So Old Reliable has sputtered to a standstill, and it's time to find a replacement.

Buying a new or used vehicle can be fun and rewarding. But watch for potholes on the way.

Brief preparation benefits most consumers walking through the showroom doors, said expert Joseph Tonsich, who offered several smart strategies for negotiating a better price.

"People get hit," said the former auto dealer, a Santa Barbara real estate broker who devotes spare time to representing prospective car buyers. "You've just got to be prepared, and do your homework, prior to going in."

Emotions often override prudence, leaving buyers in a sour financial state, said Seth Streeter, a certified financial planner with Mission Wealth Management in Santa Barbara.

"First off, any time a client looks to buy a car, we want them to look at their overall macro-financial picture," he said.

Overall debt load is a key consideration whether buying or leasing. While Mr. Street offered no rules of thumb on the matter, he said it's crucial for consumers to consider credit card, mortgage or rent, college tuition or other debts before plunging into a hefty monthly car payment.

In general, he said, buying is better than leasing for a salaried or retired individual who plans to own the vehicle six or more years. "If they are the type that has to have the new and shiny, latest greatest ... they are better of leasing," Mr. Streeter said. The same goes for some business owners.

But proceed with caution. "Be careful that you really look into the lease terms," Mr. Streeter said. "Sometimes, if there's damage or excess mileage, it can really hurt the appraised value at the end of the term."

Dealers work a sale in three stages: Negotiating prices on trade-ins, negotiating prices for new vehicles and charging miscellaneous fees, Mr. Tonsich said. "You can save money at the end by knowing what you are paying for."

And customers can:

Surf the Web for perhaps three good quotes on the vehicle model they desire. These make good bargaining chips.

Avoid trade-ins. Better to sell an old car privately for a higher price.

Always pay by credit card the deposit on a located vehicle. Make such a sale subject to approval upon arrival.

Guard against smog check charges, decline window-scratched security ID. And shop when dealers have incentive to sell, including the last day of the month and the window of July through August, when dealers need to clear showroom space for the newest models coming in from the factory.

Read the fine print on phrases followed by an asterisk.

Be aware of credit scores, another bargaining chip.

Interest rates offered by a manufacturer typically beat a loan from elsewhere, Mr. Tonsich said. Even customers denied by the factory or a bank can land behind the wheel, however.

While banks typically seek good credit and a 20 percent down payment - "It's pretty straightforward," said Goleta National Bank Vice President David Dickinson - some lenders, some of them online, offer loans to shoppers with no or bad credit.

Added Mr. Streeter, "Right now with 40-year-lows in interest rates, there's significant opportunity to finance."

Home equity lines, for example, can be tapped at rates that are tax deductible. "There's some out-of-the-box opportunities," he said.

Lastly, customers hitting the road for a test drive should not leave dealers with a photocopied driver's license or Social Security card. Some dealers have used them to run illegal credit checks, Mr. Tonsich said.

Each check lowers a credit score.

And if a credit rating is good, the dealer might insist on the full sticker price. If buyers do provide a photocopy, they should make it a license - and are advised to attach a note barring credit checks.

e-mail: tschultz@newspress.com