Auto Warranty News

With the poor economy, drivers are trading in their big gas-guzzlers for fuel-efficient cars.  Yet, while that makes sense, if you switch too soon you might be looking at more overall car costs than you’ll save on gas.  According to Consumer Reports, downsizing is beneficial in the long run if you time it right.

A study by Consumer Reports reveals that if you still owe on your car loan, it might not be beneficial to downsize after just three years.  With a loan, initially your payments are made up of a large percentage of interest.  Trading in too early will leave you with less equity, which will limit a down payment for a new car.

Another hurdle that affects the equity of your car is depreciation.  In the first five years of ownership, depreciation makes up about 48% of total vehicle costs for the owner.  On average, costs for fuel only equal about 21%.  Within the first three years, depreciation is the greatest, and then it begins to level off.

So, trading in a 3-year old car will result in a whole new depreciation ride.  However, if you have owned your vehicle for more than four years trading in makes more sense.  Just make sure you have an auto warranty for peace of mind when keeping your vehicle for several years.

Well, it is obvious that hybrids are the wave of the future.  Motorists are spending a lot of money on maintenance, new car warranties and financing, and need to save on fuel costs.  So, is it worth it to buy a hybrid to save money at the gas pump?  Let’s take a look.

To see how long it will take you to recoup your premium up-front, we can compare the Toyota Camry Hybrid to a typical Camry.  Because of the equipment level of the hybrid, however, it is necessary to compare it to the V-6 Camry LE.  The base prices of the cars are only $2,000 apart.  The Hybrid is $25,000 and the Camry V6 LE is $23,640.

According to Toyota, the Camry Hybrid gets 33mpg in the city and 34mpg on the highway.  The Camry V6, however, gets 21mpg in the city and 31mpg on the highway.

If you were to drive 15,000 miles in a year you will use about 454 gallons.  With the V6 LE you will burn approximately 635 gallons in a year.  If gas costs $3.20 per gallon, you will have a fuel cost savings of approximately $547 per year.  This means that you would recoup the premium up-front that you spent to purchase the hybrid.

In this comparison you can see that in the long run you will end up saving with a hybrid. In addition, you get the satisfaction of doing a service to your planet.

Many people believe it is easiest to trade in your current car when buying a new one.  However, is trading the right choice for you?  There are some advantages and disadvantages to trading.

The big advantage to trading over selling is that you have very little hassle.  You don’t have to haggle with buyers and you get rid of your car quickly.  However, the fact is that you aren’t going to get as much for your car if you trade it in.

Any used vehicle has a specific retail value.  If a dealership is going to sell that vehicle, they will have certain expenses, such as fixing dents and scrapes, cleaning it, and just overhead costs of running their business.  Therefore, the dealership has to sell it for a little more than a private owner would.

Since dealers need to make a good profit on used vehicles, they purchase them for less than the retail value.  When the dealership takes a trade in vehicle, they are essentially purchasing it from the new car customer, and at a price below the retail value.  Essentially, this is called the trade in value.

Although trading in your car is easier than going through the hassle of trying to sell your car privately, you are going to get less money for your vehicle.  If you sell your vehicle on your own, you can put the extra money you get towards important things such as an auto warranty and maintenance costs.  And with used vehicles, used car warranties are a smart choice.

Car dealers have haggled with car shoppers for years.  This practice has allowed salesmen to con buyers into buying cars and new car warranties, using all kinds of negotiating strategies.  But car dealers have paid for it by being known as untrustworthy.

Some dealers are changing their old ways by dumping haggling.  The eighth largest chain of dealers in America, Lithia Automotive Group, announced that they are going to make all 108 of their stores haggle-free within three years.

Toyota’s Scion has implemented a policy for no negotiation from its onset four years ago.  This has prompted dealers who sell Toyota vehicles to apply the one-price approach.

And all over the country, independent dealers who carry various brands of domestic and foreign vehicles are teaching their employees to sell cars like the rest of the retail world.  In other words, cars come with a price tag and a smile from the salesperson.

This no-haggle method will make buying a car a more pleasant experience for consumers.  Now that people can look up a car’s base price online, they don’t have patience for haggling.  In addition, people are able to compare the prices of new car warranties online.

It can be difficult to decide if you should buy or lease a vehicle.  There are more things to consider than just their car budget.  Most often, leasing ends up costing less money, but in the long run the motorist has no equity.  Consider these important factors when making your decision.

The most obvious thing to consider is the cost.  There are four factors to think about.  They are the length of the lease, the monthly payments, the restrictions on the mileage, and the down payment.  You could end up with large fines if your mileage exceeds the restrictions.  In addition, if you keep the lease for over three years, replacing tires and other maintenance costs will be up to you.

You also have to pay close attention to your budget.  If you are thinking short term, leases are generally less expensive because of the lack of a down payment and the low monthly costs.  However, purchasing a vehicle that you plan on keeping for ten years ends up being less expensive than leasing.  This is making the assumption that you have an auto warranty that will save you from paying unnecessary expenses.  Motorists who enjoy having a new vehicle every three years would benefit from leasing.

Also, consider if you have any changes coming up in your life.  If you are going to be moving far away or beginning a family, leasing is the way to go.  This gives you a lot of flexibility.

Consider all of these things to make an educated decision on buying or leasing.  Just keep in mind that whenever you buy you want to make sure you are covered by an auto warranty to keep you from paying unnecessary repair expenses.

According to the Associated Press, Toyota has “secretly” started to develop a solar-powered car, even though the Japanese company has experienced its first year down after having positive growth for 70 years.

However, don’t get too excited yet.  Perhaps the story that is the biggest here is the reason that the AP wrote about a potential solar car being created by Toyota.  This isn’t any different than any other carmaker that has developed a prototype in the Research & Development department.  Toyota is known for a reputation for its green technology that is cutting edge, and it will receive key expertise when Panasonic, its battery developer, takes in solar leader Sanyo later in the year.

The technology is there to build such a car, without a doubt.  However, you have to ask, what sort of range is it going to have?  Also, is there going to be anyone that will purchase a car costing $200,000 that will need to be recharged after 35 miles?  One thing’s for sure; an auto warranty would be a good idea for a car with solar technology, such as this.

In other words, can a vehicle that is solar-powered be mass-produced and actually work for people’s lifestyles?

More and more recent cars are being sold with all-wheel drive or four-wheel drive as an option.  Is this something that your really need?  Will it actually make you safer or is it just a way for automakers to make extra money?

As of now, there haven’t been any formal studies by the National Highway Traffic Safety Administration on the effectiveness or ability to prevent crashes, in regards to four-wheel drive.

To decide if two or four-wheel drive is for you, you should make a list of the ways you will be using the vehicle and the conditions you will be driving in.

And ask yourself a series of questions.  For instance, do I live in an area with a lot of rain or snow?  Or, do I go on skiing trips often?  Do I travel on dirt roads, or off-road?  Also, will I be doing a lot of hauling?

These are worthwhile situations to have two or four-wheel drive.  However, if you’re just traveling on roads where there are mild conditions, you probably don’t need it.

Having two or four-wheel drive can benefit you greatly if you’re going to use it often.  However, if you really don’t need it, it might just be a waste of money.  This is a terrific feature, but you will want to purchase an auto warranty to ensure that you aren’t going to pay repair costs that are unnecessary down the road.

Although General Motors has been busy planning a lineup of electric cars and subcompacts, it doesn’t mean that they have forgotten how to have a little fun.

The 2010 Camaro is based on the 2007 model.  It has a design that is modern, but has an influence of the Camaros in the late Sixties.  Chevrolet is trying to use the retro influence that has made the Ford Mustang and Dodge Challenger successful.

The new Camaro isn’t exactly an economy car.  It is offered in a 3.6-liter V-6 with 296 hp, or a 6.2-liter V-8 with 416 hp.  However, the V-8 has the ability to make itself a four-cylinder while cruising on the highway.  According to Chevrolet, the car can get more than 30 mpg in this mode.

Although consumers are demanding small, fuel-efficient cars, and protecting themselves by purchasing new car warranties, it doesn’t mean they don’t get excited about fun cars.  The Chevrolet Camaro is the prime example of this.

Consumers are buying sedans more than ever.  They want to rely on their cars with the addition of an auto warranty and feel peace of mind.  This year Acura has taken note. Just take a look at the Acura TSX, which is quite impressive.

The Acura TSX is a sedan that is very sporty, and it might surprise people who assume that entry-level means basic and stripped.  The TSX is loaded with numerous features, such as Bluetooth capabilities and leather seats.

The latest model of the Acura TSX would be familiar to aficionados, however it is larger in practically every way.  This includes width, track, length and wheelbase.  This provides for a ride that is more stable and comfortable.

Although the look of the Acura TSX is familiar, it has a new design element that is distinct.  Its grill that is almost shield-like is a love or hate feature.  It is displayed best with the body color being light.  The longer vehicle provides Acura lovers a ride that feels sporty and aggressive.

All in all, the 2009 Acura TSX is a success.  Motorists can rest assured that this is a solid car that will provide the comfort and safety that they need.  As with any car, new car warranties are recommended to ensure that your vehicle is protected in case of breakdowns.

Buying a pre-owned car is a good way to get a good car for less money.  However, when most people go car shopping they inspect the outside thoroughly, but forget to inspect the interior.  Here are some things to look for.

Notice the smell of the interior.  If you detect mold, must or mildew, there is a chance that the vehicle has water leaks.  Make sure to look under the floor mats for wet spots.  Also, it is easy to detect the smell of smoke, which probably means that the previous car owner was a smoker.  Just be aware that it can be virtually impossible to eliminate car odors, so if there is a bad smell, look at other cars to purchase.

Sit in every seat, including the back, even if you don’t plan to ever ride in the back.  Also, make sure seat adjustments are working as intended.  And know that if a car is advertised as having low mileage, the upholstery should still look good.

The pedals will give you an indication of true mileage.  If the pedals are worn it means the car has high mileage.

Do your homework when buying a used car.  Research costs, such as maintenance, an auto warranty, and auto insurance to ensure that you are making a good car choice.  And make sure to have the vehicle inspected before you purchase it.