How To Save Money And Make An Old Car Work For You

If you're living a thrifty lifestyle now with an eye to building up a comfortable cash cushion or saving for an anticipated expense, and your ego doesn't have to live in the driveway waiting for another wash & wax session, an older car can help you reach that goal.

The Financial Advantages of Older Cars

There are many different ways that older cars cost much less than newer models do. Here are just a few of those different reasons as to why having an older car can play to your advantage:

• The insurance payments are much lower, since you're insuring a smaller investment, even with the same coverage.
• Interest on a $3,000 auto loan is quite a bit less than the interest on a $30,000 auto loan.
• Older cars are simpler and easier to work on yourself.
• Liability insurance is a tempting option because you've got less to lose if you do total the car.
• People driving a Ferrari are projecting an image, and that's expensive to live up to. People driving a '97 Toyota don't feel the same pressure to spend.

If you picked your care carefully, it's entirely possible to keep it running until you retire, and maintenance on it, even when you replace an engine, will cost you much less than loan or lease payments will. 

Careful model selection is much easier with older cars. They have a history that can be checked online. It's a good sign if they have an avid fan club 20 years later.

The Downsides of Older Cars

The worst thing to ever happen to an old-car enthusiast was the Cash For Clunkers program in the late 2000s. A huge majority of the older cars that were running fine disappeared off of the market forever. 

Finding replacement parts can be tricky. You'll have to shop around for some of the rarer parts. If you can't find a part that you need anywhere, try the junkyards. 

Call around to check availability. Some junkyards will insist on pulling the part themselves, but others have a 'U Pull & Pay' policy that will save you even more money.

If you're lucky enough to find a model older than 2000, you can learn to do much of the repair and maintenance yourself, saving even more money. 

Shop manuals for the older models can be found in thrift stores, libraries, and sometimes even online. It doesn't have to be pretty to get you into a Classic Cars Club, and the other members will have valuable advice for you.

An Overview of Dental and Vision Insurance Plans

As the risk of dental and vision conditions increases with age, ensuring that you maintain good health with routine checkups and examinations becomes even more important in your 50s. 

As such, it may be worth supplementing your current health insurance plan with dental and vision insurance so that you are protected in the event that you require undergoing a costly dental or vision procedure.

This guide by global insurance broker Pacific Prime Singapore provides a useful overview on what to look out for when it comes to purchasing dental and vision insurance. 

Why it’s important to consider dental and vision insurance

We all understand that ageing comes with an increased risk of a range of dental and eye health problems. For example, older adults have a higher tendency to develop periodontal disease, and there’s also the added risk of cavities as the root of your tooth becomes softer and more vulnerable with age. 

In your 40s and 50s, symptoms associated with presbyopia, a vision condition that causes difficulty in seeing up close, will become more and more noticeable.

It is widely known that the US has the highest cost of healthcare, and dental and vision related costs are no exception. 

This is especially true if you choose to seek treatment in private facilities, where the cost of Invisalign braces can set you back by US $6000 or more! An eye exam alone can cost over $300, and LASIK surgery can cost up to $4000 per eye.

These high costs, coupled with the increased risk of age-related dental and vision conditions, are two of the major reasons why many choose to consider dental and vision insurance. 

Types of dental and vision insurance

In most cases, dental and vision insurance are available as an add-on benefit which comes with its own additional premium on top of your health insurance plan. That being said, some insurers do offer plans that comprise of mostly dental or vision benefits.

If you travel or move countries often, you may also want to consider an international health insurance plan with globally portable dental and vision benefits. 

Dental insurance options

Typically speaking, there are two main types of dental insurance: routine dental treatment and major dental treatment.

The routine dental treatment option covers more common forms of dental costs such as consultations, X-rays, fillings, emergency treatment, and root canal treatment. 

Because this type of insurance covers less expensive procedures, it usually charges a lower premium than the major dental treatment option.

The major dental treatment option covers major dental treatments, including but not limited to periodontitis treatment, gingivitis treatment, bridgework, root scaling, temporary crowns, porcelain crowns and gold jackets. 

Adults over 50 are advised to secure this type of dental insurance as they are at a higher risk of requiring major dental treatment.

Please note that dental insurance does not typically cover cosmetic treatments (e.g. whitening) but some plans do offer discounts on such procedures. 

Vision insurance options

There are two main vision insurance options, namely the vision benefits package and the discount vision plan.

The vision benefits package will usually offer coverage for eye exams, frames (including multifocal glasses and reading glasses), as well as contact lenses. 

This type of plan will usually come with a co-payment, which is the pre-specified amount (as detailed in your insurance plan) that you will need to pay for every vision-related treatment or service.

The vision discount plan also offers coverage for eye examination, frames and contact lenses, and usually charges a lower premium than the vision benefits package option. 

This type of plan works a little differently because instead of paying out on claims, this option provides a percentage discount instead on every ophthalmic service covered by the plan.

Please note that not all vision insurance plans will cover LASIK surgery and PRK vision correction, so it’s highly advised to read the fine print or consult a broker before purchasing a plan.

These plans will usually have a waiting period

It’s important to be aware that add-on benefits such as dental and vision insurance will usually have a waiting period, which is the duration of time (anywhere from 1 to 24 months) you will need to wait after securing a plan before you are eligible for submitting claims on that benefit. 

During this time, you will likely have little to no coverage benefits. The reason why insurers impose a waiting period on plans is so that it prevents people from purchasing a policy right before they need to undergo an expensive procedure.

Navigating through the numerous insurance options available to find one that suits you best can be difficult to do all on your own, so it often pays to talk to a reputable insurance broker like Pacific Prime Singapore to find the best value plan for your needs.

Author bio

If you are looking for the most reputable and trusted insurance plans on the market, Pacific Prime Singapore - a global health insurance advisor will definitely be able to help you. Their team of experienced insurance advisors offer a wealth of experience that you can rely on.

Top Budgeting Tips for Financially Struggling Families

Recently, CNN Money did a report on the rising cost of raising a child. The report stated the cost shot up 40 percent in the last decade. It will run parents an average of over $233,000 per child from birth until they reach 18. 

If you were to sit down and factor in the cost of food, education, clothes, shelter and miscellaneous items, your bank account would suffer from being hit with the exorbitant amount of money it takes to raise a child along with taking care of other family needs.

On top of all of those expenses, there are hidden expenses we fail to budget in too. It is easy to see why your family bank account and wallets are empty by the end of the month. 

It must be incredibly difficult for struggling families in times of economic uncertainty. The good news is there are ways to cut costs, and here are four great ways for your family to do so.

Choose More Economic Energy Choices

Nearly every family knows how difficult it can be to maintain their heating and cooling bills. 

If you use just too much heat during a snowy month, then you’ll be paying for it a lot and that’s why a lot of families keep switching to new energy companies, such as Lumo Energy. 

They keep comparing prices until they can find the one that best fits them. If this seems like something that you definitely need to do, then choose a few different companies and look around on their websites for their prices and see what they offer. 

Whichever one is the most affordable and satisfactory to you, go with it!

Buying Food on a Tight Budget

There are certain instances where brand foods taste better than generic, but they do not taste that much better to justify the cost—which is why your family should turn to generic brands. 

Also, don’t buy the foods that are already prepared, like vegetables that are already cut up or food that is already cooked for you. Doing so will raise your grocery costs. By preparing and cooking your own food, your family will be able to scrimp and save a lot over time. 

As for snacks, which everyone loves, don’t go for the expensive ones. Buy in bulk and, again, try to go with a generic version of that favorite snack.

Mass Transit and Carpooling

If you are married with children and one of the parents is the caregiver while one the other works, then choosing to use a bus and train will save a ton of money. 

According to APTA, using mass transit saves nearly $10,000 on average, and it can save even more depending on what city you live in. 

Often, it is annoying and beyond inconvenient, but it offers incredible savings, especially in areas where living is generally more expensive.

Saving Money While Having Fun

Most cities, especially bigger ones or metro areas, have a lot historic or fun things to do for free, donations or special attractions with a modest price. 

They are generally known as amenities. Do some research on your city's amenities or the ones in the closest metro area to you. For example, Saint Louis lets locals and visitors attend the history museum, science center, beautiful parks and the zoo free of charge with the exception of parking close by and special, rare attractions. 

On a personal note, I consider reading a leisure activity, and I certainly enjoyed playing outside as kid. Library cards are free, and a good imagination is too. Board games are very cheap, and they are a great and bonding family activity.

Using these four tips might lead you on the trail to other assistance avenues like medical help until you or your spouse can catch a needed break. They are practical, common sense and fun. 

Finally, even if you have money, these are kinds of the things that help you keep it, and some can educate and bring your family closer.

The Need for Speed: What You Need to Know about Getting Your Auto Loan Pre-Approved

Auto loan pre-approval can help save a significant amount of time during the car buying process. 

Whether you have a great credit, poor credit or no credit at all, using the pre-approval process will let you know how much you can afford and what types of cars are within your price range. It will help you understand what cars you will also need to stay away from. 

It can also be a good indicator on whether not you should by it new or used. If you're in the market for a new or used car, the following tips will help you along with the pre-approval process.

Check your Credit Report

Make sure you know what your credit score and history look like before shopping for a pre-approval offer. 

Fixing any negative items will increase your credit score and allow you to take advantage of lower interest rates. Up to 5 percent of consumers in the United States are given higher loan interest rates solely due to errors on their credit reports, so this step is essential before contacting the dealership for pre-approval.

Limit Your Debt

If you are the kind of person that tends to have a lot of debt, it can make the pre-approval process for your auto loan much harder. 

Think of it like going to a bank and asking for a loan. Only you already have a lot of debt and your credit is not very good. The bank isn’t just going to give the money you want. 

And if they do, you may not qualify for the amount that you had hoped for if at all because you are too much of a risk financially. Therefore if you want to make the process go easier to pre-approve your car loan, then you want to make sure that your debt is very minimal to show that you are not a financial risk. 

You want to be able to show that you can afford what you say you can afford and be able to pay your auto bill on time. 

Make sure you Meet the Minimum Requirements

While dealerships and banks like Markosian Auto try to work with all potential buyers, you'll need to meet some minimum qualifications for pre-approval:

Some of those qualifications are:
Income - In most cases, and depending on the type of car you're looking for, you'll need at least $1,500 in pre-tax monthly income to qualify.
Down payment - Depending on your credit history, you'll need some type of down payment for the vehicle.
Residency - Proof of residency is also required, which can be in the form of a utility bill or apartment lease.
Debt to Income Ratio - Your deb to income ratio, including the car loan and any monthly credit card payments, should be less than 45 percent of your income. 

If all qualifications are met, you'll most likely be pre-approved for a loan in less than 24 hours.

Compare Rates and Begin Shopping

Once a pre-approval comes through, compare it with rates from other lenders to determine which one best suits your personal needs. 

Applying at a dealership can make this process much easier because their finance department will send your application to multiple lenders at once and will choose the best option for you.

It's important to remember that your interest rate will be determined by your credit history. The pre-approval process might seem daunting at first, but working with the right people can take alleviate stress and get you driving away in the car of your dreams within 24 hours.