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The Road to Big Savings

Save Money on Your Next Car

Remember these tips next time you're buying a new or used vehicle—you'll save cold, hard cash.

a car

— Chris Lyons

Buy a "dark horse"

When shopping for a new or used car, buyers often gravitate to the most popular makes and models. But you can save thousands of dollars by choosing a "dark horse." That’s the moniker the auto website gives to less popular models. If you’re considering a Honda Accord, for example, check out the similarly equipped Suzuki Kizashi for about 10 percent less. The concept will save you even more with used cars, says Karl Brauer, senior analyst at

Seek out secret warranties

Car repairs can make a huge dent in your bank account. But sometimes you can qualify for a free fix known as a secret warranty. This is when a manufacturer knows about a car defect and quietly has dealers do free repairs—when a customer complains. Search the Internet for your model and year, plus the defect, or look for "technical service bulletins" on websites such as or

Make dealers compete

Want an easy way to save $5,000 in 10 minutes? Once you’ve decided on a model, get multiple dealer quotes and start a bidding war. Fax a request to five or six dealers asking, "What’s your best price on this?"

Steer toward shorter loans

Dealers may push you toward a four- or five-year loan that lowers your monthly payment—and earns them more interest. Resist the temptation. "If you can’t pay cash," says Leamy, "limit your loan to two years, even if that means you have to buy a less expensive car."

Don't just take our experts' words for it—we want to hear how you're cutting costs. E-mail us your best money-saving advice!

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