In the ideal car buying scenario, the value of your car would always exceed your outstanding loan balance. However, sometimes the opposite can happen and you owe more on your car than your car is actually worth - a situation that's referred to as being upside down on your loan. For example, if your outstanding loan balance is $17,000 and your car is valued at $12,000, then you’re upside down. If you wanted to sell...
Finance Globe
According to Kelley Blue Book, the average cost of a new car is approximately $36,000. For some, this may be the perfect price point. For others, it may be entirely too expensive. As you shop for a new vehicle, it’s important to do so with your budget in mind. If you don’t, you could fall prey to all the bells and whistles, thus paying more than you can comfortably afford. Here are three basic things to...
Are you thinking about trading in your current vehicle? Do you have reason to believe that now’s the best time to make this move, both from a personal and financial perspective? While the actual cost of the vehicle will impact your budget in many ways, you don’t want to stop there. There are other costs to take into consideration, all of which will determine if making the move is a good idea. Here are three additional...
If you need to purchase a car (new or used), it would great if you were in a position to purchase the car in cash. Unfortunately, very few people are in that kind of financial position to be able to do that. That really only leaves you with one option: financing the car through an auto loan. While that may be the only option available for you, I wanted to lay out some disadvantages you may...
A lot of people still do not do much research on auto loans when purchasing a car. While people assume the dealership will provide you the best option that is definitely not the case 100% of the time. Below I have summarized 5 things to know about getting the best auto loan for yourself: Focus on the total purchase price rather than the monthly payment: You should always focus and negotiate on the total purchase price...
When buying a new car, there is no doubt you will spend a lot of time pondering the price. Are you spending too much? Should you opt for another vehicle? Is there anything you can do to save money? These are the types of questions that are sure to be circulating your mind. As confusing as it sounds, negotiating a great deal on a new car does not have to be a challenge. Here are three...
After what seems like an eternity of car loan payments, you’ve finally mailed off the last payment on your loan. Now you fully own your car and you’re free of payments, what should you do next? Store your title away safely. In some states, the motor vehicle department will automatically mail a title to you once the lender has notified them of the lien release. In other states, you may have to actually go to the...
According to Experian’s latest quarterly report the average amount financed on a new car loan is $30,621. With the average loan term and interest rate at 68 months and 4.69% respectively, an average car buyer would end up paying $4308.49 in overall interest. For many of us that’s a lot of money. It’s no wonder “tens of thousands of people” sign up for so-called loan payment acceleration plans who claim to help them pay off their...
So you finally found your dream car (or something close to it that you can afford). You’ve done your homework and you’re pretty sure you’ve got all your ducks in a row. You took the test drive, shopped around for a fair price, got approved for a loan with terms you can live with and a budget friendly interest rate, and you’ve made arrangements to get the right kind of insurance coverage. Ready to sign the...
When you look at the details of your auto loan, what do you see? While some people are happy with the terms and conditions and the progress they’ve made, others realize one thing to be true: a change could do them some good. You don’t have to get rid of your current vehicle to make things better. Instead, you can consider the benefits of refinancing your loan. Here are some of the top reasons to consider...