Page 112 - The Millionaire Mindset

Strategy 4-9:

Avoid the common money mistakes
and rip-offs.

Extended warranties
Many people get ripped off when they buy
electronics, appliances or automobiles by purchasing, and
often financing, the repair insurance and extended warranties.
This is 100% dealer profit. It is grossly overpriced. For every
person who benefits, I can show you 3,000 who have lost
money. Salespeople make huge commission rates on selling
extended warranties.

Long-term financing Today
When you choose to finance purchases within 24 is a
months, rather than 36 months or more, you will save thousands. great
day
Automobile dealer preparations
Never pay over-inflated delivery and dealer preparation and setup charges. These
fees range from $200 to $500. The car doesn’t need assembling once it arrives at the
dealership. They wash it and fill it with gas. Don’t pay. Buy somewhere else.

Fabric coating for seat covers
Never, never, never pay an auto dealer to coat your seat covers. It is a pure rip-off.
People have paid more than $300 for something that costs the dealer less than $2. Buy a

can of Scotchguardtm and do it yourself.

Financing automobiles

Never finance your automobile purchase at the dealership. A good finance manager,

who’ll earn $5,000 to $10,000 per month on financing commissions, will load your car with

high interest rates and extra warranties. They often make it sound as though you couldn’t107
get the car without their “help.” If one person will finance the car, so will twenty others.
Find a better deal.

New Cars
Instead of purchasing a new car, you would be wiser to purchase the same car after

Millionaireit is two to two-and-a-half years old. A new car depreciates 25% the moment it leaves the
dealership. A $20,000 car will be worth $15,000 to $17,000 within five minutes of driving
off the lot. Bad deal! Let someone else pay the depreciation and iron out all the bugs. Buy

Mindseta low-mileage car and save thousands.