Things You Should Always Keep in Mind Before Buying a Used Car
Used Car Buying Guide
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Transcript of Used Car Buying Guide
TM
Summer 2004
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 2 2007
This publication is
sponsored by
PRODUCED BY
INDEPENDENT DEALER
SOLUTIONS
DISCLAIMER: This publication is recommended as adequate for those who want to know how to buy a used car. It is intended as a
guide for general information. You may wish to consult other information resources or legal counsel for any professional advice you
may need. All parties hereto provide no guarantees or advice as to the accuracy of the information provided. All information may be
subject to change.
©2007. THIS MAGAZINE IS DESIGNED AND PUBLISHED BY NEWSLETTERS INK CORP. 1.800.639.0465
This publication is
sponsored by
PRODUCED BY
INDEPENDENT DEALER
SOLUTIONS
&
DISCLAIMER: This publication is recommended as adequate for those who want to know how to buy a used car. It is intended as a
guide for general information. You may wish to consult other information resources or legal counsel for any professional advice you
may need. All parties hereto provide no guarantees or advice as to the accuracy of the information provided. All information may be
subject to change.
©2007. THIS MAGAZINE IS DESIGNED AND PUBLISHED BY NEWSLETTERS INK CORP. 1.800.639.0465
Kevin R. Gallagher
801.796.7700www.utahautosales.com
“For those who want to make the BEST buy!”
3 USEDCARBUYINGGUIDE2007
What can this
Used CarBuying Guide
It will take the fear and
risk out of buying a used
car.
The goal of this publication is to
ELIMINATE your FEARS, and
put the FUN back into buying a
vehicle.
We will show you what TO
do and what NOT to do when
buying a used car.
do for you?
Let us assist you:1. Avoid getting into a vehicle that is NOT right for you.
2. Become informed so you can make the BEST buying decision possible.
3. Become an educated buyer - and reduce the risk for banks, credit unions and Þ nance companies.
4. Evaluate value and security of buying from an independent dealer vs. a new car dealer or private party.
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 4 2007
BUYING RIGHT
How many times will you make
these two buying decisions in
the course of your lifetime?
is something to be
HOMES:Investing in a home is just that...an investment. You want to buy right and the property usually
appreciates while you own it.
VEHICLES:Most people will purchase 20-40 vehicles in a lifetime. Because they are depreciating necessities, they
can gobble-up lots of money in a lifetime.
You don’t want to pay more than you should for your vehicles because each vehicle purchase will
depreciate every month that you own it.
LEARNED
Your Your
VEHICLESHOMEAPPRECIATING
ASSET:
Homes: You
may buy (1-3) in
a lifetime.
DEPRECIATING
NECESSITY:
Vehicle: You
may buy (20-40)
in a lifetime.
Every consumer makes 2 major buying decisions
Homes: You may buy (1-3) in a lifetime
Vehicle: You may buy (20-40) in a lifetime
Appreciating Asset
Depreciating Necessity
Your Vehicles
Your Home
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5 USEDCARBUYINGGUIDE2007
� Why is the YEAR of the vehicle a critical buying factor?
� What is the MILEAGE and CONDITION of the vehicle? They affect depreciation.
� Is the PRICE in alignment with the condition of the miles of thevehicle?
� What FINANCING options are available to you?
� Where should you BUY your vehicle? Whatare the RISKS andREWARDS?
Buying the RIGHT vehicle
means buying...
1. At the right TIME
2. With the right MILEAGE
3. At the right PRICE
4. With the right FINANCING
5. At the right SOURCE
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 6 2007
4. Buy with the right 4. Buy with the right
1. Buy at the right1. Buy at the right 2. Buy with the right 2. Buy with the right
FINANCING3. Buy at the right
PRICE
5. Buy at the right
SOURCE
TIME MILEAGE
5. Buy at the right
SOURCE
3. Buy at the right
PRICE
TIME
We will take each of these
puzzle pieces ...
and
discuss them
in the pages that follow.
MILEAGE
FINANCING
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7 USEDCARBUYINGGUIDE2007
Since the YEAR of the vehicle remains constant, knowing
the right years to buy and sell your vehicle can be your
Biggest Savings factor.
It is especially the case with
buying vehicles.
Have you ever heard of the saying,
“Timing is Everything?”
Buy at the RIGHT TIME.
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 8 2007
Buy at the
RIGHT TIME.
This graph shows TWO factors affecting the best time to buy!
The Window of Opportunity is the shaded area representing the optimum time to
purchase a newer-model used vehicle.
When most Lease/Fleet/Rental vehicles are 1-3 years old they are sold at dealers-
only auctions all across the country.
When this happens in mass volume, the supply increases causing prices to drop.
- This is the best time to buy that vehicle.
Later, as fewer of those particular types of vehicles are available on the market,
the VALUE of that vehicle will stay relatively LEVEL for the next 3-5 years.
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9 USEDCARBUYINGGUIDE2007
Buy with the RIGHT MILEAGE.
Condition and mileage affects depreciation.
The Auto Industry Standard for yearly average mileage is 15,000 miles per year.
15,000 miles x 2 = 30,000 miles, which is exactly when most Leases/Fleet/
Rental cars are sold at dealer auctions.
Most of these vehicles are still under Factory Warranty, thus increasing their
value. Some powertrain warranties are as high as 10 years/100,000 miles.
Question: Do Time and Miles remaining on a factory warranty increase the
value of the vehicle?
Answer: YES! There is less risk to the buyer when they are purchasing a
vehicle with some factory coverage left.
You can expect to pay $2,000-$4,000 more for a vehicle for ANY factory coverage
remaining. This is WHY most Lease/Fleet/Rental companies dispose of their vehicles
JUST BEFORE the factory warranties expire because they get more money.
MILEAGE DISCLOSURE: Mileage disclosures are required for every vehicle up to 10 years old. The mileage must be disclosed in writing on the title document or attached documents. A vehicle cannot be sold by anyone without a working odometer.
Here are ways that mileage affects depreciation:
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USEDCARBUYINGGUIDE 10 2007
The following chart
shows 3 major drops
in a vehicle’s
value - ALL are based upon mileage.
Just like the Stock Market, the best time to buy a vehicle is just AFTER the
price DROPS!
Take advantage of this knowledge by:
BUYING: Just after a dramatic DROP in value, and
SELLING: JUST BEFORE THE NEXT drop.
Buy with the
RIGHT MILEAGE.
* These drops in price are in addition to the normal depreciation.
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11 USEDCARBUYINGGUIDE2007
Buy at the RIGHT PRICE.
Fair Value is greatly affected
by the vehicle’s condition!
“The bitterness
of poor quality
lingers long
after the
sweetness of a
cheap price is
forgotten.”
— Anonymous
To understand the market value, you need to understand the book value.
Start with the book value, such as NADA, Kelley Blue Book,
Black Book or a book that is used in your state.
+/- Add-ons
+/- Mileage
- condition of vehicle
= TRUE FAIR VALUE
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USEDCARBUYINGGUIDE 12 2007
Buy at the
RIGHT PRICE.
You can determine the condition of a vehicle by using our
Vehicle Condition checklist at the back of this book (page 29).
The condition of the vehicle can be your
Biggest Negotiating Factor.
Compare PRICE,
against overall CONDITION,
&
against the BOOK VALUE,
...Then NEGOTIATE!
“For those who want to make the BEST buy!”
13 USEDCARBUYINGGUIDE2007
“Price is what
you pay. Value
is what you get.”
— Warren BufettBuy at the
RIGHT PRICE.
If you purchase a vehicle “As Is” you accept it in the condition that it is in. This
typically means that you are responsible for all repairs and maintenance.
If a customer experiences a mechanical breakdown many times, dealers will
provide a goodwill service. Because they value you as a customer, they may help
you with some repairs. The vehicle will still be “As Is.”
The FTC Buyers Guide will disclose any warranty offered by the dealer. A
warranty will cover certain components of the vehicle for a specific time and
mileage, (i.e. 12 month 12,000 miles).
Service contracts are available for an additional cost and are similar to a
warranty covering certain components for a specific time and mileage. Read
carefully any exclusions and limitations. Know what your responsibilities are for
service and maintenance.
“As Is”
vs.
Warranty
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USEDCARBUYINGGUIDE 14 2007
There are 7 factors to consider when
financing a vehicle:! Price
" Taxes, license, registration,
and document fees
# Interest rate
$ Term of the loan
% Credit worthiness
& Trade in
' Add-ons
! Price: The price is the actual cost of the vehicle that you have negotiated with the dealer. Price
can vary greatly. An industry guidebook can give you an idea of price but may not be accurate
due to many variables.
" Tax, license, registration, and document fees: These are the fees added to the cost of the
vehicle to get the vehicle registered and licensed in your name with the State. All license and
registration fees are standard and should be the same for every dealer with the exception of
Dealer Document fees, which can vary from dealer to dealer. The document fees cover the costs
of processing all documents and title delivery requirements.
Buy with the RIGHT FINANCING.
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15 USEDCARBUYINGGUIDE2007
Buy with the
RIGHT FINANCING.
# Interest rate: This is the percentage rate that banks, credit unions or Þ nance companies charge
you to borrow the money you need to purchase the vehicle. This rate is determined by two things:
a. The year of the vehicle: The newer the vehicle, the lower the rate.
b. Your credit: The better your credit, the lower your interest rate.
When negotiating with the dealer, understand your credit, and be sure you are getting the best rate.
Most dealers have an arrangement with their lending institutions to receive a small percentage of
the total rate as a commission to process the loan document.
This is also another place to negotiate with the dealer! Be sure you pay the rate your credit deserves.
$ Term of the loan: This is the total number of months that the bank, credit union, or Þ nance
company will be willing to lend you the money, generally 60-72 months.
This is the biggest factor affecting your monthly payment. The longer the term, the lower your
monthly payment will be. Conversely, the shorter the term of your loan, the more you will have to
pay each month.
The lending institution determines the monthly payment you will qualify for once they see your debt-to-
income ratio — All your Þ xed monthly payments divided into your total gross income.
“Capital can do
nothing without
the brains to
direct it.”
— J. Ogden Armour
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 16 2007
Buy with the
RIGHT FINANCING.
% Credit worthiness: What does a bank, credit union, or Þ nance company
generally look for as an average minimum credit history?
• One year job experience or same line of work for more
than one year.
• 3 credit references (minimum 6 months old with no late payments)
• Your debt-to-income ratio should not exceed 40 percent.
Most common credit report problems that prevent buyers from getting approval are:
!(No credit is established - see Appendix A: Establishing Credit. (page 27)
" 30-day late payments - Don’t be late on loans! All delinquencies will
stay on your credit for 7 years. Just one derogatory report can greatly affect
your credit score.
# Collections - All collections must be paid before new loans will be
granted. Avoid these problems like the plague.
Once you have established credit DON’T LOSE IT!
It will haunt you for many years. Buy on credit ONLY if you
can comfortably make your payments - this is one case where
bigger is NOT better.
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17 USEDCARBUYINGGUIDE2007
& Trade in: This is the amount of money that the dealer is willing to allow for the vehicle you
are trading in. It is important to remember that the dealer is buying your vehicle to resell to
someone else. You should not expect them to buy your trade in for any more than whatever they
could sell it for.
Reasons to trade a vehicle:
a. You will receive a tax savings on your new purchase.
b. You will not have to try and sell it on your own.
Tips for trading-in a vehicle:
a. First, negotiate the price of the vehicle you want to purchase before telling the dealer you have
a trade-in.
b. Be sure your trade-in is clean - remember you are trying to sell your vehicle.
c. Know what your car’s loan payoff is before going to the dealer.
d. Know what the “market price” is on your trade-in, and what you could sell it for.
e. Some dealers may offer you a trade/consignment program. This allows you the tax savings of
your trade-in that goes towards your new vehicle while possibly getting more money on the
sale of your vehicle when the dealer sells it.
f. Remember a vehicle’s value has a lot to do with its ability to be Þ nanced, keep that in mind on
your trade in. Vehicles older than 6 years old have a tougher time getting Þ nanced.
Buy with the
RIGHT FINANCING.
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 18 2007
' Add-ons:
A. GAP Insurance: GAP Insurance is important to consider. In the event that you “total” your
vehicle, or it gets stolen and not recovered, your full-coverage insurance will only pay you
a percentage of the full value of the vehicle - leaving you with a loan balance to pay off. This
balance can range from $1-$7,000. GAP Insurance pays the loan off (up to 150 percent of retail
book value) and may provide you $1,000 towards the purchase of another vehicle.
B. After Factory Service Contracts: Many 3rd party service contracts are available. Be sure
to Þ nd one that covers as much of the major mechanical components as possible. You also want
to do some homework and Þ nd out if they are insured and how well they pay their claims. Read
the contract carefully and ask questions.
C. Credit, Disability, and Life Insurance: This insurance will pay off your car if you become
disabled or if you die. This is important to consider if your car payment would create a Þ nancial
burden to your loved ones.
“Whatever you
have, spend
less.”
— Samuel JohnsonBuy with the
RIGHT FINANCING.
“For those who want to make the BEST buy!”
19 USEDCARBUYINGGUIDE2007
What happens if your vehicle is repossessed?
• The late payments will show on your credit report.
• The collection will show on your credit report.
• The judgement will show on your credit report.
• The garnishment of your wages will show on your credit report.
• The repossession will show on your credit report.
AND you’ll still owe the remainder of the loan. IT’S NOT WORTH IT!
REPO - Repercussions!“The Repo-cycle”
Many say, “I
wouldn’t have
done it, if only
I would have
known.”
Your credit is shot30,60, 90-day late
Repossession
Judgement
Garnish Wages
Still Owe Debt
No Car
Buy with the
RIGHT FINANCING.
Owe The Balance 30 Days Late
Sell Car - Auction 90 Days Repo
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USEDCARBUYINGGUIDE 20 2007
Buy at the RIGHT SOURCE.
WHERE TO BUY:You have two options - to buy from an individual or a dealer.
Buying from an INDIVIDUAL:
ADVANTAGES:
A desperate seller may offer a better price.
An individual may not know the market value of their car.
A friend or relative may offer you a better deal.
You may learn the history if you are buying from the original owner.
DISADVANTAGES:
No assistance with Þ nancing.
Risky - no recourse if you have problems.
The vehicle emissions and inspection have to be done yourself.
You’ll have to wait in line at the DMV to get the vehicle registered.
No warranties or guarantees.
No trade-ins accepted.
May be stolen, rebuilt, or have odometer tampering.
No way to trace owner on open title.
If you purchase from an individual be sure to verify the owner is the person selling the vehicle. Check the title to be sure the seller’s name appears on the title. If their name is not on the title, it could be stolen, rebuilt or have other problems.
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21 USEDCARBUYINGGUIDE2007
Buy at the
RIGHT SOURCE.
WHERE TO PURCHASE YOUR NEXT CAR:You can get a very different value for the same car!
Buying from a DEALER:
ADVANTAGES:
Larger selection.
Accepts trade-ins.
Licensed and bonded.
Warranties offered.
Vehicle emissions and inspections completed.
Licensing, registration, and plating done for you.
Offers many options to assist with Þ nancing.
Saves tax dollars.
DISADVANTAGES:
May still be risky. If you go to the RIGHT PLACE, and you know how to BUY RIGHT,
you can take ALL the risks out of buying from a dealer.
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 22 2007
TO TRADE:How to get TOP DOLLAR from your trade-in:
Negotiate the new vehicle, THEN talk about your trade-in.
Do your homework - check papers and Internet for current market pricing.
Watch Out - Some dealers will offer you the “moon” for your trade, but be sure to check
how much more you are paying for your newly purchased vehicle.
OR NOT TO TRADE:Should you choose not to trade in your vehicle, here are some ideas that can help you market the
vehicle yourself:
Place an ad in the newspaper.
List your vehicle on a few websites. Generally it is quite inexpensive.
Clean and detail your car prior to showing it.
Make a list of the “best features.”
Establish a price that you will not go below and stick to it.
Put your car on a dealership’s lot on consignment.
Buy at the
RIGHT SOURCE.
“For those who want to make the BEST buy!”
23 USEDCARBUYINGGUIDE2007
Saving Time & MoneyUsing The Internet - Where to look
LOOKING FOR VEHICLES: KSLCARS.COM
Largest selection of dealers. AUTOTRADER.COM
Largest selection of individuals’ vehicles. EBAY
Very easy to use.
Links available to most dealers’ websites.
Updated daily.
LOOKING FOR INFORMATION: CARFAX
Most accurate & up-to-date vehicle history info. AUTOCHECK.COM
Easy to use.
Updated daily.
This site is used by many dealers and auctions.
LOOKING FOR BOOK VALUES: NADA.COM
Up-to-date book values on any vehicle. KBB.COM
Updated regularly.
There is a difference between NADA and Kelley Blue Book on vehicles!
This site is used by many dealers and auctions.
Buy at the
RIGHT SOURCE.
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 24 2007
If the dealer does ALL of the above, only then have they EARNED “a shot” at your business.
You should know that dealers:
Are not alike.
Have different costs.
Have different overhead.
Have different philosophies.
Ask yourself: “Do they take the risks, or do YOU?”
� DO THEY have enough selection to get what you’re looking for?
� DO THEY attempt to Þ nd you the vehicle that you are looking for?
� DO THEY accept trade-ins? Reasonably priced?
� DO THEY sell their vehicles in relation to “Book” prices?
� DO THEY Certify their vehicles & guarantee their certiÞ cations?
� DO THEY Guarantee the vehicle after the purchase? How long?
� DO THEY offer an Extended Warranty? Reasonably priced?
� DO THEY offer you any Special Financing Options?
� DO THEY have any customers that you know, who are satisÞ ed?
� DO THEY allow you to return or trade the vehicle back in if you are not
satisÞ ed or Þ nd one cheaper somewhere else?
A Dealer should EARNyour businessThe Top 10 -Dealer QuestionsYou should know these answers BEFORE selecting a Dealer
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25 USEDCARBUYINGGUIDE2007
MILEAGE2. Buy with the right
4. Buy with the right
1. Buy at the right
TIME
5. Buy at the right
SOURCE
FINANCING3. Buy at the right
PRICE
1. Buy at the right
TIME
5. Buy at the right
SOURCE
FINANCING3. Buy at the right
PRICE
Congratulations!You are now equipped
with knowledge that most
customers don’t have!
You are now prepared to purchase your next vehicle. If
you put together and implement ALL the puzzle pieces,
you will have a great-car buying experience - and you deserve it!
Be sure to use the Dealer Checklist on the previous page, and use the Vehicle
Condition Checklist that follows (page 29) - these are useful tools.
2. Buy with the right
4. Buy with the right
MILEAGE
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 26 2007
Typical documents when purchasing
a vehicle.MOTOR VEHICLE CONTRACT OF SALE - Outlines the information about you, the vehicle,
and the purchase price. It should itemize all charges for the vehicle. It also declares who is
responsible for financing. You always have the option to finance or pay cash or the dealer
can assist you. Be sure to read all the terms on the front and back.
ODOMETER DISCLOSURE - You are entitled to see the mileage on the vehicle you are
purchasing. It will be on a title, reassignment of title, secure power of attorney or an
odometer statement.
PRIVACY NOTICE - This allows a dealer to collect non public personal information. This
can only be shared with those authorized businesses to complete the sale and service of
vehicles.
AUTHORIZATION FOR PAYOFF - Allows a dealer to receive information about your trade-in
and be able to pay it off.
APPLICATION FOR TITLE - This designates new ownership and how the vehicle is to be
registered. Always check for accuracy.
BUYER GUIDE - Declares any warranty offered or sold. As-is vehicles sold DO NOT have a 3
day right of return unless the dealer offers something different.
IMPLIED WARRANTY DISCLOSURE - All promises of performance or fit for use must be put
in writing. Any offers or declarations must be in writing. Any offers or declarations are not
enforceable unless put in writing Carefully review all paperwork and ask questions if you
don’t understand, take your time and do it right.
“For those who want to make the BEST buy!”
27 USEDCARBUYINGGUIDE2007
APPENDIX: AHow to Establish Credit
1. You need to get a loan or credit card
2. You need to make your monthly payments on time
It’s that simple…or is it?
THE BIG QUESTION: WHO WILL GIVE YOU CREDIT IF YOU
DON’T HAVE ANY CREDIT HISTORY?
Generally, you have a few options:
1. Most large furniture and appliance stores will extend credit to first time buyers with 50 percent down. An easy way to get
started is to buy something very inexpensive - $100 - $300. Give the 50 percent down and finance the balance. Your monthly
payment will be $10 - $15 per month. Be sure not to pay it off for at least 6 months to one year. This will give you a monthly
payment history on your credit report.
2. Go to your local bank or credit union and ask them for a secured credit card. Generally, most banks or credit unions will
issue a card against a savings deposit. This can be $300 - $1000 credit line on your card. Once you have the card, use it to
buy something. Then make minimum monthly payments for at least 6 months to a year. This will give you another monthly
credit history on your credit report.
3. Ask a parent or relative to add you to their next loan as a cosigner to them. This will not affect them in any way. However, it
will greatly help in establishing your credit, without you having to buy anything. CAUTION: Be sure they are making pay-
ments on time, or it will negatively affect your credit.
4. The only other option is to get a cosigner. Ask them to cosign for a limited time. They need to cosign long enough for you
to establish a payment history of 6 months to a year. Then refinance in your name only.
Remember, banks and credit unions are looking for a credit history of 3 or more accounts with a track record of payments
being made 6 months to one year. To get started establishing credit, use as many of the listed options at one time and then make
the payments on time.
CAUTION: Avoid first-time buyer high interest loans from companies that will finance anyone. These loans will generally be
set up so you will be paying 100 percent of the interest FIRST before you begin paying down any of the principle of the loan.
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USEDCARBUYINGGUIDE 28 2007
It takes some work, but it can be cleaned!
1. You need to get a copy of your credit report from all three credit agencies. Be sure ALL corrections and changes are made to
all three agencies at the same time.
2. Once you have your credit reports, review them to see what is showing up on your credit. If you dispute anything that is
either not correct or if something is listed that should not be on your credit report, contact each agency in writing. Follow up
every two weeks until you get a response from them. Generally, credit agencies will respond within 30 days. Once a credit
agency has confirmed that your dispute has been corrected in writing, take that copy and mail it to the other agencies so they
will remove the dispute from their records too.
3. If you have collection, charge offs, or judgments, they cannot be removed until they are paid. In most cases these are small
bills affecting your credit in a large, negative way. To have these removed, pay them off with a cashier’s check or money order.
Take a copy of your payoff and mail it to ALL three agencies with a copy of a letter you mailed with your payment to the
creditor. This letter should be a very kind letter explaining why you got behind and asking them to accept payment and have
it removed from your credit. Some will just list it as paid, while others will actually remove it totally from your credit report.
Be kind and persistent and they will remove it.
4. If you have a repossession or bankruptcy, these will generally remain on your credit for 7 – 10 years. The only thing you can
do is to write a letter of explanation as to the reason for the repossession or bankruptcy and mail it to all three agencies. They
will keep this letter in your file and will give it to future creditors upon request. You should also copy this letter and give it to
anyone you are asking to extend you credit.
YOUR CREDIT IS AN ASSET TO YOU! CLEAN IT UP AND KEEP IT CLEAN!
APPENDIX: CUnderstanding Your Credit Report
APPENDIX: BHow to Clean up Your Credit Report
Where does it come from? How does it work?
There are 3 national agencies:
1. Experian (formerly TRW) – P.O. Box 2002, Allen, TX 75013, 1-888-397-3742
2. Equifax, PO Box 740241, Atlanta, GA 30374-0241, 1-800-685-1111
3. Trans Union, PO BOX 100, Chester, PA 19022, 1-800-916-8800
Note: If you have something removed from your credit report with one agency, be sure to request the change of that same
correction with ALL 3 agencies.
“For those who want to make the BEST buy!”
29 USEDCARBUYINGGUIDE2007
APPENDIX: DVehicle Condition Checklist
Use the vehicle condition checklist to evaluate any used car you are considering to buy.
Remember, you are buying a used vehicle, NOT NEW. So don’t expect it to be perfect, or if you do – expect to pay full price.
However, use the checklist to find things you can use to better negotiate the price in relationship to the book value.
BASIC TIPS: � Always try to inspect the vehicle during the day when you can see more clearly. Never buy in the rain.
� Take time to perform an inspection to your satisfaction. Don’t hurry yourself or be rushed.
� Compare the price against the overall condition and book values.
� Test drive with the radio off and listen.
EXTERIOR: � Check all the seams where doors and fenders meet to be sure they are even and straight.
� Check all the seams where the hood and trunk meet the fenders to be sure they are even and straight.
� Check to see if the car has recently been repainted by looking for signs of “over-spray” on the moldings. Also, check
the edges of the trunk to be sure they are the same color. Fresh paint may cover rust that will continue to erode.
� Check all the windows for cracks or chips.
� Check all the doors and locks to be sure they are all working properly.
INTERIOR: � Check the upholstery to be sure it is in good condition. Look for tears, stains, and burns.
� Check the dashboard and headliners for rips and tears.
� Be sure the seats adjust easily.
� Check all the window cranks, door locks, handles, dash controls, and similar items for missing knobs and buttons.
� Check all interior lights and dash bulbs to be sure they all work.
� Check the carpet condition to see if it matches the age of the vehicle.
� Check under the dash at the top of the carpet. Are there stains suggesting heater core or air conditioning leaks?
� Check in glove box for any previous owner information or service receipts.
� Check pedals, visors, and mirrors.
� Check all safety restraints to be sure they are working properly.
� Check all accessories, such as heater, air conditioner, audio systems, and alarm system to ensure each is working properly.
UNDER THE VEHICLE: � Check for fluid on the underside of the engine and transmission, at axle ends, at brake line connections, and on the
ground beneath the vehicle. Green fluid is usually antifreeze and reddish fluid is usually transmission, engine oil, or brake fluid.
� Check for any loose parts with the exception of exhaust pipes hung from flexible rubber “donuts.”
� Check to see if anything appears to be missing, such as bolts, clamps, brackets, or cables.
� Check to see if exhaust system parts are rusted.
� Check for marks from scrapes – this is an indication that the car has bottomed-out on rocks or pavement.
� Examine exhaust when the car is operating at normal temperature. Do you see white or blue smoke? A small amount
of steam or condensation is normal.
“For those who want to make the BEST buy!”
USEDCARBUYINGGUIDE 30 2007
PERFORMANCE: ASK YOURSELF THESE QUESTIONS
ENGINE: � Does the engine start easily?
� Does the engine stall at any time?
� Does the engine idle smoothly?
� Does the engine run smoothly during operation?
� Does the engine seem to lack power?
� If the vehicle has cruise control, do all the features work correctly?
� Do engine and other system warning lights appear?
� Does the engine diesel (continue running and sputtering) when shut off ?
� While driving, check odometer and speedometer to be sure they are both working properly.
� Drive the vehicle at freeway speeds to check for pulling and/or vibrations and wind noises.
TRANSMISSION AND CLUTCH: � Is the transmission shifting smoothly?
� On a manual shift vehicle, is the takeoff smooth – without grabbing or jerking?
� On a manual shift vehicle, accelerate hard in a higher gear (third or fourth) or while going uphill. If engine RPMs rise
without corresponding increase in vehicle speed, the clutch could be slipping. It may need to be adjusted or replaced.
� On a manual shift vehicle, try shifting to a lower gear when going slowly. Does the transmission shift easily without grinding?
4-WHEEL DRIVE: � Engage 4-wheel drive only on soft surfaces unless owner’s manual specifically says the feature can be used on hard surfaced
roads. On suitable surface, test-drive the vehicle forward and backward with the 4-wheel drive engaged.
� Does the vehicle shift smoothly in both directions?
� Turn tight corners to the right and left. Are there clunking sounds or other noises?
� Do the wheels bind or pull whether turning or going straight? A normal 4x4 will bind when turning.
BRAKES: � Apply the brakes several times at different speeds. Also try a sudden stop. Does the vehicle pull to one side or the other
when brakes are applied?
� Do the brakes stop the vehicle adequately?
� If the vehicle has antilock brakes (ABS), try stopping suddenly. Do the wheels lock? A pulsing brake pedal is normal.
� Does the parking brake hold firmly and release completely?
STEERING: � Does the vehicle pull to one side during normal operation?
� Is steering difficult at any speed?
� Turn sharply in both directions. Do you hear clunking or other noises, or feel rubbing or binding?
� Does the vehicle shake or vibrate while moving? Take the vehicle up to freeway speed for this test.
OTHER CONCERNS: � Are the miles “actual”, in excess of mechanical limits or odometer discrepancy?
� Does the vehicle have a clean title?
Knowing this information on any vehicle will help you negotiate your best price!
“For those who want to make the BEST buy!”
31 USEDCARBUYINGGUIDE2007
NOTES:
10 North State, Lindon, Utah 84042
801.796.7700www.utahautosales.com
A Division of Wayne Jones Co Inc. Since 1978
“Quality Solutions Dealers Trust”
www.idsinfo.com