Going to a dealership without a prepared list of questions is how buyers end up paying more than they should. Here are the key questions to ask — about pricing, the specific vehicle, financing, and the paperwork — before you sign anything.
Questions to Ask About Price and Fees
1. What is the out-the-door price? This is the total amount you will pay: vehicle price + taxes + all fees. Never negotiate around a monthly payment — always work from the out-the-door total.
2. Can you itemize every fee on this purchase? Under the FTC CARS Rule (effective January 2024), dealers must disclose all fees and charges upfront. Request a written breakdown.
3. Which fees are negotiable? Documentation fees (doc fees) vary by state but are sometimes negotiable. Dealer prep fees and advertising fees are often entirely negotiable or removable. Title and registration fees paid to the state are not negotiable.
4. What incentives or rebates apply to this vehicle? Ask specifically about manufacturer rebates, regional incentives, loyalty discounts (if you own a previous model), and military or first-responder discounts.
5. Is the MSRP the asking price, or is there a dealer markup? Some high-demand vehicles carry dealer markups above MSRP. Ask directly: “Is there a markup above MSRP on this vehicle?”
6. What accessories or add-ons are included in the price? Dealers often bundle optional accessories into the purchase price. Ask what each item costs and whether you can remove items you do not want.
Questions to Ask About the Specific Vehicle
7. Can I see the vehicle history report? Reputable dealers provide a CARFAX or AutoCheck report. For a used car, always review it yourself — do not rely on the dealer’s summary.
8. Has this car been in an accident? Ask directly. Some accidents appear on VIN reports; minor ones may not. A dealer selling the car honestly will disclose known history.
9. Is the title clean? Confirm the title is not salvage, flood, rebuilt, or lemon law buyback. Each of these significantly impacts value and insurability.
10. How many previous owners has this car had? More owners in a short time can indicate problems. A one-owner car with documented dealer maintenance is generally preferable.
11. Can I have this car inspected by my own mechanic? A reputable dealer will say yes. A dealer who refuses or makes this difficult is a red flag. Independent pre-purchase inspections cost $100–$200 and are worth every dollar.
12. Are there any open recalls on this vehicle? Check yourself at nhtsa.gov/recalls using the VIN. Dealers are required to complete safety recalls before selling new cars but are not always required to do so for used cars.
13. What maintenance has been performed recently? Ask for service records. Oil changes, brake work, and tire replacements should be documentable. Lack of service history is a risk.
14. Why is the car being sold? For private-party sales especially, understanding the reason for sale can reveal problems. “Upgrading to a larger vehicle” differs meaningfully from “engine light has been on.”
Questions to Ask About Financing
15. What interest rate am I being offered? Get the rate in writing. Compare it against your pre-approved rate from your own bank or credit union.
16. What is the total interest I will pay over the life of the loan? Calculate or ask for the total of all payments minus the principal. This is the true cost of financing.
17. Are there prepayment penalties? Some auto loans penalize you for paying early. Confirm there are no prepayment penalties before signing.
18. Is the financing rate the buy rate or is there a dealer markup? Dealers often receive a lower rate from lenders (the “buy rate”) and charge you a higher rate, keeping the difference. Asking about this directly — and having your own pre-approval — limits the markup opportunity.
19. What is the loan term being proposed? 72- and 84-month loans lower monthly payments but cost significantly more in total interest and increase the risk of being underwater on the loan. See average car loan interest rates for 2026 benchmarks.
Questions to Ask Before Signing
20. Can I review the full contract before signing? Never feel rushed. A legitimate dealer will give you time to read every document.
21. What warranty comes with this car? For new cars: confirm full factory coverage. For CPO vehicles: confirm the CPO warranty period and what it covers. For used cars: ask if any dealer warranty is offered.
22. What is the return or exchange policy? Many dealers do not offer returns, but some do (CarMax offers 30 days). Know the policy before you drive away.
23. What extended warranty options are available and what do they cost? Finance and insurance (F&I) products like extended warranties, paint protection, and GAP insurance are presented in the finance office. None are required. Research each one independently — dealer-sold extended warranties are often overpriced compared to third-party alternatives.
24. Does the monthly payment include everything? Verify the monthly payment shown includes principal + interest only — not hidden add-on products rolled in without clear disclosure.
25. Can I have a copy of every document I sign? Yes. You are entitled to copies of everything. Take them.
Related: New FTC car dealer rules explained | How to save on dealership car loans
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