Used car loans tips

It is really a tough deal for loans of buying a used car (second hand) comparing to other types of loan in case of purchasing a new car. But if we look forward, it will make some possibilities also. The procedure is almost same like any other car loan facilities. The main difference in this kind of loan is that you can save cost, which you cannot do in other car loans. That is the biggest benefit you can have while getting used car loans.
However problem is always there, so while you want to have used car loan facility you have to be aware of making your every step. Every step is vital otherwise you may be in bad credit reputation and big chances to be ripped off. Be positive in getting the source of used car financing and do shop around the whole market.
Try to do credit check to be assured that the given information is correct in your credit statement. After choosing the car you are going to purchase, look into the whole payment procedure of the purchase money. Always remember while you are going to have car financing, the purchase price increases as you are to pay the money including credit. Before having the loan try to get knowledge of the annual percentage rate of that very car loan and length of the loan and see whether the monthly payments are affordable or not. Don’t make any quick decision as that can lead you to create a bad credit history.
It is very much important to set the price range in case of second hand car loans. Don’t forget to add the maintenance cost so that you can have an idea of an approximate price of the car and the amount you need to obtain from car loan. It is the best way to get your budget perfectly applicable to your finance.
The next step is to decide from where you want to get your car loan. There are various lenders such as bank, individual dealers etc. try not to make the bank as your first option as in most cases they don’t provide loans of cars used for more than few years. You can have online dealer option but it is cheapest to get an individual lender as you can clear out your confusion and have guidance accordingly. But be aware of the frauds in this field. Get a concept about everything related to your dream car you are going to purchase and if you are satisfied with the qualities you can proceed further.
So it is now no longer tough job to get a used car loan facility and to apply it confidently though in past your finances were holding you back to purchase the wheel of your dream car. Now you can get the option of getting used car via loans without any hurdle.

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High Gas Prices Put Car Shoppers In The Driver's Seat

There is some good news about high gas prices and a slow economy: They are putting the brakes on vehicle sales, which makes it a good time for shoppers to find great deals on cars.

Among car shoppers, hybrids and subcompacts remain popular because of great gas mileage, but there are many factors beyond fuel efficiency that affect the cost of driving. RoadandTravel.com and State Farm Insurance® suggest three simple tips for those shopping for vehicles:

Homework is key
Because sales have been so slow, dealers are competing aggressively for shoppers' business, making it easier to bargain. The Internet provides numerous Web sites to compare makes, models and pricing, including Edmunds.com, MSN Autos and RoadandTravel.com. Coming to dealerships with the most current information puts the shopper, not the dealer, in the driver's seat.


Budget blind spots

Car buyers often don't research expenses that can impact the cost of car ownership, including maintenance, financing and insurance. For instance, they may assume they have no choice other than to finance their cars through the dealerships. Often, the bank down the street or an insurance provider offers better deals on financing a car. Additionally, interest rates can be based on credit history, so shoppers who know their situations can more easily recognize a reasonable deal.

Finally, it's important not to get caught up in the emotions of buying a car. Being practical and planning to spend at least a few days shopping helps people avoid making rash decisions.

Insurance options

There are a number of factors that influence insurance rates, beyond car models. Car buyers should ask about discounts for good driving records and good grades for teen drivers. For instance, State Farm has a Good Driver Discount®. Also, some companies offer discounts on premiums to customers who purchase other policies, such as life or homeowners insurance. When deciding on the right insurance provider, car buyers should keep in mind that, in addition to cost, it's important to find a company that will offer the right level of personal service.

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Get the AWD advantage without the SUV price tag

This full-time All-Wheel Drive system is strong enough to handle rugged driving, but so compact it's ideal for a family vehicle.

(NC)-If you love the safety and driving confidence of an SUV, but cringe at the cost of filling the tank, we've got good news for you.

It's possible to get the advantages of a four-wheel-drive system-especially great traction in a wide variety of weather and road conditions-in all-wheel-drive vehicles that combine the 4WD performance of a truck with the fuel economy, performance and handling, and easy-to-park dimensions of a car.
There are many reasons it takes a lot of gas to run a traditional SUV: most are built on truck platforms, so they're large and heavy; it takes a big engine to move all that weight around; and, because less aerodynamic than most cars, SUVs have to work harder to overcome air resistance.

Fortunately, there are alternatives, such as the Symmetrical All-Wheel Drive system from Subaru. This is a full-time system that combines a powerful aluminum boxer engine, a strong but lightweight transmission and centre differential, and an aerodynamic alloy body frame that's designed for maximum occupant protection.

The result is a great combination of strength for safety and rigidity for handling and durability.

Just as important, this Symmetrical AWD system is designed to be extremely compact and well balanced, with a low centre of gravity. That means a very low risk of rollover-and makes room for a long-travel suspension that keeps the ride comfortable even on life's bumpiest roads.

And fuel economy is competitive with North America's most popular compact and mid-size family cars.

So, if you want great traction and handling and great fuel economy, an All-Wheel Drive vehicle is an excellent choice.

More tips to reduce gas consumption:

Maintain your vehicle-it will run smoother and waste less energy.

Slow down-you use 20% more fuel going 120 km/h compared to 100 km/h.

Check tire pressure-the wrong pressure can increase gas use up to 3%.

Don't idle-if you're going to sit for more than 30 seconds, turn the engine off.

Plan trips-do more than one errand at a time; avoid rush hour if possible; pick routes with fewer stoplights and less traffic.

Car pool-share the ride and leave a second or third car at home.

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New Car Prices, Then And Now

New car prices have certainly changed a lot over the years. While obviously inflation, the cost of energy and a number of other causes have caused automobile prices to skyrocket when compared to the 1970’s, there are also some changes in attitude from automakers which are reflected in modern pricing schemes.

Imagine the year is 1971. Walking into the new Dodge dealership, you see a brand new Charger R/T coupe, which was one of the definitive muscle cars of the era. The price? $4700. A similarly configured Charger, brand new from Dodge today in 2008 will cost in the neighborhood of $30,000. This represents a fairly significant increase. What are some of the factors that caused new car pricing to multiply six-fold?

Inflation only tells half the story. Adjusting that $4700 from 1970 into today’s dollars gives us a price of roughly $21,000. That still leaves us around $9000 short of the current market price for a similar car.
The difference becomes even more pronounced when examining median household income in the United States. In 1970, it was around $35,000 (in today’s dollars), but for the last few years it has stabilized around $42,000 – not a huge increase, and certainly not large enough to explain the discrepancy in pricing. It’s not as simple as saying that car companies now charge more for their vehicles because the market can bear higher prices.

One of the most telling components of new car prices are the increased cost of labor. In the 1980’s and 1990’s, American automakers fought a losing battle against trade unions representing the workers in their plants. The result of these confrontations were increased costs not only in the salaries paid to workers, but also in the benefits that workers were entitled to. In some cases, these benefits are paid out long after the employee has left the assembly line and is no longer economically contributing to the company. General Motors actually loses money on many of the cars they sell, and for a long time only generated profits based on their automobile financing company.

Japanese car companies don’t have these same labor issues, yet their pricing remains competitive with domestic car companies. This indicates that employee costs are not the only driving factor when it comes to car price increases. The implementation of technology is another part of the pricing puzzle.

Cars of today are technologically advanced over those of three decades ago to an almost extreme degree. Anti-lock brakes, airbags, stability control systems, drive-by-wire – all of these features were expensive to develop in terms of research and testing, and they also contribute to increased manufacturing costs, due to the more delicate techniques and expensive materials required to implement them in modern vehicles. The increased demand for fuel efficient engines which produce minimal emissions has also forced automakers to invest in their engine programs to a much larger degree than they have in the past.

It seems that peeling back the surface of today’s automobile pricing reveals an intricate web of dependent financial concerns that together make up the cost of driving a brand new car in the United States.

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What You Need to Know Before Buying a Car

Incentive packages make buying a new car almost irresistable to but there are some very important credit report and financial questions you should consider before you visit that car dealer.

Auto sales plunged to a 26-year low at the beginning of the year, which is why many car makers are offering incentives to entice consumers back to the auto market.

But before jumping into the market, you should gain a clear understanding of your credit and financial profile to know what you qualify for and if it’s the right time for you to buy a car.
“Through a simple check of their credit reports and scores, many consumers are likely to find that they’re in a solid position when it comes to cashing in on these troubled-economy car deals,” says Lucy Duni, vice president of consumer education at TrueCredit.com by TransUnion. “At the same time, it’s important for consumers to set their limits based on their credit position and their overall finances, because there are many costs associated with making a car purchase, including regular maintenance fees and insurance.”

TrueCredit.com is offering simple tips to guide consumers on the road to making a smart car purchase:

Tip 1: Rev-up your report knowledge.

Review your credit report on an ongoing basis to ensure it accurately reflects your credit history. Your history will dictate your credit score and your score affects your loan rates. Always know where you stand by signing up for TrueCredit Messenger, a free application that is downloaded to your desktop and lets you know when there’s been a critical change to your report.

Tip 2: Make necessary tune-ups.

Whether or not you’re in the market for a new car now, keep a close eye on your credit report. If you spot something that doesn’t look right, you should first contact the creditor involved. If that doesn’t solve the problem or if the issue doesn’t involve a specific credit or loan account, contact the appropriate credit-reporting company directly. If you have significant issues with your reports, consider delaying your purchase until those issues are resolved to help you get the best rate available.

Tip 3: Protect Yourself.

Your credit behavior influences more than just your loan rate. It often plays a role in determining the monthly insurance premiums for your home and car. If you’re getting ready to shop for insurance, TrueCredit.com Insurance Scores let you see ahead of time how you’ll likely be viewed, allowing you to take proactive steps to improve your own credit health that could result in lower premiums.

Tip 4: Make an age-defying purchase.

Decide if you want to buy a new or used car. Buying a used car can save you a heap of money if you do your research. Since new cars generally depreciate 10 to 35 percent during the first two years, it's a good idea to check the depreciation rate on the car you're interested in by looking up the current price and the price for the same car made two years earlier. On the other hand, many of the factory incentives are on new models, so you may get a better deal with a new car right now. It’s important to shop around to find the best deal for you.

Tip 5: Luxury vs. economy -- calculate how much you can afford.

Before you decide that a car is right for you, it's a good idea to evaluate your balance of debts and assets to see how much you can really afford. Also determine if you have a trade-in or down payment to help you pay for the car. These assets can help you negotiate a better rate with lenders and can be especially important if you have problem credit.

Tip 6: Navigate your options.

When you're ready to talk to lenders it's a good idea to shop around for the best available interest rate. Visit your local bank or credit union to discuss applying for an auto loan. Financing with the car dealer can sometimes be more expensive, so pricing out your options is a good idea. And don’t worry. Shopping your loan with multiple lenders over a several weeks will generally have the same net effect on your credit reports as checking only with one lender.

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Stretching Your Money: Tips On Buying Certified Cars

If you are thinking of buying a certified used car, here are some facts you should know
If you're thinking of purchasing a used car, there's good news. Used cars don't have to be as risky a purchase as they used to be. Thanks to certification programs, it's harder to distinguish new from used and more Americans are turning to certified cars for better value.

Certification offers a way to weed out unscrupulous used-car dealers who might sell damaged cars. Vehicles damaged by floodwaters or involved in major accidents are prime candidates to end up as part of such scams.

The number of certified pre-owned (CPO) vehicles sold this year is expected to increase significantly from 1.7 million purchased in 2008. Besides costing less than new-car counterparts, certified vehicles also come with many of the same benefits, eliminating much of the guesswork associated with buying used.

Some say it is one of the few segments of the auto market where both sales and value to the buyer have increased. Be wary, however, because not all certification programs are created equal. To help sort out the best from the worthless, used-car experts offer the following tips:

Certified By Whom?

Make sure you know who sets the standards for the certification program and who makes certain they're being enforced. Look for a manufacturer-backed program--the best people to certify a car are the ones who built it and specialize in that make. Most manufacturers will offer a limited warranty in addition to honoring the car's original warranty.

Do Your Homework.

Research the models that make sense for your driving needs. Check safety and reliability reports published online and prices from your whole area.

How Was The Car Certified?

At a minimum, a car should have a detailed mechanical inspection and vehicle history reports. Carfax Vehicle History Reports are a mandatory part of the certification process for more than 80 percent of today's manufacturer-certified programs.

What Does It Get You?

The certified used car you're buying probably comes with an extended warranty. Make sure you know exactly what this covers and for how long. You can always add additional coverage.

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Buying A Used Car Instead Of A New One?

Progressive Insurance tips when you are buying a used car instead of a new one.

In today's unstable economy, you might be in the market for a used car instead of a new one.

But used car shopping isn't easy-it requires a keen eye and an inquisitive nature. Before you buy a used vehicle, here are a few tips from leading car insurer Progressive to make sure you're getting your money's worth:
Ask about previous damage. Has the vehicle ever been in an accident or a flood? Get details on the extent of damage if it has. And inspect the vehicle closely, looking for these "red flags":


• Mismatched vehicle identification numbers (VINs) on the vehicle title, dashboard, driver door panel, hood or trunk;

• Mismatched paint on exterior body parts, or paint-over spray on interior parts such as door edges and the engine compartment;

• Missing bolts or uneven welding in major areas, such as the front-end core support or the trunk.

Ask for routine maintenance records. The owner should be able to provide information about what service work has been done.

Buy a vehicle history report. Get the vehicle's VIN, then go to www.carfax.com or www.autocheck.com and purchase a vehicle history report. The history will show past owners of and damage to the car, as well as mileage and title history. Some state motor vehicle departments may also provide some of this information.

Check out the seller. Some unscrupulous sellers may try to sell a poorly repaired salvage vehicle, which means it's been totaled before and they've rebuilt it. If you're buying from a car dealer, check with the Better Business Bureau. If the seller is an individual, look through the classifieds for other vehicle ads with the same phone number-this is a sign of an unlicensed broker who sells used vehicles by posing as the owner.

Ask a professional to inspect the vehicle. Take the vehicle to a mechanic or body shop you trust. Have them inspect the vehicle inside and out for previous repairs and the quality of any repair work they discover.

Research insurance costs. Before you buy, ask your local independent agent or broker how much your car will cost to insure. And while you're there, make sure you have the right coverages for your vehicle. For example, if you're buying an older or more inexpensive car, you might want to consider dropping Comprehensive and Collision coverages.

Following these tips can help you avoid any unwelcome surprises from your new (used) car.

For more information or to find an agent nearby, visit www.progressiveagent.com.

Used car shopping requires a keen eye and an inquisitive nature.

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Benefits Of Zero Down Payment Car Finance

Zero down car loans have enabled borrowers to buy and own their own cars, despite bad credit. Many lenders extend the service to new and old or used cars and are accessible online and offline. The lenders study credit history provided by the credit bureaus to get the real picture. They offer free online calculators to help you do your own calculations and even give you the leverage to have a say in the rate of interest and tenure of the loan. Their procedures are no different from the other regular car loan providers, except that they lay more emphasis on customer profile rather than on the credit rating.
The loans are designed within secured and unsecured loan options for people with bad or poor credit rating. The professionals cater to the auto loan
needs by different social strata and despite bad credit conditions or credit scores. The loans come within a package that is like a hassle-free advice and suggestions for bad credit car loans and credit repair options. The rates of interest are calculated only after assessing and analyzing individual cases separately.

Its a good idea for you to do your homework before you get a car loan. If you know about the make and model of the new or used car that you want to purchase, as well as the type of interest rates you can expect to pay on a car loan, are better able to understand and anticipate what to expect when you go after your first online car loan.

If you have a trade-in or an exchange car that is in relatively good shape, your chances of getting a zero down car loan increases considerably. This is because in reality, the trade-in value of your old car is a down payment so youre really not driving away with a no-money down loan.

The lenders providers lay a lot of emphasis on individual profiles since the credit is probably bad. They enable the purchase of automobiles irrespective of what the credit reports indicate. They even help the borrower to assess his/her finances and make the necessary shift. They help you analyze the fiscal situation on the credit reports provided by the credit bureaus.

Your monthly car loan payments are based on your zero down payments, the interest rate, and the number of months in the repayment contract. New cars will generally qualify for lower interest rates and longer repayment schedules, with used cars being the opposite. If youve had a bankruptcy in the past dont despair as you still may be able to get financing for a car but it might take you a little longer, and it may not be a zero down loan. If you have little or no credit history, a cosigner will help your chances of getting a loan as long as their credit score is good, and their debt to income ratio is also good.

You can also apply online for a suitable loan. With an online car loan, most lenders take care of your privacy. The Majority of online loan companies collect just the essential information needed to be able to submit your loan application to the lenders that they use. However, be careful to check their reputation and history before agreeing to become their customer.

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