-for-profit Founded by State Employees & Georgia Educators One of the largest & strongest credit unions in Georgia – 120,000+ members across Georgia – Together, we are $940+ million in assets – Deposits are insured by the NCUA up to $250,000 per account.

3. Todays Speaker: Tywone Thomas

4. We will cover: Financing – The Importance of Pre-approval Know market pricing Trading-in a vehicle Things to consider before you sign Car buying service Tips

5. Where do you start buying a car?

6. Financing Get pre-approved & know your budget before shopping. Dont leave yourself at the mercy of dealer financing.

7. Financing- Benefits of Pre-Approval You are prepared with a budget Wont have to worry about financing on-the- spot Quick approval online or in-person Pre-approval quote good for 60 days (from date is credit is run)

8. Financing – Dealer financing or rebate? PriceRebate Amt. Financed Interest rate term Monthly payment NO rebate and 0% Dealer Financing* $20,000$0$20,0000.00% 60 months $333 Dealer rebate and financing through Credit Union* $20,000$3,000$17,0001.99%60 months $298 Dealer Financing Vs. Rebate offer? EXAMPLE*: The dealer offers a $3,000 rebate off the purchase price or 0% financing with approved credit. *Example only. Actual terms, rates & conditions vary.

9. Know Market Pricing John Smith visited Toyota of Lawrenceville. He spotted a 2010 Honda Accord that was advertised for $15,995. He told the salesman that he would like to pay only $10,000 for the car and the salesman looked puzzled? He asked the customer where did he get that number from and the customer could not give an answer. Where did Mr. Smith go wrong?

10. Know Market Prices Check Values: www.NADA.com www.KBB.com

11. Know Market Pricing Whitney received a call from her mechanic stating that it was going to cost more money to fix her 2001 Ford Focus than what the car is worth. She decided to start shopping for another used car. She went straight to the dealer and saw a beautiful 2011 Chevy Cruze that had a special advertised price of $14,995. Whitney immediately agreed to buy the car at the special sales price. What HUGE mistake did Whitney make?

12. Dont shop alone The Love Cloud

13. Your Trade Advantages to SellingAdvantages to a Dealer Trade Likely make more money $ Tax advantages on your new purchase Example: New vehicle $25,000 and trade-in worth $10,000, your new taxable amount is $15,000* *Taxable amount based on the State of Georgias value of the car not the sales price. You can view all taxable values on the GA Dept. of Revenue website.

14. Your Trade Arm yourself with a CarMax trade-in quote Get more than one appraisal What if you owe more than your trade-in is worth? – Consider selling on your own – Dealer Payoff – beware, negative equity will be rolled into your new loan.

15. Before You Sign - Consider Fees Sample: Bill of Sale

16. Before You Sign- Understand add-ons GAP Insurance – Pays you the difference between payoff from insurance incase of a total loss – Good if youre not putting much money down on the car Extended warranty – Good if you dont have money in the bank saved to fix problems

17. Before You Sign – Mistakes to Avoid Jennifer found the deal of the century on a 2010 Mazda CX9. She purchased the vehicle for $2,000 less than the trade-in value. Two days went by and she noticed that her tire gauge light came on, so she decided to take it to a nearby tire shop to get it checked out. The mechanic looked at her and informed her that her tires were dry rotted on the inside and there was rust all underneath the vehicle. What are two mistakes that Jennifer made?

18. Before You Sign - Mistakes 1.She should have asked for an Autocheck or Carfax report. 2.She should have taken the vehicle to a mechanic before committing to buy the vehicle.

19. Before You Sign – Consider Variable Cost Such as Gasoline and Insurance

20. Before You Sign – be cautious of Scams OFAC-Office of Foreign Assets Control Some dealers use OFAC as a way to get your social security number and pull your credit. If you are financing your vehicle with your credit union or paying cash, you do not have to fill out a credit application. Never give your social security number to a dealer unless you are financing with the dealer.

21. Before You Sign- Upgrades/Extras Does this car come with an ___________? Negotiate this before commitment. If you wait after the sale, you may be ignored.

22. Car Buying Service Credit union car buying service: Auto Assistance of Georgia Works with members to locate a car that meets their needs & budget. Assistance with trading in your old car

23. Tips Buy at month end (not just year end) Look for rebates Everything is negotiable except at Carmax Buy close to invoice as possible Dont shop alone Get a mechanic inspection Get pre-approved first

24. Questions? Thank you for Attending! Still have questions? Contact us anytime at: Financing: 770.476.6400 ext. 3 Car Buying Service: 770.476.6471 www.georgiaunitedcu.org