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Take Your First Car Home With The Help Of These Car Loans Tips

Take Your First Car Home With The Help Of These Car Loans Tips

Since the very first car rolled out on the streets, cars have gone through tremendous transformation in the form of power, comfort, safety, fuel efficiency, interiors, and exteriors.

Today, cars are the most common form of transportation and have become a compulsion rather than a requirement. Besides being a compulsory vehicle for office and household works, cars have made traveling less hectic and more convenient. There are cars for the super rich and there are cars for a daily commute. There are cars designed and developed for every purpose. You can buy whatever car you like, but only if you have enough bank balance to do so. If you are concerned finances will keep your first car out of reach, you need not worry. There are easy finance options available to buy your preferred car.

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Want to know the whole process?

There are many loan companies, as well as dealers, that have tie-ups with money-lending companies to make the car buying process easy for people who do not have hard cash available. Car loans are the easiest ones to obtain because there is no compulsion to provide income proof, credit scores, asset proof, employment status, insurance, bank statement, etc. as automobile lenders know that not every person meet all the qualifications. All in all, getting a car loan is less painful than a home loan or business loan.

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Having a helping hand in terms of an easy car loan has made it possible for people to afford a new car. Here are some insights about how to get the best car loan that you must consider.

What loan amount are you eligible for?

In general terms, the car loan depends on the actual cost of the car, in addition with down payment from your side that you can invest from your pocket. And also with the amount, you can conveniently pay for the monthly repayments. So, all you have to do is to look at your monthly budget, and the savings, so that lenders can figure out the base to lend you the loan for your car purchase.

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What type of loan can you opt for?

There are different types of easy car loans to help you opt for the best-suited loan type that meets all your requirements. The four most important ones are a variable loan, a fixed loan, a secured loan, and an unsecured loan.

  • Variable loan: In this type of loan, the loan amount varies as per the interest rate adopted by the lender. If they lower the interest rate, the repayment also decreases, and vice versa. But these interest rates are always lower than fixed rates.
  • Fixed loan: As the name suggests, the interest rate is fixed for the complete loan tenure. The monthly loan repayment remains the same irrespective of the market rates.
  • Secured loan: This loan is more like a bet because it means that you put your desired car at risk. If you don’t repay the loan amount on time, the lender will take back the car. In this loan, the car is used as an asset.
  • Unsecured loan: With unsecured loans, there is no compulsion of putting the car at risk, but you have to prove that you are capable of repaying the loan amount on time by showing your credit repayment history or credit card history.

What car brand do you want to buy?

The type of car brand you buy depends on whether you are opting for a new car or if you have selected a used car. For new car loans, refer to the above-mentioned loan types to get a better idea of the kind of loan that works for your budget, lifestyle, and overall financial plans. For used cars, you first have to see whether the car is not too old to pass the car loan eligibility.

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What special features are you looking for?

There is an array of various features attached to a car loan, all of which should be considered before purchasing the car you want. Some of these special features include:

  • Additional repayment: This loan feature allows you to make additional repayments of your car loan and save money by making complete loan repayment sooner.
  • No early repayment penalty: This loan feature allows you to pay off your complete car loan when you have excess money without getting penalized or charged a higher interest rate for early repayment.

You have gone through the types of loans, eligibility, and special features of car loans available to you, now all you have to do is make a final checklist of documents you will need to make the car buying process less painful. Keep your identification documents, proof of income, car details (if you are using it as security for a loan), and credit history record, to see your repayment capability.

Having all these documents on file will help you clear the car buying process and get you in your first car without any additional hassle.

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Last Updated on January 2, 2019

How Personal Finance Software Helps You Get More Out of Your Money

How Personal Finance Software Helps You Get More Out of Your Money

Do you know what mental health experts point to as the biggest cause of stress in the United States today? If you said “money,” then ding, ding, we have a winner!

Three out of four adults today report feeling stressed out about money at least part of the time. People are either worried about not having enough money or whether they’re putting the money they do have to use in the best possible way.

Your money is either in charge of you or you’re in charge of it, there’s no middle ground. Using some type of personal finance software can help alleviate some of that money stress and better allow you to manage your money effectively. Without it, you may just be setting yourself up for constant financial worry. Life is already tough enough and there’s no need to make it more difficult by simply hoping your money issues will all work out in your favor. Hint: they won’t.

This guide will help you to understand how personal finance software can better assist with both accomplishing long term financial goals and managing day-to-day aspects of life.

Whether it’s tracking the savings plan for your child’s college fund or making sure you won’t be in the red with the month’s grocery budget, personal finance software keeps all this information in one convenient place.

What Exactly is Personal Finance Software?

Think of it like the dashboard in your car. You have a speedometer to tell you how fast you’re going, an odometer to tell you how far you’ve traveled, and then other gauges to tell you things like how much gas is in the tank and your engine temperature. Personal finance software is essentially the same thing for your money.

When you install this software on your computer, tablet, or smartphone, it helps to track your money — how much is going in, how much is going out, and its growth. Most personal finance software programs will display your budget, spending, investments, bills, savings accounts, and even retirement plans, levels of debt, and credit score.

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How It Leads to Financial Improvement

It shouldn’t come as a surprise, but people who regularly monitor their finances end up wealthier than those who don’t. When you were a kid, keeping track of all of your money in a porcelain piggy bank was pretty easy. As we get older, though, our money becomes spread out across things like car payments, mortgages, retirement funds, taxes, and other investments and debts. All of these things make keeping track of our money a lot more complicated.

Some types of personal finance software can help make things a little less complicated, setting you up to meet financial goals and taking away some of the stress associated with money.

Even if you already have a Certified Financial Planner (CFP) some type of personal finance software can be of great benefit. Whereas CFPs focus on the big picture of your money, they don’t handle the day-to-day aspects that determine your overall financial health.

It’s also not nearly as complicated as you might think and can take out a lot of the tedium that comes with doing everything on an Excel spreadsheet or with a pad and pencil.

Types of Personal Finance Software

When it comes to personal finance software, it generally fits into two categories: tax preparation and money management.

Tax preparation software such as Turbo Tax and H&R Block’s software can help with everything from filing income taxes to IRS rules and regulations and even estate plans. Plus, there’s the benefit of filing online and getting your refund check a lot faster than if you were to mail off your forms after waiting in line at the post office.

For the purpose of this article, however, will be focusing more on the personal finance software that aids with money management.

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Money management personal finance software will help you to see the health of your cash flow, pay down debt, forecast for expenses and savings, track investments, pay bills, and do a host of other things that 30 years ago would have practically required a team of accountants.

When to Use Personal Finance Software

So far we’ve gone over what exactly personal finance software is and how it can be a benefit to your money. The next logical step in this whole equation is determining when it should be used and how is the best way to go about getting started using it.

Below are four of the most common and practical ways to use personal finance software. If all or any of these apply to you and your money, then downloading some type of personal finance software is going to be a smart move.

1. You Have Multiple Accounts

There’s a good chance that when it comes to your money, it’s in more than one place. Sure, you probably have a checking account, but you may also have a savings account, money market account, and retirement accounts such as an IRA or 401k.

If you’re like the average American, you probably have two to three credit cards as well. Fifty percent of Americans also don’t have loyalty to just one bank and spread their money across multiple banks.

Rather than spending hours typing in every detail of every account you have into a spreadsheet, many programs allow you to easily import your account information. This will help to eliminate any mistakes and give you a bird’s eye view of everything at once.

2. You Want to Automate Some or All of Your Payments

Please don’t say that you’re still writing out paper checks and dropping each bill in the mailbox. While it’s noble that you’re doing your part to keep postal workers employed, we’re 18 years into the 21st century and you can literally pay every bill online now.

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There’s no need to log into every account you have and type in your routing number either.

With personal finance software you can schedule automatic payments and transfers between all of your imported accounts. Automatic transfers will help to make sure you have the necessary funds in the right account to ensure all bills are paid on the appropriate date. Late fees are annoying and do nothing but cost you money. It’s time that you said goodbye to them once and for all.

3. You Need to Streamline Your Budget

Perhaps the best feature of personal finance software is that it allows you track everything going in and out of your virtual wallet.

Nearly every brand of personal finance software out there has easy-to-read graphs and charts that allow you track every cent you spend or earn, should you choose. You might be pretty amazed when you see just how much you spent on eating out last month or if you splurged a little more than you should have on Christmas gifts last year.

Every successful business on the planet has a budget and using personal finance software can help you trim the fat on your spending in ways that affect your everyday life.

4. You Have Specific Goals to Meet

Maybe it’s paying off debt or saving for up something like a European vacation. Whatever your financial goal is, whether it’s long-term or short-term, personal finance software programs are one of the savviest ways to go about reaching those goals.

You can do everything from set spending alerts to notify you when you’re over budget to automating what percentage of your paycheck goes to things like retirement investments. The personal finance software that you choose should show you exactly how close you are to hitting those goals at any given time.

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How to Get Started

From AceMoney to Mint and Quicken, there ’s no shortage of personal finance software apps out there. Many of these programs are free to download and will allow you to pay bills, invest, monitor your net worth and credit profile, and even get a loan with the swipe of a finger.

Other programs may only offer you limited services and will require a one-time fee or subscription to unlock all that they offer. These fees can often vary from as little as two dollars to 50 bucks a month.

It’s best to start off with the free version and then gauge whether you’re able to accomplish everything you’d like or if it’s worth exploring one of the paid options. Often times the subscription programs come with assistance from financial planning and investment experts — so that can be a real benefit.

When deciding which personal finance software program to use, it’s also important to look at how many accounts you wish to monitor. Certain programs limit the number of accounts you can add. Be sure that if you have checking, credit card, and investment accounts to monitor, that you choose a service that can monitor them all.

Finally, when looking around for the right personal finance software that meets your needs, make sure that you’re comfortable with the program’s interface. It shouldn’t be expected that you recognize every single feature instantly, but if the features don’t seem readable and manageable to you, then you’re not as likely to use it and get the full benefits.

Final Thoughts

Personal finance software can go a long way in helping you to take control of your money and meeting your financial goals. It’s important to note, however, that some focus more on budgeting and expense tracking while others prioritize investing portfolios and income taxes. Explore several different programs and read reviews to find the one that’s right for you.

In this day and age, managing one’s personal finances in a secure manner that allows the user to have a real-time visual representation of their money is easier than ever before. With the numerous applications that are out there — both free and subscription-based — there’s no reason that every person can’t take control of their money and ensure they’re making smart money moves.

Featured photo credit: rawpixel via unsplash.com

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