Ways to buy cars online

The internet can be used to your advantage to buy your next car, where it is new or used.  In this article we will look at two particular methods; the online quote request method and the online buying method.  More details can be found below;

Online Quote Request Method

Most online vehicle buying sites on the Internet do let you request a quote on the vehicle of your choice.  A local dealer does then respond with their price on the vehicle you have chosen with all the added options. Some sites do however allow you to look at dealer inventory before you place your quote request, but the number of dealers that do that are very few. Most sites do not show you or allow you to choose which dealer your prefer to quote your vehicle. Almost all sites use your zip code as the criteria for selecting the dealers to send the quote request to. Quote request sites will allow you to configure your selected car with the options you want (including exterior colour, wheel options, tinting, interior, etc.) and will probably show you the Recommended Retail Price and typical invoice price but you won't show you 'your price' (the eventual price you'll pay) up front.

Advantages

• you can find out who has the car actually on their lot without visiting or telephoning dealerships
• you don't have to haggle with dealers - you (should) get a guaranteed price in writing that the dealership (should) make available to you on the car you have selected
• you can quickly and easily request quotes on several sites allowing you to get an idea of the availability of your chosen car and what is a good price for it

Disadvantages

• you may have to supply more personal information than you really want to (phone number and address)
• interaction with the dealership will still be required
• independent financing may not be available (you may have to use the dealership financing unless you have your own arranged beforehand)
• and most importantly - because many dealerships see online buying as a threat to their livelihood - you may not receive a timely response or have a positive experience using the quote request method

Online Buying

Very few sites allow you to actually purchase a new car without leaving your home except for a trip to a dealership to pick up the car after the sale is finalized. The number of such sites is starting to grow as more and more buyers are using the internet as a means to buy their new car. It is hard to understand why more sites don't offer this complete service - especially since a hassle free, set price experience is what consumers have indicated they want when purchasing an automobile. Most of the sites that offer 'true online buying' quote you a price upfront - there is no waiting for a dealer to get back to you with their best price. Some sites allow you to complete financing documents at home before going to the dealer while others will have the prepared paper work ready for sign off when you pick up the car at the dealership. Most sites offer financing as part of the deal and some require a processing fee - usually deductible from the final price of the car - to get the search for your perfect car started.

Advantages

• You can expect to save money when buying online
• for those of you that have had unpleasant experiences dealing with salespeople, online buying offers a set price and no need to interact with dealers or their staff
• you get the car you want and don't have to resist high-pressure tactics to sell you extras you neither want or can afford
• saves valuable time that would have to be spent visiting dealerships looking for the car you want

Disadvantages

• You cannot test drive the car, therefore you may be disappointed with your car after purchase it and will have little recourse if you have bought it online
• Because not all dealerships are participating in online buying sites it may be more difficult to find the car you want
•  It may be difficult to negotiate a good trade-in price on your old car, as most dealers will require you to drive the car to the dealership for inspection