Common Mistakes You Make When Financing a New Car

Buying a new car can be a stressful part of life especially when you do not have enough money saved up to purchase it flat out. This is the case for most people, which is why auto loans are such a big market. Just like anything else you buy in life, it is important to shop around and know what you are looking for before you commit to anything. Doing the research is important because there won’t be a JCPenny for cars where you can just go in and see all the best deals on your favorite brands. Lucky for you, we have done some research of our own and come up with a list of some of the most common mistakes people make when they are financing a new car.

Knowing Your Stats

You would be surprised at how many people have no clue what their credit score is. This is the first thing you should figure out before making any large purchases in life that may require funding or a loan. There are multiple ways to get a free copy of your credit score. Without this information, you are basically at the hands of the dealer when negotiating loan terms and interest rates. That said, don’t go overboard with telling the dealer all your personal information or what your budget is. If you keep your maximum monthly payment amount to yourself, there is a much better chance you will walk away under budget. Don’t forget, you can always try to negotiate a lower interest rate with a dealer who offers in house financing.

Go for the Short Term

It can be tempting to create a plan where your monthly payments are lower but the length of the loan is longer. If you truly cannot afford to make payments any other way then this may be an option for you, but at the end of the day, you get slammed with interest payments that pile up over time. If possible, go for the short-term loan, your wallet will thank you. Another thing that many people fail to investigate, is whether or not there is a penalty for paying off your loan early. Often times, banks are counting on those interest payments racking up and want to cash in on your loan either way even when you can afford to pay it off early. Just be aware of any guidelines and penalties before you sign anything.

Add On Services

Another common mistake when it comes to auto financing is purchasing additional services such as warranties or insurance for certain things and rolling the financing of these items into your loan. These types of services can really increase interest payments and should be paid for separately. It has been shown that more than 40 percent of most dealerships’ after-market income is generated by these add on services. Even further, most of the policies that you would be including, can be purchased from outside carriers at a much more discounted rate.

Take Your Time

The number one mistake people make when financing a car is signing paperwork too quickly. There is no rush to commit to or sign anything even if the dealer is making you feel like this is a limited time offer. Chances are, if he wants your money, he will still accept it the next day.

Car Sales in China: Fall, Fell, Fallen

The car market in China is not quite as healthy as many had been surmising. Proving that bubbles continue to be bubbles, sales of new vehicles in the nation of the Panda dropped at a frightening rate the last few months. Moreover, some are worried that the symptoms of the poorly performing vehicle market could be a sign that the overall economy of the Big Red, the planet’s second largest economy, is far from robust.

If cars continue to sit at dealerships, shipping of new vehicles to China could be cut by 400,000 units, or 2 percent of nationwide sales, by the end of the year. That would, economists say, undermine economic growth.

Compounding this problem are the restrictions on the new car purchases that the government is implementing in many cities across the nation to combat the Great Smog of China and its world famous traffic congestion. However, these restrictions will initially boost sales, according to said Yale Zhang, managing director of Autoforesight Shanghai Co., who said:

“In the short term, the market will just jump in those cities. Consumers will panic and will start to buy whatever they can before the measures.”

New York Lawmakers Set Aside Bill Prohibiting Tesla from Selling Directly to Consumers

Good news out of New York, its state assembly has decided to shelf a proposed bill that would have, if passed, prohibited Tesla Motors from selling its cars directly to buyers. However, the lower chamber of the Empire State adjourned its legislative session without acting upon the bill, an act of inaction that was a cry for freedom from sea to shining sea.

Though the bill would have kept all carmakers from selling cars directly to people, it was Tesla and its CXEO Elon Musk who had become the face of the opposition against the bill. Musk has said that if it had passed, he would have been forced to close the three Tesla Stores operating within New York.

Talking about the dangerous bill, Diarmuid O’Connell, a Tesla vice president, said, “Tesla’s goal has been to catalyze the market for electric vehicles and selling through intermediaries at this stage of the company will not work. It forestalls progress and defeats innovation.”

The primary opposition to Tesla’s direct-sales approach has come from car dealers, who, it turns out, are not fans of competition.

New York Lawmakers Attacking Freedom? May Ban Direct Sales of Tesla Vehicles?

New Lawmakers are considering a collection of bills that will, if they become law, revers a recent state court decision while preventing Tesla and all other carmakers from selling their cars directly from the factory to the customer. If the bills are signed into law, it will simply reinforce the belief that lawmakers tend to care more about protecting their buddies, in this case car dealership owners, rather than protecting the freedom of you and me to participate in the free market.

New York is not the only place in the nation where Tesla has run into roadblocks (sorry) as it has tried to sell cars directly to customers without going through a middleman. North Carolina, Texas and several other states either already have such laws on their books or bills that will ban the direct selling of cars.

Speaking about how harmful such bans force stores to close and cost real people real jobs, Tesla spokeswoman Shanna Hendricks said, “For auto dealer Associations to claim that restricting competition is in the best interests of the public is wrong and defies obvious common sense.”

Greater Niagara FCU: Shorter Term Equals Lower Rate

When one is trying to get a good deal on an auto loan, one of the best ways to accomplish this is to pay more up-front so that one can secure a shorter loan term. Greater Niagara Federal Credit Union, which provides a life-time membership to all residents of Niagara County, offers a very low 1.75% APR on terms up to 24 months.

Read the full article here:
http://www.gobankingrates.com/auto-loans/greater-niagara-federal-credit-union-1-75-apr/

Unique Offerings And Designs Make These Food Trucks The Top Ten Weirdest

Food trucks have a growing fan base all across the world. Some of the most eye-catching and interesting trucks feature not only a diverse and unique menu, but include specialized conversions of the trucks themselves. What follows is a list of the top ten weirdest food trucks the world over. Some made the list by having unparalleled and creative food options, and others found their way to the list by being seriously tricked out food trucks. Be prepared to have your mouth watering with the thoughts of these tasty offerings while your artistic side is tickled by some of the cleverest designs we’ve ever seen for a truck, let alone a food truck.

Read the full article here:
http://jalopnik.com/the-ten-weirdest-food-trucks-in-the-world-512276249