Tax season often brings car dealers out of the woodwork offering all sorts of tempting automotive deals as incentives to use your tax check. The great thing about many of these deals is that you can get cash for junk cars to help fund your next vehicle purchase.

It's a strategy that seems to be pulling in good results, as more than a third of Americans will use a tax refund in addition to paying cash for cars to finance their next vehicle purchase [* https://blogs.wsj.com/drivers-seat/2013/04/19/many-tax-refunds-go-toward-auto-expenses-survey-says/].

Of course, buying a car will mean you ne ed to step outside and make social contact with car dealers while you search for the best deals. We want you to stay safe, whether you use your tax cheque or pay cash for cars. We will be following up this article with a few essential safety measures you can use to make buying your next vehicle as safe as possible during the coronavirus pandemic.

Here are a few tips to keep in mind when buying a car at tax time:

Be prepared to walk away

Avoid paying for extras you don't need

Pay attention to the details

Stay safe when buying cars during the coronavirus pandemic

In the rest of this article, we will explore each of the above points in more detail:

Be Prepared to Walk Away

There are times when it will be prudent for you to walk away. For example, if you have been lured to the dealership with a great deal that is suddenly not available anymore, you may be tempted to negotiate on another deal. This trick is a common strategy to get people through the door, but the deals they will offer you in its stead won't be anywhere near as tempting as the one you arrived for in the first place.

Also, don't be tempted by a seemingly low monthly payment figure, as the salesperson will always have the house advantage. Car dealers are skilled at manipulating the numbers so they look good as a monthly payment, but the overall cost of ownership will be too high.

Remember, when you sell junk cars for cash, and combine the funds with your tax refund, you should have a substantial deposit that will significantly reduce the level of financing you need.

Avoid Buying Extras

There are a lot of extras the salespersons will offer you which benefit their pocket more than yours. Features like paint protection, fabric protection, and window etching of the vehicle ID numbers may or may not be desirable, or even necessary.

However, all these features can be purchased later, without tacking them onto an expensive financing option. Some may even have a DIY option if you are a handy type.

Likewise, an extended warranty is generally not necessary on a model of car that is well-known for its reliability.

Pay Attention to the Details

Even though you are aiming to pay cash for cars, you should still protect yourself against the dealership going out of business before you can get behind the wheel.

Use your credit card to make the initial down payment and pay this off with the proceeds from the tax refund. If the worst happens and the dealership goes broke before you can get behind the wheel, you will have options with your bank to get your money back.

f you use your tax check to fund the transaction directly and the worst happens, you can wave goodbye to your large deposit.

When you sell your junk cars for cash, make sure this windfall goes towards paying off your new purchase, especially if you are going through financing. Even if it's only a few hundred dollars, you can save quite a bit of interest if you combine the proceeds with your tax refund.

COVID-19 Precautions When Paying Cash for Cars

The coronavirus pandemic makes selling junk cars for cash and buying cars for cash more of a challenge than it should be, but it's still possible to stay safe. You just need to be more diligent and put a few COVID-19 precautions in place to protect yourself from infection.

You will be encountering people when shopping for a car, so it's essential to maintain your distance when discussing the deal. Around 6 feet (1.5 meters) is the WHO's (World Health Organization's) recommended minimum distance in social situations.

Some dealers are offering no contact sales and vehicle drop-off, which should be taken advantage of if you're in a high-risk group, but makes test driving impossible.

Dealers are also receiving advice on how to protect their clients, so ask in advance what their measures are regarding the coronavirus before you stop by. They should be cleaning their cars and keys with a disinfectant that can kill viruses.

If you're not satisfied with their response, avoid them no matter how tempting the deal might be. Also, avoid the customary handshake greeting, and wash your hands with soap for at least 20 seconds, or use hand sanitizer before and after a meeting. You can also use medical gloves to handle keys and wear a mask as an extra pre caution.