Upgrading your car when you have a growing family

Remember when you were young and single, when you had money to spare and could have almost anything you wanted? Those were great days, but are usually just a memory when you have a family. Often, the first thing to go is your sporty car because the fact is that you need to upgrade your car when you have a growing family.

Why upgrade?

There are several reasons why you may need to upgrade your car when your family gets bigger. The first is down to space. A sporty two-seater car does not have the room in the back for the safety seats that all children need when being driven in the car, and it does not it have sufficient trunk space.

A family car is also fitted with plenty of safety features. These can include features that help you to avoid accidents, such as proximity sensors, advanced braking systems, electronic stability controls, and lane-keeping support. Some cars also feature alerts, such as a collision warning system and drowsiness alert. Then there are the features that come into play once an accident has happened. These include airbags, which are often located not just in the front now, but also at the side and at knee height.

The first step to acquiring a decent family car is to consider your family’s needs. For example, how big is it likely to get? How much trunk space is required? How economic are the models on your shortlist in terms of mileage? What features come as standard? Once you have whittled down your choices in this way, you need to find out where you can buy such a car.

You could opt to buy from a private seller, but it may be more financially attractive to check out local dealers who may offer a better deal by taking your old car in part exchange. A dealer may also be able to offer you an attractive payment plan, allowing you to spread the cost of the car out over a few years. If not, however, you may want to consider other ways of spreading the cost, such as taking out a car loan with a company such as Auto Loan Solutions. If you buy a brand new car, or even one that is only six months old, it is likely that you will need to make a down payment to secure it. You will also need to find the money to pay for the insurance.

With an official dealer, you may also be able to negotiate the inclusion of extras in your deal. This may be something minor such as free car mats, but it could also be a favorable upgrade in terms of features. Some car manufacturers are also designing child seats to fit exactly into their models, so it is worth checking these out.

When you have a family, your priorities change. Protect your family when driving by investing in a car that works to keep them safe and yet still has all the features that you as an adult require.

source: 20smoney.com

Car Loan Tips for A First Time Car Buyer

So you’re planning to purchase a car early next year but are you prepared?  Next to a home, a car is a huge investment and you can’t afford to make a poor decision which can have serious effect on your finances.  In this article, let’s check out valuable tips especially for a first-time car buyer:


Know your personal budget.  Deciding on the type of car and the loan package that fits you will depend on your financial capability.  Aside from the price of the car, you should not forget to take into account other costs such as insurance, taxes, and maintenance expenses.  Don’t forget to consider your budget and personal income before making your choices.  More than anything else,


providers may consider a number of factors such as the borrower’s income, age, credit score, driving history, etc.

If you have an excellent credit history and rating, then you are most likely to get the best car loan offers from lenders.  On the contrary, having a poor credit score or a lack of credit history can be a major drawback.

Students and new car drivers might find also find it a challenge to get approved for a low-rate loan since many lenders make decisions based on income stability and driving record.  However, if you’re an honor student or included in the dean’s list, you might be able to win ask for a lower interest rate as an exemplary academic standing is usually regarded as a sign of maturity and dependability.

Watch out for car loan scams.  As with other industries, car loan scams are prevalent in the market.  You might come across car dealerships that offer quick loans and guaranteed bad credit car financing.  It might be tempting to sign up the contract right away especially when the dealer gives enticing promises. People with bad credit who cannot qualify for a regular car loan should be particularly cautious about bad credit loan offers.

However, a lot of consumers have fallen for these tactics and found themselves stuck in an expensive car loan because the dealer was obviously after one thing – to make money at their expense.  When visiting a car dealer’s, don’t sign anything at their location.  Go home, do more research, evaluate the deal, check the company’s reputation, before making a decision.

source: creditcreators.com

Can One Cash Advance Help You Get Another?

When it comes to money management tips for students, the main tip that all students should heed is this: Work hard to make sure that you maintain a good credit score. It can impact your financial options for the rest of your life. That being said, it is important to look at the impact that taking out even small loans can have on your ability to get similar loans in the future.

Have you already gone out and picked up a cash advance sometime in the last few years, and did you pay it back on time? Are you now wondering if what you did with that advance is going to help you get another one? In some ways, this is like looking at a good track record for any type of loan. If you get two car loans and pay them off in a timely fashion, the dealer is going to be very likely to give you a third car loan as long as your financial situation still looks good. Based on what you have done in the past, he is going to trust you.

To some degree, this is also true with cash advances. The lenders are always trying to minimize risk. They want to loan out money to people who are actually going to return it to them. This makes their jobs easier and ensures that they do not have to go through expensive court cases and claims processes. It is ideal for lenders, and they are going to like working with you if your track record shows that you are this type of borrower. Your history of taking out advances and then paying them off is going to help you out.

However, it is also worth noting that most cash advance lenders do not look at your credit history. Since the loans are small, they are not as worried about what you did or did not do in the past. They are far more intrigued by your current income levels. They know that your prior struggles, if you did not pay off some loans when you were unemployed, are not going to mean anything if you now have a job. Therefore, they may not even check your history, so your positive borrowing habits from the past might not help you.

However, you should not worry about this too much. If you have a good track record, it certainly will not hurt you. It is either going to help or it is going to be ignored. Either way, you have a good chance of getting the loan that you are after. It all depends on the lender that you choose and the way that they set up all of their policies for screening and approving potential borrowers.

source: 20smoney.com

How Much Car Can You Afford?

If you are interested in buying a car and you are set on leasing, it is very important that you maintain a good balance between the type of ride you desire and your ability to finance it. Remember that even though you may qualify for a car loan, burdening yourself with one that is beyond your payment ability can easily destabilize your financial status. To rightly determine what you can afford, it is important to create a budget. Here are some things to keep in mind when creating said budget. (See also: Guide to Buying a Used Car Without Going Crazy)

The 20% Rule of Thumb

The general rule on car payments is that they should not exceed 20% of your take-home or net monthly income. This value is inclusive of car insurance, repairs, and monthly payments. The value should also include every vehicle you own. Even if you do not take care of other major monthly expenses such as rent, you should still stick to the rule. Obviously, if you will be making a full cash payment for your new car, you will not need to apply the 20% rule. But the rest of you, take note.

Your Interest Rate Matters

Your credit rating will help determine the interest rate you will be required to pay. If you have a poor credit rating, you will most likely end up paying a higher interest rate than someone with a good credit rating. It is important that you factor your loan's interest rate into your budget, so that you can choose a car that truly matches with what you can afford. Different times of the year also have different market interest rates. If rates are lower, your monthly payment will be reduced, and you might be able to afford a car with a higher value than you initially thought (as long as it is still within your budget). This is also one reason why so many people talk about trying to achieve a perfect credit score.

You Should Make a Down Payment

Not so long ago, customers were required to make a down payment before getting a car. Today, however, many car dealers are willing to offer cars even with no down payment. In spite of this change, it will work out best for you if you make a substantial down payment, since you will be able to afford a car with a better value and still stick to the 20% limit.

Once you have determined how much car you can comfortably afford, it is important that you stick to your budget when you step into the show room. This is because you will most likely find persuasive salespeople, most of whom work on commission and are therefore only interested in getting the highest pay. Most of these salesmen are least concerned about whether or not you can afford a particular car. It is therefore important that you remain adamant in the midst of all the persuasion to avoid spending money that you do not have.

source: wisebread.com