AARP auto program helps avoid haggling at dealerships

Driving a new car off the dealer's lot is always fun. But often, buying that new car is anything but fun. After decades of purchasing new cars, many older consumers find they no longer have the patience for dealing with the dealer.

For those who abhor haggling over price, a new service from AARP lets consumers shop for a car online. The AARP Auto Buying Program (bit.ly/aarp-cars) offers guaranteed prices from local dealers that are below the manufacturer's suggested retail price (MSRP). The service is operated by TrueCar, a company based in Santa Monica, California, that collects and analyzes car-sales data. TrueCar has been matching consumers with dealers on its own website (truecar.com) for nine years. The AARP service uses TrueCar's network of 6,600 dealers around the country, including 97 in Nassau, Suffolk and Queens. The service, which also provides discounts on used cars, is free.

"What we love about the TrueCar platform is that it creates a level of transparency for our members," says Craig Fontenot, AARP's vice president for product strategy and development. "It really levels the playing field at the dealership."

Here's how it works: You select the model you want and add any options. You get an instant estimated price with data showing how that price stacks up against the MSRP. If you want to get a guaranteed price from up to three nearby dealerships, you will have to input some personal information, including name and address. In addition to getting a guaranteed price, you will get information on what a similar car recently sold for so you can see how good the deal is.

You may not get information on the lowest price among the 97 local dealers, however. Jim Nguyen, an executive at TrueCar, says his company's mission is not necessarily to show you the cheapest price but to ensure that in the car-buying process you pay "a fair price" and not get "ripped off or feel foolish about it." You do not have to be an AARP member to use the Auto Buying Program, but AARP members receive up to $300 more off the price of a new car.

As for why dealers are eager to participate in the program, Nguyen says the AARP-TrueCar partnership delivers "high-quality customers" who are motivated to buy.

And there's another reason. As tired as you are of haggling with the dealers, they are just as tired of haggling with you. "Dealers don't want to have their sales people cycle through six to eight hours of negotiations with consumers, either," Nguyen says.