FINANCE/INSURANCE::

The last step before you finalize the contract and drive away in your new vehicle is to go through the finance and insurance process.

The people who handle this area ensure that before you leave the dealership, you have insurance coverage on the vehicle and a temporary registration.

In addition to helping you with the final steps, this is where if you are not extremely careful, you can really be hit with additional expenses. These people are trained to try to sell you extras such as emergency road side kits, rust proofing, extended warranties, and much more. They will even go as far as offering to include the extra cost in your monthly payment. Do not be fooled into purchasing this, unless you really want it. Most of the extras they are trying to sell to you are exaggerated in price and not useful.

You will probably hear something like, "I see you're using your own bank. I bet we can beat their rates." In addition, if you do not already have insurance, these people will more than likely recommend someone.

There will be a various papers to sign. In some states, the dealership will require you to sign a Power of Attorney authorizing the finance and insurance people to register your vehicle at the DMV for you. Before signing, carefully review each document. Once you put pen to paper, the deal is done and cannot be reversed. Although reading each word in fine print may be difficult and time consuming, always double or triple check the figures before signing.

Here is a list of items that you would be responsible for as well as items you should question before agreeing to pay:

Items to Pay

• Destination charges
• Sales tax
• License and registration
• Documentation fee within reason ($50 to $100 is reasonable)

Questionable Items

• Extended warranties
• Delivery and Handling (D&H)
• Administrative costs
• Security systems installed by the dealer
• Paint or sealant protection packages
• Rust proofing
• Floor cover charges for the dealership
• Fabric protection
• Teflon coating

If all your questions have been answered, the people in finance and insurance will collect your down payment and trade-in papers, if applicable. You will be provided with the owner's manual, any warranties from the manufacturer, and two sets of keys.

At this point, your sales person will step back into the picture. Before leaving the dealership, carefully inspect your new vehicle to make sure that there are no scratches or dents and that there are no holes or tears in the fabric.

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