Chapter 5. TRANSPORTATION: BUYING, FINANCING AND INSURING YOUR CARS

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Chapter 5. TRANSPORTATION BUYING, FINANCING
AND INSURING YOUR CARS
Getting the best deal the best financing the
best insurance
A. The Cost of Getting From Point A to Point B
Cost per mile, equipment, maintenance B.
Buying a Car 1. Needs vs. Desires 2. New vs.
Used 3. Shopping Criteria (See Personal Action
Worksheet, text page 154) C.
Games Dealers Play Your Old Car - Sell it
or Trade it?
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E. Financing Direct or Through the Dealer? F.
Leasing as an Alternative to Buying G.
Warranties H. Automobile Insurance 1.
Public Liability 2. Medical Payments 3.
Uninsured Drivers 4. Comprehensive 5.
Collision 6. What to do in case of an Accident
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I. Car Pooling J. Car Rental Rental
Car Insurance
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TALKING POINTSChapter Five, Number One

• How would you respond to these statements by a
  car salesman?

• 1. The price Ive offered you will be good only
  until noon tomorrow.
• 2. The price Ive offered you is contingent on
  your financing the deal
• with us. If you finance it elsewhere, my
  quote will have to change.
• 3. I know I ballparked your trade-in as being
  worth 4,000, but the
• used car manager and the service manager say
  we can only offer
• you 1,500 for it.
• 4. Youll be making a big mistake if you dont
  buy the extended warranty.
• 5. Take my word for it - if we cant get that
  clinking sound out before
• we deliver the car, Ill pay to have it done
  myself.

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TALKING POINTSChapter Five, Number Two

• You get rear-ended while driving to work. Your
  neck takes quite a jolt. How would you respond
  to the following statements, and what actions
  might you take?

• 1. The person who hit you says, If theres a
  claim against my insurance policy, my rates
• will go sky high. Let me just pay you cash
  for your damages.
• 2. The person who hit you says, Sorry, but I
  dont have any insurance.
• 3. The insurance agent for the person who hit
  you says, Well give you a cash settlement
• now for 5,000, plus enough to fix your car.
  If you dont accept that, it could take years
• before this case comes to court, and you
  might end up with a lot less.
• 4. After a few days your neck feels fine. A
  friend tells you that whiplash pain might not
• show up for months, and when it does it can
  be ferocious.