Category Archives: Buying & Selling

Why You Should Consider Buying A Used Car

Buying a car is an exciting process, especially if it will be your first time to own a car. When it comes to purchasing a car, there will surely a lot of decision-making. You first want to decide what kind of transportation you need. Is it a car, SUV, or truck, the model, the color, and most importantly the price. This decision can make a big difference in your life over the next several years. Let’s talk more about the advantages of buying a used car.

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We live in a generation where the automobile industry is time-tested and has developed advanced technology and quality. Cars today are really good and last a long time. Before we used to think that a car of 100,000 mileage was done, but now cars are running to 200,000 miles.  According to reports, by 2015, the average car driving in USA roads had reached a record of 11.5 years of age. The auto industry experts predict that the number of years will increase by 15% in 2020. But keep in mind that all used cars are not equal. A buyer must do some research before deciding if a used car is in good shape for your transportation needs. Nowadays, you can purchase a three-year-old car and sell it in five years without you needing to do major repairs on it. 

The best thing about buying a used car is that you let someone take the biggest depreciation on the car. This means that you may be able to sell the car for nearly the same amount you paid for it in the next couple of years. And for that, you can still find good financing options because you are not losing the money on depreciation. Another good thing is the insurance rates may be lower on a used car. This may be a significant saving especially for your owners who are paying high insurance rates because of their age. 

There is also a thing called the Certified Pre-Owned (CPO) program offered by the carmakers to make a used-car purchase much less worrisome. CPO enables certified vehicles to get some level of warranty and perks like roadside assistance or a free loan car when your vehicle needs to stay in the shop.  CPO programs vary from manufacturer to manufacturer, but what is important is that these vehicles meet a manufacturer’s established standards. 

If you don’t know much about cars, then asking for a mechanic to look over the car would be an excellent idea.  You should also take a look at the Vehicle History Report to get important information about the car’s past. Shopping for a used car is definitely more affordable than going for the new one. But no matter what you decide, you should do your research and make sure that the car model has been performing well. Yes, there will always be a risk on buying a used car that’s why you need to do your homework before driving home one. 

Author – Edward Cruz is a staff writer for VIPpromocodes.com, a website that provides the latest promotional codes, exclusive sales and offers for all of the top stores in the U.S.

When to get an Auto Refinance Loan

You have no doubt heard of auto loan refinancing before. Or simply an auto refinance loan. The term “refinance” actually refers to a financial situation wherein a borrower finds financing to pay off an existing car loan.  Refinance loans are most often used in home buying.  In fact, refinancing is one of the most popular methods of getting less expensive financing for a home loan.  The reason is that rates change and when you can refinance and save money, it’s a smart thing to do.  This applies to auto refinancing as well.

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With auto refinance, many borrowers have gotten a long at the dealership.  Time passes and rates change and the possibility of saving thousands of dollars may exist.  Auto refinance is basically paying off one loan with a new loan.  The goal of auto refinance is to allow the borrower to save by reducing the monthly loan obligations.  And as such, it is one of the best kept secrets in the financing industry that is so easy to obtain a free look and comparison of your current loan amount.   For years now, people have refinancing their homes and saving thousands of dollars.  

However, the practice of refinancing car loans has not been publicized or communicated as much.  Why?  Perhaps the reason is that auto loans generally behave differently from home loans and people are naturally skeptical about new methods of financing.  Regardless, auto refinance is still a good choice, provided that you do a bit of checking out options.  One option is to use a site that actually give you a choice between different loan offers.  A site that shows you in a secure and confidential manner what other lenders would be willing to refinance your existing car loan for.  A site like myAutoloan.com.

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If you obtained your auto loan from the dealership, chances are that you can save money by looking at a refinance loan.  Interest rates fluctuate all that time and knowing that the dealer may have marked the APR a bit means that you might save by reducing the APR terms of the loan.  Auto Lending Rates and Mortgage rates tend to move with interest rates.  Therefore, as interest rates change so do the refinancing rates change.  Changing finance rates typically mean all financing rates change as well and thus there is the opportunity to save with a reduced monthly payment.  To check out how monthly rates can change use a rate calculator to get an idea of monthly payments with a new rate. 

Only few people really understand the time value of money.  Keep in mind that the longer you pay for a loan, the bigger amount of money you actually spend for it.  Thus, by the end of the loan period, you could have paid more money on interest than on the principal.  This is why auto refinance is important as it is one of the few methods that could help you minimize loan costs and maximize your savings.

Who can benefit from Auto Refinance?

Almost anyone with a loan to his name can benefit from auto refinance.  Even car buyers with bad credit can obtain auto refinance as a way for them to lower the overall costs of a car loan. 

Let’s say, for instance, you make an auto loan for $16,500 on a new Honda Accord.  You don’t have very good credit because of a few rough roads in your journey.  It happens – something bad things happen to good people.  You decide to move forward and buy the car and you agree to make payments with an interest rate of 21% APR.  Now you make on time payments for 4 to 6 months and your credit score improves and you look into getting an auto refinance loan.    

If for example, you move forward and apply at myAutoloan.com and get up to 4 offers from credible lenders.  Because your payments have been on time your ability and qualifications are attractive to the lenders, the offers vary in rate and payments.  However, this time, you decide to accept a loan rate of 6% APR.  Your current monthly payment is $446 which gives you total interest charges of $10,283 at the end of your loan period. Your auto refinance loan offers you a monthly payment of $319 with total interest charges of $2,639. Thus, by refinancing, you can save up to $7,600.

Whether you have bad or perfect credit the possibility of you saving money with a refinance auto loan is real.  Check out your costs and look into a no obligation auto refinance loan today.  Good luck and good hunting!

Car Loan & Car Buying Tips

Get the best price and best car loan on your next car

The auto finance world is changing and finding a competitive loan is getting a bit tricky.  If you’re like many people, you may find the car buying and car loan process confusing and intimidating.  Sometimes the dealer rep is a bit aggressive, and they may use car buying and car loan terms you’re not familiar with.  It just gets difficult to see what is the best for you so we put together a list of car buying tips that will help you make a smart choice when you start shopping.

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Understand Your Car Loan Options

We have all been to dealerships that often treat the financing of an auto loan as an afterthought.  They would much rather sell you a car first and then discuss the terms later.  Happens all the time.  

However, that approach puts you at a disadvantage and it often results in buyers agreeing to finance terms that aren’t right for them.  So here are some tips for getting the right car loan for you.

1. Determine Your Budget & Car Loan Payment Limits 

Before you apply for a car loan, it’s essential to know exactly how much you can afford to borrow, and what your monthly payments will be.  To make it easy to determine your budget, myAutoloan.com offers two convenient tools: A Car Loan Payment Calculator and a Car Loan Rate Calculator. By using these car loan calculators, you can easily determine what kind of car you can afford and have a good idea of the loan payments with your trade in.

2. Understand the Components of Your Car Loan

The key components of any car loan are:

  • Vehicle Price
  • Down Payment
  • Interest Rate
  • Length of Car Loan (Term)
  • Monthly Payment Amount
  • Fees: Taxes (government fees)

Frankly, understanding these components and knowing that only the Government Fees are not negotiable is important.  Everything is negotiable as it relates to the vehicle and add-ons.  For an overview of how to get a good deal, check out this finance guide – knowledge is power so check it out as you prepare to finance your car.  

Whether you get a car loan through myAutoloan.com or through a dealership, always review and understand each point on this list.  Don’t become so preoccupied with your interest rate or monthly car loan payment that you agree to a higher vehicle price or additional products such as service contracts or other “back-end” products that you may not want or need.

3. Shop around for a Car Loan Before Going to a Dealership

Car financing options are available to consumers – having a choice is a powerful thing.  At myAutoloan.com, you can get up to four loan offers from which you can choose the best one for you.  You are not limited to loans offered only through auto dealers.   Having your financing approved before you go to the dealer gives you more leverage when you start negotiating on the price of an auto you are interested in.  Being a “cash buyer” is a great way to keep your costs low on financing and negotiate a great price for the auto you want.

Today, there are many car loan sites offering a range of new and used car finance solutions.  Online car loan companies like myAutoloan.com offer some of the most competitive APR’s in the market, because their loans are not “marked-up” like dealership car financing.

4. Negotiate Your Price & Get Your Car

Okay—you’ve secured your car loan, done your research, and found a car that fits both your budget and your practical needs. It’s time to get yourself to a dealer, find the car you want and begin negotiating a sale price. Many auto dealerships have internet departments that will provide a price quote via e-mail.  Start by contacting a local dealer and request a price quote or, go directly to a local dealer’s website.

You’ll find it’s possible to save hundreds if not thousands of dollars from the MSRP before ever stepping foot into a dealership showroom.  Next, go to the dealership, take a test ride, with your financing already taken care of you can then drive home in your next new or used car!  

By using these resources mentioned above, you can and will find competitive financing and save on the car that you decide upon.  Good luck and happy shopping.

4 Ways to Feel More Confident Buying a Car

Buying a new lawnmower. Buying groceries. Even buying new curtains. There are some things in life you’re confident about purchasing. But buying a new car?

Most consumers are not confident when it comes to understanding the purchasing process, finds a recently released study from Capital One. And few folks feel like they’re getting a good deal when buying a car.

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Capital One’s survey of 1,000 U.S. adults found:

  • Only 20% of consumers feel sure of themselves when buying a car.
  • Even fewer respondents (16%) feel like they’re “a boss” when it comes to negotiating.
  • And just 6% of consumers think car buying is a transparent process.

When it comes to getting the best price, most people feel like they just can’t hit the mark. Capital One reported that:

  • 62% of consumers feel they didn’t get the best price on their last car.
  • Yet, 47% of consumers noted “finding a deal” as the most important part of the car buying process.

So, what can you do to feel just as confident about buying a car as buying groceries? myAutoloan has the info you need (and a free eBook about the auto buying and financing process).

Know what kind of vehicle you want to buy.

Knowledge is power. Start with a plan! Before you head to the dealership, research the make, model, and style of vehicle you want to buy. The information available to you online is nearly limitless.

Think about the features that are most important to you in a car, like safety, storage, tech compatibility, and gas mileage.

Make a list with three columns: your “must-haves,” “nice-to-haves,” and “can-live-without” features. This foundation can help you feel surer of yourself when you walk into a dealership. You won’t be swayed by flashy marketing or dealer inventory!

Bring insurance and vehicle information with you when shopping.

Bring your research to the dealership with you, just like you would go to the grocery store with a list, coupons, and maybe the week’s meal plan.

Your research includes your feature list, some potential makes and models to test drive, and yes—car insurance estimates!

“Even the savviest car shoppers often forget to estimate car insurance costs before buying,” notes USA Today.

But the type of car you drive is one of the most important factors in determining the cost of your car insurance. Even if you estimate potential fuel and maintenance costs, you need to evaluate the price of car insurance to know the long-term cost of owning a car. The same driver could end up paying hundreds of dollars more depending on the vehicle.

Read up on basic negotiating techniques.

Only 16% of respondents in Capital One’s survey reported feeling like “a boss” when it comes to negotiating, yet 82% believe negotiating price is still necessary.

Here, we have two things to say: 1) Negotiating is a necessary evil, and 2) The internet is your friend! Check out NerdWallet’s car negotiating secrets for people who hate haggling or Forbes’ punch list of good tactics to use to lower the price of a car.

Recurring themes include:

  • Knowing your numbers and the real price of a car.
  • Timing your purchase based on the day of the month and the weather.
  • Securing auto financing ahead of time.

Get pre-qualified for financing before going to the dealership.

Securing auto financing beforehand is one of the best ways to make the car buying process smoother. It also takes control away from the dealership and puts it in your hands. But buyer beware! The dealer will likely claim that they can beat your other financing deal. They’ll do this by lowering your monthly payments but increasing your term, the sales price, or the interest rate (APR). Focus solely on your monthly payment amount and you could overlook an increase elsewhere, then end up paying more for the car or auto loan. Know your numbers, and you won’t fall prey to this trick.

You can feel more confident about buying a car, and you can do so today. Prequalify for auto financing now!

How to Make Your Tax Refund Check Go Further When Buying a Car

You already know you can use your tax refund check to buy a car. But you may not know that doing certain things can help you avoid more fees or get a nicer car with that very same check. One check. Different (and better) results for you when buying a car. So, how do we recommend you go about doing this? Check out myAutoloan’s strategy for stretching your tax refund check when buying a car.

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Take your time.

From the bank to the grocery store, every business knows it’s tax refund check time. And they all want a piece of your check. If you jump on the first flashy deal you see, you may miss out on an even better one a few miles away. Do your research and avoid acting impulsively to help make sure your tax refund check is wisely spent.

Stick to used cars.

Buying a used car means less of your tax refund check will be eaten up by depreciation. According to CarMax, cars lose about 10% of their value within the first month of being driven. After 12 months, their value has decreased by more than 20%.

Let another driver eat the biggest dip in depreciation. Analysis from U.S. News & World Report shows that the best way to find the cheapest car is to buy the oldest modern card you can find in good condition. Models that are 2012 and newer will have more safety features, as that’s the year electronic stability control became mandatory for all cars. Buying a rental car is another great option for saving money on a newer, reliable ride.

Buy from a private party seller.

When you have cash in hand, buying a car from a private seller can be one of the best ways to save money. Absolutely $0 of your tax refund check will go toward sneaky dealership fees. As Consumer Reports warns, dealership fees can include:

  • A destination charge: The cost to deliver the car from the factory to the dealership
  • Title and registration fees: The price to have the dealership handle ownership transfer, temporary tags, etc.
  • A documentation fee: $150 to $300 for processing title and registration documents
  • An advertising fee: A fee sometimes tacked on by regional dealers to help cover marketing expenses
  • A dealer markup: The additional price you have to pay to drive away with a car that’s in really high demand

Together, all of these fees could total thousands of dollars and consume your entire tax refund check. Go with a private seller and you won’t have to pay any of them, as private sellers are not dealers and have no overhead costs.

Don’t go with your first financing option.

Instead, compare auto financing options to make sure you’re picking your best loan offer. We know it’s tough to wait when you have a cashed refund check in hand. You want to buy a car fast, and you don’t want to wait. But comparison shopping doesn’t have to take more than a few minutes. You can submit one auto loan application through myAutoloan and quickly receive compare up to four loan offers. There’s no need to navigate to different websites, submit different forms, or even drive to various places around town.

Shop local around tax time.

Buying a car around tax time has two benefits. One, you likely have a tax refund check. Two, the auto industry tends to see a slowdown around tax time, which is good negotiating leverage for you.

“Ask any small business owner who is not in the tax business and they will tell you that business always sees a cyclical slowdown in April. The reason being that plenty of people owe taxes by April 15,” says the Financial Samurai.

While other folks are pulling from their savings account to pay Uncle Sam, you can use your tax refund and savings to put down a sizeable down payment on a car—assuming you don’t owe a hefty amount of taxes, too.

Start with myAutoloan.

We’re all about getting you more financing for less hassle. Fill out a quick auto loan application for a used car and get ready to enjoy a newer car, all thanks to your tax refund check and money-savvy research!