Welcome to Buy Here Pay Here

 

Buy Car Car Dealerships Here Here Pay Article

This is a selection among article about Buy Car Car Dealerships Here Here Pay. For a permanent link to this article, or to bookmark it for further reading, click here.

Money Matters: Savings - A Key To Economic Power

Buy Here Pay Here Dealers has tried to obtain the best information about cars and credit for you on the web. Money… If you have a lot of money then you probably don’t need to read this article…or, do you? If you only have a little money or you are broke, this information probably won’t help you…or, will it?

Whether you have money or not, the chances are that you have some kind of credit debt like a home loan, car loan, credit cards and the like. But do you have a savings account? Are you able to save any money from your income? If not, here’s a tip you should keep in mind: Pay yourself 10% of your income to a savings account before you pay anything else and here’s why; you are your most important utility. It is you that gets up and goes to work everyday, it is you that manages the household, the bills and other responsibilities in life. Without you nobody gets paid…not the mortgage, not the car loan, not the bills and other debts.

You are your most important “service provider”. Saying that you don’t have enough money to save 10% every week is not a good argument... the world is a vampire…the more money you make, the more the world takes one way or the other. You have to draw the line and understand that generating an income for yourself and your household is just as important a service/utility as having lights. Try to pay yourself first because without you, nobody gets paid. You owe it to yourself to save 10% of your income because that is your reward for working and generating that income.

Do you realize how important savings can be to your decision making and economic power? Here’s a helpful example of the power of saving called CD financing. By having a savings account with $2,500.00 to $5000.00 or so (at least) in savings, you can put that money into a CD (certificate of deposit) and use that CD as collateral at your local bank to borrow a secured loan with an interest rate 2-3% over the CD rate. I’ll explain... A CD is a cash-based investment instrument where you give the bank say, $5,000,00 and they give you a “certificate” of deposit (CD). The CD pays a better rate of interest than a traditional savings account during the term of the CD which may be 90 days, 6-months, one- year, two-year and so forth. Let’s say you have a $5,000.00 CD and you pledge that CD as collateral for a $2,500.00 loan from the bank.

Remember; rate is a function of risk and by borrowing money against your CD in this way you are providing the bank 100% cash collateralized no risk loan. Let’s say you have a two-year CD is paying 3% interest…there is virtually no reason why you can’t get a two-year loan where you are paying 5-6% interest because it is secured by the CD for the term of the loan. Now, in this example you have $5,000.00 CD earning 3% interest per year and a loan for $2,500.00 at 6% interest per year…which is a very low interest rate loan (and) the interest earned by the CD basically cancels out the interest paid on the loan! Other benefits of using a CD to collateralize a loan are as follows: First, if you took your savings and bought something, the money is gone (.) By using the CD financing concept, you get the money you need and you still have the CD asset, which is earning interest. When the loan is paid and your CD matures you still have your original money!

Other benefits include the fact that you can structure the loan so that you are not obligated to make a monthly payment under this arrangement. You can set up the loan with your banker…if you make some payments or no payments during the loan/CD term, you simply cash out the loan from the proceeds of the CD when it matures. OR you can roll the CD and the loan over for another year or two. This is an intelligent way to borrow or rebuild credit ratings even after a bankruptcy. This is one example of how you can benefit from saving money. It gives you power to make decisions…to be your own bank. So the next time you hurry to dish out all your income to pay bills, stop and think about saving 10%.

Copyright © 2006 James W. Hart, IV All Rights reserved

Other Buy Car Car Dealerships Here Here Pay related resources

INSERT YOUR OWN BANNER HERE!

Buy Car Car Dealerships Here Here Pay News

'Buy Here, Pay Here' Businesses Move Into Leasing

Robert Siegel speaks with Ken Bensinger, business reporter for the Los Angeles Times , for an update about a growing type of lucrative used-car dealerships known as "buy here, pay here" businesses. He explains how these lots now have gone into the leasing business in a big way.

Read more...

---

California bill takes aim at Buy Here Pay Here used-car dealers

Legislation introduced by Assemblyman Bob Wieckowski aims to protect buyers from being overcharged at used-car lots by requiring dealerships to post the fair market value on each vehicle they sell. New legislation in Sacramento aims to protect car buyers from being overcharged at used-car lots by requiring the dealerships to post the fair market value on each vehicle they sell.

Read more...

---

Bill would regulate Buy Here Pay Here used-car lots as lenders

The legislation, by state Sen. Ted Lieu, is aimed at curbing what some critics say are abusive and predatory lending practices. It would cap interest rates and require dealers to display vehicle sales prices. Used-car dealers known as Buy Here Pay Here lots would be regulated by the state as lenders under new legislation aimed at curbing what some critics say are abusive and predatory lending ...

Read more...

---

Ted Lieu Introduces Bill To Regulate Buy Here Pay Here Dealerships

State Senator Ted Lieu of Torrance has introduced a bill in Sacramento aimed at regulating the so-called Buy Here Pay Here auto dealerships.

Read more...

---

Want a new car? Now is the time to buy

Want a new car? Now is the time to buy Beaumont Enterprise Copyright 2012 Beaumont Enterprise. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Published 11:21 a.m., Tuesday, January 17, 2012 Ask around, and most likely those who know when to get a good deal on a vehicle will tell you that the day after Thanksgiving and the week between Christmas ...

Read more...

---

ESCONDIDO: Used-car dealers divided on Carmax impact

The opening of North County's first Carmax used-car "superstore" in Escondido last August is drawing mixed reactions from other dealers, with some praising the national chain for attracting more customers to Escondido with its big advertising budget, and others worrying that Carmax will put them out of business.

Read more...

---

What Fees Should I Pay the Car Dealer?

Should you pay fees at the car dealer once you have agreed on the price of the car? Which fees are legitimate and which should you argue...

Read more...

---