Tuesday, January 3, 2017

Buying a Car?

Things to Consider Before You Buy A Car In New York

Buying a car in New York sometimes leaves a lot of car owners wondering if the car they bought is actually worth the price. Before you buy a car, you want to be sure you are getting the best deal. You also want the process to be smooth and less stressful. Although you will get good car dealers in New York, you also want to do your homework and get prepared before you even visit the dealer's showroom, as this will increase your chances of having a remarkable car buying experience.

Remember that car buying is a major lifetime decision which you will be spending a whole lot on. Here are some things you need to know before buying a car in New York:

Define Your Car Budget

You want to narrow your search to a car that is within your budget. So carve out your car budget from the onset. Even when you are opting for an auto loan, you will also have to keep some extra cash aside for minor expenses like car insurance, registration fees, taxes, fuel, and maintenance.

If you are going for auto loans, this is the perfect time to go about it. There are several auto loan options available; from local auto dealers and lenders to online lending firms.

Whatever loan option you choose, remember to compare different quotes. Lenders have their unique lending requirements, so you will get a different quote from each lender.

Why Do You Need a Car?

This is a very critical question to answer before you visit the showroom. Do you need a car to travel to your office every day or you need a one to drop off your kid’s at a nearby school daily? In the case of the former, your focus should be on mileage and efficiency; while for the latter, a high-safety car is most ideal.

Before you buy a car, decide on the purpose of the car.

Do Your Homework - Thoroughly

Critical research will help you cut out the chances of having issues with your car after purchase. So, before you strike a deal with a car dealer, check out their reviews and read the views of other users about the particular car. You can also read magazines like Motor Trend, Automobile, Road and Track, etc. You may also seek opinions of relatives, colleagues and friends.

Are you ready for the search for your dream car?

Remember buying a car is a major investment. You may be putting a chunk of your hard-earned savings into it. Also, the payments made will always serve as a remembrance, reminding you of the decision you made- whether good or bad. So, the onus is on you to make the right decision

 §  Car Dealer says you have 30 days to insure your new car? Beware! It’s not always true!

§  Car Loan Upside Down? Get the insurance, but not from the dealer.

§  Buying a used car? If it sounds too good to be true, it probably is.

§  Buying a car for your teen? Read this.

§  Thinking about co-signing on a loan? We don’t recommend it.

 

Car Dealer says you have 30 days to insure your new car? Beware! It’s not always true!

Unfortunately, that’s not quite true. There are indeed situations when you have 30 days to add the new car to your policy. But there are far too many variables to give a simple rule explaining when the 30-day cushion applies and when it does not. For example, it might work when you trade a vehicle but it won’t be applicable when you buy an additional vehicle.

Your safest bet: Don’t rely on the 30-day advice. Get your insurance now!

If you are beginning to think about buying a new car, give your insurance team at [RevTemplate:Standard.AgencyName] a quick call right away and we’ll set you up right. We'll make sure that when you finally go to buy your new car, you don’t have to worry. It’s as easy as that.

Car loan “upside down”? Get the insurance, but not from the dealer.

As you purchase you new car, you may be presented with the option to buy an auto loan/lease or “gap” coverage. “Gap” coverage is needed when you are “upside-down” on your car loan. This can happen if you take on a loan with a zero or low down payment, financing most of the car’s cost. Cars depreciate incredibly fast, and as a result, the amount that you owe on the car may quickly be far greater than its fair market value.

This can become a problem if your car is totaled after an accident or theft. If your car is a ‘total loss’, your insurance company is only obligated to pay for its fair market value. If the amount you owe on the vehicle is more than the market value, you might find that you need to pay additional money (sometimes thousands of dollars) just to pay off the car loan (even though you can’t even drive the car anymore!)

That’s what “gap” coverage is for. It pays for the difference between the market value of your car and the amount you have left on your loan. We absolutely believe that you should purchase “gap” or auto loan/lease coverage on every lease!

But: We recommend that you contact your auto insurance company. Insurance companies have recently added a very nice feature to their auto policy options for new car replacement.  This needs to be added by endorsement and brand new cars are the only eligible vehicles and not all carriers offer this as an option.   Contact us and let us know that this is something important to you.   A dealer will ask for a lump sum (maybe $600-800 in a comparable scenario). Often, this will be rolled into your financing and you will also be charged interest on it for the entire life of your loan! If you purchase “gap” coverage through your auto insurance, you can drop it when you are no longer “upside down” on your loan.

Complicated? No worries. Call your [RevTemplate:Standard.AgencyName], Inc. team at [RevTemplate:Standard.LocalNumber] and we will set it all up for you. As soon as you are ready to buy…call us before you sign the contract!

Buying a used car? If it sounds too good to be true, it probably is.

The problem with used cars is often that you can never be really sure what has happened to them. So you rely on the honesty of the previous owner…or you get a vehicle history report. Various providers offer these reports online for a fee. Even better, if you call your trusty insurance agent [RevTemplate:Standard.LocalNumber] you can get it for free!

Be smart. Call Tanner Insurance Agency, Inc. before you buy your car.

Buying a car for your teen? Read this.

Young drivers in combination with new, sporty vehicles make for an expensive mix when it comes to your auto insurance. This is not a personal offense against your teen (who might be a very good driver). But studies have proven again and again that young drivers are the highest risk on the road. And insurance companies will rate young drivers as high-risk drivers, because they simply have not yet gained the experience of older drivers. Additionally, sports cars by their very nature tend to encourage speeding which makes for increased insurance rates. Brand new models and types like SUVs and Trucks may also trigger higher rates.

If you are looking to buy a car for your teen, we recommend that you opt for a mid-size, slightly older and reliable car with safety features such as airbags or anti-lock brakes. Older cars are generally less expensive to insure because they are less expensive to repair.

Be sure to check out our section "Teen will drive soon" and our Free reports section - we have a FREE parent-teen driving contract available for immediate download.  It helps to keep your teen accountable before getting behind the wheel.

And remember, you can always give us a call for more advice or sample rate quotes!

Thinking about co-signing on a loan? We don’t recommend it.

When purchasing and financing a new or used car for your adult child, think twice: If you co-sign on a loan for a car that your son or daughter will be driving, you may be held liable if an accident occurs – even if you weren’t driving, and even if the car was not listed on your insurance policy.

Why? Because liability follows the registered owner(s) of a car. If you are listed as a registered owner (which you are, if you co-sign), you can be held liable in case of an accident, and your assets are in jeopardy, often for the life of the loan.

So what can you do if you’d like to assist your child by helping him or her buy a car?

From an insurance standpoint, rather than risk your assets by co-signing, the best solution is to give financial support but to register the car in the child’s name only.

Keep in mind: This advice only applies for young adults who are no longer your dependents. If your child is still a dependent, lives in your household, and/or is continuing his or her education, families will often find the broadest coverage and best insurance rates by keeping registration and insurance in the parents’ names.

Registering Your Car in New York

Car registration in New York usually goes with a fee. But car registration at NY DMV requires the following documents:

•    Car ownership proof

•    Your Identity and Date of Birth proof

•    Filled E-Z Visit Form

•    NYS sales tax payment proof, exemption of purchase price

•    Sales tax payment proof

•    The original, copy or a fax of New York Insurance ID Card (FS-20)

•    Evidence of California Emissions Standards or an exemption

If you have these documents, you can now proceed to New York DMV to register your car. You may also choose to have a customized license number plate.

After registering your car, feel free to flaunt it

 

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