How to Save Thousands at the Dealership! Kevin Hunter The Homework Guy

The number one question to ask the dealer finance manager before you sign anything. This is for both new and used cars and for both cash buyers and people who finance. This one question could save you thousands. By the way, for your convenience, a transcript of this entire show will be available shortly as a blog on our website, the homeworkguy.com. So, go look for it and then you don't even have to take notes. Just go there after you see the show and print yourself a copy. Hi, I'm Kevin Hunter, known for the past 16 years as the homework guy in the car business. My partner, the amazing Elizabeth, joins me shortly as we present what could easily be one of our strongest and best videos we've ever done. If you're sitting in the finance office at a dealership, pen in hand, paperwork in front of you, it's a full stop. Before you sign, there's one question every car buyer needs to ask. Can you walk me through every single item on this contract and explain what's required and what's optional? Boom. That's right, Kevin. That's super powerful. Why? Because buried in that stack of paper are fees, add-ons, and charges you probably didn't agree to. And the finance manager is counting on you not to even notice. But even better yet, the finance officer is legally bound to answer this question truthfully. Absolutely. It's the first time he cannot put a spin on anything. If you want to add a layer of accountability to this, you can say, "I'd like to record this conversation for my own records and to ensure accuracy of what you're about to tell me." This matters because number one, federal law requires full disclosure. Finance managers are bound by federal truth in lending laws under the truth in lending act, the tila laws we mentioned. The law is so good that it requires clear accurate disclosure of loan terms, clear identification of optional versus mandatory charges, disclosure of APR, total amount financed, and total cost. If they misrepresent or hide any optional products like warranties, GAP or theft protection, they could be violating consumer protection laws. They could be guilty of fraud or deceptive practices. And this opens up the dealership to lawsuits or state level enforcement or even an invitation to local law enforcement involvement. That's some accountability right there. Lots of it. Number two, the finance contract is a legal document. Once you sign it, you're bound by it. So, you have the right to review and understand every line item before you do. If they refuse to explain something or mislead you, you can argue that informed consent was not given, and that could be used in court against the dealer to challenge the validity of the agreement. All the more reason you shouldn't sign an arbitration agreement. By the way, just line it out if it's there. Also, with regard to an arbitration agreement, dealers can't legally deny you the car if you refuse. In every single state, you can strike through the arbitration clause because that's your legal right. You can also elect to initial and write declined next to it. Continuing on. All right. Number three. Most dealerships record finance office conversations for their protection and yours. Many dealerships use audio or video surveillance in the finance office. If the finance manager lies or omits important information, it's on record. So, when you ask this question, you're putting them on the spot in a recorded room where their response could legally matter. Number four, it forces transparency that they are trained to avoid. Finance managers are trained to distract you with, "You're getting a great rate or it's only $18 more per month." and everyone takes this package. Your question cuts through the noise and demands a line by line breakdown that makes it hard for them to sneak in things like a $2,000 extended warranty, a $1,200 protection package, $800 in bogus admin or reconditioning fees and the like. That's right. So, in summary, here's why it's the best question. The reason why it matters, well, it's a legal duty. It goes with truth and lending laws for every state and requires full disclosure. It is a contractual obligation. You are entitled to understand what you're signing and also you're sitting in a recorded room. Lying can get them, the finance officer, and the dealership into legal trouble. It also exposes all the junk fees in your contract. Optional products must be clearly identified and removed if unwanted. All right, a pro tip right here from the Homework Guy team. After they explain each item, stop them and say, "Please remove everything that's not required. I don't want to finance products I didn't ask for. Then make sure you always review the final numbers before signing. The bottom line is what's really hiding in that contract. Dealers make most of their profit after the sale in the finance office, not the showroom. And they're experts at making optional products sound like they're required or like the bank wants them, which is totally BS. And it's like you have no choice. But this question is a gamecher. Without this question in play, here's some examples of what a dealer might try to sneak in. Extended warranties, often overpriced or double covered by your factory warranty. Gap insurance, not always needed, especially with a large down payment or if you are paying cash. And yes, some cash buyers have been charged for gap insurance at dealerships, too. Tire and wheel protection packages, paint protection, theft recovery, etching, nitrogen tires, all junk stuff. And then finally, dock fees, reconditioning charges, or market adjustments that aren't legally required. All of this is taxable, which means it's negotiable or entirely optional. To recap, here's why this question works. By asking them to explain everything, you create a legal challenge, and you shift control of the conversation. You expose the junk fees and add-ons. You put pressure on the finance manager to be transparent, which they don't like. Exactly. You give yourself time to review and reject anything unnecessary. A homework guide tip here. Back up your first question by saying this. Hey, I just want to make sure I understand what I'm signing. Let's go through each item. I'll circle anything that's optional so you can remove it before I agree to the final terms. Boom. You just took away control from the dealer's most skilled salesperson. That's right. A finance officer is a salesperson. A bonus tip. Watch for the monthly payment trap because they'll often say it's only a few bucks more a month, but it's a ton more bucks before the end. Here's what they're really saying. Stretching your loan term to 72 or 84 months, hiding thousands in bogus products, increasing your total cost of ownership. Always negotiate based on out the-door price, the OTD, not the monthly payment. And we always say, get these negotiations done long before you enter a dealership. Our professional car buying coaches do it this way 100% of the time, which is why they always come out on top. If you are doing this on your own, read our blog post on the homeworkguy.com titled, "How to get the out the door price without going through tons of dealer tricks." The Homework Show has consistently said it over the years. The monthly payment is the last number you talk about, not the first. This is protecting yourself like a pro negotiator. But if you're not confident pushing back on a fast-talking finance manager, hire someone who is. As Kevin pointed out, the Homework Guide team of coaches does this every day for buyers across the country. No stress, no games, just great results and our Google reviews prove it. Want us to handle this for you? It's simple to get started. Visit the homeworkgu.com and select the hassle-free car buying service from the pull down menu. Some final thoughts. The finance office is where great deals go to die unless you're ready. This one question puts the pressure on them, not on you. So remember, before you sign anything, always ask, "Can you walk me through every item on this contract and explain what's required and what's optional legally, they have to give you an honest answer to that question?" And then pull that recorder out. Pause for a moment as it sinks in for the poor sap sitting across the table from you. Then listen very carefully. After each item he indicates is optional, say, "Remove it." Also, you can cross out anything you don't want or disagree with. Another homework guide tip here. If you need some backup, send us your deal before you sign. We'll help you review the terms or we could even take over the process entirely, whatever you need. If you need in now, visit the homeworkgu.com. The 99 phone call with Kevin gets you started and soon after we'll match you with a seasoned car coach and take it from there. By the way, Kevin is the only show host on YouTube to talk directly to his audience members. And as we've said, buying a car doesn't have to be hard. Let us prove it to you. To everyone who tuned in our show today, you guys rock. God bless you all. I'm Kevin Hunter, the homework guy, signing off on behalf of Alex Stevens, our auto expert, the amazing Elizabeth, our master negotiator, and the entire homework guy team. Stick around as we scroll conveniently through some of our recent Google reviews of our hassle-free car buying service. As always, thanks for watching. [Music] down. [Music] Down. [Music]