Financing > The Quick Guide to Buying A Vehicle

The Quick Guide to Buying A Vehicle

by: Dave Lympany

Buying a car will most likely be one of the largest purchases you make in your life and so its importance cannot be understated. With such a huge array of vehicles to choose from, throughout the various price ranges, research will be the key to a successful purchase. When you are thinking about buying a car there is one important factor to appreciate
? in financial terms nearly all vehicles are liabilities. That is they LOSE money and are an added burden to your finances ? not only the initial purchase but also the insurance, gas costs, repairs and then the depreciation when you come to sell it.

That said, they are also fast becoming an essential possession in the modern world ? only major cities have comprehensive public transport systems, so to get around at your convenience there is only one option ? buy a car.

The first item to consider is the method of payment for the vehicle ? buy to own or lease over a period of time. Either way you will need to calculate your budget to see what you can afford not only up front or monthly payments but also the following:

1. How reliable a make of car it is ? are the parts expensive?

2. How long is the warranty period and how comprehensive is it?

3. How much does the insurance cost?

4. What are the service intervals and how much do they cost?

5. The economy of the vehicle compared with the type and distance of driving you normally do.

6. Style of vehicle ? do you need a truck or SUV for local/inner city driving? How many passengers do you carry?

7. How long will you want to keep it? (Marriage, kids or relocation?) Don?t sign up for expensive 5 year financing if you only want to keep it for 12 months.

8. What is the MRP of the vehicle ? always look for discount.

9. What is the resale value of the vehicle ? is the depreciation high?

Methods of Purchasing

1. Buy new ? This is fast becoming a more affordable method of buying a car and you can either pay cash up front (if you?re lucky), arrange your own financing or take out the financing from the car dealer (if buying from a dealer). Most domestic manufacturers will offer either large discounts for cash payment or 0% financing over a period of up to 5 years. The imported vehicles (far eastern/European) are very popular and most don?t need to offer such large incentives for sales as the reliability and economy of their products are in high demand.

There seems to be 2 major factors when choosing a new vehicle ? price over quality. A Japanese / European imports have the quality but you will pay handsomely for it ? a North American vehicle (GM, Ford, Chrysler/Dodge) definitely have the price and incentives so that will come down to personal choice.

2. Buy used ? The most likely choice of many of us either through a private sale or a used car dealer. Many private transactions are completed due to reasonable pricing (agreed between the seller and purchaser) that is normally based upon the condition of the vehicle (any crashes or service history), the age, and fair market value. The main drawback is that these sales are completed ?sold as seen? and there is very often little or no comeback should the vehicle subsequently fail shortly after the transfer of ownership.

It is a necessity to have the vehicle history checked if you are committing to a private transaction. If the vehicle is stolen or has finance owing on it there is a very strong chance of it being repossessed should it be uncovered. These checks also show the last known mileage (prevents clock tampering) and also any reported collision damage (written off and then rebuilt) and for a small fee can save an awful lot of heartache and financial difficulties.

If you buy from a reputable dealer you will pay more for the vehicle but will normally be able to trade in any old vehicle. Again you will not be paid too much for the trade in but not having to worry about the sale of the old vehicle may well offset that. You should also have a decent warranty with the vehicle you buy which may be the balance of the manufacturers warranty or up to 3 months from the dealer. If it is a dealer warranty, make sure you fully understand what is and more importantly isn?t covered ? the small print must be read and understood. Depending upon the size of the dealership, you may be able to purchase an extended warranty, again check what is covered and for how long ? you really don?t need any surprises when the problems arise.

3. Auctions are another method of purchasing which can save you a lot of cash if you are brave enough. You will have the chance to look over the vehicles prior to the auction and the auction company will usually run some background checks to avoid selling stolen cars. If you know what you are doing this can really be a cost effective way of buying a car but also probably the one with the highest risk.

4. Lease ? This entails a down payment (normally) followed by a monthly payment which will be less than the financing of a new vehicle payment. This method isn?t everyone?s idea of monetary sense as you make payments but will never have any equity at the end of the lease term. The major benefits are that you will be able to have a new car every few years (usually before the warranty period expires) and simply give the vehicle back in exchange for the next new one. You will most likely have a pre agreed limit on mileage that will cost you extra should you surpass it and you will be liable for the servicing costs.

Whether you are buying a car - new or used - never pay the ?price? on show ? these are heavily inflated and you should be able to negotiate a substantial discount. If not ? go somewhere else ? you are the customer that they should be bending over backwards to please. Do not be afraid to walk out on a dealership if you are unhappy with what?s on offer and definitely visit several different dealerships and play them off against each other to gain a favorable price.

More detailed information on Buying a Car can be found at http://www.onestopimmigration-canada.com/buying_a_car.html

About The Author

Dave Lympany immigrated to Canada in 2003 and has constructed a free information website http://www.onestopimmigration-canada.com about Canadian Immigration and life in Canada based on his family?s experiences.

Auto Financing Online

Auto Financing Online

by: Mike Hamel

More and more consumers are getting their auto financing online instead of from the dealerships where they buy their vehicles. Getting auto financing from a dealership has some benefits:

? Convenience ? vehicles and financing are in one place and the dealer is motivated to find financing for buyers, no matter their circumstances.

? More options ? a dealer?s relationships with a variety of banks and finance companies mean they can offer a range of loans to fit a buyer?s credit rating.

? Special programs ? sometimes dealers can offer manufacturer-sponsored, low-rate programs, but usually only to people with good credit.

But getting auto financing online offers even more advantages:

? Certainty ? buyers know how much they can spend before setting foot on a dealer?s lot.

? Clout ? buyers with financing in hand are treated like cash customers and are in a stronger negotiating position.

?...

Auto Financing Online

Financing > Auto Financing Online

Mortgage Brokers

Mortgage Brokers

by: Dan Lewis

When applying for a home loan, it can be difficult to ascertain your options and the best deal out there. Mortgage brokers can help you shop for the best loan for your situation.

Mortgage Brokers

A mortgage broker is an independent professional assisting homebuyers with their mortgage needs. Instead of a loan officer for a bank, a mortgage broker typically works with tens or even hundreds of lenders. This independence lets mortgage brokers hunt for loans that fit the credit history and particular lending needs of a person.

Let?s assume you have less than stellar credit when you apply for a loan at ABC Lender. The lender pulls your credit report and determines you don?t qualify for any of the loans offered by the lender. The lender is going to drop you like a rock and move onto the next potential borrower.

Now, let?s make the same assumption regarding your credit score, but put a mortgage broker...

Mortgage Brokers

Financing > Mortgage Brokers

Sub-Prime Mortgage Loans - Five Ways To Lower Your Rates On A Sub-Prime Mortgage

Sub-Prime Mortgage Loans - Five Ways To Lower Your Rates On A Sub-Prime Mortgage

by: Carrie Reeder

Sub-prime mortgages don?t mean you have to pay excessively high interest rates to buy a home. By taking time to do some research and pick the right terms, you can save thousands on your mortgage. The following five tips will help you get low rates with the right subprime lender.

Compare Lenders

The number one way to lower your interest rates on your sub-prime mortgage is to compare lenders before you apply. It sounds so simple, but too many homebuyers skip this step, costing them thousands.

Plan on taking at least a day to explore your options. The easiest way to look at financing packages is to request quotes online. While you are requesting quotes, take a look at conventional lenders as well. They often offer good rates and terms for those with adverse credit histories.

Pick An ARM

Adjustable rate mortgages (ARM) offer...

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?Why You, Why Now? - A Critical Component of a Winning Business Plan

by: Dave Lavinsky

Business plans continue to be an essential element of the capital-raising process. They must convince investors to take notice - investors that are shrewder today due to the ups-and-downs they have experienced over the past few years.

Adding to the financing challenge is the plethora of high-quality companies, both public and private, in which investors can choose to invest. In this environment, more and more investors are asking companies seeking capital the question "Why You, Why Now"?

The question seems simple at first, but has many complexities. The management team must clearly delineate what it is about the business opportunity that makes it such a good investment now. Should this investment have been made a year ago to cement a market leadership position? Or, is the venture before its time - will slow market adoption cause slow sales over the next...

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Unsecured Loans With No Credit

Unsecured Loans With No Credit

by: Julie Mann

Lenders label individuals with no credit history as 'high risk'. Being considered 'high risk' can be the 'kiss of death' when it comes to getting approved for unsecured loans. Why? Because unsecured personal loans require no collateral. So, the lender loaning you your money trusts you that you will make timely payments. This is not a personal issue of trust, it is a credit issue. Lenders do not want to lend unsecured loans to people with no credit or bad credit, period.

By now you are asking yourself, 'How do I turn my no credit history into a positive one so that I can apply for a personal loan and get the cash that I need?'. Easy! Being labeled 'high risk' makes it hard to get approved for certain types of loans and credit, but not all.

Did you know that applying for a used car loan is one the best means for building or rebuilding credit? How? When you take out a car loan, you are securing...

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Sub Prime Auto Financing - How To Get Approved

Sub Prime Auto Financing - How To Get Approved

by: Carrie Reeder

Auto buyers with blemished credit may wonder how they can get approved to buy a car. The answer is sub prime auto financing. When seeking a sub prime auto loan the question shouldn?t be just, "How do I get approved?" The better question to ask is, "How do I get approved for the best sub prime auto financing available?"

Prospective car buyers who have a credit score below 620, a history of late payments or a recent bankruptcy will all be candidates for sub prime auto financing. However, all sub prime loans are not created equal and the wise shopper will do a little homework before going out to the car lots.

Pulling you own credit report is a good place to start any time a major credit purchase is being considered. A buyer wants to know as much about his credit record as a potential lender knows. Check your report for inaccuracies and notify the credit reporting agencies if...

Sub Prime Auto Financing - How To Get Approved

Financing > Sub Prime Auto Financing - How To Get Approved

Home Equity Loan Comparison - Access Your Home's Equity Through A Second Mortgage Or Equity Loan

by: Carrie Reeder

You can access your home equity without the cost of refinancing with two financing options. A second mortgage will give you a lump sum check with a fixed or adjustable rate. A home equity line lets you tap into your equity when you want to. Both options allow you to write off interest on your taxes and avoid high financing costs.

Benefits Of A Second Mortgage

A second mortgage allows you to borrow up to 90% of your home?s value. The lender, which doesn?t have to be your primary mortgage lender, writes you one check. You can choose to pay off credit cards or make a major purchase.

Fees are none to minimal with a second mortgage. Rates are usually fixed and last 15 or more years. A 15 year loan lets you pay off the debt quicker, saving you cash on extended interest payments.

Benefits Of A Home Equity Line

A home...

Home Equity Loan Comparison - Access Your Home's Equity Through A Second Mortgage Or Equity Loan

Financing > Home Equity Loan Comparison - Access Your Home's Equity Through A Second Mortgage Or Equity Loan

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The Quick Guide to Buying A Vehicle

The Quick Guide to Buying A Vehicle Financing pool table

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by: Sintilia Miecevole

It is pretty usual for children to go around in footies or in socks during their first months. At that age, shoes are merely a 'decoration' item because newborns or young babies never walk so they don't need any kind of support for their body and feet. Nevertheless, the minute kids begin to walk, generally quite a few months before or after they turn one, you must know what types of shoes...

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Financing > How To Select The Right Shoes For Your Children

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Cold Cathode Light - The Bright Light for Your Computer

by: Greg Wirth

Cold Cathode Lights are vacuum tubes or gas filled tubes. Unlike other heater operated cathode tubes, there is no cathode heater in cold cathode tubes. There are many types of cold cathode tubes, some have beta radiation source to start the ionization process in the gas-filled tube. Others cathodes may have rare earth materials coating for enhanced electronic emission.

The neon lamp,...

The Quick Guide to Buying A Vehicle Financing Cold Cathode Light - The Bright Light for Your Computer vacuum

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Travel Insurance: Prevention Is Better Than Bills

by: Robert Thatcher

It is really fun going on a holiday trip. You will be so busy strolling around, doing what you do not usually do, like skiing, windsurfing and other activities worth spending your holiday with. Outdoor trip is really fun and entertaining. You are enjoying snow boarding but suddenly you broke your leg. We don?t know when accidents may happen. It is just practical to get a travel insurance plan....

The Quick Guide to Buying A Vehicle

Financing > Travel Insurance: Prevention Is Better Than Bills