The Golden Rule of Car Buying Has Changed: Why Buying Used Could Be a Financial Trap
Used car financing is changing the way consumers think about vehicle ownership. For decades, buyers were told that purchasing a used car was the safest way to avoid depreciation and save money. That advice is not entirely wrong—but it is increasingly incomplete in today’s lending environment. Financial expert Lynnette Khalfani-Cox, known as The Money Coach, […]
Is a 72 Month Car Loan Bad? Pros, Cons, and Smarter Options
Is a 72 month car loan bad for your financial future, or is it just misunderstood? With rising vehicle prices and stretched household budgets, six-year auto loans are becoming the norm—but longer terms often hide higher long-term costs. In this guide, you’ll learn when a 72-month car loan hurts you, when it might work, and […]
The Financial Pros and Cons of 72-Month or 84-Month Car Loans
If you’re in the market for a new car, chances are you want to keep your payments as low as possible, preferably under $500 a month. Car dealers know this, which is why 6 year or 72-month car loans are more popular than ever. Even 7 year or 84-month car loans – yes, some auto […]
How to Manage Auto Loan Payments When You’re Suddenly Unemployed
Dealing with unemployment can be a stressful time in your life and you will need to spend some time reworking your budget and ensuring that you are meeting your debt obligations. If you have an auto loan, it is even more important to prioritize your baseline expenses and make sure you are setting aside enough […]
Important Car Lease Terms You Should Know
Ads enticing you to buy or lease new cars are everywhere during the holiday season and into the new year. But not everyone can afford to pay cash for a vehicle or finance one — especially since the average monthly car loan payment in 2012 was $462, and the average price of an automobile has risen to […]
Do’s and Don’ts When Signing a Car Lease
Leasing a car can make financial sense when you don’t have money upfront to pay for the full price of a vehicle and just don’t want to deal with the hassles of maintaining a used car. When your lease ends, you are free to purchase the vehicle or trade it in for something else. However, […]
When Defaulting On a Loan May Not Be Reported to a Credit Bureau
Q: I found out that my car company Chacon Auto is not reporting my credit after three years. If I voluntary give my car back can they report a repo although they do not report my credit now? A: Thanks for writing me with your question about your car situation. It is rare for an […]
Car Brands: Gen X and Gen Y Not as Loyal as Parents
Two new studies offer opposing ideas about what makes people loyal to specific car brands. Researchers in the first survey conclude that younger Americans are far less likely to show brand loyalty to one automaker than are older consumers in the U.S. Why is this? In a word: technology. The first study, from the GfK […]
Can I Keep My Car if I File Bankruptcy?
Q: I am having financial problems and can no longer make ends meet. Can I keep my car if I file bankruptcy? A: With so many consumers filing for bankruptcy protection or thinking about doing so, a lot of people are worried about what assets they can keep and what assets they might have to […]
Why Your Credit Score is Different From the Car Dealerships Score
Q: I am car-hunting and a dealer pulled my credit report. He got a 595 score but the last score that I received was 675. Why was his score different and should I can I take my own TransUnion credit report to other dealers to eliminate inquiries. A: To minimize the impact of inquiries on […]
What Should I Do If I Can’t Afford My Car?
If you’re in over your head with an expensive car note, it’s time to think about getting from underneath that burden. Here are some options for dealing with overdue car payments or other issues when you’re struggling to pay for your vehicle: Get a Payment Extension If your financial difficulties are temporary, or if you […]