5 Tips For Choosing The Right Auto Lender

5 Tips For Choosing The Right Auto Lender

G.M. has agreed to purchase AmeriCredit, a lender of car loans, for $3.5 billion. The car maker made the move as a way to re-establish a captive finance division after selling off GMAC (now known as Ally bank) a few years back. GM considered buying back Ally but opted to go with AmeriCredit, instead.

Many people may think this is a good move for consumers and car shoppers. But hold on a second, as of course there is another motive here for GM. By bringing back an in-house finance arm, the company will be better positioned ahead of launching its initial public offering (IPO).

The company will ultimately be able to sell more cars by offering better deals through an in-house lender.

Should you always go with an in-house lender, though, when shopping for a car? LeaseTrader.com works with all major lenders for its car Lease Specials transfer program. A special division of Lease Specials transfer specialists are always on hand to help people navigate the transfer process with their lender.

Here are a few tips to help you make sure you’re shopping for the right lender:

1. Focus on having good credit and finances: When shopping around for the right auto lender, you may feel lost in a sea of confusion. But you’re not helpless. There are things you can control to better your chances of landing with the right lender. Making sure your credit is in tip top shape is one of those things. The better your credit, the better the terms that will be offered to you.
   
   


2. Shop around to read up on lenders: Put the power of the Internet to work here. You can do all kinds of research and read lots of reviews on various lenders just by going to Google and typing in a few key search terms. You’ll be surprised at the amount of information and knowledge available to help you make the right decision – before you step into the dealer’s showroom.
   
   


3. Look at everyone’s terms: Comparison shopping happens all the time when you shop around for a car. It should absolutely happen when you shop around for a good lender, as well.
   
   


4. Understand fine print ahead of time: One area that always frustrates car shoppers is the “hidden” fine print associated with the lender’s offer. Don’t let there be any surprises one or two years into your loan. It is your responsibility to read through the loan up front and ask all the necessary questions. There is no finger pointing (dog ate my homework) excuses here.
   
   


5. Know what the captive is willing to offer: Don’t immediately discount the captive finance arm (the car manufacturer’s in-house lender). Many times the captive finance lender wins the business because they package their loan with great incentives on the car (instant cash back or a lower sticker price).

How did you shop for your auto lender? Tell us about it here:

GM leveraging investment banks to sell cars as well as IPO Shares

GM leveraging investment banks to sell cars as well as IPO Shares

 

Since General Motors Co. announced its initial proposal for public offerings this past May,

GM has been squeezing concessions from banks vying for a role in what may be the second-biggest IPO in U.S. history. JPMorgan Chase & Co. and Morgan Stanley won the lead mandate in June and agreed to fees of 0.75 percent of the sale, a quarter of the usual rate for large stock sales

The automaker is also requesting help selling cars not just Shares, biding banks are required to consider using some of the underwriting fees to subsidize the purchase of GM cars by their employees.

Understanding the background

The Treasury wants to keep fees for the IPO low because GM still is recovering and needs to conserve cash, It will also take advantage of any bank it can!

The US Government is playing hard Ball, some analysts say. The Obama administration is wary of paying Wall Street banks large fees after bailing some of them out with government funds, it also feels the banks should bend to help out U.S. Treasury, which owns 61 percent GM

GM sent the request for proposal before it agreed to fees with its lead banks. JPMorgan had already offered to accept payment in equity instead of cash but the their offer was rejected,

How the roles have changed in investment banking:

In the past odd requests were unheard of, the back usually held the controls of what, when and how much but with the way the market is going and the lack of companies vying for business banks are willing to go the extra mile when gathering clients

 

If market conditions permit GM will file a prospectus next month with shares to be sold as soon as November. GM plans to sell 20 percent of U.S. Treasury’s stake reducing the government’s share to less than 50 percent

 

The sale is expected to rise over $10 billion to $15 billion, considering 3 factors

• Strength of the economy


• Company’s performance


• Health of the IPO market

To understand how big this deal is only four U.S. IPOs have exceeded $5 billion since 1999

• Visa Inc.’s $19.7 billion deal in 2008


• AT&T Wireless Group’s $10.6 billion offering in 2000


• Kraft Foods Inc.’s $8.68 billion deal in 2001


• United Parcel Service Inc.’s $5.47 billion sale in 1999

 

Source: [ Bloomberg and WSJ ]

NEW SURVEY ON TRAFFIC VIOLATIONS SHOWS WHICH DRIVERS THINK THEY’RE ABOVE RED LIGHT CAMERAS

 

                                                                                                   

 

News Release

 

 

For Immediate Release

NEW SURVEY ON TRAFFIC VIOLATIONS SHOWS WHICH DRIVERS THINK THEY’RE ABOVE RED LIGHT CAMERAS

LeaseTrader.com Driving Survey Reveals Perception of Traffic Violations

MIAMI – (July 20, 2010) – Do people believe they can get away with a traffic violation based on what they drive? Conventional wisdom says people with nicer vehicles get all the breaks, but a new LeaseTrader.com survey says the nicer a person’s car, the more likely they believe they will get caught.

A nationwide online marketplace for car leases, LeaseTrader.com recently polled roughly 2017 drivers across America to find out if they believe they can get away with a traffic violation based on what they drive. The company polled drivers on their likelihood of getting tickets for speeding, red light infractions, parking fines, and illegal u-turn. The survey was comprised of drivers in four different sets of vehicles (examples):

 

Economy (Ford Focus, Chevy Cobalt)

Mid-Size (Honda Accord, Toyota Camry)

SUV/Truck (Chevy Tahoe, Ford F-150)

Luxury (BMW 7 Series, Mercedes M Class)

 

The survey showed that luxury drivers across the board feel they get away with less compared with the other three sets of drivers. 63.2 percent of luxury drivers feel they will get a speeding ticket if they travel 10 miles per hour faster than the limit, compared with mid-size drivers (45.8%), economy drivers (28.2%) and SUV/truck drivers (41.2%). People leasing luxury cars feel they have a false sense of entitlement when it comes to speeding.

Drivers of economy vehicles also feel they’re least likely to get a ticket running a red light (15.7%), including new red light cameras, because of a blend-in syndrome where they feel their cars don’t stand out as much as the rest. Drivers of luxury vehicles again were highest (62.1%) followed by SUV/Truck (43.6%) and mid-size (35.7%).

Luxury drivers felt differently when it came to parking fines, however, with many feeling (72.5%) they wouldn’t receive a ticket for parking illegally, possibly because of a feeling of entitlement. Mid-size drivers were next (62.8%) followed by economy drivers (54.2%). Only a few SUV/truck drivers feel they wouldn’t get a parking ticket (21.4%).

 

About LeaseTrader.com

LeaseTrader.com, the most recognized name in car leasing, easily and affordably matches car shoppers with individuals looking to escape their auto Lease Specials. Privately held and founded in 1998, LeaseTrader.com is headquartered in Miami. For more information visit www.LeaseTrader.com, on Twitter @Lease_Trader, or call 800-770-0207.

First Impressions - How Important Is Your Car?

First Impression - How Important Is Your Car?

 

Whether you are a man or woman, it is generally agreed that when it comes to dating, your car does make a first impression. According to a survey from Ford Fusion that polled more than 400 singles, showed 89 percent of males and 95 percent of females said they were somewhat likely to notice their dates car. The survey went on to reveal that it is not just your car, but the cleanliness of the interior. A survey last spring from LeaseTrader.com showed men keep cleaner cars than women (http://tinyurl.com/38njo6y). Any car that was super dirty or malfunction were considered an absolute no-no.

An overwhelming 90 percent of those survey said they would not borrow a nice car from a friend to impress a first date. Of those that said they would borrow, 12 percent were males compared to only nine percent of females. The survey is part of an upcoming series of Ford-sponsored dating events in select U.S. cities to introduce the new Ford Fusion.

 

 

All the results listed below:

1.) Keep It Clean

The Ford survey revealed that it's not just your car, but the state of

your car that can make an impression on your date, with 58 percent saying that

the condition of their date's vehicle would at least somewhat impact their

attraction to the person. Females felt more strongly about their date's car

condition than males with 69 percent saying it would at least somewhat effect

their attraction to their date compared to 47 percent of males.

"If your car is dirty outside and cluttered with wrappers and junk inside,

that delivers a personality message to your date that could very well impact

the evening and your future prospects," said Sherrie Schneider, co-author of

The Rules.

"Your car offers a very visual view of the person you are dating before a

single word is ever spoken."

 

2.) Sky Rocketing Gas Prices -- Don't Go Dutch!

More than 79 percent of respondents said they had never been "asked to

chip in for car-related expenses by their date." Of those that had been asked

to chip in, 15 percent said they were asked to spring for gas followed by

parking (9 percent) and tolls (6 percent). Twice as many males (20 percent)

said they were asked by their dates to chip in for gas than females (10

percent).

"At today's gas prices, I guess you can expect more people to ask their

dates to share costs," said Fein. "It still remains a big no-no in most

dating circles if you're looking to score a second date," she cautioned.

 

3.) Most Embarrassing Car Date Moment

When asked to recall their "most embarrassing car date moment,"

respondents chose being told by their date that they were a "bad driver" (22

percent) as tops overall with females (26 percent) outpacing males (18

percent).

Second overall was suffering an "upset stomach" (16 percent), followed by

being "pulled over for speeding" (15 percent) and a getting in to a "fender

bender" (10 percent). Also on the list, but scoring surprisingly low with all

respondents, was "getting caught fooling around" (2 percent).

 

4.) Kissing and Not Talking About It?

When asked "what their favorite car date activity" was, 43 percent chose

"talking" or getting to know their date better. Nearly half of females (49

percent) rated talking as tops with 38 percent of males agreeing. Second

overall was "sightseeing" (28 percent) followed by "kissing" (16 percent) and

listening to music (14 percent).

Of note, only eight percent of females surveyed chose "kissing" as their

overall favorite car date activity versus 24 percent of males.

 

5.) Grand Theft Auto

An overwhelming 90 percent of those surveyed said they "would not borrow"

a nice car from a friend to impress a first date. Of those that said they

"would borrow," 12 percent were males compared to nine percent of females.

"What's the point if it isn't yours?" said Fein. "If you go beyond a

first date to the all-important second date, it's only going to come back to

bite you. Besides, there are some really stylish and affordable cars out

there that make a great impression."

Fox Business - People Skipping Out on Cars Leases - Video

 

Fox Business - People Skipping Out on Cars Leases – Video

 

 

LeaseTrader.com appeared on FOX Business Network’s Willis Report to talk about recent trends in car Lease Specials trading. Host Gerri Willis was particularly interested in the increase of American drivers now choosing to walk away from their Lease Specials contract by trading it over to a credit-qualified individual. Many of these people are still able to make their Lease Specials payment but would rather do without the extra payment. The situation is most prevalent in areas where there is a high concentra tion of strategic default in home mortgages, such as California, Las Vegas, South Florida and Michigan.

 

 

 

LeaseTrader.com John Sternal on how his company can help people from defaulting on cars leases

Ford’s Alan Mulally made more money than the top three Japanese execs combined

 

Ford’s Alan Mulally made more money than the top three Japanese execs combined

 

Alan Mulally compensation added up to more than that of top three Japanese execs combined

Who is Alan Mulally?  Besides being the chief executive officer of Ford Motor Company he single handily secured Ford’s position as the only Detroit-based automaker to avoid bankruptcy. His acclaim has also awarded him a one of the largest paychecks in the industry.

Compared to the competition Alan Mulally made more than the CEOs of Toyota, Nissan and Honda combined.

Back in 2009 Alan Mulally earned over thirteen times more than Toyota's CEO Akio Toyoda at $1.1 million and Honda's CEO Takanobu at $1.3 million. Even the highest paid CEO in Japan Carlos Ghosn of Nissan fell short at less than $10 million.

It's not unusual for American executives to earn more than their counterparts overseas, although currently only Mulally is earning these large sums in Detroit. General Motors CEO Ed Whitacre and Chrysler CEO Sergio Marchionne are both limited as a result of the government bailouts. In spite of Mulally's success, his pay still pales next to the $100+ millions regularly paid to financial executives.

 

Source: [ Detroit News : AutoBlog ]

7 Proven Auto Theft Prevention Tips

7 Proven Auto Theft Prevention Tips

 

There are a few places you feel you or your possessions are absolutely safe in this world. Perhaps you’d never think of getting robbed in church. Maybe you’d never think your bank would go under and close (perhaps not a great example). Finally, what could possibly happen to your car while it’s getting serviced at the dealer, right? I mean come on. If anyone’s going to take such care of your car it’s going to be the people who sold or leased it to you AND the same people that are hoping to Lease Specials you another one, right?

Think again. Check out the following story before learning some important auto theft prevention tips.

A Chicago area Audi dealership was at odds with one of its customers when he dropped off his Audi A4 to get serviced. Everything was going fine until the car’s wheels were stolen over night. The dealer claims its security system was not working the night of the heist.

Making matters worse, the Audi dealership’s initial reaction was that of, we heard nothing and saw nothing, too bad. Rightfully so, the customer asked the dealership to pick up the $500 Insurance deductible, to which the dealer said no way. When the customer threatened legal action the dealer then demanded the customer remove his car from the premise, no wheels and all.

Fortunately, the folks over at Jalopnik jumped in and pressure from readers eventually forced the Audi dealership to reverse course and pay the deductible. Ultimately the dealership did the right thing, but as is the case with so much in society today why did it take so much effort to get the company to simply do the right thing?

We really don’t have to remind you how important it is to keep your car Lease Specials safe and well maintained, especially since you don’t own the car and the bank does. But we’ll remind you anyways. In fact, when you take over a Lease Specials on LeaseTrader.com you have the ability to schedule a vehicle inspection report, which offers a litany of photos and full vehicle inspection report. You know exactly what you’re getting so that you can fall in love with the car of your dreams.

Once you get the car, keep a watchful eye on that dealer so that they also take good care of your car during service. Here are seven ways to prevent auto theft that will help you sleep better at night:

1. Never hide a second set of keys in your car.
   
   


2. Park in well-lit areas.
   
   


3. When you do park your car outside of your neighborhood, try to park in an attended lot. Statistics show thieves are less inclined to steal a car from one of these lots.
   
   


4. Be wary of valet parking – it’s ultimately your responsibility when you give a stranger your keys.
   
   


5. Treat your car like your child and never turn your back on your car while running – even if for a second. Don’t leave your car running and then get out to run to the ATM.
   
   


6. Don’t leave valuables in plain view.
   
   


7. Hide a few business cards in your car. If the police recover your stolen car this will make it much easier for them to identify and prove that it’s your car.

 

Use these auto theft prevention tips to keep your car Lease Specials safe.