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Chapter 23Buying and Caring for a Vehicle

Buying a VehicleMaintaining Your Vehicle

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GOALSGOALS

Lesson 23.1

Buying a Vehicle

Describe the process of buying a new or used car, including selection, financing, and wise buying practices.Explain automobile leasing costs, processes, advantages, and disadvantages.Discuss consumer protection available for new- and used-car buyers.

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Steps in the Car-Buying Process

Identify your needs and wants.Determine what you can afford.Identify and research your choices.Decide whether to buy new or used.Get credit pre-approval.Search for available vehicles.

Test drive each vehicle.Check the history of a used vehicle.Get the vehicle checked mechanically.Vehicle emission testDetermine a fair price.Negotiate the price.

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Financing Your Car

Financial institutionsCar dealersLeasing a car

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Consumer Protection for Car Buyers

Lemon lawsThe FTC used-car rule

http://www.ftc.gov/bcp/edu/resources/forms/buyers.pdf

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Truth-in-Lending Act

the truth-in-lending act requires lender to inform borrower of:

• Amount financed

• What charges are included in amount financed

• Total finance charge, in dollars

• Annual Percentage Rate (APR)

• Payment schedule

• Total amount of payments

• Total sales price

• Prepayment penalty, if any

• Late payment penalty, if any

• Security interest

• Insurance chargesteens – lesson 9 - slide 9-K

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GOALSGOALS

Lesson 23.2

Maintaining Your Vehicle

List the costs of owning and operating a car, from depreciation, gas, and taxes to the cost of accessories.Describe methods for extending the life of your car and maintaining its resale value.

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Cost of Operating a Car

Gas and oilDepreciationRegistration and titleMaintenance and repairsAccessories

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Extending the Life of Your Car

Maintain fluid levels.Perform routine maintenance.Keep your car in a garage.Preserve the exterior.Preserve the interior.Follow wise driving habits.