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IN today's changing consumer market, with increasing competition between car dealers and financial institutions, securing reasonable financing is easier than ever. But here, as elsewhere, fortune favors the prepared and gives a special bonus to shoppers who are willing to follow a few tried-and-tested rules.

The first rule is simple. Buy a car that fits your finances. Genevia Fulbright, vice president of Fulbright & Fulbright, CPA, in Durham, N.C., says you should understand your cash flow, and the reason you are buying this car. If it's solely for business, leasing may be an option. Also, you have to be aware of the hidden car costs, like insurance, gas and parking. Make sure all of these are taken into consideration when buying a new car to avoid surprises. A good rule of thumb for car payments is that the monthly total should be no more than 20 percent of your net income.

The next rule is to pre-shop. Use the Internet, use the library, use your neighbors, use competing car salesmen--use every available medium to find out who is offering the lowest financing and the lowest interest rates. Compare rates at banks, credit unions, car dealers. Check the hidden costs. Does this plan penalize you for paying off the loan early?

Experts say the informed buyer, or the buyer who seems to be informed, and who can quote the different rates offered by banks, credit unions and car manufacturers, will almost always get the best deal. A former Chicago banker advises new car buyers to make salesmen and financiers work for them by quoting the rates they have been offered and by asking salespersons to match the rates or top them.

It's also a good idea to obtain a copy of your credit report. This step will make the hunt for financing much easier, experts say. While some specialists say you should have your financing arranged before you arrive at the dealership, others say you should consider the numbers of the dealer's finance officer. Sometimes dealers run special low annual percentage rates for qualified customers (those with good credit who meet income requirements), and also rebates to sweeten the pot, says Alex Elam, a car salesman from Bakersfield, Calif. "You're always wanting to see what the dealer has to offer," Elam says.

On this level, you must make a clear distinction between the sticker price of the car and the real price of the car--the sticker price plus the money you pay to finance your purchase of the car.

This means, among other things, that you must understand the three iron rules of car financing: 1.) The less you know (about financing, about available interest rates, etc.), the more you generally pay. 2.) The smaller the downpayment, the higher the total price. 3.) The longer you finance the car, the more you are going to pay.

It's a law. Thirty-six months cost more than 24 months, and 48 months cost more than 36.

Here, as elsewhere, knowledge is, among other things, money.

Once you understand these iron rules, you can make them work for you by seeking and making deals that will let you keep more of your money.

Mary C. Haynes of Lithonia, Ga., turned to the Internet to get more information about buying a car. The 58-year-old human resources specialist at Georgia Tech said she went to a Web site and punched in the options she wanted.

"Four or five hours later," she says, "a representative called me and said that within 48 hours they would locate a car for me."

And they did, at a much lower price than she would have paid otherwise.

While Haynes' story may not be typical, it illustrates the new dynamics of the changing marketplace.

What hasn't changed in this market is the need for information and planning. Alex Elam, the California car salesmen quoted above, says that the car showroom should be the last, not the first, stop of a serious shopper.

"By the time a customer goes to a dealership," he says, "they're going to a buy a car. You have to understand what you're buying. The key is knowing what you want."