Phoenix, Ariz., Sept. 10, 2010. Getting a new car can be fun and exciting, but the actual buying process can be difficult and confusing. It’s tough to know if you’re really getting a smoking deal, or if you’re just getting smoke blown at you. For this reason, AAA Arizona would like to call attention to the top car buying mistakes consumers make—and how to avoid them.  

“It’s model change-over time and many dealers are announcing that they are pulling out all the stops when it comes to year-end sales, but beware,” said Jim Prueter, AAA spokesperson said. “The deep discount you think you’re getting may be nothing more than an illusion.”

Many consumers find themselves lured into buying by the sales and incentives offered by car dealerships this time of year, but it’s important not to be baited into overpaying. As a result, AAA is calling attention to the top five car buying mistakes consumers make—and offering tips on how to avoid them:

• Don’t fall in love with a car. While it’s important to love the vehicle you buy, it’s equally important to think the purchase over carefully. It’s easy to be excited about a new vehicle, but it’s also important to compare the vehicle to others in its class. Don’t let the dealer or your emotions rush you into making a decision.
  
  
• Don’t take the long-term loan. A long-term loan will offer a lower payment, but you may end up paying more in the long run. You could find yourself owing more for a vehicle than its actual worth, or “upside down,” even after years of payments.             
  
  
• Don’t negotiate your trade-in value and purchase at the same time. Get the dealer’s best price of the car you want before disclosing that you have a trade-in.  Then negotiate the price of your trade-in to ensure you get the true value. When you do both of these transactions at the same time, it may be unclear how much you are actually getting on your trade.
  
  
• Don’t negotiate in person. With more information available to consumers via the Internet, there’s no real need to go to a dealer until you want to test drive the vehicle. Most dealerships have websites that allow you to search their inventory. Find the vehicle you want, negotiate on the phone or via email, and ask them to send you the deal in writing.
  
  
• Don’t be fooled by a “great deal” on outgoing year models. The value on a model that is no longer in production depreciates quickly; therefore, you could end up paying more for an outgoing year model than it’s worth. However, you could still find a great year-end deal, but only if you do your homework to understand the car’s true value first.

• Don’t buy an extended warranty without understanding the agreement. An extended warranty will save you from unforeseen costs if your vehicle experiences a mechanical breakdown or failure, but not all warranties are equal. For example, extended warranties sold at the dealership may limit service to that dealer’s repair facility. Therefore, if you move, break down on a road trip, or if the dealership closes, you could pay for repairs elsewhere out of pocket. AAA Extended Service Contracts, on the other hand, allow you to take your vehicle to any Automotive Service Excellence (ASE) certified repair shop in the U.S. or Canada. As you shop for extended warranties, do your research to make sure the agreement is a good value and practical for you.

“The car buying process is not for everyone; therefore, just as you would consult a realtor when buying a house, you could also enlist the help of experienced, professional car buyers,” Prueter said. “Car buying services, like the one offered by AAA, connect you with a dedicated car buyer who navigates the process for you, so you can avoid those car buying mistakes and find the best deal possible.”

AAA Car Buying is simple because professional AAA car buyers can take care of everything, to include finding any make or model, negotiating price or trade-ins, offering AAA extended service contracts, and offering financing with competitive rates. AAA Arizona members can take advantage of the service by visiting any Arizona branch office, or they can learn more at the AAA Arizona Car Buying web page. Last month, AAA Car Buying earned a 100 percent satisfaction rating from AAA Arizona members who used the service.

AAA Arizona, the Arizona affiliate of AAA, provides automotive, insurance and auto travel services to more than 800,000 Arizona members.  Annually, AAA’s Emergency Road Service responds to more than 450,000 calls for help on the streets and highways of the state as well as providing insurance, travel, and financial services to AAA members and motorists.  Since its founding in 1927, AAA Arizona has been a leading advocate for the safety and security of all travelers.  In 2008, AAA was ranked the No. 1 “socially responsible” brand by Landor’s BrandAsset® Valuator.