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Learn... Plan... Buy a Vehicle!

Steps to Vehicle Purchase
  Step 1 - Review your budget
  Step 2 - Determine your down payment
  Step 3 - Price your trade-in
  Step 4 - Check loan rates
  Step 5 - Research your vehicle choices
  Step 6 - Check out your vehicle choices
  Step 7 - Get competitive bids
  Step 8 - Prepare for the purchase
Calculators
  "How much vehicle can I afford?" (Wachovia)
  How much will my monthly payments be? (State Farm)
Tools
  "How much will the insurance cost? " (InsWeb)
  "How much will the insurance cost? " (Insurance.com)
  Check current lending rates at Bankrate
  Research your car (Edmunds, MSNAutos, or USAToday)
  For a used car, check its history at CarFax.com
  Visit online lenders at E-Loan and Capital One Finance
Research your vehicle choices

Visit Edmunds, MSNAutos or USAToday to retrieve a list of cars that meet your price and needs. You can search cars by year, vehicle type, and price range. The results, which are a little different on each site, include photos and key information for each model, including its TMV (true market value), MSRP and Invoice price. MSRP is the suggested retail price, while the Invoice price is what the dealer pays for the vehicle before rebates and other incentives. You can also request multiple price quotes from local dealers. Another web site that offers similar services, including exclusive online services for members, is AAA.

If you are considering a pre-owned vehicle, try and get the VIN (vehicle identification number) so you can check its history at CarFax. You can order a single report for $19.99 or an unlimited number of vehicle reports for $24.99. It's a great investment to make sure that you are buying a vehicle previously damaged in a flood or a serious accident.

Once you've narrowed your choice to a few models, you might also wish to compare the cars' track records. Visit the National Highway Traffic and Safety Administration Web site for information on recalls and crash tests, and check the Insurance Institute for Highway Safety Web site for rankings on injury, collision and theft losses. The IIHS also offers more information on shopping for a safer car. The Federal Trade Commission offers advice for the consumer interested in a new car or a used car. Another good site, especially if you want vehicle reviews, buyers guides and and even daily news about the automotive industry, is the CarConnection.

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