Should I tell dealership how much I owe on my trade in?

Don’t tell a car dealer about your trade-in Fundamentally, says Bill, “dealerships like to move money around. So it probably also is not in the buyer’s best interest to mention right up front that he or she has a car they want to trade in.

Should I tell dealer I already have financing?

Most finance experts suggest holding back the fact that you have a pre-approval until you’ve settled on the price of the vehicle. It’s possible that telling the dealer you have car financing right at the start could harm your chances to negotiate on the selling price of the vehicle you’re looking at.

What lies do car salesmen tell you about your credit?

In the list of lies car salesmen tell, ones about your credit are usually the most subtle. Carbuyingtips.com describes it as a full-blown scam in which finance managers tells you your credit is 100 (or 200 or 300) points worse than it actually is. Using the false score, a car dealer will then offer you a loan at a higher interest rate.

What happens if you lie about your credit score at a dealership?

Using the false score, a car dealer will then offer you a loan at a higher interest rate. You could end up paying thousands of dollars more over the life of the loan if you believe these lies. Meanwhile, the salesman will make more from the high-interest loan. To avoid the trap, know your credit score before you enter the dealership.

What should you not tell a car dealership when negotiating?

Don’t tell the dealership anything that shows that you urgently need to buy a new car. If they know that you don’t have the luxury of time to make dealerships negotiate or to drive around town looking for the best deal, you’re like fresh meat in front of a lion. You’ve just told them that they don’t have any reason to give you a good deal.

How do car salesmen get you to trade in your car?

They have no way to practice their trade without a potential buyer, so salesmen will go out of their way to get you in the door. One common trick is telling people over the phone they will get big money for the car they plan to trade in. Even if you describe a car in detail, a dealer won’t know for sure what he can offer until he sees it.