The document provides tips for consumers to consider when choosing a new vehicle, including determining their budget and driving needs, researching safety ratings and maintenance costs, seeking recommendations, and maintaining flexibility in their options. Key factors discussed are evaluating driving habits, listing required features, comparing new versus used vehicles, and investigating depreciation costs.

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