Posts Tagged car dealers
Trade Your Old Banger For a New Car – A Guide to the Scrappage Scheme
Posted by in Uncategorized on December 3, 2009
Since March 2009 the UK government, in partnership with the car manufacturers, has introduced a scheme that has allowed owners of old bangers to scrap their current cars and purchase new models for a discounted price. The discount being offered consists of £1,000 of government money and a matched £1,000 from the car manufacturer, meaning if you let go of your current car you could get £2,000 off the purchase price of a brand new one.
The scheme has been funded by £300 million of government money and will last until either February 2010 or until the money runs out before that date. This means a massive 300,000 cars can be potentially bought during the scheme. Since the scheme began in March, over 60,000 new vehicles have been sold, and similar schemes in other countries such as the United States of America have been so popular that they have had to end the scheme months ago due to the influx in new car purchases!
It is hoped that by scrapping older vehicles and people buying brand new ones, this will not only help to fund the ailing motor industry but will also introduce greener cars to our roads. Advances in car manufacturing and technology have introduced many new ways to cut down on carbon emissions, reducing our carbon footprints. The common complaint many motorists have made about newer cars is that they cannot afford to buy them and so this scheme is going to help influence people to buy newer vehicles as opposed to keeping their older, less efficient ones.
In order to be eligible for this scheme you need to meet the following requirements:
• The car must have a valid MOT;
• The car must be registered before the 29th February 2000;
• You must be the registered owner of the car for at least 12 months; and
• Your old car needs to be scrapped with a certificate of destruction.
There are currently talks happening and an agreement being made to potentially change some of these requirements to include more vehicles. The conditions for scrapping vans are the same as for cars and you can even scrap a van and get a car, or vice versa. If you have any questions then you can ask at your local car dealership and they’ll be happy to answer any questions and to discuss your options.
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First Time Car Buying
Posted by in Uncategorized on November 30, 2009
Buying a car for the first time can be extremely exciting. It can also be an incredible drag if you’re not especially careful. For instance, I am still paying (no pun intended) for the decision I made to purchase the particular vehicle that I did a few years ago. As a result, I am going to be stuck making the same high car payment for the next several years all the while thinking of how if I had only researched the car buying process a little more and known what I know now back then, then I wouldn’t be in the situation that I’m in.
One word of advice for those of you who are interested in or are thinking of purchasing your very first car is to make sure you phone a friend, family member or simply get someone who knows what they’re talking about when it comes to purchasing a car. After you have found this person, drag them with you to the dealership after hours and then during hours. I suggest going to a dealership after hours initially because it will give you a break from the incessantly nagging and overly-helpful car dealership sales people who are dying of hunger for a sale and who are desperate to just eat you up!
When I received my first car, my father was in the car business and knew exactly what questions to ask. In fact, I just went to the dealership and told him which car I liked. Then, a few weeks later, it was purchased with all of the specifications that I had wanted. If only there was someone like that in my life now! Most people dread going to car dealerships because a) it usually means a lot of walking and b) it means that you have to deal with overbearing salespeople c)it is often tempting to see another vehicle that you like that is way out of your budget but which you still ogle at just the same.
There are many things to distract you at a dealership, and the last thing that you want to “deal” with are distractions because it forces you to take the eye off of the prize: buying the right kind of car for you. If you are a newbie, you may actually want to bring two people with you (I.e. Mommy and Daddy). I have joked around with my boyfriend that the next time I go to a dealership, I am going to have to bring a team of people who can just form a circle around me so that they can act as a buffer between the salespeople and me. If you are purchasing a car from a private seller, there are separate rules that go along with this as well. For example, you may want to chat with them in the company of a third person as well as read up on the types of questions that you should be asking as well as what to bring with you.
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2009 – A Crazy Year For the Automotive Industry
Posted by in Uncategorized on November 26, 2009
2009 has not only been a crazy year for the banking industry – which as we all know has seen many ups and downs… It has also been quite turbulent for the automotive sector too!
The Scrappage Scheme has made both the new and used car marketplace have many ups and downs. First and foremost it has boosted new car sales – which was its main intention, alongside reducing the amount of old cars on the road, but it also sent the used car market into chaos too.
The success of the Scrappage Scheme has meant that used car dealers have had a fantastic 2009. The fact that thousands of motorists sent their used cars to be scrapped meant that there was a severe shortage of used cars available…so the ones which were available were in high demand.
This was fantastic news for used car dealers as used car prices actually rose by 30% – a record figure. Bartering over the price of a used car was almost unheard of as dealers remained adamant that they would get the asking price they wanted. The only problem for dealers was actually being able to keep their forecourts full of cars.
It is only now in November that automotive experts have suggested that the price of used cars is starting to return to normal in what they call the ‘correction in prices’.
The Scrappage Scheme will start to run out of funds early next year which will have yet another effect on the automotive industry. It’s likely that new car sales will decrease as there won’t be as big an incentive to car buyers. This will also impact on the used car market as more used cars will become available which will mean that prices should see a slight decrease.
It’s not only the Scrappage Scheme that has caused used car prices to increase, it’s also the recession. People who may have previously looked to buy a brand new car may turn to the used car market to save a couple of thousand – creating a higher demand!
Used car dealers will be hoping for a recession every year!
