Keith Cox Autobahn’s Blog

Entries categorized as ‘Car buying’

My Neighbor’s Little Gray Car

December 6, 2007 · Leave a Comment

I think it is a 1995 geo Prism.  It has four doors, an automatic transmission and front airbags.  The odometer just turned over 125,000 miles and some would think it is ready for the crusher, but they have a refreshing and very responsible attitude toward this piece of basic transportation.Kyle is their youngest and he turns 16 this fall.  When we chatted across the new hedge which separates our homes they asked about the latest trade I had driven home from my car dealership.  Should they replace the Geo with something fresher, newer and sportier?  As we talked, they concluded the little gray car would work just fine for Kyle in his first couple years of driving as it had for his two older siblings.It is paid for and dependable and they know the history from when they purchased it with only 32000 miles ten years ago.  They let one of the local shops keep it in great shape and always did the scheduled maintenance and though it may not be the sexiest car on the block it works just fine.  Because it has a very low book value they can purchase only liability insurance and forgo the more expensive collision coverage.Every day I watch families spend incredible amounts of money putting young and inexperienced drivers in to new or nearly new cars.  Driven by peer pressure and bad information, both parents and children put each other at risk with too much car with too much power without the experience and or maturity to handle either.  A local Realtor, Mile Kent, on his weekly radio program quoted a reliable source which studied this issue and found that people who will drive their cars to 200,000 miles save an average of $30,000 in doing so.  He commented; “it’s almost like having a part-time job.”  With advanced engineering, improved lubricants and computerized diagnostics, almost any car manufactured in the past 10 years can be safely and dependably driven to 200,000 miles if maintained properly.As I arrive home each night I smile and quietly applaud the Haans and their decision to keep the little gray car.

 

Categories: Car buying

GAP Insurance

December 6, 2007 · Leave a Comment

In todays finance market it is not unusual for our customers to finance 100% of the purchase price of a car plus the taxes and fees.  This creates a situation where the loan total in the first couple of years exceeds the value of the car.  In the unfortunate instance where the car is involved in an accident severe enough to have the insurance company total the car, the coverage is not going to be adequate to pay off the loan.GAP insurance was created for this situation.  A small one time premium covers the gap between the car value and the balance of the loan.  While we are not big fans of some of the add ons that dealers try to slide through at the end of the transaction, this one is very worthy of your consideration and a huge money saver in the event that it is needed.

Categories: Car buying

9 Ways To Avoid Being Taken For A Ride By Car Dealers

October 18, 2007 · 1 Comment

Nothing raises the blood pressure quite like the prospect of shopping for a used car.  Many have likened it to a visit to the proctologist: necessary, but seldom pleasant.  There are few industries with the poor reputation earned by used car dealers.  From the moment you step foot onto the car lot, it seems that every step in the car buying process is designed to irritate you, the customer.  Of course, there are good used car dealers, but unfortunately, they are the exception.  It is no wonder people hate shopping for used cars!….. Read the full article here

Categories: Articles · Car buying
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