Thinking about financing a car? These 10 ideas will help you make a better decision!
October 6, 2016
There was a time not all that long ago that owning a car was a considerable privilege for the American elite, but in today’s world most families have at least one vehicle. Our needs are expanding and more people than ever are making a daily commute to and from work. Despite the commonality, however, buying an automobile is still a considerable purchase. Here are ten things to keep in mind when financing your next vehicle:
1. Consider your price point
This is a big factor that isn’t always given enough thought. When buying a car, you want to make sure you don’t overextend yourself. Vehicles require maintenance and upkeep to remain reliable and this expense must be factored in addition to your new car payment. The costs of these expenses will often be influenced by reputation or age of the vehicle. Remember: an older car can often be had for a song, but there will typically be higher expenses in maintenance than a newer vehicle.
2. Consider the type of vehicle that is best for your needs
A 2-door convertible can be a lot of fun in the right application, but it can also be a mistake for a family of eight looking for a vehicle to chauffeur children to sporting events. Make sure that the style of vehicle you choose not only suits your tastes aesthetically but is also practical for your intentions. On the other end of the spectrum, a 4-wheel-drive pickup may be just the thing for difficult winter driving or towing recreational vehicles, but fuel consumption is likely higher than a similarly-priced sedan for commuters.
3. Keep in mind future changes in your family or career
Baby on the way? Hoping to land your next job in the neighboring metropolis 30 minutes away? These can be important factors when choosing which vehicle to finance. Make sure that your choice is sufficient for your future needs as well as your present. While it may be impossible to see the future with certainty, a little contemplation now can save a headache later!
4. Know your lender
Consider who you’ll be financing your purchase through. Some larger companies may have employee credit unions which offer reduced rates for employees. Likewise, many dealers offer special promotions which may prove a better value in both the short and long term. The bottom line: be sure you know where your loan is from as well as a little about the reputation of your lender.
5. Understand your terms
$2000 cash back and a free can cozy today may sound great but could come attached to a much higher interest rate or other stipulations. Make sure you understand the fine print in your agreement before signing on the dotted line. Most dealerships (and certainly any reputable bank) should be able to describe the exact details of your contract. If something doesn’t make sense, take the time now to ask questions until you’re satisfied.
6. Don’t forget proper insurance
Of course, insurance is important no matter what, but most loans require full coverage insurance (*1) to protect the lender in the event of devaluation of the vehicle (whether by an accident or other means). Make sure that the insurance you purchase meets the requirements of your lender while also being sufficient for your needs as protection for your new investment!
7. Have the vehicle’s condition reviewed by someone with experience
This can be as simple as bringing it past a friend who is a mechanic all the way to scheduling a vehicle inspection with a trusted professional. Of course, when buying new, this should certainly be less of a concern and many potential issues are covered by manufacturer’s warranties. Buying used, however, can be either a very good or a very costly decision depending on the mechanical condition of the car (*2). Make sure someone you trust takes a peek first!
8. Know the vehicle’s history if buying used
Obviously a lesser concern for those financing a new vehicle – though nevertheless prudent to know the reputation of the make/model you are purchasing. Yet for those buying used, it’s very important you request a vehicle history. Most dealerships will be more than happy to oblige.
9. Do your research!
There are many consumer and professional review sites across the Internet. Take the time to read up on the car you’re considering purchasing. Even new vehicles can have peculiarities or recalls. It’s worth the extra leg-work to know what you are buying before the papers are signed.
10. Shop around for both rates and automobiles
It’s often easy to lock in on one vehicle early in your search, but don’t be afraid to take a little more time with your decision. Test drive several vehicles if possible so that you understand the pros and cons of different styles and price ranges before financing. If your in the greater Toronto area check out the best car loans in Toronto at T Dot Car Loans. Remember, a good purchase can continue giving for years to come – and so can a bad purchase! Don’t be pressured into buying too quickly or without seeing all the options available.
Americans Unconvinced Of Potential Good Of Self-Driving Cars, Study Finds
September 30, 2016
Americans want to stay in control of their cars, a new study finds.
According to a study by Kelley Blue Book, 80 percent of Americans say people should always have the option to drive themselves.
This study comes just a week after the Department of Transportation released regulatory guidelines for self-driving vehicles.
And it comes comes as car companies are spending billions to advance the technology. But despite the push toward autonomous cars, consumers remain unconvinced.
Secretary of Transportation Anthony Foxx and safety advocates have pointed to the increased safety that automation could bring. According to the survey, 51 percent of those surveyed say they “prefer to have full control of my vehicle, even if it’s not as safe for other drivers.”
This is the latest study that shows a disconnect between the perceptions of the public and industry claims of increased safety. A Harris Poll in 2015 showed an equal percentage of Americans see self-driving cars as the future, but wouldn’t purchase one for themselves.
Skepticism of new auto technology is not a surprise, because the last decade has been a tumultuous one for the auto industry. In the last year, Volkswagen has admitted to lying to regulators and consumers about clean diesel, a core technology the company advanced.
2015 was a record year for automotive recalls. Carmakers recalled 51.2 million vehicles. That’s in addition to $1.2 billion in fines for Toyota for intentionally concealing information and misleading the public about the danger that some of its vehicles might suddenly accelerate. In addition, General Motors was fined $900 million dollars to settle criminal charges related to ignition switch defects.
To be clear, the self-driving technology that’s on the road for consumer use is still in its infancy. Most autonomous features are still in the early stages of autonomy.
The Society of Automotive Engineers lists these five stages of autonomy:
- Driver Assistance— Systems such as lane assist, anti-lock brakes, even navigation systems
- Partial Automation— The car takes partial control but driver keeps hands on the wheel and eyes on the road.
- Conditional Automation — The vehicle steers, accelerates and decelerates but the driver must be able to take control
- High Automation — When put into drive mode, the vehicle is in charge of all aspects of driving even if a human driver doesn’t intervene
- Full Automation — Full time performance by the vehicle.
The auto industry is poised to move from Level 1 to Level 2 en masse in the coming years. For instance, automated braking will be standard on virtually all new vehicles sold in the U.S by 2022.
Most automakers are sensitive to these consumers’ feelings and are taking a slow approach to automating America’s driving fleet. However, despite consumer concerns, auto executives say the new technology could save millions of lives and trillions of dollars. There were 1.25 million road traffic deaths globally in 2013 according to the World Health Organization. In the U.S., traffic fatalities and injuries cost the economy more than $800 billion each year.
Check out the full article here: http://www.npr.org/sections/thetwo-way/2016/09/29/495923889/americans-unconvinced-of-potential-good-of-self-driving-cars-study-finds
Best Cars 2016
March 24, 2016
Here is a little video showing you my top selections of cars as far as bang for you buck for 2016 check it out.