Share This Story! Let friends in your social network know what you are reading about Facebook Email Twitter Google+ LinkedIn Pinterest How will you spend your tax refund? Many use it to buy used car Used car sales are very much correlated with tax refund season. About 8% of consumers plan to buy a TV, furniture or a car with a tax refund. Sent! A link has been sent to your friend's email address. Posted! A link has been posted to your Facebook feed. 8 Join the Conversation To find out more about Facebook commenting please read the Conversation Guidelines and FAQs Susan Tompor, Detroit Free Press Personal Finance Columnist Published 6:00 a.m. CT April 17, 2018 CLOSE The number one thing people are doing with their tax refund. Elizabeth Keatinge has more. Buzz60 CONNECT TWEET LINKEDIN 8 COMMENT EMAIL MORE DETROIT — Tom Staperfenne, 34, isn't ashamed to admit that he went out and spent most of his … [Read more...] about How will you spend your tax refund? Many use it to buy used car
Car finance with bad credit
Car owners with poor credit can pay hundreds — if not thousands — more to drive than those with good credit. This plays out in two important ways: higher rates on car loans and, in most states, higher insurance premiums. In fact, having bad credit can raise your insurance quote even higher than if you’d had an accident. To see how much poor credit can cost car owners, personal finance website NerdWallet looked at auto loan terms and insurance quotes for drivers in different credit tiers. 1. CREDIT AND CAR LOANS Drivers with blemished credit often choose a cheaper car than they could otherwise afford. However, they’ll still pay more to own it — especially if they finance the purchase. Good credit is generally considered 690 to 719, while bad credit is below 630. In a slightly different system, prime credit is 661 to 780 and subprime credit is 501 to 600. For used car loans in the last quarter of 2017, prime credit buyers received an average rate of 5.48 … [Read more...] about What makes your car costs so high? Here are 5 reasons.
Car owners with poor credit can pay hundreds — if not thousands — more to drive than those with good credit. This plays out in two important ways: higher rates on car loans and, in most states, higher insurance premiums. In fact, having bad credit can raise your insurance quote even higher than if you’d had an accident.To see how much poor credit can cost car owners, personal finance website NerdWallet looked at auto loan terms and insurance quotes for drivers in different credit tiers.CREDIT AND CAR LOANSDrivers with blemished credit often choose a cheaper car than they could otherwise afford. However, they’ll still pay more to own it — especially if they finance the purchase. Good credit is generally considered 690 to 719, while bad credit is below 630. In a slightly different system, prime credit is 661 to 780 and subprime credit is 501 to 600.For used car loans in the last quarter of 2017, prime credit buyers received an average rate of 5.48 percent, … [Read more...] about Good driver, poor credit: What makes your car costs so high
Let's say big credit card balances and some late payments have hurt your credit score while problems with your car make you worry about getting to work dependably. Unlikely as it seems, you may be able to get a new car loan. "Contrary to conventional wisdom, there are a number of reasons why a lender would help somebody with a troubled credit history buy a new car," says Ronald Montoya, consumer advice editor for Edmunds.com. He notes that new cars are better than used ones as loan collateral and that borrowers are less likely to have to divert money from loan payments to maintenance and repairs. So-called subprime loans -- usually involving credit scores of 620 or less -- have grown in the recovery from the 2008 financial crisis and now represent about one-fourth of all car loans and 15 percent of loans for new cars. So clearly loans are available for car shoppers with less-than-perfect credit. If you want to increase your chances of buying a new car that will fit into your … [Read more...] about Bad credit? Tips on how you can finance a new car
By Gerri Detweiler/Credit.com Buying a car can feel stressful enough, but when you have been through bankruptcy it may feel downright terrifying. No matter what the circumstances that led to your filing -- large medical bills or a job loss, for example -- you probably feel embarrassed and afraid that no one's going to want to give you the time of day, much less a decent loan. "The most important thing to know is that you do have options," says Phil Reed, senior consumer advice editor for the car buying platform Edmunds.com. He says lenders are interested in working with borrowers who are recovering from financial problems, and in fact some dealerships are eager to sell them a car. "You shouldn't assume that no one will talk with you and that you have to take whatever someone will give you," he says. Here's how to get a car loan after bankruptcy, step-by-step. (By the way, this advice also applies to someone in the process of a Chapter 13 bankruptcy which usually takes five years to … [Read more...] about How to get a car loan after bankruptcy
By Jason Steele/Credit.com While the overall job market has improved over the past few years since the Great Recession, not everyone has been able to return to the workforce. At the same time, others are without employment because they are in school, transitioning to a new career, are stay-at-home parents, or have simply retired. In these situations, is it still possible to be approved for a credit card? It depends First of all, a job is not required to be approved for a credit card, but applicants should be able to show some form of income. For several years, the Credit CARD Act of 2009 was interpreted to allow card issuers to consider only the applicant's individual ability to repay a loan. This had the effect of shutting out many applicants, especially stay-at-home spouses. Fortunately, the Consumer Financial Protection Bureau revised its rules in 2013 to allow card issuers to consider the household income of applicants 21 years of age or older, so long as they had a reasonable … [Read more...] about Can I get a credit card if I don’t have a job?
By Jill Krasny/Credit.com With auto sales estimated to exceed 17 million in 2015, per the National Automobile Dealers Association and other analysts, you could say it was another good year for car dealers. Now we're entering a phase where a lot of pent-up demand has been met, so 2016 could turn the tides in buyers' favor, said Matt DeLorenzo, managing editor for Kelley Blue Book's KBB.com, an auto research site. "A well-informed consumer will be in a good position," he said, "but you have to do your research upfront." We've compiled a handy set of questions all rookie car buyers should ask -- both of themselves and the car dealer. Don't visit the showroom without them. Doing your homework Having a baseline of information about what type of car you want -- and how much it will cost -- can be priceless. "You have to ask yourself, 'What can I realistically afford?'" DeLorenzo said. "The showroom environment might put you in a more expensive model" than your budget can handle. Once … [Read more...] about 5 questions all first-time car buyers should ask
A bad credit rating can affect you in unexpected ways. A new study by InsuranceQuotes.com found that car owners with bad credit but perfect driving records can pay two to three times more in auto insurance premiums than those with excellent credit. The study found that, on average, car owners with fair credit paid 28 percent more than a driver with excellent credit. And with poor credit, that jumps to 104 percent greater premiums -- more than double the rate for owners with excellent credit. That difference can lead a tripling of insurance premiums in some places. Arizona, New Jersey, Nevada, Nebraska and Oklahoma shows more than 200 percent premium hikes for poor credit drivers versus those with excellent credit. If you live in California, Hawaii or Massachusetts, your credit rating doesn’t affect your auto insurance costs because those states have forbidden the practice. But in all other states, your credit rating definitely figures in. “What’s really … [Read more...] about Crumple zone: Bad credit and auto insurance costs
ROANOKE, Va. — In 34 years of journalism, I’ve interviewed countless people who’ve earned their living in intriguing, unusual (and sometimes illegal) ways. And then last week I met a guy whose occupation beats them all. Dante Colie was a picked-on kid who barely made it through Franklin County High School. After graduation, he worked in a Pizza Hut, did construction, heating and air conditioning, sold vacuums and air cleaners. For awhile he made prosthetic arms and legs. He said he got bullied on that job, too. He called me a couple of weeks ago, pitching a column about his unfathomably high electric bills. Colie lives along a country road a few miles east of Rocky Mount. He lives alone, and works for himself in a multi-room workshop connected to his house. “What do you make?” I asked. “I build full-scale replicas of the car from the television show Knight Rider,” Colie said. That was an early 1980s sci-fi crime-fighting series with … [Read more...] about ‘I build Knight Rider cars’: Obsession with 1980s TV show led Va. man to a career. And, yes, the cars talk.
Before falling in love with a red — or midnight blue — car, it's a good idea to do a bit more homework than simply deciding what you'd like to spend on a monthly car payment.Car loans continue to be relatively low — and plentiful. But the origination of new car loans for subprime borrowers has hit a record low, according to Experian's data through the third quarter.So paying attention to your credit score matters. The average new car loan amount was $30,329 for vehicles financed in the third quarter, according to Experian. Borrowers with bad credit financed far less. The average new car loan amount was $25,031 for vehicles financed in the third quarter for borrowers with deep subprime credit, defined as a consumer with credit scores in the range of 300 to 500. The average new car loan payment overall was $502; the average new lease payment was $412 a month.To hold down their overall costs, car buyers can take a variety of steps. Car … [Read more...] about How do you find the car you’ll love and still afford?