10 things every car buyer must know

Buying a car needs not just investment but deep thought. The market is overflowing with choices and temptations. Buyers need to think, what kind of car and can I afford it? Think, what do I need transportation for right now and what will I need two years from now? Do I want a car as a status symbol or as something that makes my life easier? Will the car be a commuter vehicle, or to transport children? Would a van with cargo space and high clearance be more suitable for a growing family? Should the car be a two-wheel or four-wheel drive? What kind of terrain will I be driving in most of the time? Go through auto magazines as well as consumer reports to get a clear picture of the world of cars. 1. Work on your finances and determine what you need to spend each month on transportation. A car should not cost more than 10% of your net pay per month. If it is more, then consider leasing a car instead of buying one. 2. Before you finalize anything, find out what the target price is. Four figure discounts are available with almost every make. 3. Never sign an arbitration clause or blank financial forms. Try and get finance from a separate source, a bank or financial institution. 4. Haggling will get you a good deal apart from shopping around for finance. The market is competitive be sure to check dealer fiancé, high street, internet lenders, as well as other options. 5. Try and ensure a large down payment thereby reducing the loan to be paid. Work out your finances and choice of car such that the term of loan is for the shortest period. 6. Find out what buying incentives are on offer. These vary from audio systems to cash back offers, and 0% financing. Ask what extras and add ons will cost in addition to the price of the car. 7. Be sure to evaluate your old car independently if you are considering a trade in. Pay attention to ‘cost to change’, the difference between what the new car costs and what the old one is worth. 8. Find out about warranties, taxes, and insurance. These can eat into your budget. 9. Vet the contract well. Read the fine print. Make sure that paying off the loan before time will not carry any penalty. 10. Check out at least 3-4 dealers to gauge what the best offer is. Test drive the vehicle before you finalize the deal and go through the car booklet page by page to understand all that the manufacturer needs to tell you. Be clear what is under warranty and what is not. Never choose vehicle based on a picture or dream. It is not how you look in the car that’s important but how well the car will fulfill your needs. Be practical and sensible; do not buy a model because the dealership is offering a holiday for two or a low interest scheme. Identify a vehicle that suits your needs before subjecting yourself to an onslaught of marketing.

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Should You Get Rental Insurance When Renting A Car

Rental Car Insurance: Do You Need It? If you have ever rented a car for a short period of time, whether during a vacation, a business trip, or while your own automobile was being repaired, you have probably faced the question of whether to take out insurance at the rental agency desk when you rent the car. Paying your rental company for insurance on your rental car is necessary sometimes, but not always. In fact, much of the time rental car insurance ends up adding some fairly steep fees onto your rental even though the coverage you’re paying for may be completely redundant. To know whether you need to write a check for the hefty chunk of change that many automobile rental companies collect for insurance coverage, all you need to do is spend a bit of time finding out exactly what kind of coverage you already have. In many cases, your regular auto insurance is more than sufficient to protect you financially if you do damage a rental car. Anyone who owns an automobile of their own has an insurance policy that gives them some level of coverage in case of damage to the car from an accident, theft, vandalism, or other mishap. It varies a bit from policy to policy, but most of the time this same coverage will apply to a car rented in the policy owner’s name. This means that if your car is fully insured, any rental car that you drive will probably be just as well covered as your personal automobile. Of course, before you turn down added rental insurance at a rental car agency, make sure you have spoken to your personal insurance agent or a representative from the company that holds your policy to make absolutely sure your policy covers rental cars. If your auto insurance doesn’t cover your rental, you could be left holding a bill for tens of thousands of dollars. This kind of costly mistake can be easily avoided just by making one phone call in advance. Even if you are not planning to rent a car in the near future, it is not a bad idea to find out today whether your policy covers rental cars. That way, all the necessary information will be there for you when you need it. Even if your regular insurance plan doesn’t adequately cover rental cars, you don’t necessarily need to pay the high insurance fees that a rental agency will probably charge. There are plenty of options to make sure your temporary wheels are covered in case of a collision or other cause of damage to the car. In fact, you can get a much better rate than a rental agent is likely to offer you even if you don’t own a car of your own. There are specific policies that insurance companies offer for customers who rent cars frequently. A non-owner auto liability insurance policy provides affordable and usually quite comprehensive protection for rental drivers who do not own cars. If you don’t have personal automobile insurance that already covers rentals, one of these can offer you the security of knowing you are fully covered without the steep prices of rental agents’ insurance packages. Whether you find out that you need to take out a non-owner auto liability insurance policy, or whether you discover that you don’t need to pay anything above what you already do for insurance, a bit of forethought and planning can save you a lot of money at the rental desk. Your rental car may be temporary, but the savings will be permanent.

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Tips On How To Rent A Car

If you are planning to do any traveling, either business or personal, you’ll likely want to rent a car upon arrival at your destination. Most airports have car rental agencies onsite for your convenience. These tips on how to rent a car will help you get the best deal. The major international car rental agencies have offices throughout North America and often around the world. There is no such thing as the best company in this industry. It really does pay to shop around. Rates will depend on the type of vehicle, the time period, and things like agency specials. You can easily compare prices online and you can reserve your car online too. Almost all rental cars have automatic transmission, radio, and air conditioning. Even if you request a manual transmission, chances are it won’t be available upon arrival. If you are traveling with children that will require car restraint seats, make sure to request them when you book your car. If you are renting a car in the US, you usually do not need an international driver’s license. Your license from your home country should be adequate. That said, an international license can be helpful in proving to the agency that you have a valid license especially if they aren’t familiar with the licenses from your country. Rental companies have different rules about who they will rent to. Some will not rent to anyone under the age of 25 while others won’t rent to anyone over the age of 70. Other rent to drivers under 25 but charge a premium. Check with the agencies for restrictions before you book. The car rental business is extremely competitive so prices change frequently. Some companies offer regular advertised deals; others run random special promotions. If business is slow you are likely to be able to get a better rate than if you are trying to rent during peak seasons. No one agency has the monopoly on best prices. It just depends, so do your homework and don’t be afraid to try to barter a better price! Sometimes if you booked through a travel agent, you might get a better price on your rental car. Some packages even include the rental fees. Compare these offers to see which is best. The car rental insurance is where many agencies really soak you. The collision damage waiver and theft insurance they attempt to sell you is priced ridiculously high. But you also cannot risk driving without it. Some auto insurance companies have a rider that covers you and some credit cards also provide you with free coverage. See what you can do to avoid purchasing the rental agency’s insurance because it can almost double the price of your rental. Now that you know how to rent a car and get the best deal, you’ll have a few extra dollars in your pocket to start planning that next vacation.

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