First-time car buyer seeks guidance

Dear Bruce: I want to purchase a new car in the coming months. I have been saving for a while toward a down payment of at least $2,000 for a pre-owned post-2014 model.

The thing is, this will be my first “big girl” purchase, at 26, on my own credit. When I was younger, I took advantage of a credit card, and I’ve learned my lesson. I’ve almost paid it off now, so my credit is just below the “fair” mark.

What should I look out for to make sure I’m not being cheated into something I can’t afford? I would appreciate some professional wisdom as all my friends and family have differing opinions. — B.C. Dear B.C.: There are any number of books on how to get a good deal available at the local library, or you can search the internet. You will find more knowledge on this subject than you will ever need to know.

Figuring out what you can afford is not all that difficult. You should make a list of all the bills you “must” pay every month, such as rent, utilities, etc. Don’t forget to add food expenses, too. When you see how much is left, you’ll know that is what you can use toward payments, and you won’t be able to exceed that. It may take a little self-discipline, but that’s the way to go.

Dear Bruce: Could you recommend an excellent investment broker? Someone who can manage a 401(k) brokerage account. You recommended a broker you used about nine years ago, but I never wrote the name down. — W.H. Dear W.H.: Iam sorry that I don’t recall recommending a broker nine years ago, but it’s no big deal. You should contact two or three of the larger brokerage companies, explain how much money you have and say you would like an account manager to handle your money. Each of the companies will recommend someone to you. After that, you will sit down and talk to each manager in full detail, and each one will make a proposal. Then you can compare them and pick the best of the bunch. If you aren’t satisfied with any of the offers, continue the process until you find a broker who suits your needs.

Trust me, there are many talented investment brokers just itching to find someone like you. Particularly if you’re young enough, have a decent future ahead of you, and will be adding to your 401(k) and other accounts. Send questions to bruce@ brucewilliams.com. Questions of general interest will be answered in future columns. Owing to the volume of mail, personal replies cannot be provided.