Tag Archives: consumers
Familiar Errors Motorcycle Consumers Often Make When Shopping To Get A Motorcycle Loan (Page 1 of 2)
Regardless if motorcycle loan rates are increasing or decreasing or its the closing of the model year with tons of dealership promotions, many motorcycle consumers tend to make the same common mistakes when shopping to get a motorcycle loan. Normally there are four common mistakes motorcycle consumers often make with motorcycle loans.
1. Looking for a motorcycle before considering looking for a motorcycle loan.
A lot of motorcycle consumers frequently enter the showroom looking for a motorcycle before considering how much money a motorcycle lender is willing to loan to them for the purchase of a motorcycle. There is not a lot of need to look for a twenty thousand dollar Harley motorcycle, whenever a lender is only willing to allow a loan amount of less than the motorcycle costs.
Additionally, once motorcycle consumers enter the showroom slick salespeople many times pressure them into motorcycle financing using much higher loan rates than they could have gotten had they shopped for a motorcycle loan at a bank, credit union or on the net. Salespeople don’t like motorcycle riders to leave the dealer to shop for a motorcycle loan. In the salesperson’s view this simply increases the possibility of loosing a sale and commission. Thus, salespeople more often than not attempt for a quick sale which normally results in pushing motorcycle buyers to get motorcycle financing at the dealership.
The bottom-line is that it is always best to shop for a motorcycle lender before entering the dealership showroom.
2. Plunging into the unknown motorcycle loan.
Motorcycle buyers many times get motorcycle financing that they don’t wholly understand or may not be the right alternative for them. These days motorcycle OEMS more often than not focus their promotions around credit card motorcycle financing on their own private-label credit cards. However these consumer financing incentives usually offer a reduced interest rate for a very short term like twelve or 24 months and have a tremendously higher interest rate after the short promotional term. On a private label credit card promotion if motorcycle buyers can not manage to pay off the loan during the short promotion period, then they are generally better with a little higher rate on an installment motorcycle loan for an extended term.
3. Borrowing too much.
The most reoccurring mistake the first time motorcycle buyer makes is normally not getting a clear feel of how much motorcycle they might be able to afford. This is particularly true for young motorcycle purchasers who look to purchase the most advanced sport bikes. What they neglect to understand is that financing a $10,000 – $15,000 motorcycle may hurt them financially resulting in them having little cash to enjoy themselves and the motorcycling lifestyle. They may also have too little cash to pay for insurance, maintenance, registration or new accessories for their motorcycle.
4. Not asking the right questions.
Top 10 Credit Card Tips (Page 1 of 2)
The credit card has been one of the most popular inventions of this time, helping consumers acquire convenience and boosting consumer spending for the economy. However, credit cards have been exploited for the wrong reasons, and thus have become the main source of debt for many consumers. Thus, in order for credit cards to be beneficial, consumers would need to be well-informed on the proper usage of credit cards.
1. Pay off your outstanding balances each month
Rolling over outstanding balances will only result in snowballing debt. Credit card interest rates are amongst the highest as compared to other types of debt. With this, your cost of expenses is increased without any apparent benefit to you.
2. Transfer your high interest credit card balances to 0% APR credit cards
If your outstanding credit card balances are high, you should work out a balance transfer to other credit cards that offer introductory 0% APRs. This way, you can stagger monthly payments and pay off your credit card debt gradually without incurring additional interests.
3. Cut up high interest credit cards
Its time you evaluate your credit card interests, and cut up those that charge high interest rates, no matter how wonderful their reward programs at. At the end of the day, the rewards attained will not equate the additional interests incurred.
4. Be careful with your credit limit
As your credit limit may be 2 or 3 times greater than your monthly income, it can be fairly easy for you to overspend. Thus, when using your credit card, be sure that you dont charge more than what you can truly afford.
5. Check your credit card statements
Contrary to what you may believe, banks and credit card companies may make errors in their billing statements to you. Thus, it is best to have a habit of cross checking your credit card charges before making payment.
6. Automatic transfer payments
If your credit card is being used for grocery shopping, you can always arrange for an auto-payment with your bank to ensure that you always pay on time. However, you would still need to cross-check your credit card statements and make a complaint if you find any discrepancies.
7. No credit cards when window shopping
Do you have bad control over your shopping habits? If you are on a window shopping spree, it may be advisable not be bring your credit card. How else would you buy anything if you are out of cash with no credit cards? This is a good way to stop yourself from impulse purchases.
8. Be aware of your rights
Consumers are entitled to rights when it comes to making purchases. The government has set forth many guidelines for retailers in order to protect consumers. Thus, if you have paid for something which did not get sent to you, or if you purchase something that turns out to be faulty, you have every right to demand for a refund or make a report to the Federal Trade Commission.