Yes. It is a pain to think about how much you really pay. Try going a credit union to get pre approved. Then work under that amount. Stay away from their finance lenders if possible. They may give you more money, but the internet rate will get you. You may have to get used, but even a good used car about 4 years old can be nicely equipped.
Good advice, but some lenders (especially dealing with customers with poor credit) will tie approval to the vehicle. For example, When I bought my 2004 Chevrolet Aveo in 2007, there were similarly priced cars, and cheaper cars, on the lot. The only car they would put me in was the Aveo, because it had warranty left, and higher resale value.
It's also worth noting here that when I bought the Fit, I had originally applied for a 2008 Fit. The bank said no. The finance manager approached them about a 2007 Fit similarly equipped (except that it was an automatic), and the bank said yes to that, but with a down payment, 20% interest, seven year term, and the 450 per month I noted earlier. I had already agreed to it, but the finance manager didn't like the numbers, so he went back to the bank, and they accepted a brand new Fit for half the interest rate, no down payment, same monthly payment, and same term. I took the new car.
From the second experience that I mentioned, I get two lessons. First, financially you are (maybe not guaranteed) better off to buy new, because new cars, even though they cost more to buy up front, will finance for a lower interest rate, which saves you money. Second, it pays to go through the dealer's finance office (or can). If I'd gone to the bank, I wouldn't have gotten the car I got. If I'd gone to the bank, I would have had to accept their terms.
Welcome Visitor! Please take a few seconds and Register
for our forum. Even if you don't want to post, you can still 'Like' and react to posts. 
