January 30th, 2009 by Hal Moses
As part of its “new day†celebration last February, Chrysler introduced a very unique promotion for its minivans: Purchase a minivan, and receive a free DVD player for the rear seat. Since the promotion, it’s difficult to argue that Chrysler has experienced something that resembles the optimism that a new day brings, yet that hasn’t stopped the carmaker from bringing back the same DVD offer this month.
When consumers buy a Chrysler Town & Country, Dodge Grand Caravan, Jeep Grand Cherokee, or Jeep Commander they will get a free DVD entertainment package for the rear seat. In minivans, screens are included for the second row, as well as the third row. This deal applies nationwide and are in addition to other great deals, such as financing incentives, great new car warranties, and cash-back incentives.
Chrysler is hoping to spark consumer interest by putting forth red-hot deals. Unfortunately, many motorists are currently opting to hang onto their current cars and purchase used car warranties to protect their wallets.
January 30th, 2009 by Hal Moses
When some people think of pre-owned vehicles, they visualize dirty, old, junky cars. But there is another market, certified pre-owned cars, which are making savvy buyers take notice.
Certified pre-owned vehicles have had thorough inspections and refurbishing. This eliminates the concern about reliability that often goes along with purchasing a used car. Also, certified pre-owned cars are backed by an extended auto warranty. These benefits are hard to pass up. Automakers understand that they shouldn’t ignore the popularity of the certified car market.
A recent study revealed that since 2000, certified pre-owned sales have risen 46%. In fact, approximately 1.5 million of these cars are sold every year. That is the equivalent to around 10% of new car sales.
How do you know the best and worst certified pre-owned vehicles to buy? Forbes.com has a list that will assist motorists in making a good purchase.
The Honda Accord and Toyota 4Runner come in at the top of the list. Next, is the Acura TL, followed by the Subaru Impreza. The Lexus GS also comes in high on the list.
The worst cars on the list are the Saturn Relay, and Jeep Grand Cherokee. Also making the worst list are the Pontiac G6, Volkswagen New Beetle, and Mercedes Benz E Class.
Certified pre-owned vehicles offer an updated car without the updated price. Also key is that they come with an auto warranty.
January 28th, 2009 by Hal Moses
Cars need regular maintenance in order to run trouble free. Some people actually brag about driving an incredible amount of miles without performing maintenance on their vehicle. However, these are the same people that eventually go to their mechanic and get handed a bill for hundreds of dollars. An auto warranty can help you avoid unnecessary costs for repairs, but you need to have a maintenance schedule.
The reality is that faulty sensors and bad fuel injectors will cause engine adjustments that are improper resulting in foul sparkplugs. Also, oil combustion is a result of worn pistons and rings. And, of course, dirty fuel filters and air filters can cause problems. A perfect world would have no grime and dirt, which would allow us unbelievable mileage between services, but that’s not reality.
According to the Car Care Council, during the National Car Care Month there were check lanes that show an 83% rate in failure. The problems were transmission fluid, engine oil, power steering fluid, coolant, and brake fluid.
Drivers need to consult their owner’s manuals and make sure they get regular maintenance. This will allow vehicles to operate more effectively and for a longer amount of time. Buying an auto warranty will give you peace of mind when it comes to repair costs.
January 28th, 2009 by Hal Moses
According to the National Automobile Dealers Association, out of the 20,700 U.S. new car dealerships, around 600 will have been forced to shut down this year, compared to 430 last year.
At least 80% of the dealerships closing will be domestics because of the large amount of sales that they have lost. And once a dealership has to close, it’s hard to reopen.
According to Grant Thornton LLP, it is estimated that at least 3,800 other dealers need to close also.
The fact is that there has been a surplus of dealers for many years. But the large cost of financing and the present credit crunch has created quite a storm. Dealers are having trouble getting the funds to finance the vehicles and don’t make the money, so they have to close their shop.
Many consumers have decided to hang onto their current cars and buy an auto warranty instead of purchasing new vehicles. Motorists are hesitant to buy because of the poor economy and instead opt to just purchase used car warranties to help them maintain their vehicles.
January 28th, 2009 by Hal Moses
Luckily, at the moment, not all of the economic news is tragic.
According to economists from Comerica Bank, vehicles have currently become more affordable than has been seen in 28 years. So, the last time vehicle shoppers’ purchases made up this small of a piece of his or her income, fuel prices were higher than ever and comedians were telling jokes about how old presidential candidates were.
Comerica claims that the average cost of a light vehicle currently is $27,704, including new car warranties, and the average amount of money that people spent on a vehicle fell $700 this quarter, to approximately $23,900. Motorists have been keeping their payments down by stretching out how much time they will take to pay it off, which is currently more than 62 months.
Incentives have spurred the trend, which continue to get better as dealers try to get rid of inventory (they especially look appealing if you want to purchase an SUV or truck), but for the most part, motorists have just begun to want less-expensive models.
January 27th, 2009 by Hal Moses
One trick that people use to sell a used car is to detail it until it looks brand new. However, beware, a motor that is steam-cleaned won’t fix a gasket that is blown. This is why it is important to purchase an auto warranty.
Having said that, dealers that are reputable typically won’t try to sell vehicles with big issues, for fear that they’ll have to fix them down the road. If you test drive a vehicle that doesn’t make awful noises and feels pretty good, chances are it is fine. Dealers don’t like to sell junky cars.
In any case, it is still a smart idea to have a trained professional take a look at your vehicle. If the dealer claims the vehicle was inspected by it’s mechanic, request to view the paperwork. If the dealer can’t produce them, make sure an outside technician sees the vehicle.
Also important, is to check that the car has a clear title and that it hasn’t ever been in a big accident. You can tell the dealer to go on Carfax or AutoCheck to confirm this. Both of these sites have a fee to trace the car identification number for odometer and service registrations, and accidents. However, often dealerships will check the vehicles on their lot free of charge.
Typically, it is safe to buy a used car from a dealership; however, it never hurts to take these quick steps to ensure you don’t get a lemon. In addition, used car warranties will give you peace of mind in case you need repairs.
January 27th, 2009 by Hal Moses
It is a huge disappointment to buy a vehicle just to find out that it literally has an ocean of problems.
Unfortunately, there are a large number of vehicles on the market within the last five years that have experienced flooding, rain or hurricanes. In fact, the number of cars has doubled. In certain states it has been reported that there has been an increase of six times more cars damaged by water than five years ago.
Many times, cars with water damage are moved from flooding regions to areas that are less suspicious. The cars are then back on the used car market, often disguised and rebuilt.
It can be difficult for consumers to be able to recognize if a vehicle has experienced water damage, and yet the car will literally rot inside and out. In addition, the mechanical systems of a vehicle can be threatened or ruined without any visible signs on the exterior of the car.
Sales this year are predicted to reach around 45 million this year, so motorists should be on alert for water damage. In addition, purchasing an auto warranty is a smart idea to protect your wallet in case of unforeseen repairs down the road.
January 27th, 2009 by Hal Moses
Yesterday, President Obama instructed the EPA to do a re-evaluation of California’s request, as well as 13 other states, to determine and regulate their own vehicle emissions standards. Unfortunately, motorists haven’t been very concerned with emissions. In fact, many people would rather hold onto their current cars with used car warranties, instead of buying a new car with cleaner emissions.
One problem that we face In the United States is that we have a federal guideline for gas efficiency, which is called CAFÉ. President Obama recently claimed he would agree to strengthen this, which would mean stricter requirements coming next year. Also, the EPA issues mileage ratings, which are placed on the stickers of new cars. These numbers aren’t the same as the CAFÉ numbers, however the EPA utilizes a sizeable budget to determine these important numbers that consumers use every day.
New standards set for emissions set on a state-by-state basis would add on one more regulation. So instead of having three or four various standards, it would be much easier to have one national one. That way, for the states with big budget problems, such as California, they wouldn’t have the expense of regulating something so unwieldy like emissions. Also, it would be a great help if the formula were a bit cleaner than the current CAFÉ ratings.
January 23rd, 2009 by Hal Moses
Because many people lead busy lives, they try to pick a repair shop that is close to their home. They also try to find a shop that they believe to be trustworthy. Motorists take for granted the freedom of being able to pick where their cars get repaired. This may all be coming to an end.
Cars operate through their computers, and it is necessary to have the computer codes to determine if something is faulty on the vehicle. However, car manufacturers often don’t like to release the codes. This means that independently owned repair shops might not be able to properly make repairs. In addition, drivers will be forced to take their vehicles to dealerships. This makes an auto warranty even more necessary for motorists because dealerships tend to charge more for repairs.
There are approximately 220 million cars in the country and only 21,000 vehicle dealerships. Also, there are around 130,000 businesses that make a business of repairing cars. If these businesses don’t have access to computer codes they may eventually go out of business because they won’t be able to perform many repairs on cars.
Congress has recognized this problem and therefore, is trying to pass the Motor Vehicle Owners Right To Repair Act. This bill would make it necessary for car companies to share information with the independent repair shops.
Unfortunately, you never know when your car is going to require repairs, so regardless of where you take your car for service, make sure you have an auto warranty to protect your wallet.
January 23rd, 2009 by Hal Moses
When buying a used car you need to do your homework. This includes doing a thorough inspection of the vehicle, and don’t forget to look under the hood. You don’t want to end up with a car that will leave you stranded calling for road service. Here are some things you need to be aware of.
Squeeze all of the various rubber hoses that run to the air conditioner, radiator, etc. The rubber shouldn’t feel hard or mushy. In addition, there shouldn’t be cracks. Make sure it is supple and firm. Also, make sure the drive belts are frayed.
Check all of the fluid levels in the car. You can consult your owner’s manual to know where to look. You should have dark brown or black oil. It it’s honey colored, it means it was changed recently. If the oil is foamy or gray, it might mean there is a cracked engine block or a head gasket that is blown. You should have pinkish transmission fluid, not brown.
Also, take a look at the battery. Batteries that are “maintenance free†have a charge indicator that is built in. Green means that the battery is still good, where yellow or black means the battery is no good.
With any car purchase, it is important to have an auto warranty just in case of unforeseen repairs. After all, you don’t want to be stuck with unnecessary repair costs.
As part of its “new day†celebration last February, Chrysler introduced a very unique promotion for its minivans: Purchase a minivan, and receive a free DVD player for the rear seat. Since the promotion, it’s difficult to argue that Chrysler has experienced something that resembles the optimism that a new day brings, yet that hasn’t stopped the carmaker from bringing back the same DVD offer this month.
