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B
Students will understand options
and practices for meeting
transportation needs.

6.02-B “Choosing the Right
Vehicle”

  Source
  www.AAA.com December 2011
Factors to Consider Before
Purchasing
 Determine what is affordable for you
 Evaluate your driving habits
 List needed features
 Consider vehicle depreciation costs
 Will you buy New or “new to you”?
What Can You
Afford?
  Value of your trade-in
  Amount of down payment
  Budget $ available for
     ◦ Monthly installment payments or
     ◦ Monthly lease installment
     ◦ Lump sum payment for vehicle
  Investment financing options
  Insurance costs
Evaluate Your Driving
Habits
      How will vehicle be used?
       ◦ What types of trips will be most frequent?
         Local Short distance…will Electric car work?
       ◦ How many passengers will vehicle need to
         carry?
       ◦ How much cargo space is needed?
         Need trunk to lock
         Open storage (pickup truck)
       ◦ Will vehicle be mostly on 4 lane highways?
         Weather/geographic conditions? snow, mountains,
          gravel/muddy roads
       ◦ Where will you park at home/work?
List of Needed Features
   Needed or Wanted?
    ◦ Seating
    ◦ Cargo space
    ◦ Fuel economy
    ◦ Commute –Electric- MPG
    ◦ Style: 2 door, 4 door, 2WD, 4WD, sedan,
      truck, SUV
    ◦ Safety features
    ◦ Specialty or convenience: GPS, CD
      player, DVD player, Sirius radio
Consider Depreciation Costs
   Biggest yearly expense for new cars is DEPRECIATION
   Consider a model that has a track record of holding its
    value for longer
   Research how much models depreciate within the first 5
    years
New or “New to You”?
                Will you buy NEW or NEW to YOU vehicles?
                    Both have Benefits & Detriments
    Consumer must weigh options and related costs to make best decision.

   New Vehicle
    ◦ Higher pricing
    ◦ Possible purchase
      incentives-rebates,
      gas for year bonuses,
      etc.
    ◦ Longer & broader
      warranties
    ◦ Wider variety of units
      available
    ◦ More variety in
      features
    ◦ Can order “custom”
      from factory
New or “New to You”?
            Will you buy NEW or NEW to YOU vehicles?
                Both have Benefits & Detriments
Consumer must weigh options and related costs to make best decision.

                                      New to You
                                       ◦   Lower pricing
                                       ◦   Less buying incentives
                                       ◦   Warranties more limited
                                       ◦   Harder to find desired
                                           vehicle & features
                                       ◦   Less choices widely
                                           available
                                       ◦   Search longer to find
                                           desired vehicle
                                       ◦   More maintenance due to
                                           age & prior usage
                                       ◦   Get inspection to ensure
                                           quality and performance
WARRANTIES &
MAINTENANCE
   Review Warranty      Investigate
    ◦ Length              maintenance costs
    ◦ Coverage            ◦ Check with an auto
    ◦ Limitations           repair shop ( a
                            reputable or trusted
                            mechanic) for
                            estimated costs of
                             Fluids-oil changes, etc.
                             Parts-tires, batteries,
                              etc.
                             Other repair items
                             Overall value of vehicle
                             Check out major
                              components-engine,
                              4WD
INVESTIGATE SAFETY
    RATINGS
 Check with National
  Highway Traffic Safety
  Administration
  (NHTSA)
 www.SafeCar.gov            # of airbags
 Insurance Institute for    Vehicle “roll” factor
  Highway Safety (IIHS)
                             If using car seat,
 www.IIHS.org/Ratings        chek out access to
                              vehicle’s LATCH
                              system
SEEK RECOMMENDATIONS
   Recommendations
                 Reviews
                         ◦ Check webwsites for
    ◦   Ask friends        expert opinions or reviews
    ◦   Ask family       ◦ www.AAA.com/autosales
    ◦   Ask colleagues   ◦ www.AAA.com/Go , click
    ◦   Ask your mechanic “On New Cars”
DON’T LIMIT CHOICES
 Don’t get stuck on
  one vehicle that
  you can’t live
  without!
 Be flexible to get
  more negotiating
  room with seller
 Check out vehicles
  that meet your
  needs

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6.02 c perf-choosing_right_vehicle

  • 1. B Students will understand options and practices for meeting transportation needs. 6.02-B “Choosing the Right Vehicle” Source www.AAA.com December 2011
  • 2. Factors to Consider Before Purchasing  Determine what is affordable for you  Evaluate your driving habits  List needed features  Consider vehicle depreciation costs  Will you buy New or “new to you”?
  • 3. What Can You Afford?  Value of your trade-in  Amount of down payment  Budget $ available for ◦ Monthly installment payments or ◦ Monthly lease installment ◦ Lump sum payment for vehicle  Investment financing options  Insurance costs
  • 4. Evaluate Your Driving Habits  How will vehicle be used? ◦ What types of trips will be most frequent?  Local Short distance…will Electric car work? ◦ How many passengers will vehicle need to carry? ◦ How much cargo space is needed?  Need trunk to lock  Open storage (pickup truck) ◦ Will vehicle be mostly on 4 lane highways?  Weather/geographic conditions? snow, mountains, gravel/muddy roads ◦ Where will you park at home/work?
  • 5. List of Needed Features  Needed or Wanted? ◦ Seating ◦ Cargo space ◦ Fuel economy ◦ Commute –Electric- MPG ◦ Style: 2 door, 4 door, 2WD, 4WD, sedan, truck, SUV ◦ Safety features ◦ Specialty or convenience: GPS, CD player, DVD player, Sirius radio
  • 6. Consider Depreciation Costs  Biggest yearly expense for new cars is DEPRECIATION  Consider a model that has a track record of holding its value for longer  Research how much models depreciate within the first 5 years
  • 7. New or “New to You”? Will you buy NEW or NEW to YOU vehicles? Both have Benefits & Detriments Consumer must weigh options and related costs to make best decision.  New Vehicle ◦ Higher pricing ◦ Possible purchase incentives-rebates, gas for year bonuses, etc. ◦ Longer & broader warranties ◦ Wider variety of units available ◦ More variety in features ◦ Can order “custom” from factory
  • 8. New or “New to You”? Will you buy NEW or NEW to YOU vehicles? Both have Benefits & Detriments Consumer must weigh options and related costs to make best decision.  New to You ◦ Lower pricing ◦ Less buying incentives ◦ Warranties more limited ◦ Harder to find desired vehicle & features ◦ Less choices widely available ◦ Search longer to find desired vehicle ◦ More maintenance due to age & prior usage ◦ Get inspection to ensure quality and performance
  • 9. WARRANTIES & MAINTENANCE  Review Warranty  Investigate ◦ Length maintenance costs ◦ Coverage ◦ Check with an auto ◦ Limitations repair shop ( a reputable or trusted mechanic) for estimated costs of  Fluids-oil changes, etc.  Parts-tires, batteries, etc.  Other repair items  Overall value of vehicle  Check out major components-engine, 4WD
  • 10. INVESTIGATE SAFETY RATINGS  Check with National Highway Traffic Safety Administration (NHTSA)  www.SafeCar.gov  # of airbags  Insurance Institute for  Vehicle “roll” factor Highway Safety (IIHS)  If using car seat,  www.IIHS.org/Ratings chek out access to vehicle’s LATCH system
  • 11. SEEK RECOMMENDATIONS  Recommendations  Reviews ◦ Check webwsites for ◦ Ask friends expert opinions or reviews ◦ Ask family ◦ www.AAA.com/autosales ◦ Ask colleagues ◦ www.AAA.com/Go , click ◦ Ask your mechanic “On New Cars”
  • 12. DON’T LIMIT CHOICES  Don’t get stuck on one vehicle that you can’t live without!  Be flexible to get more negotiating room with seller  Check out vehicles that meet your needs