Hi Elliot,

As a first time car buyer, or even for future car buyers, gaining financing from a dealer should always be a last resort. Your best option is to have a line of credit secured at the bank before you go shopping, allowing you to talk down the price and then pay in cash. (By the way, MSRP and invoice price are two different things. Find the invoice price for your truck to make sure you're getting a good deal.)

The best place to start looking for this line of credit would probably be the bank you are already with. Another good source would be most credit unions, and of course some small banks.

Since you already have a price in mind, and a rate to compare, you should use that information to negotiate a better deal. Be up front with your creditor about their competition and push for the best deal.

Also, if you have any money set aside, make sure to reduce the principal as quickly as possible. A few extra hundred in the beginning can shave off over 6 months on a 3 or 4 year contract.

Last note, make sure you choose a fixed rate.

***Some dealers will lower the price of the car if you get their financing because they factor your interest into the cost. However, they also tend to force you to buy unnecessary warranties. All warranties cost more than they benefit for the consumer, otherwise companies wouldn't offer them. Feel free to buy one to alleviate risk, just know what you're buying.***

-JW

*I am working towards a degree, so I am no professional. Others might have more tips that can benefit your search.

Unfortunately there is not much you are going to be able to do about it, since you put the cart before the horse. You always setup financing before you buy anything.

Although the new truck was reduced you are going to find out the terrible truth to any other lender the truck is now used. Thus it is worth at most 50% of the value it was new. And being a large truck from a troubled car maker they are really going to cut the value of it. Add on the fact that in today's economy the used truck and SUV market is really dried up. I know of car dealers and banks dumping them at dealer auctions for peanuts just to get rid of them.

Most likely you are going to get a tough lesson from this purchase, hopefully for some of the other readers of this forum they may get the lesson at your expense.

In the future remember the best deal is a cash deal on a 1 to 3 year old vehicle, and if you are starting out older vehicles are always a better choice then newer ones. The only exception maybe be those 0% loans offered occasionally that some buyers qualify for, but that is a rare exception.

Nice to know that!!