 TITLE: Step-by-Step Checklist for Buying a New Car CONTENT: Decide How Much Car You Can Afford\n----------------------------------\n*   Evaluate your budget to see how much money you can reasonably spend on a car.\n    *   A good rule of thumb is to keep your car payment under 10% of your monthly take-home pay.\n    *   In addition to the monthly payment, be sure to consider the true costs of car ownership, including insurance, fuel and maintenance.\n*   Estimate how big of a down payment you can make.\n    *   Aim to put 20% down if possible. Cars lose value every year; a larger down payment can help ensure you won't end up owing more than the car is worth.\n    *   If you don't have enough money for a down payment, figure out how to save up for it.\n*   If you have a car, decide whether you want to sell it and put the money toward your down payment.\n    *   You can trade the car in to the dealership or sell it privately.\n    *   Trading it in is easier, but you can often get more money by selling a car privately.\n*   Use online payment calculators at automotive websites such as Edmunds, Autotrader and Cars.com to estimate how different prices, loan terms and down payment amounts will affect your monthly car payments. END