How to Find New Car Rebates

8 Min Read | Published: October 3, 2024

A person looking at new cars at a dealership.

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See how to find new car rebates and incentives that can help you save money on your next vehicle purchase. Learn where to look for available offers.

At-A-Glance

Car rebates are cash discounts that vehicle manufacturers may offer qualified buyers who purchase certain vehicles.
You can find car rebates and incentives through websites, online comparison tools, and car shopping apps.
Negotiating with dealerships could help you reduce your purchase price as well, especially if you do your research ahead of time.

Getting behind the wheel of a new vehicle is exciting, but it also often requires a significant financial commitment. The good news though, is that new car rebates and incentives may be able to help reduce the cost of your purchase.

In addition to rebates and incentives, other ways to save include conducting research up front, timing your purchase when possible, and honing your negotiation skills could help you find the best price on your next car.

In this article, we’ll look at some strategies for finding and maximizing new car rebates and incentives. Then, we explore research and negotiation techniques and tips to help you save on your new vehicle purchase.

What Is a Car Rebate?

A car rebate is a flat cash discount, often ranging from $500 on up to $5,000, that a vehicle manufacturer offers a qualified car buyer when they purchase a certain vehicle.¹ This helps buyers save money on the car purchase, increase their down payment to start with more equity, or raise their car shopping budget.

Dealers may offer their own discounts, but car rebates are often manufacturer rebates.² Many rebates are for new cars, but some automakers give rebates on certified pre-owned vehicles as well.³

Some rebates may have eligibility requirements, such as a minimum credit score, or require dealer financing.⁴ It’s crucial to check these requirements while shopping for a new car.

Where to Find New Car Rebates and Incentives

Rebates and numerous other incentives may be available to reduce the cost of your next vehicle purchase.

Here are some ways to find these incentives:

Visit Manufacturer Websites
Car manufacturers may list current rebates, incentives, and special offers for specific makes and models on their websites. Look for the models you’re interested in on each manufacturer’s website and note what offers are available. Weigh those offers against the vehicle’s price as well to compare your potential final price across different vehicles you’re considering.
Look at Dealer Websites
Dealers in your area may list manufacturer rebates, dealer-specific special offers, and other incentives on their websites. Compare dealer inventories, their current offers, and offer expiration dates to get a better idea of what is available near you.
Check Automotive Websites
Automotive forums, blogs, and other communities may post updates on new car deals and promotions from manufacturers and dealerships.
Use Online Comparison Tools and Resources
Online comparison websites may provide lists of incentives for various makes and models, potentially making it easier to compare available incentives for different vehicles.

Use these tools alongside an auto loan calculator to estimate your car payment. This may give you a better idea of your monthly car payment and down payment needed.
Download Car Shopping Apps
Car shopping apps may offer further insights into current incentives and let you set up notifications for new deals and incentives that arise.
Subscribe to Email Newsletters
Many of the sources listed above may send new offers and incentives to their email lists. Sign up for their email newsletters to be the first to know when new rebates, incentives, and other offers become available.
Understand EV Incentives
An electric vehicle (EV) may qualify for special rebates, tax credits, and other potential savings to encourage EV purchases.

Tips on Saving Money on a New Car

In addition to rebates, you may also be able to save money by negotiating savings with dealerships.

Here are seven ways to enhance your negotiating power and potentially reduce your vehicle purchase price:

Ask About Incentives or Discounts
When you visit a dealer, ask about additional incentives or discounts that may be available. That could include manufacturer rebates, dealer-specific discounts, financing deals, and trade-in bonuses.

If you have purchased from the dealer before, see if they offer customer loyalty incentives, such as discounts.

Look into military, student, or first responder discounts and rebates if you are in one of these groups. Mentioning that you are in one of these and asking about relevant discounts or rebates could help you uncover additional savings.
Research Ahead of Time
Researching ahead of time helps you approach the purchase and negotiation with a concrete idea of what to look for. This makes identifying a good deal easier and boosts your confidence.

Here are two important things to research ahead of time:
- Credit Score: This is crucial to knowing the cost of financing and exploring your financing options. You can learn your score and get a free annual credit report from the three credit bureaus.

American Express MyCredit Guide. Your FICO Score and credit report, for free. With Identity Monitoring, insights & tools, and real-time alerts. Enroll Now

- Trade-in Value: Knowing your car’s trade-in value can help you get the most for it when trading it in. You can estimate your car’s value by getting an instant cash offer and by researching what similar used cars are selling for in private transactions or at dealers.
Time Your Purchase
Timing your car purchase can help you take advantage of seasonal promotions, end-of-year sales, or other discounts.

For example, car sales representatives may have monthly and quarterly quotas. They may be more open to negotiation around these times to sell more vehicles to hit their quotas. This could give you more negotiating room, helping you to save money.

Similarly, they may push to sell old inventory toward the end of the year to make room for new models. Besides any New Year sales events, they may be easier to negotiate with so they can clear their lot for the new model year.

Watch for holiday sales as well. Car dealers may hold major sales events for Black Friday, Labor Day, Memorial Day, and other holidays.
Be Flexible
Being flexible in your vehicle purchase helps you expand the number of offers, incentives, and prices available.

For example, being open to different models, colors, options, and trim levels increases your access to incentives and deals. It also helps you negotiate better as well.
Get Preapproved for Financing
An auto loan preapproval is a financing offer a lender gives you before you begin purchasing a vehicle.

This could put you in a stronger position to negotiate since it tells the dealer you are more serious about making a purchase. They may be willing to make more concessions since preapproval implies you are closer to the sale.
Shop Before the Need Is Immediate
Shopping for a vehicle when you need one quickly can be costly. Being in a rush can cause you to overlook fees and miss out on the opportunity to negotiate a lower price.

On the other hand, shopping months before you truly need the new vehicle gives you the upper hand. You have time to research and find the best offers and dealers.

If you cannot reach an agreement with one dealer, you have time to visit others. Having this time also puts you at ease in negotiations as well.
Remove Emotions From the Negotiation
Buying a new car can be an exciting process. However, for dealers, selling a vehicle is simply a business transaction. Being friendly but assertive in negotiations can be a good approach. Ultimately, you are making a significant financial commitment and should feel fine with standing firm in your negotiations. Remind yourself that this is nothing more than business to avoid letting the emotional component cause you to make concessions during negotiations.

Frequently Asked Questions

The best month for car incentives can vary by dealer, but December is generally considered by some to be one of the best months. That’s because car sales representatives may be striving to hit their yearly targets, which could make them more open to negotiations. Car dealers may also want to clear their lots to make room for the new model year. Dealers may also run holiday promotions, such as Christmas or New Year’s sales during this time.

Shopping when dealerships are less busy may be a good strategy. Sales representatives may be open to more negotiations to make sales on slow days. Plus, you may get more attention from a sales representative, helping you do more research and get more answers.

The Takeaway

While it can take time to research available new car rebates when purchasing a new vehicle, but the potential savings can make it worthwhile. By allotting enough time to research vehicles, hunting for rebates and incentives, and negotiating, you could save money and make getting behind the wheel of your new vehicle more satisfying as well.

¹ “What Is a Vehicle Rebate?,” Car And Driver

^2,3 “Rebates on cars: How do they work?,” Credit Karma

⁴ “How do car rebates work — and how do you get one?,” Bankrate

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Bradley Schnitzer is a writer and email strategist who has covered personal finance and small business topics for over five years. He is passionate about personal finance and helping others understand their money.

All Credit Intel content is written by freelance authors and commissioned and paid for by American Express.

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