Friday, September 7, 2001

Fall most affordable time of year to buy new cars
James Zwilling
Staff Reporter

Clearance sales at most Dallas-Fort Worth area car dealerships are sending people to the lots in large numbers, said Malina Sutton, a salesperson at Don Davis Jeep in Fort Worth said.

Fall is always a good time to purchase a new car because dealerships are making room for next year’s models, she said.

“It you’re looking at 2001 models, when 2002 models are coming out, you’re going to get a good price,” Sutton said.

Some 2002 models are already available at most dealerships.

Sutton said one of the main goals of salespersons is to get people matched up with the car that is right for them.

“Our job is to help find the car that our customers want,” Sutton said. “We listen to what their needs are and find out how they expect their new automobile to perform.”

What may or may not be the right car for a certain person depends on anything from the right color and options, to the right price, Sutton said.

“We decide on a price and then leave financing between the finance department and the person purchasing the car,” she said.

Sutton said most dealerships have the ability to negotiate prices to a certain extent, but there is only so far they will be willing to go.

“We do realize that people do have budgets, especially college kids, but just like any other product, there is a percentage we need to get back on the car,” Sutton said.
One option for people wishing to purchase a car, Sutton said, is to work out the financing before even stepping foot on the lot.

People can visit a financing department at a dealership first or obtain a loan from a bank so that they know exactly what they can afford to spend, before choosing a vehicle, she said.

J.P. Moly, a Compass Bank finance officer, said students need to be realistic when it comes to obtaining a car loan.

“If you are a student, and you make $18,000 a year, you are not going to be able to just walk into a bank and get a loan,” Moly said. “You’re going to need a co-signer.”

Having a co-signer does not mean that the loan will not be in the student’s name, Moly said.

“The student would still be the primary name on the loan,” he said. “The co-signer is just there to make sure that the payment could be covered by someone else besides the student.”

Moly said people need to be prepared when they decide to apply for a loan.

“You need to make sure you have all of your financial information in order,” he said.

“Have all of your credit card numbers, know the balances on those accounts, know how much money you pay each month in rent and bring some proof of any type of collateral that you may have.”

Compass Bank has fixed interest rate for car loans, which means that people either get the loan at that rate, or they don’t get it at all, Moly said. However, some banks and most dealerships will negotiate interest rates with the purchaser, he said.

“This may sound like a good idea to students who do not want a co-signer, but when you get high interest rates, that’s when you get into trouble with debt,” Moly said. “It’s just not a smart decision. Why would you want to pay thousands of dollars more for a car than it is actually worth?”

James Zwilling
j.g.zwilling@student.tcu.edu