Should You Lease Or Buy A Car?

 

When it comes to buying or leasing a car the options can be confusing. To help you make an informed decision we have provided the information below. We hope you find it informative and useful.

When you buy the new or used car you pay for the entire cost of the vehicle. When you lease the new or used car, you pay for only a portion of the vehicle’s cost, which is the part you use during the time you are driving it.

Buying

Who Owns It

Whether you pay for the car with cash, or finance it and make monthly payments, either way it’s yours. Of course, if you’re financing it, you’ll have to meet the obligations the lender requires, like a certain down payment amount and timely monthly payments. If you don’t, they have the right to repossess it.

Up-front Costs

If you’re financing it, the bank will probably request a down payment. You can also trade-in another vehicle and use any equity towards your down payment. The amount of the down payment is usually based on the lender’s requirements and your credit score.

Future Value

Your vehicle will be worth whatever you can sell it for in the future and that depends on how well you maintain it. (Be smart and protect your investment with regular scheduled maintenance by a factory-authorized facility!)

End of Payments

Once you’ve paid off what you owe on your contract, that’s it. Your vehicle is 100% yours. The lending institution will send you a Lien Release as proof that the vehicle is completely paid off and all yours.

Leasing

Who Owns It

You do not own the car when you lease. You’re paying for the use of the vehicle, but the finance institution that you leased it through actually owns it. This is usually why you pay less per month in a lease than if you were to buy the car. .

Up-front Costs

Leases often do not require any type of a down payment. All you usually have to pay is the first month’s payment, a security deposit, the acquisition fee and other fees and taxes. But, as with a purchase, if you want to lower your monthly payments you can always pay more upfront.

Future Value

In most leases you don’t end up owning it so you don’t end up selling it. That’s the financial institution’s job. Although you may have mileage limits and wear and tear guidelines that, if you exceed them, could cost you extra money when you turn your vehicle back in.

End of Payments

Most people return the vehicle at the end of the lease term. But some like to purchase it during their lease or at the end. Others like to trade it in before their lease is over. Just ask us about these different options before signing any paperwork and we’ll make sure you have your lease set up the way you want it.

Best Cars to Lease

The best cars to lease are those with the best book value after the term of the lease. Since they depreciate less, you pay less. Review the lease ratings to see which cars retain their value.

Read more »

Facebook 9/11 Memorial App

To commemorate the 10-year anniversary of September 11th, Facebook has created an application that allows you to dedicate your status to a victim of the terrorist attacks. This Facebook Memorial gives you the opportunity to honor and revere the 3,000 who died in the 9/11/01 attacks, along with the six who died in the World Trade Center bombing in 1993.

In collaboration with the National September 11 Memorial and Museum, the app will work for those members of the social media marketing community who choose to donate their status to the cause. They will then have the option to dedicate their status to a specific victim of the attacks, or to have one given to them.

So if you are part of the 750 million member Facebook or the 100 million member Twitter community, choose to commemorate the 10th anniversary of this event and share it with others. Even if you don’t want to dedicate your Facebook status to the cause, join in the effort to reflect and honor the heroes of that day.

Many have already expressed their willingness to participate in this movement on the official 9/11 Memorial Facebook page, the place to get started.

Information courtesy of: http://www.leadgenix.com/blog/news/dedicate-facebook-status-to-911/

Read more »

Is texting while driving really worse than drunk driving?

Is texting while driving really worse than drunk driving? That’s the question that  Christopher Neiger from “How Stuff Works” asked. Read more to find out his conclusion. 

Texting, or short message service(SMS), is a quick form of communication that allows users to send 160 characters or less to and from their cell phones and smartphones. A study by the Pew Research group in 2009 and 2010 reported that out of the number of Americans who have cell phones, 58 percent of adults and 66 percent of teens use them to text [source:Motavalli]. With these high percentages of Americans using text messaging every year, many are bringing the habit along with them when they drive. The same Pew study showed that 34 percent of teens who use their phone for texting said they've done it while driving, and 47 percent of adults who texted said they had done it while driving, too [source: Motavalli].

In 2008, the National Highway Traffic Safety Administration (NHTSA) reported that almost 6,000 fatalities and over half of a million injuries were due to accidents caused by drivers who were distracted [source: Motavalli]. The study wasn't focused on texting, but it does show the seriousness of driving while distracted. Like many other driving distractions, texting involves a certain amount of mental attention as well as physical application which may be why 28 states have banned drivers from texting while operating a vehicle [source: Motavalli].

But is there really proof that texting while driving is more dangerous than drunk driving? Even though research is just now being done to measure the effects of texting while driving, some in the automotive industry and others in research circles say that texting is definitely more dangerous than drunk driving. Mainly because taking a driver's eyes off the road significantly cuts down on his or her ability to react to changes.

In 2009, Car and Driver conducted a driving test with their editor-in-chief and an intern to prove or disprove that texting while driving was more dangerous than drunk driving. The first step of their experiment was to test and measure the reaction times of both drivers while driving sober with no distractions, and then while reading and sending text messages on their cell phones. A light mounted to the front windshield simulated a car braking in front of them [source:Austin].

As they read and sent text messages, their response time was measured based on the time it took between when the brake light came on and when the driver applied the brakes at both 35 miles per hour (56.3 kilometers per hour) and at 70 miles per hour (112.7 kilometers per hour) [source: Chang]. Both drivers had a longer response time while reading and sending the text messages when compared to driving without any distractions. After the initial test, both drivers then consumed alcohol and reached the legal driving limit for intoxication in their state. After running the same test again while driving drunk, response times for both drivers were better when the driver was drunk, compared to when they were reading or sending text messages while sober. Car and Driver writers mentioned that the test was performed on a closed airport runway, with no road signs and no turns. Although this test was performed on a closed course, slow response times due to texting could result in serious consequences in real-world driving situations.

Another test conducted by the Transport Research Laboratory in London took it a step further. It found that drivers who texted had slower response times, were more likely to drift in and out of lanes and even drove worse than those who were driving while high on marijuana [source: Nugent]. The study found that reaction times for those who texted while driving were 35 percent worse than when they drove without any distractions at all. When driving while intoxicated, the reaction time was only 12 percent worse than when the driver was sober and driving without any texting distractions [source: Nugent]. The researchers also found that there was a significant decrease in ability to maintain a safe driving distance between vehicles while texting and steering control dropped by 91 percent compared to driving without distraction [source: Nugent]. One of the study's commissioners eventually concluded that texting while driving is one of the most dangerous things a driver could do while behind the wheel of a car.

Read the full article: http://auto.howstuffworks.com/texting-while-driving-worse-than-drunk-driving.htm

Read more »

2012 Honda Insight Gets Updated

The 2012 Honda Insight gets updated.

Honda’s venerable hybrid will become slightly more fuel-efficient thanks to substantial aerodynamic improvements.

Combining a new grille and front bumper with reduced engine friction, and improvements to the CVT and  air-conditioning system, the 2012 Insight will produce 96 g/km of CO2, or 57 mpg on the European cycle (which typically is about 10 to 20 percent higher than the U.S. cycle).

In the U.S., Honda’s improvements could help the Insight yield anywhere from 45.6 mpg to 51.3 mpg. However, it’s still unconfirmed whether we’ll be receiving these updates on this side of the pond.

The 2011 Honda Insight yields 40 mpg city and 43 mpg highway. Additional information on the automaker’s only dedicated hybrid model should become available in the coming weeks.

 

Read more: http://www.hondainthenews.com/2012-honda-insight-receives-modest-updates/#more-2041

Read more »

What cars have the lowest cost of ownership?

What cars have the lowest cost of ownership? Read on to find out!

There's more to the cost of owning a car than just paying the sticker price; in fact, the car with the lower sticker price might just turn out to be more expensive over the long haul. In other words, you might have the cash to buy a car, but not the income to afford to own it. That's the difference between price and total cost of ownership (TCO).

The total cost of ownership (over five years) includes six factors:

• Depreciation accounts for 46 percent of TCO (the average model depreciates 65 percent).
• Fuel costs mount up quickly -- especially for SUVs -- constituting 26 percent.
• Interest varies according to vehicle price, but in a typical case (a five-year loan, 15 percent down, 6.4 percent interest), it accounts for 12 percent of TCO.
• Insurance costs vary according to age, location, driving record, vehicle make and model but on average account for 11 percent.
• Maintenance and repair constitute 4 percent of TCO on average.
• Sales tax costs owners about as much as maintenance and repair, assuming the national average of 4.9 percent.

So which cars have the lowest cost of ownership? It's a complicated question and your circumstances may vary (especially if you include used cars in the mix), but here are some good candidates among 2010 vehicles. The list also indicates the award-winners in their categories for 2010:

Nissan Versa (also best compact car), Toyota Yaris (also best subcompact car), Hyundai Accent, Honda Civic, Scion xD (also best compact wagon), Honda Fit, Toyota Corolla, Toyota Prius
(also best mid-sized car), Nissan Cube, Chevrolet Aveo5

Read more: http://auto.howstuffworks.com/under-the-hood/cost-of-car-ownership/what-cars-have-lowest-cost-of-ownership.htm

Read more »