How to Deal With An Auto Loan After Divorce

Divorce is not only emotionally difficult for you but it is also difficult for your financial condition. How?

When a marriage ends, individuals split assets and go separate ways. But, what happens to liabilities such as an auto loan?

In an ideal world, both the individuals assume the responsibility of the debts they created and part ways. Unfortunately, the reality is different. So, take care of debts after a divorce.

The Legal Liability of an Auto Loan

Do not believe that just because the divorce agreement holds your former spouse responsible for the auto loan, he/she will make regular payments. It is plausible that he/she may not make payments.

You must remember that the divorce agreement is separate from your loan contract. Lenders do not give importance to the divorce agreement. Your former spouse may be responsible for the loan in the eyes of a court. But, if you applied for a joint auto loan, lenders will hold you accountable for the loan as well.

How to manage an Auto Loan after Divorce?

It is important to remember that your marriage may be history, but a loan will continue to affect your present and future. Here’s how you can manage your auto loan and save your credit score from plummeting.

1. Get rid of the Loan

After a divorce, the best way to manage an auto loan is to get rid of it. If your former spouse is responsible for making payments, the loan should be in his/her name only.

But, remember that no lender will remove your name from the loan contract because of your changed marital status. So, your former spouse will have to refinance the loan and complete the loan process individually.

2. Get rid of the Car

If you are worried about refinancing the loan, you can sell the car and pay off the lender. It is possible that an upside down loan situation may force you to pay money to the lender, but it is important to understand that a loss today is better than constant tension forever.

3. Make sure the Lender gets paid

If your former spouse is responsible for the loan and both of you decide against selling the car, you will have to make sure that he/she makes the payments regularly.

If your former spouse doesn’t make payments, contact your attorney. It is possible that you will have to make a couple of payments to avoid any negative impact on your credit score. So, keep aside a part of your income for it.

Taking care of your auto loan might be the last thing on your mind. But, it is important to understand that your marriage is over and not your auto loan. If you don’t manage it effectively, you may ruin your credit score forever.

All You Need to Know About Car Detailing

Car detailing can be defined as the process of makeover of your old car. The process includes a variety of aspects including paint restoration, cleansing interiors, engine refurbishment, wheels care and car’s exterior detailing which transforms it to a new one. It turns into almost the same condition as the new one.

This process is usually performed when you plan to sell your old vehicle, as no one wants to buy a shabby looking car. It is advised by the experts to get the detailing done before putting your car on sale, as it not only imparts a perfect look and finish to your roadster to lure the buyers but also raises the resale cost.

There are many centers for automobile detailing where professionals perform all the necessary tasks to make your car look as beautiful and shiny as the new one. Before hitting these stations you need to know certain things about the services they’ll be offering, so that you know what exactly you’ll be paying for. Here is an article guiding you about the whole process with the points you got to remember whenever you hit any of the detaining stations.

Exterior Detailing

The exteriors are focused on this process to impart shiny, glossy and refreshed look. Various techniques are used in order to achieve the perfect look including washing, polishing and waxing. Special kinds of towels are used to dry the surface and not the usual one. Certified waxes and polishes are applied on the surface to regain the original glow and shine. Windows, headlamps, tail lights, bumpers (both rear and front) are given special treatment to produce the exact look of a new car. Scratch removal is also a part of this process where all kinds of scratches and stains from the car surface are treated by professionals with modern techniques.

Interior Detailing

This stage includes the complete cleaning of the cabin, which includes shampooing of seats, cleaning of foot mats and carpets. Special tools and brushes are used to clean stains on the seats. Dry cleaning of the cabin is preferred over the liquid cleaning.

Paint Protection

Paints are sensitive and are easily affected by the surrounding conditions. The main reason for dullness in the color is pollution and other gases present in the atmosphere. The color on the exterior fades away over time due to many reasons including irregularity in washing, use of cloth which isn’t a recommended one or the use of fake polishes and wax. To overcome all the conditions and generate the original shine, the car undergoes three simple steps, washing, cleansing and polishing.

Engine bay

The engine is the most important part of the vehicle and detailing it is even more important. It can add up the overall detailing cost but it is certainly recommended to get it done.

SUV Dealers and Negotiation Tactics

If you need a car with a lot of space and off-road capabilities, there is no better option than a sport utility vehicle. Although there are disadvantages to owning a larger car, such as gas mileage and overall cost, there are also a number of benefits. SUV’s are perfect for large families and for people who travel often or enjoy outdoor activities. Deciding to buy a SUV is only the first step in the purchasing process. Before comparing dealerships and prices, you need to decide exactly what make and model will fit your transportation needs.

There are variety of sizes and styles to choose from when selecting your sport utility vehicle. Details will vary among different car manufacturers, but generally SUV dealers will offer four size options: compact, mid-size, full-size, and hybrid. Compact is the smallest size option, featuring two to three rows of seats and plenty of cargo space. This option is ideal for buyers who are interested in sporty transportation that offers a bit more room than a sedan. Mid-size SUV’s are capable of seating up to seven individuals, but maintain maneuverability and sportiness. The largest option is full-size. This designation refers to vehicles designed for large families, seating from eight to ten passengers, or for towing purposes. The newest edition to the SUV family is the hybrid. Hybrids are around the size of compacts, but they feature gas or electric drivetrains. This allows you to appreciate the advantages of a sport utility vehicle, while alleviating one of the major drawbacks to owning a bigger car–gas consumption.

Once you’ve narrowed your options, it’s time to start visiting SUV dealers. Visit multiple dealerships and be sure to research prices and financing options ahead of time. There is always room for negotiation when making your purchase, so it is helpful to have a prospective selling price in mind. In most cases, negotiating is the most stressful part of buying a new car. Use the following tips to ensure you pay a reasonable price:

Set a Limit

When financing, it can be easy to be persuaded into paying to a slightly higher quote than expected. Know the maximum amount you’re willing to spend before you visit any SUV dealers and do not budge. If a dealer won’t meet your price, move on to the next dealership.

Focus on Selling Price

Some sellers will try to negotiate your monthly payment, but it’s beneficial to look at the bigger picture. A low monthly payments, does not necessarily indicate a reasonable selling price. Keep your focus on the bottom line when negotiating.

Wait for Counter Offer

If the dealer says no to your first offer, don’t immediately make another. Always wait for a counter offer. This will allow you to better gauge negotiations. The salesman has a lowest offer and you can bet he doesn’t start the negation with it, so be prepared for some back-and-forth.

Raise Offer Slowly

Never raise your offer by more than $250-$300 at a time. If you raise your bid in small increments, you’ll be far less likely to overshoot your opponent’s lowest price.

Finally, remember to stay calm and clear-headed. Keep in mind that you are the customer, you have the cash, and at the end of the day SUV dealers want to get rid of their merchandise. Good luck!

Understanding Purchase Order For Buying Your Car

Next to the loan contract, the car purchase order is one of the most important documents of the car-buying process. It is your agreement with the dealer on the final cost of the vehicle. Reviewing the items line by line ensures you are in agreement with the bottom line figure, which is what will be the amount you will pay in cash or finance.

Purchase orders for buying your car usually display your personal information on the top and the various dollar amounts that add and subtract to the sales price of the vehicle in a linear format from top to bottom. The top figure is usually the sales price of the car. The following are the most common items you will see added or subtracted:

• Rebates

• Discounts

• Trade allowance

• Guaranteed Assets Protection (GAP)

• Extended Warranty

• Additional protection (ex. Paint, tires, etc)

• All additional equipment or custom parts added to the vehicle

• Dealer fee

• Taxes

• Registration and title fees

• Trade-in payoff

• Down payment

Before getting involved with the details of purchasing or financing the vehicle, review the purchase order and verify no additional products or services were added. Have those items removed and a new car purchase order printed.

This would also be the last chance for you to negotiate a better trade allowance, rebate and discount-give it a shot. You never know. The dealer, registration and title fees are usually not negotiable. The payoff on the trade-in is not either. Again, any changes should result in a new purchase order printed.

Remember, take time to review and fully understand what makes up the bottom-line. Once satisfied with the purchase order, sign it and move on to purchasing or financing the vehicle.