1. Before you go to the first dealer, try to arrange financing with your bank, credit union, or other financial institution. Compare finance charges to find the best deal.

2. Know beforehand what the total cost will be, including price, down payments, the interest rate and monthly payments.

3. When you are ready to actually go look at cars, take someone with you whose experience and judgment you trust.

4. Do not sign any documents until you have read and understand them. Make sure there are no blank spaces, all of the salesperson's verbal promises are included, and the type of warranty that comes with the car is spelled out.

5. If you are required to make a deposit, ask whether it is refundable and under what circumstances, and make sure the information is also included in the contract (the contract may be your only receipt).

6. Before buying a used car, have your own technician inspect it. A used car may have major mechanical or structural problems; replacement parts may be hard to find; the seller may misrepresent the car's mileage or condition; and warranty coverage may not be available.

7. The "three-day cooling off period" for canceling a contract does NOT apply to new or used car purchases. Many consumers think that it does apply, but it does not. As of July 1, 2006 the "Car Buyers Bill of Rights" offers the "option" of a cooling off period of 2 days for a fee.

8. For used cars, a dealer is required to make sure the car is in safe working order before it leaves the lot. This means the car must have brakes, lights, etc.