After I wrote the articles about special finance purchases, I felt the need to write about the loan aspect of the deal. You realize your credit is not capable of obtaining a tier one loan? What do you do? Well, there are numerous lending institutions, who are willing to lend you money to finance your deal. You just have to have a firm understanding how they conduct business.

 First, let’s face it, your credit history SUCKS. This may not be a fault of your own, but the lenders do not care. To obtain a special finance loan you will have to be willing to give up some very personal information. This disclosure does not end with the lender, it also carries over to the dealership’s finance department.

 Case in Point: You have been approved by a lender for (18,000.00) dollars to make your purchase. The lender will also provide you guide lines of the type of vehicle you may purchase with this amount! You are going to need several thousand dollars cash or trade to finalize your deal. This money pays the fees charged by the lending institution for the ability to do business. If you see this in your contract, they call it a down payment at closing. It is not a down payment! The fee is a percentage of the amount borrowed. This fee can be from 15 to 25 percent of the total amount borrowed.

 Somehow the law is on their side. You may not be informed of these fees by the salesperson or sales manager. The only way you find out about the total amount due at closing is when you are in the finance department and the finance manager informs you. The lending institution is relying on the finance manager to close the deal for them. These fees can be hidden within closing cost, total sale price of vehicle or other means that you may over look at closing.

 Please understand what I’m trying to do here! Yes, you have found yourself in this situation and there is help for you, but all you have to do is acccept the slap on the hand. Just because of poor credit scores does not mean you have to be taken advantage of due to the situation.

 If you have a story to share with us, share it with us. Everyone needs to hear the truth and nothing but the truth!!!!!

 This is part two on the segment of bankruptcy and car buying. To recap from the first article; you have obtained outside financing and have negotiated the best price for your automobile. Here’s where things can get tricky and if not prepared you may find yourself wanting to give up on the whole deal.

 If you remember, I said that this is not an easy purchase. When you have claimed bankruptcy or are in the process of filing; car buying may seem impossible. I’m just going to tell it like it truly is! If you have obtained outside financing, it is considered “Special” financing. Most of these lenders have fees that they charge for this type of financing and will not tell you about them in the beginning. They wait until you find the vehicle of your choice and begin loving it. Now you proceed to the finance department of the dealership to close your deal and you find out to complete the deal using this financing, will cost money out of your pocket!

 I will not even get into percentages here because they are different with each lender. This has nothing to do with the dealership and I want to make that very clear. You have to understand, you are the one with credit problems and the lender wants a commitment from you, so as to protect their interest. Can you blame them? The answer is NO! Remember from part one, I mentioned having either a fair amount of cash or a good trade-in vehicle? Here’s where this comes into play. The lender figures, if you pay in fees $3,000 to $6,000, you will not default your loan any time soon. Now you know!!!! These fees charged by the lenders do nothing to pay down the loan or decrease the drive out price of the car. This is just money you are charged for the right to obtain your loan.

 The other problem is, once the dealership finds out your situation, now they want to penalize you for being special finance by not honoring the first quoted price for their vehicle! Now they want to sell the vehicle for MSRP sticker price. Where does it end? RIGHT? Well, I wish I could say it ends right here, but I can’t. I deal with this situation often and I’m doing everything I can to keep dealerships and loan companies HONEST. I hate to say it, but it’s the nature of the beast! Can this attitude change? Yes sir, but it will take time and persistence of all parties involved.

 I am not an advocate of bankruptcy litigation for debt relief. I really believe most people jump into this alternative way out of debt, without investigating the truth, the whole truth and nothing but the truth. I also realize for many, they have struggled for years to right their ship of debt and see no end to the madness and bankruptcy is the last and only alternative they have. Donald Trump and Martha Stewart are dynamos with this type of bail-out. Just think, they are both still multi-millionaires and one even served prison time and they are both still making money hand over fist. Must be nice, RIGHT? We are not Martha or Donald!

 Buying a car during or after bankruptcy litigation is a very delicate situation to say the least, but can be done with research and persistence. First you need an automobile and no court around will deny you that fact. The first thing you will find out is they tell you what you can buy. What I mean here is, what amount you can spend and what year and sometimes what model you can purchase. No matter what amount they credit you, your first objective is to obtain financing. The worst of this is when you find financing, the APR is not a pleasing aspect. Let’s face it; it’s just the nature of the beast. This is where research is so important! To give some idea what you may face. The best interest rate I have seen is 14% interest and the worst is 24% interest and this is for an extended period of time. DON’T panic!!!!

 This is the perfect reason to obtain the services of an auto negotiator. If for nothing else but for advice and if you are unable to find one to help, contact me. I’m not a certified councilor, but can definitely provide you guidance and give advice, pointing you in the right directions. The first mistake people in this situation make, is go to different dealerships in desperation. This is the wrong thing to do. Never let a dealership run your credit. First, research and obtain “special financing” so you know what you’re approved to spend.  Second, find an affordable vehicle and negotiate the final price without ever divulging your situation. I will say, be prepared to have some money or a good trade for a down payment. Sorry, it’s just what it is!

 Do everything possible to buy a new vehicle. I realize you may want that dream car, but you need to begin taking baby steps right now to repair your credit. Repairing your credit is not easy and it will take considerable self discipline. Finding a good auto negotiator at this point, may be beneficial to you. Find that affordable, dependable new vehicle and attempt to take advantage of the new extended factory warranties offered on many vehicles. If negotiating your own deal, never say anything about outside finance or bankruptcy in the beginning of negotiations. Get the price right first and then proceed to the next step.

 For the second part of this article, please check under “Categories” under Bankruptcy and Car Buying. I felt I needed to make this in a 2 part series to benefit you the reader.

  I’ve commented about this subject in the past and feel a need to interject a little fresh blood into this subject. Do you look forward to giving up your only day off to negotiate your next car deal? Believe me when I say, “Your time is valuable”. For some unknown reason, no one ever considers this fact when they go to buy a car. I want you to consider; what do you make an hour at your job? Now, multiply that by the hours you will spend researching, locating, negotiating and finally closing the deal for your next car. This calculation works as long as everyone you deal with is 100% honest with you! A very conservative estimate of time spent at a dealership is 3 to 5 hours. You can see how this actually adds up to a waste of your time and money.

 If and when you finally negotiate a deal, add the dollar factor for your time spent to close the deal. Now, did you really save anything monetarily? My guess is you actually paid more for your vehicle and probably lost a little of your sanity!

 It’s not worth the headache or the waste of your valuable time. Find someone that will work with you personally and will close your next car deal while you take care of your daily life schedule.

 Most negotiators charge a flat rate fee for services. For example: to negotiate price and complete a deal for a 35,000 dollar vehicle will cost about $300 to $500. What a small price to pay to keep your sanity and spend a total of about 45 minutes to an hour at the dealership to sign the contract and drive home in your new car. A negotiator worth his or her salt, can actually help with financial advice and possibly direct you to a good source for “outside financing”.

 Next time take advantage of a negotiator, for the easiest car buy you have ever experienced. It really is the new way to purchase or lease your next car. If you live in Texas contact: www.texasautonegotiators.com. If not in Texas, look for someone locally or you can contact me at jim@texasautonegotiators.com or even right here at Ask The Car Buy Guy ( contact us ).

I have completed deals in Arkansas and Louisiana. The only problem is, I lose that personal touch that I establish with my customers when far from home. I’m a firm believer in being with a customer when they close their deal. Things happen and if you have a question, you need someone there that is looking out for your better interests. Oh, the stories I can tell! Some of these stories you may see published right here!!!

 If you have just now found this web page – WELCOME. If you have been following my page you will know that sometimes I have to blow off some steam. I call it VENTING! You also know that I follow the web and keep up with my competition.  It never fails, when I start doing something several people follow suit. They always have more ready cash to exploit their endeavors to you the public or consumer. I just pulled up a website that claims to be #1 on Google and Bing for car buying tips and negotiating. I will not print the name of the site here, but it is easy enough to find. If these jokers are number one, which actually they are, I can’t believe it. Their capture page is the poorest written hack I have ever read. This is the worst and best example of what lots of money can do for an idiot and a web page.

 I have written about it before and will do it again! The funniest thing I see on the web; car dealers that have web pages giving instruction in price negotiations and how to deal with a dealership. Lord knows, they have lots of money to get their page in the top ten of all search engines. Just so you have an idea of what I mean by money to work the web, here’s an example: When you search a key word with any search engine, you will be taken to a page showing the top ten websites for those keywords or phrases. The cost of this top ten listing can cost as much as $500.00 or more each month, to keep that position. Well, I guess my page will never be number one!!!

 The best bullshit I have seen is the #2 listing of almost every first page search engine directory for anything tagged about automobiles . “CarMax”

 CarMax is a national chain car dealership and growing every day. They are known as the no haggle car price dealer. Now, they have auto buying and negotiating tips for the average consumer on the web? BULLSHIT! They are a dealership and I’m soon to publish an article about the “GREAT “no haggle dealerships. But with deep pockets, they dominate search engine space, keeping you from finding real information pages such as this one! It’s a hard row to hoe, but I keep digging. Look, when it comes to car buying someone has to be on your side! It’s just gotten to be so difficult to determine who that is. I’m real, I’m every day and I’ve been in the trenches. I’m sorry about ranting and raving, but you need to know. To find out how real I am, email me at jim@askthecarbuyguy.com .  The response you will receive will be from me, not some set up auto responder email. In fact, what a great way to check out a web sites credentials; email them and see what you get in return. Let’s call it the email litmus test!

 The car salesman or salesperson to be politically correct, has such a stigma to work through, just to earn your trust! You arrive at the dealership and there he or she is to greet you. Are you afraid now and have you already thrown up your defenses? REALLY, there is no need. Today’s car salesmen are not of yesteryear! The sales people of today are usually mid twenties to thirties and just trying to make a living within a market that comes with many skeletons in the closet. Are there still DIRTBAGS out there? YES! But, most are just like you and I; just doing their best to put a roof over their families head and food on the table and pay the electric bill.

 Remember, these people are usually commission paid and how scary is this! If they do not produce sales, their income is a big fat zero!! If a sales person does not produce 10 car sales per month, the dealership will usually terminate their employment. Day by day, month by month is how these individuals live their lives. Let’s talk about stress!

 You probably do not realize the pay scale for these people. Usually the salesman will make a “mini” when they close a car deal. The mini in most cases is $100.00 total income and they just spent 3 to 5 hours, maybe days working with a customer to close the deal. I once calculated total time spent with a customer to close their car deal and put it into a dollar per hour rate. Unbelievable as it may be, I made $1.29 an hour. A $1.29, what happened to minimum wage? It’s called commission sales.

 Most sales people put in 10 to 12 hours a day, six days a week. Holidays really don’t mean anything except the dealership is going to run some stupid sales gimmick and they will be stuck working BELL to BELL!

 These web pages giving knowledge and advice to “BEAT the SALESMAN” or anything to that effect are STUPID! The problem is, these experts have either never been in car sales or they just forgot what a hard and stressful life it really can be!

 If you decide to do your own car negotiations, remember your salesman. He’s usually just a hard working individual, trying to just make a living. If he or she ends up being an asshole, say “BYE BYE “ to the idiot and find someone who is willing to work for you.

 I’m writing this article on the heels of Mazda recalling 215,000 vehicles. Bless their hearts, as we see, no auto builder is immune to the RECALL syndrome. Toyota can write reams about vehicle recalls and they continue to build a great vehicle! When you have a passion for vehicles as I do, you take nothing lightly. For several weeks, I have been doing a little undercover research on one particular vehicle. Before you laugh or think I’m crazy; do the research that I have. I’m just going to say it! My pick for 2011 model vehicle is Hyundai. There, I said it!

 Before you call me crazy, go and check any of their models out. They are quietly catching up to the BIG BOY’S. I actually foresee in the next couple of years a competition induced recall to try and slow their progress. The only thing that is holding these guys back is the fact that they have not received the acclaim of resale value. I actually see this fixing to change in the future.

 Every model has something to offer even the pickiest of car enthusiast. The factory warranty is fantastic and it’s just a good solid ride. Remember the Yugo? When Hyundai first hit the scene, they were actually compared by some people to the ill-fated Yugo. Hyundai has had a hard row to hoe and they have stuck in there, until they are now producing a quality machine. The great thing is the fact that they are priced for us average Joe’s. Quality with an affordable price tag, equals the best of both worlds to me.

 The main thing I found in my research is Hyundai dealerships and their sales people are genuinely eager to do business. I felt like I was appreciated as a customer and never felt like I was being taken advantage of. It’s a great feeling to know you can still buy a good quality, dependable vehicle for around $13,000.00. Plus, a vehicle that should laugh at 100,000 miles ( hell, it’s covered in thefactory warranty) and then  look forward to the next 100,000.

 Before you call me crazy, go and test drive the Hyundai of your choice. I think this will make you a believer. Also, check out their lease terms. If I’m not mistaken, I recently saw a lease commercial for a very affordable monthly rate and it was for 24 months, not the new bullshit 39 months that several other manufactures are doing right now.

 SERIOUS! Check them out. Afterwards come back here and leave your comments!!!! Hey, write me your own review and I will post it right here for others to read. Send your review to jim@askthecarbuyguy.com

 I recently went to visit my 92 year old father. When we get together, we discuss all the pertinent issues of the year. I was discussing with him my future thoughts for my business and what I had planned for the future. Dad said something that made me stop and think. What he said: “ I wish when I bought my last car, you would have been in business. I could have used your help to put my last deal together for me. Those of us in our 70’s and 80’s need help to make sure we are not taken advantage of, when dealing with large ticket items!”

 I began to think, you know, he’s right. As a salesman, I always enjoyed dealing with my retired customers. They were easy to deal with and they had great credit or they could pay cash. Unfortunately, some sales people see this generation as easy suckers. In the grasp of a certified con man they can be an easy target. This is so sad! Unfortunately, this age group is still trusting of the human race. I believe the trust factor begins to breakdown in the generations from age 60 and younger.

 I’m attempting to find a marketing media to reach these people and let them know there is someone out here with their better interest at heart. If anyone out there knows a good way to reach this age group to make them aware of my business, let me know. I just need to get the word out.

 Honesty is not something that is paid for, it is a characteristic that is earned through dedication and perseverance.