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Car Finance Options and Solutions

Because most people don’t have cash to buy new cars, it is often a choice between leasing and using an auto loan. We will further analyze the benefits of each type of car finance option. The choice that you make will heavily affect your income over the next years. The first thing you should realize is that the decision of buying with cash or lease doesn’t involve just the money aspect, but the time aspect as well.

The car finance option you choose depends on the importance you give to owning a new car. If you value having the latest models on the market, then this will justify spending more money on this privilege. If your view of a car is orientated towards transportation and comfort (you want a car for practical reasons), then owning the newest model should take a few steps back on your priority list. You should think about these facts first and then consider the more tangible issues of car finance options.

The car finance deal that you are going to make starts when the salesperson asks you what kind of car finance option you want to use. Your answer can be one of the following: buy the car, lease the car or pay cash for the car.

If you want to buy the car, the dealer will ask you to fill in a credit application based on your credit scores. An auto loan will be arranged through the dealership. This car finance option usually is a 36-60 month endeavor. The longer the time the lower the payments will be. The amount of money you pay for this car finance option depends on your interest rate, down payment and total sum of loan. Also be careful, as the dealer will want you to make a large down payment. This car finance deal is based on the fact that, until you pay for the vehicle, the lending institution will own the car. The car’s ownership papers will be sent to you after all payments have been made.

There are some important aspects about car leasing that make it attractive to customers, such as: low monthly payments, low down payments and low maintenance costs. The main advantage is that a customer will get a car without giving too much money at once. The monthly payments are kept at a low level, lower than buying car with an auto loan. Another benefit of this car finance option is that the car will have a 3 year warranty and will be covered for mechanical failure during this period. As you can see by now, this looks very attractive and affordable by anyone, but there is a slight disadvantage (the same as in the case of a loan). You will have car payments until the entire sum of the car is paid. Only when you do this, the car will finally be yours.

From this point on the car finance deal will be over and if you have to begin leasing again the assumed responsibility of payment rates will last a long period of time again. The conclusion is that this car finance option (using the leasing method) is more expensive on a long term. Car leasing is actually the most expensive way to go, but those who favor it point out that over a 10 year period this car finance method is the best the average income customer can support.

If you are interested in leasing, this car finance option has some variations. All auto leases allow you to drive the car for a limited number of miles per year. The more you drive, the higher your payments will be. However, if you come to think of it, you save money in the long run. The contract will contain a residual price for the car, which you will pay at the end of the lease as the car passes into your possession. Be careful because this is the riskiest car finance deal of them all!

If you decide to pay cash for the car the transaction everything will be very simple. This is the most favorable car finance deal if your income can support such a large transaction. Negotiating with the dealer will most likely make this car finance option even more attractive. Choose wisely as every car finance offer has its own ups and downs, and every car finance company will try to persuade you into taking their option into account.

When buying a car, a lot of money is involved. Depending on the budget you are willing to spend there will be a car finance option to your liking. A compromise has to be made: one can either spend a lot at once, or spend a greater sum during a longer period of time. Your car finance option will affect your pocket anyway; it’s just a matter of how much money will be given in how much time.

Why Should You Opt For Dealership Financing?

If you are scanning through used cars or new cars for your next purchase, there is a good chance that you may choose auto loans as your preferred option of financing. Due to the current state of economy, not many potential car buyers pick cash payment for the purchase of their new car. A majority of the drivers opt for auto loans. There are numerous ways of obtaining finance for the purchase of your new car, some methods being simpler than the rest. Dealership financing is one of the preferred methods that not only helps you in getting a tailor-made auto loan, but also eases the whole process of acquiring a new car.

How is Dealership Financing different?

Typically, dealership financing is when the dealers extend a loan to their customers. Simply put, it is an in-house financing method wherein either; the dealer will himself finance the auto loan or find a loan for you by visiting banks and credit unions, ensuring that you get the best loan. Usually when you shop around for cars, it becomes an added task of finding a lender for your loan. Dealership financing is different with regard to its aspect of keeping the transaction strictly between the buyer and the dealer, thereby making the whole process a lot simpler.

What are the Reasons for choosing Dealership Financing?

· Convenience

One of the best parts of choosing dealership financing is that everything that you need for the purchase of your car is available under one roof. In a usual case scenario, you might have to make rounds between the dealership lot for choosing your car and the third-party lender for obtaining an auto loan. However, with dealership financing, the process is simplified as your dealer becomes your lender. It is convenient in the sense that you can choose the car of your liking while arranging the auto loan, all at the same place.

· Flexibility

Accommodating a tailor-made auto loan that suits your needs is another feature of dealership financing. As it consists of a more realistic approach, dealerships often provide flexibility in auto loans. It means that you can have flexibility in choosing a budget for your car as well as deciding the monthly payments of your auto loan. Although every lender makes sure that you do not miss out on your loan payments, a dealer presents you with additional financing options that are flexible according to your needs.

· No Discrimination on the Basis of Credit Score

Ideally, it is an arrangement between you and the dealer to ensure that you make monthly payments comfortably. Thus, while negotiating for the finance of your car, the dealership will take into consideration a lot more than just your credit score. Therefore, if you have a bad credit history or a poor credit score, you can still stand to get your loan approved. Also, it can prove to be a credit booster as you are availing a loan with a low credit score.

Dealership financing has its own set of benefits. From arranging a deal that can put you in a position to afford your monthly payments, boosting your credit score and getting you the car you desire, a dealership financed auto loan may just be what you need.

Lawsuit Financing: A Viable Option for Those Struggling to Pursue Justice

Are you and your family suffering financial hardship while you’re fighting a pending lawsuit? If so, don’t get discouraged and settle early for a lower amount. Consider using lawsuit financing to meet your financial needs.

Lawsuit financing is a cash advance, provided to injured parties in return for a promise to repay the advance after they win their case. The advance typically covers living expenses, medical and health care costs, expert witness, research, and attorney fees. But you can use the funds for anything: house and car payments, college tuition, car notes and daily living expenses. With lawsuit financing, you can continue your case and get the settlement you rightfully deserve.

Because lawsuit financing is non-recourse funding, not a loan, there are no monthly payments to make. Therefore, repayment of the advanced funds isn’t required until after your case has been settled. And if you fail to win your case, you don’t have to repay the advanced funds. The company that provided the funds as an investment bears the full risk. But if you win, the funding company will have a legal right to part of your award.

How Lawsuit Financing Works

Lawsuit financing can provide a financial float to floundering litigants involved in cases ranging from medical malpractice and personal injury to worker’s compensation and sexual harassment. When an injured person receives lawsuit financing, he or she takes a lien on their future proceeds in exchange for cash today. The lien is for the amount of the cash advance and a specified monthly interest rate and is deducted from the settlement or judgment received from the outcome of the suit.

Generally, the lawsuit should be at least six months old, with settlement likely to take place within at least 18 months. Lawsuit financing companies will provide you with up to 20 percent of the expected judgment in return for a lien against the entire award remaining. This lien follows any claims placed on the case for attorney or medical fees. By minimizing the funded amount and time remaining on the case, lawsuit financing companies are able to keep litigant’s costs small relative to their increased gain.

As investors, lawsuit financing companies will assess your case and estimate the value of the case and the risk involved. That estimate will determine how much cash you’re advanced. This amount will actually depend on the nature of the case, insurance company involved, how long the case has been active, and the expected settlement date. The company’s fee may be a flat fee or a percentage fee that accrues monthly. But, remember, you only have to pay the fee if you win.

Why Lawsuit Financing?

Litigation can be slow, stressful and extremely expensive. In fact, lawsuits cost America $246 billion a year, according to the President’s Council of Economic Advisers. Cases may drag on for months and years, producing mounting legal and other expenses in the process. During this time, litigants–many of whom are unable to work–still must have enough money to live on and support their families. Often, they face the threat of losing their home, car and well being. The strain on their finances and emotions may force them to consider settling out of court.

However, lawsuit financing can enable them to hold out long enough to receive a much larger settlement. In short, lawsuit financing can fill a vital need for litigants who have no other viable option. And the fees involved in this type of funding may be a small price to pay for the larger gain they can enjoy.

Eligibility for Lawsuit Financing

Lawsuit financing may be the best resort if you are suffering financial hardship and have exhausted all other means of getting financing help. Qualifying is relatively easy, compared to traditional types of financing. In fact, the standard requirements, such as good credit and employment, don’t apply.

Instead, eligibility is based strictly on the merits of your case. If you have a solid case with a high chance of winning, lawsuit financing will be easier to obtain. People who may be able to secure litigation funding include those who:

- Were injured in a car, boating or amusement park accident

- Are involved in a medical malpractice case with a doctor, nurse or paramedic

- Have been injured on the job or by dangerous products

- Are litigants in a wrongful death case

- Had a serious slip-and-fall accident

- Suffered from breach of contract

- Were discriminated against

- Were wrongfully terminated

Lawsuit financing can provide critical financial support for you and your family while you pursue justice.