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Family Features - Tax refunds have started rolling in, which means many people are looking to use this influx of cash to make purchases they’ve been putting off. According to an Oxford Economics report, the amount of money received from income tax refunds this year could be among the highest in recent years, so many people may have more money in their pockets to spend this spring.
One purchase typically rises to the top this time of year: used vehicles. The Oxford report shows used vehicles are one of the most popular purchases for Americans during tax refund time as this coincides with higher resale values of used vehicles. When making this purchase, it’s important to consider several factors to make a smart financial decision.
Make Sure the Purchase Fits Within Your Budget
Data from Kelley Blue Book and Cox Automotive suggests average used car prices are around 50% less than new vehicle prices. Trusted used car companies and dealerships often feature a wide selection of inventory, including different makes and models, so customers can select a vehicle that excites them and fits within their budget.
“While there are several considerations to keep in mind when shopping for a vehicle, consumers should never exceed their budget,” said Laura D. Adams, personal finance expert, host of the “Money Girl” podcast and a paid Enterprise Car Sales spokesperson. “A vehicle that is near new is often an excellent sweet spot for consumers looking for quality without wanting to make the leap to purchase an expensive, new vehicle.”
Searching for a vehicle with a retailer you trust can help make it easy to stay within your budget. For example, with Enterprise Car Sales, the price listed is the price you’ll pay.
Keep the Monthly Payment Low
The more you can invest in the down payment on a vehicle, the lower your monthly cost will typically be and the less interest you will typically pay over the length of the loan. This can lead to lower, more manageable monthly payments.
“In setting a budget for a quality used vehicle, it’s important to consider the initial down payment, the monthly payments, and the interest,” Adams said. “When consumers can put a little more toward the initial down payment, while staying within budget, they often thank themselves later when they have lower monthly payments and less interest accrued.”
There are many online resources that can help consumers make this calculation. For example, an auto loan calculator can show you how a down payment can affect interest charges.
Purchase a Reliable Vehicle
No matter who you buy from, ensuring you are purchasing a high-quality, reliable vehicle is of the utmost importance. Do your research before signing on the dotted line and conduct a test drive if you can.
“When conducting your search, it’s important to put companies and dealerships you trust at the top of your list,” Adams said. “Maintenance costs can sometimes creep up down the road, so it’s important to make this significant purchase from a company or dealership you trust.”
Some dealers also provide additional benefits to help protect a purchase. For example, all vehicles purchased through Enterprise Car Sales are “Enterprise Certified,” pass a rigorous inspection by ASE-certified technicians and come with a 12-month or 12,000-mile limited powertrain warranty (whichever occurs first), 12 months of roadside assistance and a 7-day or 1,000-mile (whichever occurs first) buyback policy.
With a little research and careful planning, you can find a reliable used vehicle that excites you. Visit enterprisecarsales.com for more information.
Will you own an electric car? If you live long enough and that’s all that is being made, you probably will. Many of us we’ll hold out for as long as possible.
I’m all for electric cars especially if someone else is buying them. If 20 percent of America’s driving population goes to the electric vehicle, EV, then surely gasoline will become cheaper. Less people buying gasoline will reduce the demand and it should reduce the price. We hope.
California will not allow the sale of gasoline cars by 2035.
This same state told EV drivers not to charge their electric cars during the past Labor Day weekend when the temperatures were expected to hit triple digits for millions of residents putting a drain on the power grid.
This brings us to the same crisis every community will face. America’s power grids aren’t ready to accommodate millions of EVs plugging in a for a recharge. The prospects of city and regional blackouts are alarming. You can forget charging your car. You won’t be able to charge your cell phone or have air conditioning or heat during a blackout.
I’m not opposed to electric cars. I am opposed to them being crammed down our throats. The manufacturers are being pushed to eventually eliminate all gasoline vehicles. We will see how this goes over the next ten years.
Plan to spend some money. A local salesman talked to me about an electric Mustang. Stickered at $48,000 but they were asking $58,000 because as he said, “We can get it.” I didn’t want the car to begin with but was curious about the car.
It sounds time consuming to recharge an EV, although some EVs are promising up to 150-mile charge in a short amount of time.
EVs could mean fewer people on America’s Interstates. Currently in most American communities its much easier to go home to recharge at your own power station. Cross country driving will be out of the question or very difficult in an EV for the next two or three years. Currently an EV will go about 250 to 350 miles on a charge. This means you will always be searching for the next power station. This will be a major lifestyle change.
There are reports that Pilot and Flying J will have charging stations installed by 2025 and are spending a billion dollars to upgrade their facilities. They will also want to recoup their costs.
The car will cost you more money. You will spend anywhere from $20,000 (low minimum) to $6,000 to install a station at your home and this is all variable. To keep your car charged at home will cost you about what you spend on your monthly electric bill now. So, figure your electric bill doubling, if you’re lucky.
You may be wanting something different in your life and an EV may be just what you want. There is a lot to consider and on some level they will impact all our lives, eventually.
