| When the negotiations are done, most consumers | | | | between what a vehicle is worth and how much |
| relax when buying a car. The hard work is done. | | | | is owed when a car is totaled. For example, if |
| The hard sell is over. It's time to celebrate a | | | | someone totals their vehicle and the insurance |
| victorious purchase of a new or used vehicle. | | | | company agrees to pay $7,000 while the driver |
| Most consumers don't realize that the true hard | | | | still owes $11,000, gap insurance is designed to |
| sell is just about to start. | | | | cover it. Without gap, the insurance company will |
| In a perfect world, a finance manager, business | | | | be forced to leave the remaining $4,000 to be |
| manager, or whatever title is given to the person | | | | paid out of the customer's pocket. |
| in the back that prepares paperwork will be just | | | | Usually ranging from $300-$700, it is a good |
| that: the person that prepares paperwork. | | | | investment for consumers who (1) finance |
| In the real world, the finance manager is probably | | | | vehicles without securing equity by putting a lot of |
| one of the best and most persistent salespersons | | | | money or trade equity down on the car, (2) drive |
| the consumer will ever meet. | | | | more than 10k miles per year, and/or (3) |
| They aren't necessarily bad people. Most are | | | | purchase new vehicles, especially high dollar ones. |
| exceedingly friendly and professional, dressed to | | | | EXTENDED WARRANTIES |
| impress and possessing an easy way that puts | | | | Not all warranties are created equal. A consumer |
| people at ease. To a car dealership, the finance | | | | who plans on keeping a vehicle beyond the |
| manager is the last and best chance the dealer | | | | factory warranty should strongly consider an |
| has to make money on a vehicle sale. | | | | extended one. |
| There are dozens of methods that the finance | | | | Research beforehand into some extended |
| manager can make money from you. The good | | | | warranties available online for the vehicle you are |
| part is that not all of the ways are bad and not all | | | | considering. Know the cost, deductible, what is and |
| of the products that they will offer are rip offs. In | | | | isn't covered, and whether a prorated balance is |
| most cases, though, some of the offerings are | | | | refundable if the vehicle is traded, sold, or totaled. |
| just not worth the money the consumer will pay. | | | | Armed with this knowledge, it should be easier to |
| Instead of going over the details of the different | | | | get a good deal on a good warranty, whether it's |
| products and suites that aren't really worth it, | | | | the one that the finance manager offers or a |
| here is a short list of items that a consumer | | | | separate one. |
| should really question and investigate before | | | | CREDIT LIFE AND DISABILITY |
| purchasing: | | | | Most life insurance policies are designed to help |
| Undercoating, paint sealant, oil change plans, VIN | | | | with cost of living. Debt should not be paid |
| etching, scotch guard, preowned vehicle leasing, | | | | through standard insurance. |
| personal vehicle insurance, and tires for life. | | | | In case of tragedy, having a credit life and |
| There are others that are somewhat legitimate | | | | disability plan will help to pay off the balance of a |
| like the ones listed above, and there are some | | | | vehicle loan. There are few things worse after |
| that are downright scams, but we're here to | | | | dealing with a tragedy than to find that the loved |
| focus on the potentially good ones. | | | | one also left major bills and debts behind. |
| Dealerships such as Toledo Chevrolet Dealers and | | | | Final Thoughts |
| Portland Lincoln Mercury Dealers and other honest | | | | Not all "bad" items are that bad. Some may fit |
| dealers around the country offer a basic, short list | | | | into a consumer's needs. Not all "good" finance |
| of products that consumers should consider: | | | | items are good, either. The key is to do the |
| GAP INSURANCE | | | | research before getting caught off guard by a |
| Some call it a scam, but most who have totaled a | | | | finance manager ready to spray a $20 can of |
| vehicle with a lien on it can attest to the wonders | | | | Scotch Guard in your new or used car for an |
| of Gap Insurance. In essence, it covers the "gap" | | | | additional $179. |