Tag Archives: interest rates

NHTSA Deciding on Rear-View Cameras by the End of Year

Rear-view cameras, a relatively new safety feature, might become standard in vehicles before the end of the year pending a decision by the National Highway Traffic Safety Administration (NHTSA).

These cameras were first introduced in luxury vehicles, but they have started popping up in mid-level cars more often in the past year. The NHTSA is considering making them mandatory in order to decrease vehicle backover accidents and deaths. According to the NHTSA, backover accidents on average cause 183 fatalities and up to 7,419 injuries every year.

The NHTSA were expected to make a decision last month, but they delayed a decision until the end of the year in order to fully explore the issue. In an official statement, they reiterated their commitment to safety and said that they would be surveying thousands of drivers who currently have rear-view cameras to discover the benefits and any potential problems with the technology.

Critics of the rear-view cameras say that the cameras are expensive and problematic. Reflection on the video screens at certain times of the day can impair the driver’s ability to see, and responsible drivers will still want to use the rear-view mirrors in addition to the camera. Still, I am holding out to see what the NHTSA discovers in the next year. Rear-view cameras cannot stop someone from being a bad driver, but maybe it can help stop a capable driver from making a deadly mistake.

No matter what you are looking for in safety features, Approved Loan Store can help you get into a dealership and get a car payment plan that is right for you. Fill out our car application here, and like us on Facebook and follow us on Twitter to stay up to date on the latest auto news!

Top Family Cars of 2012 Revealed by Kelley Blue Book

Any family who heads into the dealership is always wanting to make sure they walk away with the best deal. To that end, Kelley Blue Book has released their top picks for family cars in 2012.

Their number 1 pick is the Volkswagen Passat. The sedan has five seats, and according to Kelley Blue Book, is the “automotive equivalent of the extra value meal at your local fast food joint.” They also make note that the aspiring family who is wanting the Passat will find the newer model is not only larger but also less expensive than last year’s model.

Second place is the Honda Odyssey minivan. The vehicle provides a large family with plenty of size and a fantastic set of safety features. The powerful V6 engine is noted along with the stylish interior and handling as to the reason that it placed so high on the list. Rounding out the rest of the five picks on the list is the Ford Flex, Subaru Outback, and the Honda CR-V.

Approved Loan Store is wanting to make sure that you leave in the car you need. They want to help get the growing family the car they need at the most affordable prices and best interest rates. Call today at 877-217-2217 or go online to apply today. Be sure to also follow on Facebook so that you can see all the latest news and offerings.

Four Year Low for Interest Rates

There was good news today for car buyers. According to Bloomberg Business, interest rates are at the lowest they’ve been for four years. The low interest rates are in part to borrowers now paying their bill on time and not falling behind as well as a rise in demand for new cars. On average, the interest rate for a new car loan fell to 4.52% in the fourth quarter. This figure was founded by Experian Automotive and they also said that the rates were the lowest since they began tracking the figure in 2008.

Borrowers who have fallen behind on payments by 30 days saw a decline of $15.1 billion in the fourth quarter. That’s 8 percent down from just a year before and 28 percent lower overall of what it was at the end of 2009. Those who were delinquent on loans of 60 days decreased $3.48 billion which translates to a 14 percent drop-off from last year and 39 percent from 2009.

A positive up-swing in car sales has really lit a fire under the financial companies. They are now boosting lending in the auto industry after seeing a sales increase of $12.8 million last year, the second consecutive annual increase of at least 10 percent. Another factor in the lending trend is that the Federal Reserve has stayed committed to holding short-term rates at near zero all the way through at least 2014.

Experian’s report also noted that buyers whose credit is nonprime or even worse accounted for 23% of the new car financing market in the fourth quarter. This is a huge change considering that just the prior year, it was less than 20 percent.

Now is the best time to get the car you’ve been dreaming of. Approved Loan Store wants to help make that dream a reality. Contact us today at 877-217-2217 or log on to the website to apply for a car loan. Be sure to also follow Approved Loan Store on Facebook so that you can see all the latest news and blog tips.

Image: jscreationzs / FreeDigitalPhotos.net

Budgeting to Afford an Auto Loan

One of the biggest question that people have when they go to get an auto loan is what can they afford with financing a car. That’s a question that Approved Loan Store is striving to answer, and Loans.org has some great first steps towards planning a car purchase.

People need to understand just where their monthly income should go to. An auto loan is something that can cause a great deal of financial stress and should be prepared for. Following the steps the article lays out, it can make a world of difference in making sure that a family can repay an auto loan without breaking the bank.

The budget plan was proposed by Liz Weston, a finance writer. It’s the 50/30/20 budgeting plan. What this breaks down to is that the person following the plan needs to divide one’s needs, wants, and savings in different allotments. Needs should take up no more than 50 percent of one’s after-tax income, wants are 30 percent, and the 20 percent that remains should be saved.

Breaking it down even further, the plan calls to make sure that needs are actual needs. Needs do not include those nice new shoes but rather things that are necessary for survival. Those items include housing and food, and, in the case of this blog, transportation. One of the items in needed that the article recommends possibly cutting back on is a cell phone plan if the basic plan can help keep costs down. Other ways to cut back on needs is to stop eating out for dinner and instead opt for home-cooked, and generally healthier, meals.

Wants include things such as movies, video games, clothing, or anything else that goes beyond the basic. In order to accomplish this, you can cut back again on a cell phone plan. You can also avoid the new season’s style and instead save money for later. That’s where the final 20 comes in, putting aside 20 percent every month in savings. This will go a long way in giving comfort of mind. The recent economic collapse put everyone on edge, creating an atmosphere of fear of sudden and long term job loss. If you’re properly prepared for such life altering events, then you can be in a better situation should the worst case arise.

Bringing it back to auto loans, this budgeting plan can go a long way in making sure that anyone is comfortable with paying back an auto loan. By breaking down just what in someone’s life is necessary versus a want and putting a set sum aside for saving, it puts the person in control of their financing. Following this budgeting can help borrowers assure themselves that they can make the loan payments and still have enough set aside in case something happens.

Set your budget and head on over to Approved Loan Store to sign up today to get a car loan. Don’t forget to also follow Approved Loan Store on Facebook in order to stay up to date on any future budgeting tips.

Image: Stuart Miles / FreeDigitalPhotos.net

Debunking Common Credit Score Myths

What’s your credit score? This is a question that defines so much in our lives. It determines loan rates, the ability to refinancing a home, credit card rates, and the list goes on. Your credit score is a magic number that’s kept in secret by the major credit score agencies because for the longest time, FICO didn’t want consumer to even know that these scores were out there. They sure weren’t even going to let people know what exactly went into giving a score. It wasn’t until early in 2000 that the curtain was pulled back a little and customers were given a chance to see their FICO scores. This was due to tremendous pressure from both politicians and consumer advocates. Now people have a better understanding of what they can do to improve their credit scores to give them a better shot at the best rates. That knowledge, however, is a double sided coin that has lead to many myths being passed along to improve scores.

One such myth is as long as you handle finance properly, then the credit score will just take care of itself. The problem with this thinking is that a credit score doesn’t simply examine your financing health. Credit scores tell lenders how likely you’ll default based on how you handle credit which is why having no credit can be just as bad as poor credit.

Another rampant myth in credit scores is that to have a good score you must carry a credit card balance. What’s being reported to the agencies is the balance from your last statement, not a leftover from when you got the statement and paid it. This myth can cause people to carry debt that is completely unnecessary under the belief that it affects a credit score in a positive manner. This is not true, and you should pay your bills in full anyway just to avoid interest.

Next myth that needs debunking is that you should never close an account if if can be helped. This falsehood exists because people are under the impression that closing unused accounts can help scores. That just isn’t true. Having unused or available credit can actually be seen as a low-risk factor viewed favorably by FICO. Closing a credit card removes available credit. Just shutting down unused accounts will not instantly improve your score.

These are just a few of many of the credit myths that have managed to weave their way into society. It’s hard to blame anyone seeing as how the credit agencies keep everything about the process so secretive. For anyone looking to finance a car, it’s important to have a grasp on your credit score. That being said, Approved Loan Store is looking to work with you, should you have excellent or bad credit. Go to the website today and check out how they can help you find the car or truck of your choice at an affordable price with the best rates. Follow on Facebook as well so you can view all future tips and news.

Image: FreeDigitalPhotos.net

Easier Financing Offsets Rising Used Car Prices

Some good news and bad news for car buyers today.  Autofinancial.net is reporting that 2012 is expected to see an increase in 2012, making it the third straight years of the price raising.  In his speech on February 4th, Jonathan Banks, the executive automotive analyst with the National Automobile Dealers Association, said that the increase will be because of an increase in demand and decrease in the supply of used cars.  Compact cars will be seeing a rise of 2.7 percent while SUV’s are expected to see only a 1.4 percent increase.  That translates to used prices going up by 1.8 percent over the course of the year.

That’s the bad news, the good news is that even though prices are rising, there are other factors to help buyers.  Credit loosening is making it so that people with problems on their credit can get a loan.  Another factor is that trade-ins are going to be getting more leverage.  “The slowing rate of depreciation on used vehicles over the course of the year will lead to even stronger trade-in values and enhance the equity that a consumer has in their vehicle,” Banks said.

Approved Loan Store is here to make sure that you can get the financing you need to drive away in the car you want.  You can go online to learn more and apply for a loan here.  Make sure to also follow on Facebook so you can stay up to date on all the latest news and offers.

Image: vichie81 / FreeDigitalPhotos.net

Lower Your Graduate Debt by Picking the Right School

Before looking at student loans and comparing interest rates, there is an easy step that people often miss in preventing high debt post-graduation: picking the right school.

Last week, U.S. News released their rankings of schools whose students had the most and least post-graduation debt. These rankings were determined by the percentage of students who took out loans and the average total indebtedness per student graduating in 2010. Schools that performed better typically had more opportunities for student employment, scholarships, and grants.

Topping the list of schools with the least debt was Alice Lloyd College in Kentucky where 32 percent of students took out loans and owed an average of $3,108 post-graduation. Following closely is Princeton University with 24 percent of students taking out loans with an average of $4,385 debt after graduation. The highest rate of borrowing on this list was East-West University of Illinois in ninth place with 80 percent of students taking out loans and graduating with an average of $7,000 in debt.

Now, prospective students are getting bombarded with glossy flyers and sucked in with new fitness facilities, bigger fine arts centers, or a better cafeteria. Post-graduation debt is a problem that seems far away when taking college tours, but it is something that cannot be overlooked. A degree no longer guarantees work. Jobs for graduates are harder to find, and if the economy does not improve in the next few years, future graduates might be stuck out of work with a mountain of debt.

You can view the full list of the Top Ten Schools with Least 2010 Graduate Debt here, and if you are looking for a student loan, learn more and apply for a loan here. You can also follow Approved Loan Store on Facebook here.

Image: Stuart Miles / FreeDigitalPhotos.net

Avoiding Student Loans: Good Financial Sense or Common Financial Pitfall?

In tough economic times, people are less willing to take on debt, even if it means a long-term gain. Case in point, student loans. The Associated Press published a story recently about a movement amongst students starting college to avoid taking out student loans. They will live at home, borrow their textbooks from the library, and take on several jobs to pay off their tuition right away.

At first glance, it sort of makes sense. Many recent graduates are having trouble finding jobs paying well enough to pay off their student loans. If a student wants to put in the time and work to pay off their tuition now and avoid debt later, then why shouldn’t they do it? Isn’t it the most responsible path available?

Well, it is actually not as simple as that. First off, Deborah Santiago of Excelencia in Education says that students who take out loans are more likely to complete their degree and argues that, “If you can go to a more selective institution that gives you more resources and support, you’re more likely to compete.” Depending on the student, it is usually a better idea to take out a loan and go to a first-rate school than get a second or third-rate education without taking out a loan.

Besides that, if a student wants to set themselves up for a strong financial future, they will want to establish a good credit history. With a student loan, they can spend more time studying and getting better grades, and they won’t have to take on as much extra outside work hours. Instead, they can focus on making their loan payments on time which will make them desirable to lenders if they want to get a car or house in the future. A lot of employers also look at job applicants’ credit reports, and they might look on them more favorably after seeing that positive payment history.

If you are exploring your options in student loans, click on Student Loans under the Approved Loans tab above, and keep an eye on our blog and Facebook page for the latest developments in student, car, home, and personal loans (and more!).

Image: t0zz / FreeDigitalPhotos.net

TransUnion Study Means Good News for Car Buyers

TransUnion has a simple message for consumers on the fence about buying a car: Buy now!

According to a new study released by TransUnion, one of the “Big 3” credit bureaus, all signs are pointing to a good time to get an auto loan. Only about a half of a percent of consumers are 60 days or more past due with their auto loan payments, and at the same time, there have been 28 percent more auto loans signed during the second quarter of 2011 than the second quarter of 2009. Furthermore, the Detroit Free Press predicted this week that banks and lenders would be competing more fiercely in the new year and making sweeter offers to entice consumers who might not even be considering buying a car.

For car buyers, using Approved Loan Store makes sense now more than ever. With lenders making increasingly better deals, it only makes sense to let Approved Loan Store help you find the best deals out there. Approved Loan Store keeps it easy. To apply for a car loan, click on the Approved Car Loan tab above, fill out the application form, and you will be contacted by a representative in 24 to 48 hours.

To learn more about what Approved Loan Store can do for you, read more about us here and follow us on Facebook.

Image: M – Pics / FreeDigitalPhotos.net

4 Percent Rates Spur Rise in Home Purchases

Hoping to jump-start home sales, lenders have been slashing their loan interest rates to under 4 percent for many consumers.

According to facts released Thursday by Freddie Mac, 30-year fixed-rate mortgages (FRM) were averaging 3.99 percent. 15-year FRM were at an average of 3.27 percent, and adjustable rate mortgages (ARM) were staying low as well with a 5-year Treasury-indexed ARM of 2.93 percent and 1-year Treasury-indexed ARM of 2.8 percent. Lenders are hoping that these low interest rates will make people rethink home ownership, and so far, it has paid off. Home loan applications spike to a four-month high after Thanksgiving.

This is great news for people thinking about buying a home. These lower interest rates combined with the recent drop in unemployment mean that being a homeowner is attainable for more Americans, and people are taking advantage of the opportunity. 2011 was a tough year for the American people, and it is heartening that so many are giving new meaning to the phrase “home for the holidays.”

If you are looking for a new home, click on the Approved Home Loan tab above to qualify for the best available interests rates, and try out our Home Affordability Calculator here. You can also like Approved Loan Store on Facebook and follow industry trends on our blog.

Image: Simon Howden / FreeDigitalPhotos.net