What should you research before buying a car?
When people think of buying a new vehicle, they usually only think of the car itself as being the only decision they need to make. However, that is just one of the many decisions they will have to make in the car buying process.
Let’s start with the obvious one.:
1) Of course, the first decision is what vehicle to buy. Example: what is the best type of vehicle for me or my family? What features do I want/need? What colors would I like? Is fuel economy a major concern? These are just the start of questions to ask yourself about the car.
2) Secondly, the decision about affordability needs to be made. Do I have enough to pay cash, or should I finance the vehicle? If I finance, what can I afford for a monthly payment?
3) Lastly, there are decisions that must be made at the dealership:
a. Would you like to protect yourself with GAP coverage?
b. Would you like to protect yourself with an Extended Service Plan?
c. Would you like to have the protection of a 5 in 1 package?
d. Would you like to put a Paint Protection / Fabric guard on your vehicle?
There are a lot of factors that go into buying a vehicle. It is best to sit down and figure out a budget you can afford. But it is also important to figure out the cost of the added protection you can put on your investment.
In the State of Wisconsin, every vehicle sold by a licensed dealer is required to go through a 45-point safety inspection. That means at the time of the sale, the vehicle has passed the requirements the State of Wisconsin DOT requires to consider a vehicle is in good safe working condition. That however does not state that the vehicle will not have any issues down the road. Therefore, dealerships will offer additional products (like GAP and Extended Service Plans) from 3rd party sellers to help protect you from large expenses down the road.
What to watch out for?
When people hear Extended Service Plan (many call it Extended Warranties), or aftermarket products, they tend to be reluctant from stories that they have heard in the past. Unfortunately, there are some companies who take advantage of people and promise more than they fulfill or try and find ways not to pay claims through loopholes. That is why it is extremely important to do your homework on not only the vehicle, the dealership, but also the companies for which the dealership sells aftermarket products.
Oliver Motors makes sure that they have investigated the ratings and reviews of each company that they offer. Oliver Motors has contacted references from not only other selling dealers but also other repair shops to ensure claims are paid in a timely manner and that the entire process was simple for the shop and the customer.
What do each of these products even do?
GAP Coverage: Optional coverage you can purchase that will help pay off your auto loan if your vehicle is considered totaled in an accident or stolen and you owe more than the car's depreciated value. Many people will add in tax, title, license, and in some cases, money owed from a previous vehicle that they traded in on a new car.
An Example: If the new car you are buying is valued at $10,000, and you are financing $14,000, in the case of an accident your insurance will only pay out what the vehicle is valued at. GAP coverage will step in and pay off the remainder of your loan, or $4,000.
Extended Service Plans: With the technology put into vehicles today, and with that technology being man-made, there is a chance that there may be some failures. With the amount of moving parts for a better, smoother ride there is a lot of wear and tear on vehicles today. With that being said, the vehicle may be in perfect shape right now, but what about a year from now with an additional 12,000 miles? What about three years from now with 30,000 miles? Will you have money set aside to help with repair bills down the road? Will you have a saving able to fix a large ticket repair?
An Example: The cost to remove and replace a Shock Assembly on a 2015 Ford F150 is in the $1,200-$1,500.00 range. A timing Chain on a 2009 Traverse is in the $1,400-$1,800 range.
You can purchase an Extended Service Plan from a basic driveline to help with the parts listed above, to an all-inclusive which is almost as good as a manufacture’s coverage.
Drive Train will cover all internal parts of the motor, transmission, and drivetrain. The parts that make the vehicle run and get you from point A to Point B. The all-inclusive will be for more of the luxury features. Oliver Motors offers two different companies, which each company has a variety of year and mileage options, and coverage options available.
5 in 1 Coverage: It is the little things that get you!! You are on the dock ready to get in the boat and drop your keys in the lake. You are driving down the highway and the vehicle in front of you kicks up a rock chipping or cracking your windshield. You come out of the grocery store and notice the car next to you left a dent in your door. 5 in 1 will help with all this along with Tire and Wheel Protection and Roadside Assistance.
Paint Protection/ Fabric Guard: Americans are always on the go. In the mid-’90s; the average person would drive 10,000 miles per year. With a combination of more people commuting to work and busier lifestyles; that amount has increased to an average of 18,000 miles per year. With that being said, the interiors of our vehicles have become a mobile office, cafeterias, beauty salons, weekend project haulers, and all-purpose transporters. This is where Paint Protection/ Fabric Guard will help protect your vehicle from interior issues like fast food stains, makeup marks, cigarette burns, rips & tears, and gum. It will also help protect the exterior from issues like bird waste, tree sap, hard water spots, paint overspray from road projects, and bug and insect guts.
In summary, purchasing a vehicle is the largest investment you will make next to buying a house. You will want to make sure that you have made the right choice, at a price/payment you can afford, and have protected yourself not only today but down the road. I hope this information helps you when shopping for your next vehicle!