How to Afford a New Car After Totaling Your Last One

The Illinois Department of Transportation reported more than 313,000 motor vehicle accidents in 2015 alone. This means you might experience one if you live in Illinois. Knowing what to do under those circumstances will help you recover. The damage from a car accident might be so bad that you total your car and must purchase an entirely new vehicle. Here’s how you can save money doing that if your insurance company doesn’t cover the full cost.

1. Check Your Locale for Deals

One good way to save a little cash on a vehicular purchase is to use old-school methods. For example, you can drive around your neighborhood and look for cars sitting on the side of the road with ‘for sale’ signs on them. That signage marks a person desperately trying to get rid of their vehicle to get bill money or take care of medical expenses.

You can also check your local newspapers and a few unpopular online classified ads to find more sales like that. You’ll probably have a better experience bargaining with a private owner than you will at a large dealership.

2. Consider Buying a Damaged Car

Consider purchasing a car not in such good condition. Naturally, you won’t want to invest in a totaled vehicle or one in as bad condition as yours. However, you can find a car that’s severely flawed cosmetically but still has strong internal components. Then, you can work on getting that vehicle fixed to look good gradually.

Pathways by Amica says that a third of car accidents involve bumper damage. Thus, you might find a car with a smashed bumper that the owner abandoned because of how it looked. You can easily restore that car and keep it as your daily driver for many years.

3. Check Clearance Vehicles

Car dealerships have clearance racks like department stores do. Don’t hesitate to look online at your local dealerships’ inventory. Almost all dealerships have a vehicle or two they need help getting rid of. You can take advantage of that situation by making an offer on a car like that. Clearance vehicles will most likely have huge discounts, and the salesperson will likely be flexible and open to additional price reductions.

4. Buy a Car in an Auction

Another thing you might want to consider is purchasing a car at an auction. Good cars sometimes end up in auctions because of repossessions and abandoned inheritances. Legal Zoom says only 33% of people create state planning documents. So, many of these cars get lost in the shuffle after someone passes away without creating a will.

You’ll need to check with your municipality and find out what you need to do to gain access to the auctions. Then, you’ll show up for upcoming auctions and bid only what you have to spend. You might be pleasantly surprised about getting a good vehicle for next to nothing at a local auction. You could also go the other direction and look for a vehicle at an online auction. If you sign up with a reputable provider, you won’t have to pay to participate in the auction. Instead, you’ll sift through the listings, bid what you can, and wait to find out if you win your desired car.

5. Use Your Negotiation Skills

Most of all, don’t forget to use your skills and negotiate for a better deal when talking to dealership salespersons. You have nothing to lose by negotiating, so don’t be afraid to try it. Also, you must maintain the mindset that you are willing to walk away if things don’t work out in your favor. Remember that there are many dealerships in your area, and you are not obligated to purchase a vehicle from any one of them. Keeping that attitude will help you get what you want in the end.

The tips mentioned above can help you save money when purchasing a new car. Use any of the tips given, and you should see significant results. Good luck with your next car purchase, and have fun.

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