Whether you buy or lease, save money on the deal with tips from IHateFinancialPlanning.com

(ARA) - For many Americans, a car is the second largest purchase they make. Advertisers devote millions of dollars to convince us that we deserve to own the hottest set of wheels. The same people who used to yell, “I want my MTV!” are now shouting, “I want my SUV!”

But step inside a dealership, and confident car shoppers are like deer in headlights when confronted by aggressive sales people, confusing financing decisions and a fear of buying more than they can afford.

IHateFinancialPlanning.com, the Web site for the three out of four Americans who hate financial planning, can help sort out the financial aspects of buying and leasing cars. While you crave an SUV, you may discover that the cost of insuring it and filling its huge gas tank will blow your budget off the road.

IHFP offers the following tips to make sure you don’t get caught in the headlights:

Get Your Records Straight

One of the first steps in financing a car is to get a grip on your credit rating. Unless you intend to pay with cash, you will have no secrets from the car dealership, finance company or auto insurer. A poor credit history can result in a higher interest rate or even loan disqualification. Also, bad marks on your credit could flag you as an insurance risk, translating into higher premiums.

“There are numerous resources available to help you understand and manage car financing,” says Suzanne Hunstad, of IHateFinancialPlanning.com. “Armed with knowledge, you can determine if your loan will be approved, and at what interest rate, and also catch any glitches that could be making your credit history look worse than it is.” Hunstad suggests contacting the major credit reporting agencies to obtain your credit report and taking steps to clean it up if necessary.

Cut Your Premiums Down To Size

Before you buy a car, find out what it will cost to insure it. Get car insurance quotes and calculate your insurance needs on the Internet. Each state has different requirements when it comes to auto insurance, and we’ll leave it up to you to learn what your state requires. But every state has some sort of financial responsibility law that says you need to take care of any accidents you might have.

To Buy Or Lease, That Is The Question

When you lease, you’re paying to use a car. Your payments cover the cost of the vehicle’s depreciation while you drive it, rather than its purchase price. If driving a new car is more important to your lifestyle than owning one, leasing is definitely for you. However, if you put a lot of miles on a car every year, it may end up being smarter for you to buy. Consider your personal expectations and financial situation when reviewing the pros and cons of each:

Buying Offers:

• A chance to trade in that old clunker.

• Ownership and equity in the car.

• Control of your wheels. If you want to add eight speakers or take out the backseat, go ahead.

• No penalties if you don’t hold up your end of the maintenance agreement, although you will want to service your car to enhance both its service to you and your ability to sell it in the future.

• No mileage limits.

• Payments based on the value of the car, not its depreciation. That may mean higher monthly payments than with a lease.

Leasing Offers:

• A cost-effective alternative to buying a car every few years.

• An affordable way to drive a car that you may not be able to afford to buy. Monthly lease payments are generally less than financing payments.

• A maintenance contract that requires you to keep the car in good shape and not make any alterations to it.

• A factory warranty that almost always covers the car for your entire lease, so major maintenance isn’t your financial responsibility.

• Annual mileage limits (about 12,000 to 15,000) with significant penalties if you put more miles on it than the lease stipulates.

• Payments that may be income tax deductible if you’re leasing the car for business. Ask a tax advisor for details.

• Penalties if you terminate the lease earlier than agreed. Charges vary.

Financing Is The Next Step

Whether you buy or lease, be prepared to walk away from the deal if you aren’t convinced you’re being offered a fair price. Do some homework before you walk in — car salespeople are amateur psychologists who’ll get inside your head if you let them, all in the name of making a buck.

“If they see you drool over a leather interior or if you don’t know the Kelley Blue Book value of your trade, they’ve got you right where they want you,” Hunstad says. The Internet is a good resource for your research. Use Edmunds.com to comparison-shop and find each model’s true market value, i.e. the price of the car in your area. It’s usually a different number than either the invoice price (what the dealer paid) or the sticker price (what the dealer wants you to pay).

Once you’ve got those numbers down, try IHateFinancialPlanning.com’s loan calculator to help you compare interest rates, monthly payments and overall purchase price. Don’t get emotionally attached to your car salesperson or the loan officer at the car store. Keep this a business decision. Shop for the best interest rate at your local bank or credit union, or use online banking to comparison shop.

About The Author

Courtesy of ARA Content, www.ARAcontent.com; e-mail: info@ARAcontent.com

EDITOR’S NOTE: For More Information, contact Maclaren Latta, Carmichael Lynch Spong, (612) 375-8570, mlatta@clynch.com.

About IHateFinancialPlanning.com

IHateFinancialPlanning.com is a Web site that’s already helped more than 2.3 million people who hate financial planning make sense of their personal finances through fun, friendly, easy-to-understand content and financial planning tools. The Web site was developed by ReliaStar Financial Corp., a member of the ING Group.

About ING Group

ING Group is a global financial institution active in the fields of insurance, banking and asset management, with more than 100,000 employees in 65 countries. ING provides a full range of integrated financial services for its clients through a variety of distribution channels. In the United States, ING’s product and service portfolio includes banking, fixed and variable annuities, investment management, life insurance, mutual funds, personal finance education seminars, and trust services. For employers, ING businesses also offer a full range of retirement and other worksite benefits, including group insurance products. For more information, visit www.ing-usa.com.

Securities available through PrimeVest Financial Services, Inc., Member NASD/SIPC. Carmichael Lynch Spong is not affiliated with PrimeVest Financial Services, INC. and is not a member of the ING Group.

Technorati Tags: automotive, autocare, auto care, car care, auto repair

For many people, cars lack personality. One of the most cost effective ways to add some pizzazz to you car, without any permanent damage or high costs, is to fit it with some funky (or not) seat covers. These are available in a wide variety of styles, colors and price options. There will surly be something for not only your vehicle, but your sense of style as well. Before you head out shopping for the perfect seat cover, check out these valuable tips.

Pay close attention to the type of material that the covers are made of. Ideally, you are looking for something that is machine washable, stain and water repellent, something that is tough and durable, these will be used everyday. There is a large variety of materials that are used for seat covers and they all have their own advantages. For example, sheepskin keeps a steady temperature in the cold and heat alike, making it ideal for most climates. While canvas, Cordoba and tweed are known for quality and durability.

If, after shopping around, you still are unable to find just the right cover in just the right material and pattern, consider getting it custom made. Custom-made seat covers are available from many upholstery shops as well as from many online stores. Buying custom-made seat covers allows you to get a seat cover that not only fits your seat, but also your personality.

Now that you know the type of cover you are looking for, its time to think about price. Seat covers for your car are just like most other things in life quality will cost more. A high quality seat cover will be more expensive, but it will not shift around on the seat or wear out quickly. However, there is something to be said for buying a less expensive seat cover. If you are the type of person who likes to change their environment, then purchasing a cheaper cover that will be replaced rather quickly is probably a good idea for you.

The most important thing to remember when shopping for seat covers is to know the exact make and model of your car. I know this sounds obvious, but without the exact specifications, you could end up with the perfect seat covers that are completely wrong for your car. You will need to know what type of seats you have, if it is a bench seat, is there a split? Pay attention to what type of headrest your seats are made with; are they bucket seats or captains’ chairs? All of these differences will have an impact on what seat cover is the right one for your vehicle.

About the author:

John Mancini has been writing about car covers online and offline for a long time. Visit http://carcoversinfo.com or http://carcoversfinder.com to read more about matters like car seat covers and truck bed covers.

Technorati Tags: automotive, autocare, auto care, car care, auto repair

There is no other exciting fun in the town than the late night street car racing. You are probably among the street cars racers who are in love with racing and money making. Though street car racing is illegal in countries, but who can stop the fans. Several street car racers dump their old cars and search for new and better racing cars. If you are one street racer who wants to dump his old car and import a street racing car, its time you act with maturity and sharpness. After all you are importing your love- your street racing car.

Every country sets its own car importing and exporting rules. There is no such standard tariff rate and import duty on cars. They differ from country to country. So it is very important for you to choose, from where you want to import your car. There are some basic guidelines which you should follow before you import your car.

Research The first thing you should decide before you import a street racing car is the model. You should determine the model you want to buy. With the availability of internet, you have thousands of sites providing you with detailed information about street racing cars. All you need to do is intensive research. You must search for the one which suits you the best– budget wise and usage wise. You should compare the prices of the cars within a specific country and among the other countries. This would give you an idea of the lowest price of the car available.

Check Specifications After you have made your mind on a specific model, check out the standard specification of your car. As specifications vary from country to country, it’s important for you to compare the different specifications of the same car provided by different countries. You should choose the options you want in your car to keep its price comparatively down.

Shop Around You should always compare the price of your car in multiple dealers within and outside the countries. You should also check for the retail price of the car, the VAT inclusion, discount on order, deposit required and mode of payment. You should also shop around to find out the import tax you have to pay for importing a car from a certain country to yours. If you have all these information in hand, it would be easier for you to import your car from a country from where it costs less.

Additional Costs You should never neglect the additional costs which are related to your vehicle import. These additional costs include the ferry tickets, hotel, transit plates, fuel and insurance costs. These costs are very much important which determine the total cost of importing your car.

Buying and Importing Your Car You should select the mode of the payment which is comfortable to both the dealer and you. While you import your car, you should ask for the written conformation of all financial transactions and agreements. You should know your dealer in detail and ask him to arrange for temporary export or transit plates.

After Importing Your Street Racing Car Once you have got your street racing car, you should get your vehicle registered locally by a vehicle registration office. Some of the paper work included after your car import is certificate of newness, certificate of conformity, temporary registration plates and documents, temporary insurance certificate, invoice of sale. All these documents are to be obtained by your dealer.

About the author:

Matt Garrett, http://www.custom-street-cars.com http://www.t1g.com

Technorati Tags: automotive, autocare, auto care, car care, auto repair