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Summer 2004

TM


“For those who want to make the BEST buy!”

This publication is sponsored by This publication is sponsored by

PRODUCED BY

INDEPENDENT DEALER SOLUTIONS & PRODUCED BY INDEPENDENT DEALER SOLUTIONS

Kevin R. Gallagher

801.796.7700 www.utahautosales.com DISCLAIMER: This publication is recommended as adequate for those who want to know how to buy a used car. It is intended as a guide for general information. You may wish to consult other information resources or legal counsel for any professional advice you may need. All parties hereto provide no guarantees or advice as to the accuracy of the information provided. All information may be subject to change. ©2007. THIS MAGAZINE IS DESIGNED AND PUBLISHED BY NEWSLETTERS INK CORP. 1.800.639.0465

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“For those who want to make the BEST buy!”

What can this

Used Car Buying Guide do for you? It will take the fear and risk out of buying a used car.

The goal of this publication is to ELIMINATE your FEARS, and put the FUN back into buying a vehicle. We will show you what TO do and what NOT to do when buying a used car.

Let us assist you: 1. Avoid getting into a vehicle that is NOT right for you. 2. Become informed so you can make the BEST buying decision possible. 3. Become an educated buyer - and reduce the risk for banks, credit unions and Þnance companies. 4. Evaluate value and security of buying from an independent dealer vs. a new car dealer or private party.

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“For those who want to make the BEST buy!”

BUYING RIGHT

is something to be

LEARNED How many times will you make these two buying decisions in the course of your lifetime?

Your

HOME APPRECIATING ASSET: Homes: You may buy (1-3) in a lifetime.

Your Every consumer makes 2 major buying decisions Your Home

fetime

DEPRECIATING NECESSITY: Vehicle: You may buy (20-40) in a lifetime.

-3) in a li

uy (1 ou may b Homes: Y ng Asset Appreciati

Your Vehicles

Vehicle: Y o

u may bu

Depreciati

y (20-40)

ng Neces

sity

VEHICLES

in a lifetim

e

HOMES: Investing in a home is just that...an investment. You want to buy right and the property usually appreciates while you own it.

VEHICLES: Most people will purchase 20-40 vehicles in a lifetime. Because they are depreciating necessities, they can gobble-up lots of money in a lifetime. You don’t want to pay more than you should for your vehicles because each vehicle purchase will depreciate every month that you own it.

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� Why is the YEAR of the vehicle a critical buying factor?

� What is the MILEAGE and CONDITION of the vehicle? They affect depreciation.

� Is the PRICE in alignment with the condition of the miles of the vehicle?

� What FINANCING options are available to you?

� Where should you BUY your vehicle? What are the RISKS and REWARDS?

Buying the RIGHT vehicle means buying... 1. At the right TIME 2. With the right MILEAGE 3. At the right PRICE 4. With the right FINANCING 5. At the right SOURCE 2007

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“For those who want to make the BEST buy!”

We will take each of these puzzle pieces ...

1. Buy at the right

2. Buy with the right

MILEAGE

TIME

5. Buy at the right

SOURCE

4. Buy with the right

3. Buy at the right

FINANCING

PRICE

and discuss them in the pages that follow.

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Buy at the RIGHT TIME.

Have you ever heard of the saying,

“Timing is Everything?”

It is especially the case with buying vehicles. Since the YEAR of the vehicle remains constant, knowing the right years to buy and sell your vehicle can be your

Biggest Savings factor.

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“For those who want to make the BEST buy!�

Buy at the RIGHT TIME.

This graph shows TWO factors affecting the best time to buy!

The Window of Opportunity is the shaded area representing the optimum time to purchase a newer-model used vehicle. When most Lease/Fleet/Rental vehicles are 1-3 years old they are sold at dealersonly auctions all across the country. When this happens in mass volume, the supply increases causing prices to drop. - This is the best time to buy that vehicle. Later, as fewer of those particular types of vehicles are available on the market, the VALUE of that vehicle will stay relatively LEVEL for the next 3-5 years.

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“For those who want to make the BEST buy!�

Buy with the RIGHT MILEAGE.

Condition and mileage affects depreciation. Here are ways that mileage affects depreciation: The Auto Industry Standard for yearly average mileage is 15,000 miles per year. 15,000 miles x 2 = 30,000 miles, which is exactly when most Leases/Fleet/ Rental cars are sold at dealer auctions. Most of these vehicles are still under Factory Warranty, thus increasing their value. Some powertrain warranties are as high as 10 years/100,000 miles. Question: Do Time and Miles remaining on a factory warranty increase the value of the vehicle? Answer:

YES! There is less risk to the buyer when they are purchasing a vehicle with some factory coverage left.

You can expect to pay $2,000-$4,000 more for a vehicle for ANY factory coverage remaining. This is WHY most Lease/Fleet/Rental companies dispose of their vehicles JUST BEFORE the factory warranties expire because they get more money. MILEAGE DISCLOSURE: Mileage disclosures are required for every vehicle up to 10 years old. The mileage must be disclosed in writing on the title document or attached documents. A vehicle cannot be sold by anyone without a working odometer.

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“For those who want to make the BEST buy!”

The following chart shows 3 major drops Buy with the RIGHT MILEAGE. in a vehicle’s value - ALL are based upon mileage.

* These drops in price are in addition to the normal depreciation.

Just like the Stock Market, the best time to buy a vehicle is just AFTER the price DROPS! Take advantage of this knowledge by: BUYING:

Just after a dramatic DROP in value, and

SELLING: JUST BEFORE THE NEXT drop.

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Buy at the RIGHT PRICE.

“The bitterness of poor quality lingers long after the sweetness of a cheap price is forgotten.” — Anonymous

Fair Value is greatly affected by the vehicle’s condition! To understand the market value, you need to understand the book value.

Start with the book value, such as NADA, Kelley Blue Book, Black Book or a book that is used in your state.

+/- Add-ons +/- Mileage - condition of vehicle = TRUE FAIR VALUE

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“For those who want to make the BEST buy!”

Buy at the RIGHT PRICE.

Compare PRICE, against overall CONDITION, & against the BOOK VALUE, ...Then NEGOTIATE! The condition of the vehicle can be your Biggest Negotiating Factor. You can determine the condition of a vehicle by using our Vehicle Condition checklist at the back of this book (page 29).

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Buy at the RIGHT PRICE.

“As Is” vs. Warranty

“Price is what you pay. Value is what you get.” — Warren Bufett

If you purchase a vehicle “As Is” you accept it in the condition that it is in. This typically means that you are responsible for all repairs and maintenance. If a customer experiences a mechanical breakdown many times, dealers will provide a goodwill service. Because they value you as a customer, they may help you with some repairs. The vehicle will still be “As Is.” The FTC Buyers Guide will disclose any warranty offered by the dealer. A warranty will cover certain components of the vehicle for a specific time and mileage, (i.e. 12 month 12,000 miles). Service contracts are available for an additional cost and are similar to a warranty covering certain components for a specific time and mileage. Read carefully any exclusions and limitations. Know what your responsibilities are for service and maintenance.

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“For those who want to make the BEST buy!�

Buy with the RIGHT FINANCING.

There are 7 factors to consider when financing a vehicle: ! Price " Taxes, license, registration, and document fees # Interest rate $ Term of the loan % Credit worthiness & Trade in ' Add-ons !

Price: The price is the actual cost of the vehicle that you have negotiated with the dealer. Price can vary greatly. An industry guidebook can give you an idea of price but may not be accurate due to many variables.

"

Tax, license, registration, and document fees: These are the fees added to the cost of the vehicle to get the vehicle registered and licensed in your name with the State. All license and registration fees are standard and should be the same for every dealer with the exception of Dealer Document fees, which can vary from dealer to dealer. The document fees cover the costs of processing all documents and title delivery requirements.

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“Capital can do nothing without the brains to direct it.”

Buy with the RIGHT FINANCING.

#

— J. Ogden Armour

Interest rate: This is the percentage rate that banks, credit unions or Þnance companies charge you to borrow the money you need to purchase the vehicle. This rate is determined by two things: a. The year of the vehicle: The newer the vehicle, the lower the rate. b. Your credit: The better your credit, the lower your interest rate.

When negotiating with the dealer, understand your credit, and be sure you are getting the best rate. Most dealers have an arrangement with their lending institutions to receive a small percentage of the total rate as a commission to process the loan document.

This is also another place to negotiate with the dealer! Be sure you pay the rate your credit deserves.

$

Term of the loan: This is the total number of months that the bank, credit union, or Þnance company will be willing to lend you the money, generally 60-72 months.

This is the biggest factor affecting your monthly payment. The longer the term, the lower your monthly payment will be. Conversely, the shorter the term of your loan, the more you will have to pay each month.

The lending institution determines the monthly payment you will qualify for once they see your debt-toincome ratio — All your Þxed monthly payments divided into your total gross income.

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“For those who want to make the BEST buy!”

Buy with the RIGHT FINANCING.

%

Credit worthiness: What does a bank, credit union, or Þnance company generally look for as an average minimum credit history? • One year job experience or same line of work for more than one year. • 3 credit references (minimum 6 months old with no late payments) • Your debt-to-income ratio should not exceed 40 percent.

Once you have established credit DON’T LOSE IT! It will haunt you for many years. Buy on credit ONLY if you can comfortably make your payments - this is one case where bigger is NOT better.

Most common credit report problems that prevent buyers from getting approval are: !(No credit is established - see Appendix A: Establishing Credit. (page 27) " 30-day late payments - Don’t be late on loans! All delinquencies will stay on your credit for 7 years. Just one derogatory report can greatly affect your credit score. # Collections - All collections must be paid before new loans will be granted. Avoid these problems like the plague.

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Buy with the RIGHT FINANCING.

&

Trade in: This is the amount of money that the dealer is willing to allow for the vehicle you are trading in. It is important to remember that the dealer is buying your vehicle to resell to someone else. You should not expect them to buy your trade in for any more than whatever they could sell it for.

Reasons to trade a vehicle: a. You will receive a tax savings on your new purchase. b. You will not have to try and sell it on your own.

Tips for trading-in a vehicle: a. First, negotiate the price of the vehicle you want to purchase before telling the dealer you have a trade-in. b. Be sure your trade-in is clean - remember you are trying to sell your vehicle. c. Know what your car’s loan payoff is before going to the dealer. d. Know what the “market price” is on your trade-in, and what you could sell it for. e. Some dealers may offer you a trade/consignment program. This allows you the tax savings of your trade-in that goes towards your new vehicle while possibly getting more money on the sale of your vehicle when the dealer sells it. f. Remember a vehicle’s value has a lot to do with its ability to be Þnanced, keep that in mind on your trade in. Vehicles older than 6 years old have a tougher time getting Þnanced.

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“For those who want to make the BEST buy!”

“Whatever you have, spend less.” — Samuel Johnson

Buy with the RIGHT FINANCING.

'

Add-ons: A. GAP Insurance: GAP Insurance is important to consider. In the event that you “total” your vehicle, or it gets stolen and not recovered, your full-coverage insurance will only pay you a percentage of the full value of the vehicle - leaving you with a loan balance to pay off. This balance can range from $1-$7,000. GAP Insurance pays the loan off (up to 150 percent of retail book value) and may provide you $1,000 towards the purchase of another vehicle.

B. After Factory Service Contracts: Many 3rd party service contracts are available. Be sure to Þnd one that covers as much of the major mechanical components as possible. You also want to do some homework and Þnd out if they are insured and how well they pay their claims. Read the contract carefully and ask questions.

C. Credit, Disability, and Life Insurance: This insurance will pay off your car if you become disabled or if you die. This is important to consider if your car payment would create a Þnancial burden to your loved ones.

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“For those who want to make the BEST buy!”

Many say, “I wouldn’t have done it, if only I would have known.”

Buy with the RIGHT FINANCING.

REPO - Repercussions! “The Repo-cycle”

Owe The Balance

30 Days Late

Your credit is shot 30,60, 90-day late Repossession Judgement Garnish Wages Still Owe Debt No Car Sell Car - Auction

90 Days Repo

What happens if your vehicle is repossessed? •

The late payments will show on your credit report.

The collection will show on your credit report.

The judgement will show on your credit report.

The garnishment of your wages will show on your credit report.

The repossession will show on your credit report.

AND you’ll still owe the remainder of the loan. IT’S NOT WORTH IT!

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“For those who want to make the BEST buy!”

Buy at the RIGHT SOURCE.

WHERE TO BUY: You have two options - to buy from an individual

or a dealer.

Buying from an INDIVIDUAL: ADVANTAGES: A desperate seller may offer a better price. An individual may not know the market value of their car. A friend or relative may offer you a better deal. You may learn the history if you are buying from the original owner.

DISADVANTAGES: No assistance with Þnancing. Risky - no recourse if you have problems. The vehicle emissions and inspection have to be done yourself. You’ll have to wait in line at the DMV to get the vehicle registered. No warranties or guarantees. No trade-ins accepted. May be stolen, rebuilt, or have odometer tampering. No way to trace owner on open title. If you purchase from an individual be sure to verify the owner is the person selling the vehicle. Check the title to be sure the seller’s name appears on the title. If their name is not on the title, it could be stolen, rebuilt or have other problems.

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“For those who want to make the BEST buy!”

Buy at the RIGHT SOURCE.

WHERE TO PURCHASE YOUR NEXT CAR: You can get a very different value for the same car! Buying from a DEALER: ADVANTAGES: Larger selection. Accepts trade-ins. Licensed and bonded. Warranties offered. Vehicle emissions and inspections completed. Licensing, registration, and plating done for you. Offers many options to assist with Þnancing. Saves tax dollars.

DISADVANTAGES: May still be risky. If you go to the RIGHT PLACE, and you know how to BUY RIGHT, you can take ALL the risks out of buying from a dealer.

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“For those who want to make the BEST buy!”

Buy at the RIGHT SOURCE.

TO TRADE: How to get TOP DOLLAR from your trade-in: Negotiate the new vehicle, THEN talk about your trade-in. Do your homework - check papers and Internet for current market pricing. Watch Out - Some dealers will offer you the “moon” for your trade, but be sure to check how much more you are paying for your newly purchased vehicle.

OR NOT TO TRADE: Should you choose not to trade in your vehicle, here are some ideas that can help you market the vehicle yourself: Place an ad in the newspaper. List your vehicle on a few websites. Generally it is quite inexpensive. Clean and detail your car prior to showing it. Make a list of the “best features.” Establish a price that you will not go below and stick to it. Put your car on a dealership’s lot on consignment.

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“For those who want to make the BEST buy!”

Buy at the RIGHT SOURCE.

Saving Time & Money Using The Internet - Where to look LOOKING FOR VEHICLES:

KSLCARS.COM

Largest selection of dealers.

AUTOTRADER.COM

Largest selection of individuals’ vehicles.

EBAY

Very easy to use. Links available to most dealers’ websites. Updated daily.

LOOKING FOR INFORMATION:

CARFAX

Most accurate & up-to-date vehicle history info.

AUTOCHECK.COM

Easy to use. Updated daily. This site is used by many dealers and auctions.

LOOKING FOR BOOK VALUES:

NADA.COM

Up-to-date book values on any vehicle.

KBB.COM

Updated regularly. There is a difference between NADA and Kelley Blue Book on vehicles! This site is used by many dealers and auctions.

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“For those who want to make the BEST buy!”

A Dealer should EARN your business The Top 10 -Dealer Questions You should know these answers BEFORE selecting a Dealer �

DO THEY have enough selection to get what you’re looking for?

DO THEY attempt to Þnd you the vehicle that you are looking for?

DO THEY accept trade-ins? Reasonably priced?

DO THEY sell their vehicles in relation to “Book” prices?

DO THEY Certify their vehicles & guarantee their certiÞcations?

DO THEY Guarantee the vehicle after the purchase? How long?

DO THEY offer an Extended Warranty? Reasonably priced?

DO THEY offer you any Special Financing Options?

DO THEY have any customers that you know, who are satisÞed?

DO THEY allow you to return or trade the vehicle back in if you are not satisÞed or Þnd one cheaper somewhere else?

Ask yourself: “Do they take the risks, or do YOU?” If the dealer does ALL of the above, only then have they EARNED “a shot” at your business. You should know that dealers: Are not alike. Have different costs. Have different overhead. Have different philosophies.

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Congratulations! You are now equipped with knowledge that most customers don’t have! You are now prepared to purchase your next vehicle. If you put together and implement ALL the puzzle pieces, you will have a great-car buying experience - and you deserve it! 1. Buy at the right

2. Buy with the right

TIME

MILEAGE 5. Buy at the right

SOURCE 3. Buy at the right

4. Buy with the right

PRICE

FINANCING

Be sure to use the Dealer Checklist on the previous page, and use the Vehicle Condition Checklist that follows (page 29) - these are useful tools.

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“For those who want to make the BEST buy!”

Typical documents when purchasing a vehicle. MOTOR VEHICLE CONTRACT OF SALE - Outlines the information about you, the vehicle, and the purchase price. It should itemize all charges for the vehicle. It also declares who is responsible for financing. You always have the option to finance or pay cash or the dealer can assist you. Be sure to read all the terms on the front and back. ODOMETER DISCLOSURE - You are entitled to see the mileage on the vehicle you are purchasing. It will be on a title, reassignment of title, secure power of attorney or an odometer statement. PRIVACY NOTICE - This allows a dealer to collect non public personal information. This can only be shared with those authorized businesses to complete the sale and service of vehicles. AUTHORIZATION FOR PAYOFF - Allows a dealer to receive information about your trade-in and be able to pay it off. APPLICATION FOR TITLE - This designates new ownership and how the vehicle is to be registered. Always check for accuracy. BUYER GUIDE - Declares any warranty offered or sold. As-is vehicles sold DO NOT have a 3 day right of return unless the dealer offers something different. IMPLIED WARRANTY DISCLOSURE - All promises of performance or fit for use must be put in writing. Any offers or declarations must be in writing. Any offers or declarations are not enforceable unless put in writing Carefully review all paperwork and ask questions if you don’t understand, take your time and do it right.

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“For those who want to make the BEST buy!”

APPENDIX: A How to Establish Credit 1. 2.

You need to get a loan or credit card You need to make your monthly payments on time

It’s that simple…or is it?

THE BIG QUESTION: WHO WILL GIVE YOU CREDIT IF YOU DON’T HAVE ANY CREDIT HISTORY? Generally, you have a few options:

1.

Most large furniture and appliance stores will extend credit to first time buyers with 50 percent down. An easy way to get started is to buy something very inexpensive - $100 - $300. Give the 50 percent down and finance the balance. Your monthly payment will be $10 - $15 per month. Be sure not to pay it off for at least 6 months to one year. This will give you a monthly payment history on your credit report.

2.

Go to your local bank or credit union and ask them for a secured credit card. Generally, most banks or credit unions will issue a card against a savings deposit. This can be $300 - $1000 credit line on your card. Once you have the card, use it to buy something. Then make minimum monthly payments for at least 6 months to a year. This will give you another monthly credit history on your credit report.

3.

Ask a parent or relative to add you to their next loan as a cosigner to them. This will not affect them in any way. However, it will greatly help in establishing your credit, without you having to buy anything. CAUTION: Be sure they are making payments on time, or it will negatively affect your credit.

4.

The only other option is to get a cosigner. Ask them to cosign for a limited time. They need to cosign long enough for you to establish a payment history of 6 months to a year. Then refinance in your name only.

Remember, banks and credit unions are looking for a credit history of 3 or more accounts with a track record of payments being made 6 months to one year. To get started establishing credit, use as many of the listed options at one time and then make the payments on time. CAUTION: Avoid first-time buyer high interest loans from companies that will finance anyone. These loans will generally be set up so you will be paying 100 percent of the interest FIRST before you begin paying down any of the principle of the loan.

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“For those who want to make the BEST buy!”

APPENDIX: B How to Clean up Your Credit Report It takes some work, but it can be cleaned! 1.

You need to get a copy of your credit report from all three credit agencies. Be sure ALL corrections and changes are made to all three agencies at the same time.

2.

Once you have your credit reports, review them to see what is showing up on your credit. If you dispute anything that is either not correct or if something is listed that should not be on your credit report, contact each agency in writing. Follow up every two weeks until you get a response from them. Generally, credit agencies will respond within 30 days. Once a credit agency has confirmed that your dispute has been corrected in writing, take that copy and mail it to the other agencies so they will remove the dispute from their records too.

3.

If you have collection, charge offs, or judgments, they cannot be removed until they are paid. In most cases these are small bills affecting your credit in a large, negative way. To have these removed, pay them off with a cashier’s check or money order. Take a copy of your payoff and mail it to ALL three agencies with a copy of a letter you mailed with your payment to the creditor. This letter should be a very kind letter explaining why you got behind and asking them to accept payment and have it removed from your credit. Some will just list it as paid, while others will actually remove it totally from your credit report. Be kind and persistent and they will remove it.

4.

If you have a repossession or bankruptcy, these will generally remain on your credit for 7 – 10 years. The only thing you can do is to write a letter of explanation as to the reason for the repossession or bankruptcy and mail it to all three agencies. They will keep this letter in your file and will give it to future creditors upon request. You should also copy this letter and give it to anyone you are asking to extend you credit.

YOUR CREDIT IS AN ASSET TO YOU! CLEAN IT UP AND KEEP IT CLEAN!

APPENDIX: C Understanding Your Credit Report Where does it come from? How does it work? There are 3 national agencies: 1. Experian (formerly TRW) – P.O. Box 2002, Allen, TX 75013, 1-888-397-3742 2. Equifax, PO Box 740241, Atlanta, GA 30374-0241, 1-800-685-1111 3. Trans Union, PO BOX 100, Chester, PA 19022, 1-800-916-8800 Note: If you have something removed from your credit report with one agency, be sure to request the change of that same correction with ALL 3 agencies.

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APPENDIX: D Vehicle Condition Checklist Use the vehicle condition checklist to evaluate any used car you are considering to buy. Remember, you are buying a used vehicle, NOT NEW. So don’t expect it to be perfect, or if you do – expect to pay full price. However, use the checklist to find things you can use to better negotiate the price in relationship to the book value.

BASIC TIPS: � � � �

Always try to inspect the vehicle during the day when you can see more clearly. Never buy in the rain. Take time to perform an inspection to your satisfaction. Don’t hurry yourself or be rushed. Compare the price against the overall condition and book values. Test drive with the radio off and listen.

EXTERIOR: � Check all the seams where doors and fenders meet to be sure they are even and straight. � Check all the seams where the hood and trunk meet the fenders to be sure they are even and straight. � Check to see if the car has recently been repainted by looking for signs of “over-spray” on the moldings. Also, check the edges of the trunk to be sure they are the same color. Fresh paint may cover rust that will continue to erode. � Check all the windows for cracks or chips. � Check all the doors and locks to be sure they are all working properly.

INTERIOR: � � � � � � � � � � �

Check the upholstery to be sure it is in good condition. Look for tears, stains, and burns. Check the dashboard and headliners for rips and tears. Be sure the seats adjust easily. Check all the window cranks, door locks, handles, dash controls, and similar items for missing knobs and buttons. Check all interior lights and dash bulbs to be sure they all work. Check the carpet condition to see if it matches the age of the vehicle. Check under the dash at the top of the carpet. Are there stains suggesting heater core or air conditioning leaks? Check in glove box for any previous owner information or service receipts. Check pedals, visors, and mirrors. Check all safety restraints to be sure they are working properly. Check all accessories, such as heater, air conditioner, audio systems, and alarm system to ensure each is working properly.

UNDER THE VEHICLE: � Check for fluid on the underside of the engine and transmission, at axle ends, at brake line connections, and on the ground beneath the vehicle. Green fluid is usually antifreeze and reddish fluid is usually transmission, engine oil, or brake fluid. � Check for any loose parts with the exception of exhaust pipes hung from flexible rubber “donuts.” � Check to see if anything appears to be missing, such as bolts, clamps, brackets, or cables. � Check to see if exhaust system parts are rusted. � Check for marks from scrapes – this is an indication that the car has bottomed-out on rocks or pavement. � Examine exhaust when the car is operating at normal temperature. Do you see white or blue smoke? A small amount of steam or condensation is normal.

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PERFORMANCE: ASK YOURSELF THESE QUESTIONS ENGINE: � � � � � � � � � �

Does the engine start easily? Does the engine stall at any time? Does the engine idle smoothly? Does the engine run smoothly during operation? Does the engine seem to lack power? If the vehicle has cruise control, do all the features work correctly? Do engine and other system warning lights appear? Does the engine diesel (continue running and sputtering) when shut off ? While driving, check odometer and speedometer to be sure they are both working properly. Drive the vehicle at freeway speeds to check for pulling and/or vibrations and wind noises.

TRANSMISSION AND CLUTCH: � Is the transmission shifting smoothly? � On a manual shift vehicle, is the takeoff smooth – without grabbing or jerking? � On a manual shift vehicle, accelerate hard in a higher gear (third or fourth) or while going uphill. If engine RPMs rise without corresponding increase in vehicle speed, the clutch could be slipping. It may need to be adjusted or replaced. � On a manual shift vehicle, try shifting to a lower gear when going slowly. Does the transmission shift easily without grinding?

4-WHEEL DRIVE: � Engage 4-wheel drive only on soft surfaces unless owner’s manual specifically says the feature can be used on hard surfaced roads. On suitable surface, test-drive the vehicle forward and backward with the 4-wheel drive engaged. � Does the vehicle shift smoothly in both directions? � Turn tight corners to the right and left. Are there clunking sounds or other noises? � Do the wheels bind or pull whether turning or going straight? A normal 4x4 will bind when turning.

BRAKES: � Apply the brakes several times at different speeds. Also try a sudden stop. Does the vehicle pull to one side or the other when brakes are applied? � Do the brakes stop the vehicle adequately? � If the vehicle has antilock brakes (ABS), try stopping suddenly. Do the wheels lock? A pulsing brake pedal is normal. � Does the parking brake hold firmly and release completely?

STEERING: � � � �

Does the vehicle pull to one side during normal operation? Is steering difficult at any speed? Turn sharply in both directions. Do you hear clunking or other noises, or feel rubbing or binding? Does the vehicle shake or vibrate while moving? Take the vehicle up to freeway speed for this test.

OTHER CONCERNS: � Are the miles “actual”, in excess of mechanical limits or odometer discrepancy? � Does the vehicle have a clean title? Knowing this information on any vehicle will help you negotiate your best price!

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NOTES:

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A Division of Wayne Jones Co Inc. Since 1978

“Quality Solutions Dealers Trust” 10 North State, Lindon, Utah 84042

801.796.7700 www.idsinfo.com

www.utahautosales.com


Used Car Buying Guide