(1) Purchasing the wrong auto. As mentioned earlier it’s important to meet your needs and not your wants. Pick an auto that fits with your budget and daily lifestyle. If you drive a great distance everyday then you’ll want to choose a car that is more comfortable for long distance travel or is more economical in terms of gas mileage. If you have kids it may not be a good idea to pick a sports car.

(2) Showing your emotions in the showroom with the dealer or manager. Emotions cloud our judgment and the dealers know it. Auto dealers take full advantage of this when they see a potential client dreamy eyed and salivating over their fantasy car. Once they know this they will be much less willing to negotiate on price or terms. You’ll also be more likely to accept a bad deal if your emotional. In most states they have a three day “cooling off” period where you can take the car back if you want too. (For this exact reason!)