Rebuilt Wrecks Emerging Threat To Car Buyers

-Buying a rebuilt-but not properly repaired-wreck of a car could wreck your finances.

A new study by Carfax shows that millions of cars severely damaged in major accidents have been rebuilt and are up for sale. Over the last five years, the number of salvaged cars on the market has increased nationwide by more than 50 percent.

This problem is more widespread than previously thought. Forecasters predict that more than 40 million used cars will be purchased this year, making the used-car market a target-rich environment for scam artists.
Experts estimate that more than 5 million cars annually are deemed salvage after severe accidents. More than half of these cars are resold, many by sellers who intentionally hide their damaged past.


Some of the common problems associated with previously wrecked vehicles may include:

• Title washing.

Title documents may be altered to remove a salvage brand and obtain a clear title from another state.

• Air bag fraud.

Scam artists are known to replace deployed air bags with phony or nonworking air bags to cut costs.

• Structure/frame damage.

As little as 8mm can compromise a car’s structural integrity, which may also affect many of the car’s safety features.

• Odometer rollbacks.

The odometer may also be rolled back to further inflate the perceived value of the vehicle.

• Car clipping.

Some rebuilt wrecks are actually two different cars welded together.

Buying a salvaged car may not be a bad investment, but you must make sure you’re aware of any prior damage and, more important, see that the proper repairs were made. Many salvage vehicles are rebuilt properly and will run safely again.

However, con men can alter title documents and make cheap cosmetic repairs to others so they look as good as new on paper and in person.

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Chrysler Celebrates 25 Years Of Minivan Leadership

Chrysler celebrates 25 years Of minivan leadership and continues its long time tradition with the 2009 Town & Country minivan model.

After introducing the minivan 25 years ago, manufacturers are responding to the milestone with greatly improved models that feature enhanced seating and storage systems, transmissions designed to offer smoother shifting and better fuel economy.

That can be good news for those who want a minivan that can offer the latest in convenience, fuel savings and style.
The originator--Chrysler LLC--continues to perfect its family hauler, now in its fifth generation. With more than a quarter-century of engineering and technology, Chrysler has created more than 65 minivan-first features over the last 25 years, while continuing to introduce minivans year after year that deliver the features, unmatched versatility and fuel efficiency families shopping for a minivan are looking for.

The new 2009 Chrysler Town & Country, for one, presents a contemporary appearance, three different models, two distinct seating and storage systems, state-of-the-art entertainment systems and safety features.

The vehicle has 40 new and improved features over the previous generation, including a 4.0-liter V-6 engine mated to a minivan-first six-speed transmission and more standard equipment such as an Electronic Stability Program (ESP).

A retuned six-speed transmission and higher numerical first gear means the engine speed changes less with each shift, creating a smooth driving dynamic, with improved fuel economy. The end result is an EPA fuel economy label of 17 mpg city and 25 mpg highway that is unbeaten in the minivan segment--quite impressive considering the vehicle's seven-passenger accommodations and cargo space.

Safety has also been addressed in the new design, resulting in the vehicle receiving the U.S. government's Five Star Crash Test rating in both front and side impacts.

For added convenience, the Swivel 'n Go seating system offers second-row seats that swivel 180 degrees to face the third row with a removable table that installs between the two rows, covered storage bins in the floor and the second row, third-row uncovered storage, and fold-in-the-floor third row.

Said Larry Lyons, vice president--Car and Minivan Product Team, Chrysler LLC, "With an improved 4.0-liter six-cylinder engine and a minivan-first six-speed transmission, no other minivan has better fuel economy. We optimized both the engine and the transmission to give our customers the fuel economy they want and the power and responsiveness they expect."

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Drivers Use Financing To Their Advantage

Understanding your financing options could put you in the driver's seat when it comes to buying a new vehicle-or affording the one you already have.

Still, a recent survey found that many borrowers facing difficult financial circumstances are not aware of the ways that their creditor can help get them back on track. Indeed, only 47 percent of consumers believe that finance companies often work to help customers who are having trouble making payments.

"Consumers have many options available to them when it comes to auto financing. Similarly, if consumers are facing a tough time financially, we encourage them to work with their creditor," said Eric Hoffman, a spokesperson for AWARE (Americans Well-informed on Automobile Retailing Economics), a nonprofit auto financing education group. "Being an educated consumer not only helps when it comes to financing a vehicle, but also when times are tight."

AWARE sponsored the survey, which measured consumers' auto financing knowledge and experience. Additional findings include:

• Consumer satisfaction with auto financing remains high while interest and desire to learn more about the financing process has held steady-despite the sluggish economy.

• Even with a slowdown in auto purchases, consumers-especially those who report to be educated about auto financing-say they are satisfied with their financing decisions and the outcome of the process.

But Hoffman said more work clearly needs to be done. "Despite auto financing education efforts through AWARE, as well as individual company programs, the survey demonstrates more robust education efforts need to be put forth for consumers facing economic hardship," he explained.

To that end, the group was formed to build a greater understanding among consumers about how auto financing works. To learn more, visit www.AutoFinancing101.org. The site was created to ensure that potential buyers of new and used autos have the tools and resources they need to successfully navigate the auto financing process.

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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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Luckily, today there is large selection of compact and fuel efficient cars that are geared towards families. The cars are made to be more compact but

Things to Consider When Choosing a New Car
Choosing the car that best fits your needs and budget can seem like a daunting task. One chose a car for its design, others its badge and still others based on the image it portrays. Any car says a little about its owner and it’s possible that this is related to their lifestyle which that car would have to cater for. If you take the time to do some research and put down on paper exactly what you are looking for in a new car; you will have a better understanding of the type of vehicle that will best fit your needs.

Size and Space Needed

One of the first things that you need to consider is what your current or future circumstances are as far as people in your immediate family. The people who will be driving or being transported in the new vehicle you choose. For example, are you single, married, have children or expecting a child in the near future. Your answers to the above questions will help determine the size of car you should
be looking for.
Luckily, today there is large selection of compact and fuel efficient cars that are geared towards families. The cars are made to be more compact but still give you interior space for you and your passengers. Things to take into consideration include; if the family pet travels with you often or how convenient the car will be to get a car seat in and out. Your age may play an important role here! Pensioners may well like the sliding doors on models such as the Peugeot 106 while the Station Wagon or Estate cars and 4WD’s have excellent room in the back for owners of big dogs and families who vacation a lot will need either a bigger car or a more powerful engine to tow a caravan for example! A 1.2 Nissan Micra or Mini First which has a 1.4 liter engine would certainly not be the car for you if that was the case. You also have to consider what type of cargo space you will want or need. Here is a little tip for the fisherman; the Toyota Estima is a great vehicle for fitting you fishing rods into and a comfy retreat when it all gets a bit much when the weather is bad as you have the space to move around and wait it out.

A Huge Variety Of Body Types To Pick From

There are a variety of types of cars to choose from and there is a type for everyone’s lifestyle. A supermini is usually easy to drive and has smaller engine sizes. These are ideal cars for a small family, new drivers or someone on a tight budget. They usually have good fuel economy and the tax is lower. However, the size and performance levels are also lower.



The hatchback is one of the most popular types of cars on the road today. They have two rows of seats and cargo space behind the rear seats. These are reliable and make good family cars. In most of the models the rear seats fold down to give you even more boot space.



The MPV, which stands for Multi-purpose Vehicle, is a good choice for a large family or if you often have a lot of passengers. These types of vehicles have plenty of seats and a large boot area. They are a bigger size car and are less fuel efficient than a compact car.



A sports car is a high performance machine that usually only has two seats and most are rear wheel drive. They are not an inexpensive vehicle and are more costly to run and insure. The fuel economy usually is on the low side but they do offer power and maneuverability.



An estate car is a passenger car that has a longer body style than most hatchbacks and less room than an MPV. If you are looking for a luxury family car or an executive vehicle this might be the choice for you.



A SUV, which stands for Sports Utility Vehicle, can be used as an off road vehicle and has good towing capabilities. Nissan produce some great 4WD vehicles while the ever popular Hummer and Land Rover are still the firm favorites for larger families. They are usually equipped with strong engines and have about the same interior space as an estate. These are reliable vehicles but fuel efficiently is usually very low.

Engine and Performance

How well a vehicle will perform is a major factor to consider when choosing a car. If you use the motorways often you will want to check out the acceleration time from 0 to 60. You also want to make sure you have enough horse power for your needs. The size of the engine is also something to consider. One thing to keep in mind is the higher the performance the higher your insurance cost may be.

Cost

Once you have narrowed down your choices and have a specific model you’re interested in; now it is time to do some research. The internet is a great place to find detailed specifications and information on not only the cost of the vehicle but the actual selling price of the car you are leaning towards buying. Only then are you truly more informed when you are at a car dealership.



Other products such as gap insurance, comprehensive car insurance, car warranty information and car depreciation levels and car finance calculators are extremely well documented on the internet and not only indicate the true running costs of your chosen vehicle, but together with the cost of any aftermarket accessories you may want to add to your new car provide you with a global overview of the true price you will be paying. Many of these aftermarket products are also sold direct to you online again saving car buyers from paying out any extra when the dealers offers them the same products at higher prices. A small amount of research could easily save a car buyer hundreds of pounds on insurance and car tax, not to mention thousands on maintenance and new car depreciation.

Fuel Economy and Environmental Concerns

As far as fuel is concerned the most common fuel types are petrol and diesel. Petrol fuel runs well, is currently cheaper at the pumps in the UK that is but is managed by a less efficient fueling system, meaning more fuel is wasted on a trip. On the other hand, diesel has lower CO2 emissions, tends to get more miles per dollar or pound and is used more efficiently. You should keep in mind that the higher the CO2 emissions the higher the car tax will be. You want to make sure that you look closely at how many miles per gallon the car you’re considering buying averages. There are other eco-friendly options available which include, electric and hybrid vehicles. There are also some vehicles being manufactured today that run on bio ethanol which is eco-friendly. Governments around the world are incentivizing car makers to produce more efficient vehicles and manufacturers realize that very soon emission restrictions will be so strict that consumers
will be insisting on ultra efficient vehicles and duel fuel cars are one very buoyant market in trying time s we live in. As an ever growing environmentally conscious society consumers no longer accept second rate offers from the automotive industry and this spells a brighter future for our children!

Safety

To most people the vehicles safety is the single most important factor when choosing a new car. This is especially important if you have a young family, 3 or more kids or you simply have a lot of passengers that are relying on you to keep them safe on the road. When looking at vehicles always look at the safety features for example ask your dealer how many airbags it has, what the Euro NCAP rating for that particular model is, does Bluetooth come as an option with the radio and how many miles you should expect to get from a set of tires. Not so strange a question when you realize that every car has different rates at which they wear down their tires! An example would be the lovely Fiat Stilo which won’t do more than 8 months of town driving on a set of new tires due to the way the front suspension works and the ASR setting affects the inside tire wear! But most of all please don’t forget to ask about the Euro NCAP’s star ratings
for the car before you buy.

Purchasing a new vehicle is something that you want to take your time doing and shop around to decide which car will best fit your needs. A new car is a major investment and you want something that will be reliable and last a long time. If you consider your options wisely you will find a vehicle that will fit you and your lifestyle.

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