There’s a common expression shared by carpenters: measure twice, cut once. In other words, do your research before you act. That’s good advice – especially when the action involves making an expensive purchase – like a car. Unfortunately many consumers get caught up in the emotion of buying a new set of wheels and make decisions without doing all their research – they only measure once – and that can lead to “buyer’s remorse.”

It’s one of the most common complaints OMVIC receives – a consumer signed a contract to buy a car but a few hours or days later, has a change of heart…or mind; and wants to back out of the deal. Often it happens when the buyer works out the myriad of extra costs that are attached to car ownership – some, like insurance, can come with a monthly cost as similar to (or greater) than the car loan payment.

But as we pointed out in a previous blog post, there is NO cooling-off period when buying a car in Ontario! Once you a sign a contract, sales are FINAL. So, before signing on the dotted line – to avoid buyer’s remorse – measure twice – make an informed decision and consider the following:

• Determine your actual budget -  not just the car loan payment, but  all costs involved in owning and operating the vehicle:
  • Insurance (potentially hundreds of dollars per month)
  • Parking
  • Fuel
  • Maintenance, etc.
  • Unexpected repair costs (potentially thousands of dollars if a vehicle suffers a major breakdown and is not under warranty)
• Do your research:
  • Check competitive advertisements to get an idea of the average vehicle cost (don’t forget to print/clip the advertisements and bring them with you to the dealership)
  • Consider memberships with consumer groups like the Automobile Protection Association (APA) and Car Help Canada. These agencies can provide expert car-buying advice
  • Research vehicle reliability ratings
  • Research depreciation rates (some vehicles depreciate (lose value) much quicker than others)
  • If you have a trade-in, research its value before visiting a dealership. Canadian Black Book can be a helpful resource for this.

At The Dealership

Once you have done your research and determined which vehicle best fits your needs, it is time to visit the dealer. Keep the following tips in mind when shopping at a dealership:

For more car-buying tips or to learn more about OMVIC visit omvic.ca.