Everyone has heard about the greasy car salesman who will do just about anything to make more money off of unsuspecting consumers. While not all car salesmen are dishonest, as a first time buyer, you need to be aware of their slick scams and smooth lines because they can end up costing you thousands of dollars in the long run. So how exactly do some car salesmen try to pull the wool over your eyes? Well, they have plenty of tricks up their sleeves to swindle inexperienced buyers out of more money. Check out the list below for things that you should watch out for.

It’s Not You, It’s Your Score…
In general, it is easier to avoid the run around from the dealer by securing your loan through your credit union. However, if you choose to get your loan through the car dealership, be aware that they may try to work more money out of you by playing with the numbers on your credit score. Before you begin discussing the financing with the car salesman you should already have a general idea of what your credit score is so that he/she cannot pressure you into paying outrageous interest rates. If you don’t know your credit score, you can find out by contacting one of the three credit reporting agencies, Equifax, Experian or TransUnion (keep in mind that you only receive 1 free credit report every year). Go on line and do a search for any of these three companies to find their contact information.

The Numbers Game
You’ll find that car salesmen love to play the Numbers Game. Salesmen will try to get you to buy a car without considering the ultimate cost or the interest rate. With statements like, “I can get you into that car for $200 a month,” you’ll be hard pressed to say no. What the sales man doesn’t tell you is that a “great, low, monthly payment” usually means a high interest rate or a long term loan. Either way, what originally looked like a great deal for you, actually turns out to benefit the dealer. You can use the loan calculator on the CU Succeed website to determine what an appropriate monthly payment for your loan should be. In addition to doing your loan research, there are several other steps you can take to avoid being fooled by the number game. Start by figuring out how much car you can afford before you go to the dealership. When it comes time to begin negotiating, make sure that you only negotiate for the price of the car, and avoid negotiating the price of your trade in or the details of the financing, until after you have established the price of the vehicle. Remember, the dealer may simply shuffle the numbers until you think your getting a better deal.

So No One Told You That the Sticker Can be Peeled Off?
The M.S.R.P, or the Manufacturer’s Suggested Retail Price, is the price that you see on the sticker in the window of each car. This price is not set in stone, and as a buyer it is really not that important. The M.S.R.P is simply the marked up price that the retailer wants for their car. In order to get the best bargain for the vehicle you need to know the invoice price, or how much the dealer paid for it (not counting dealer incentives). You are more likely to get a better deal if you are working up from the invoice price, rather than down from the M.S.R.P. You can go to http://autos.msn.com to research the invoice price of the cars that interest you.

Gap Insurance…without it you could turn into a fish!
Sure, gap insurance can be very useful, and is often a good investment. However, if you are interested in purchasing gap insurance, go through your credit union or your auto insurance company. Often times, dealers will charge you twice as much for gap insurance than your insurance agent or your credit union. They try to convince you that gap insurance is a necessity for your new car. In reality, it is basically just a safety net should you be unfortunate enough to have an accident early on in your period of ownership.

When Was The Last Time YOU Got Paid $300 an Hour?
The companies that manufacture your car typically pay the dealer to perform the pre-delivery service. This is an easy operation that includes removing the plastic from the seats, washing and vacuuming the vehicle, topping off the fluids and preparing the car for sale. Typically it takes about two hours for the dealer to complete the pre-delivery service. Often times you will find that dealers try to charge you for this service. Bear in mind that the dealer has already been paid for the pre-delivery service, and thus by charging you, they get paid twice. Not to mention that they usually charge you around 600 bucks! Now, when was the last time you heard of anyone getting paid $300 an hour?