Car Finance and Car Loans

There are so many examples that can be found about scams and deceit that happens when buying a used car from a dealership. There are definite pitfalls to buying from an individual as well.

When it comes down to it, the real question is, “How hard are you willing to work for a good deal?”

The wealth of information now readily available on the internet has meant that many car dealers are slowly, surely, and finally starting to become more truthful in their dealings with consumers.

This includes they way that dealer car finance is sold by professional salespeople within motor vehicle dealerships. You are not necessarily guaranteed of getting the best car finance deal at the car dealership, so you should shop around before going car hunting to make sure you get the right car loan and do your homework on what the best car finance rates are currently available.

Car sellers, on the other hand, are still as up and down as ever. There are many people who are honest and straightforward with selling their vehicle, just by nature. Still, there are those who are taking advantage of the internet and the wealth of resources available to make great money selling as an individual.

With that said, please erase any ideas that car dealers all lie and most individuals do not. Honesty must be judged on a case by case basis, so that is no longer part of the general equation.

Car leasing offers an alternative to buying your new car, although it’s important to consider all your car finance options. You must decide about the importance and priority of these benefits to you.

What are the potential advantages for car leasing?

Lower Monthly Car Payments
You can save becuase car leasing allows you to only pay for the percentage of the car that you actually use. Consequently your monthly payments can be 30%-60% lower than if you were to purchase the car outright for the same car and same term.

Upgrade More Frequently
Because car leasing provides the flexibility for lower payments, for the same monthly payments you can now drive a more expensive car and change upgrade yoru new car it more frequently.

Reduced Maintenance Costs
Choose a car lease term that coincides with the length of the manufacturer’s warranty coverage so that if something goes wrong with the car, the repairs are always covered by the manufacturers warranty.

No Need For Deposits
When you choose a car lease, you are not required to pay any deposit, which makes getting into a new car more affordable and frees up your cash for other things.

Many car finance companies are gearing up to the June 30th deadline by offering cheap car finance and car finance rates to bring foward car buying decisions.

From 1st July 2008, the Government will increase the luxury car tax rate from 25 per cent to 33 per cent. There will be no changes to the luxury car tax threshold (currently $57,123).

Since 1979, successive Australian Governments have taxed ‘luxury’ vehicles more heavily than other vehicles.

The luxury car tax was introduced in 2000 when the goods and services tax (GST) was introduced and the wholesale sales tax abolished. Since that time there has been no change to the luxury car tax rate.

The Government now considers an increase in the luxury car tax rate to be appropriate. The Government believes that Australians who can afford luxury vehicles have the capacity to contribute to revenue at a higher rate than other car buyers.

The measure is expected to raise $555 million over four years and to contribute to the necessary task of ensuring that the Budget relieves pressure on inflation.

The luxury car tax applies to both domestically produced and imported vehicles.

The tax change will result in a car with a current price of $100,000 (inclusive of goods and services tax and luxury car tax) being subject to an additional $2,541 in luxury car tax.

Now might be a opportune time to seek a great deal on your next car loan.

If you payout your car loan early, our cheap car finance products can save you money.

Methods for calculating early payout loan balances can often vary by thousands of dollars.

Most financiers structure their car loans so that payments cover mainly interest for the first one or two years of the loan term so that payments have little or no effect on reducing the actual loan balance during this period.

If you choose to terminate your loan earlier than expected, the financial risk may be the sale price is less than the loan payout figure because the car’s value will have dropped faster than the amount owing, this is particularly true when you arrange new car finance.

No longer do you need to be subjected to the outdated Rule of 78 as prescribed by the banks and other leading financial institutions. We offer preferential treatment on early payout which could save you money if you decide to upgrade your car or payout your loan prior to maturity.

We will offer to waive 100% of the remaining interest charges which can often reduce your car loan payout figure and save you thousands.

Before accepting an offer of car finance from anyone else - even if they claim to offer a ‘penalty free early payout’ - you should firstly find out if the Rule of 78 is involved and ask to see a copy of your loan payout schedule which will confirm your car loan payout figure at monthly intervals.

Our car loan products are widely regarded as the best car finance and best car loans available in Australia.