Auto Loan Rates Vary Widely By State

The majority of drivers need the help of an auto loan to complete the purchase of a used car. Despite the fact that this financing option is relatively common, there are many variables that  influence the bottom line and cause uncertainty among motorists. One element to be considered is geography, as the state of residence and purchase can play a role in auto loans, along with various personal factors. 

Rates vary by state
According to a study from GoBankingRates.com, geography plays a major role in the auto loan rates you can expect to receive. In fact, the average interest rates differed greatly by state. Michigan boasted the lowest, with an average of 3.03 percent, while Rhode Island had the highest at 5.11 percent. Other states on the lower end of the spectrum included Pennsylvania and New York, which had rates of 3.84 and 3.51 percent, respectively.

New Jersey was a bit on the costly end of the spectrum, with an average interest rate of 4.47 percent – a fact that makes understanding all options even more vital. 

What you can do
No matter where you are located, there are steps you can take to get your auto loan interest rates as low as possible. Shop around for an auto loan before you check out used cars for sale. That way, you'll have a budget in mind as you research and test drive vehicles. 

If you're searching for an auction lot where you can find quality vehicles at affordable prices, look no further than NJ State Auto Auction. There you can browse through a wide array of CARFAX-certified automobiles, many of which are options that won't break your budget or can be purchased with the help of a car loan. 

Cost Of Used Cars Expected To Drop

As the quality of vehicles continue to improve, the supply of used cars for sale is getting better and better. This is good news for many drivers, as it means they can find pre-owned automobiles that boast some impressive features and top-notch performance, all without breaking the bank. However, as the quality goes up, so do prices. Although the sticker prices for these used cars are still much lower than new models, shoppers have to put in some work to find the best value. 

The NADA Used Car Guide predicts that the price of used cars that are between 4 and 10 years old will be 0.5 percent higher at the end of 2013 than they were the year before. At the same time, pre-owned vehicles that are under 3 years old will likely see average prices 1.5 percent lower than in 2012. Much of this has to do with the quality and reliability of older models, which are rapidly leveling the playing field in these areas when compared to more recent automobiles. 

"Historically speaking, reliability and unexpected repair cost concerns meant that vehicles over 5 years of age took a back seat to their younger, in-warranty counterparts in terms of demand," said Jonathan Banks, an analyst for the NADA Used Car Guide. "However, rapid advances in dependability over the past decade have changed consumer attitudes toward purchasing older vehicles." 

Drivers on the hunt for used cars that are both dependable and valuable are not without hope. The lot at New Jersey State Auto Auction is filled with CARFAX-certified cars, trucks and vans, and any of these pre-owned vehicles has the potential to be a great investment for any motorist. 

Expanding Car Loans Make Purchasing A Vehicle Easier Than Ever

Buying a used car is an expensive endeavor, so there is no shame in needing auto refinancing or a car loan to purchase a vehicle. In fact, more and more drivers are turning to loans to complete an investment, which is having a widespread effect on the auto industry. 

According to a recent study from the informational group Experian Automotive, more than 84 percent of car purchases made in the second quarter of 2013 involved a car loan. That represents a record high and a significant increase from the same time in 2012. 

While more prospective motorists are taking out loans to make a car purchase possible, they are also paying the debts back at a higher rate. The study found that the rate of loans ending in repossession dropped to 0.36 percent, which is a record low. As the number of delinquencies fall, banks are in a better position to offer more loans to subprime borrowers – a fact that should be welcome news for many consumers. 

"Loans have become more accessible in recent years, and we've seen a steady growth in the percentage of consumers financing their vehicles," said Melinda Zabritski, a senior director of automotive credit at Experian Automotive. "Obviously, this is good news for the auto industry, but it's also good news for consumers, because this, combined with the reduction we have seen in delinquencies, shows that they are feeling more confident in their ability to take on more debt and pay it off in a timely manner." 

If you're looking for a used car that won't break the bank, check out the selection at New Jersey State Auto Auction. The lot is filled with CARFAX-certified cars, trucks and vans, all of which can provide a solid choice for the value-conscious consumer. 

How To Inspect Used Cars Before Buying

Purchasing a used car can offer drivers a tremendous amount of savings, but they have to be sure they are getting enough quality to justify the investment. To do this properly, all buyers should conduct preliminary inspections of the vehicles they are interested in. While this may seem like a lot to handle, it can be very straightforward as long as motorists follow a few simple steps. 

The first thing prospective buyers should do is find the Vehicle Identification Number and make sure it matches the title to the car. Consider writing down the VIN, along with the mileage and asking price, so you can review the information later. 

Motorists should also take it upon themselves to conduct some preliminary checks of the vehicle. Examine the exterior to see if there are any window cracks, discolorations, dents or scratches. Tires should all be from the same, reputable brand and evenly worn. Additionally, knowledgeable buyers will want to look at the undercarriage and under the hood for leaks or corrosion. 

All future car buyers should test the interior features of the vehicle. Make sure all seats can be adjusted and moved, check power locks and windows, listen to the stereo and run the air conditioning and heating. The headlights, emergency brake, alarm system and windshield wipers are other areas that also should be checked. 

If all of this seems like too much, consider having a third party inspect the vehicle. Another option is running a vehicle history report to see if the automobile has been involved in any accidents that may have led to miscellaneous damage. 

For a wide selection of CARFAX-certified cars, trucks and vans, head to NJ State Auto Auction. Many of the pre-owned vehicles at this auction lot offer great value for drivers, with impressive quality and affordable prices as well as great financing options available to all. 

How To Protect A Used Car From Rust

Many drivers are looking to extend the life of their car, and an easy way to do that is by taking little steps to make sure the vehicle is functioning at a high level. This includes preventing rust from building up on the exterior of a vehicle, which can have a widespread affect on the appearance and the performance of an automobile. Rust, which forms when water comes into prolonged contact with metal, can cause damage to many aspects of a car, and stopping the problem before it starts can allow you to get more use out of your ride. 

Washing and waxing a vehicle frequently is an easy way to prevent rust. This can get rid of potentially harmful debris while also creating a coating that prevents liquid from affecting the metal. During this process, you should be sure to examine the surface for nicks in the paint that leave the metal exposed. If possible, use touch-up paint to patch these areas and protect the frame from exposure. 

Drivers should be particularly careful about the threat of rust during the winter. Salt used to melt snow and create traction on icy roads can be harmful to a vehicle, so it is essential to regularly clean residue off a car. 

The selection of pre-owned vehicles at New Jersey State Auto Auction may not have rust build up, but it's up to you to keep them that way. You can take care of some of the maintenance on a used car yourself, but for other concerns, you may want to consider taking the vehicle to the Total Car Care Center at NJ State Auto Auction. The garage caters to the public and is capable of handling whatever issues you may have. 

Young Drivers Open To Any Auto Brand

It seems as though many automakers are striving to make their offerings sleek, sophisticated and loaded with state-of-the-art features. Despite these efforts, not many brands are sticking out to young drivers – the very market they are striving to attract. That can be good news for many automakers and dealers, as prospective car buyers are open to investing in almost any brand.

The J.D. Power 2013 New Autoshopper Study looked at how members of Generation Y go about purchasing a car. According to the study, more than half of Gen Y shoppers are willing to look into options from any brand. They then begin narrowing down their options based on the research they collect about manufacturers and available models. 

"Automotive manufacturers have a great opportunity to influence these buyers during their shopping process, particularly since so many of them begin the process fairly open minded," said Arianne Walker, a senior director at J.D. Power. "Additionally, the digital presence of the brand through mobile advertising … may be a great way to reach Gen Y buyers, since we see almost half use a smartphone during the shopping process." 

In fact, members of Gen Y are using all sorts of technology to find an automobile that fits their needs. About 79 percent used the Internet to research what types of vehicles could work for them, with many accessing multiple websites to get professional opinions before they head to car lots. 

Luckily for buyers, NJ State Auto Auction had a wide variety of brands available on the auction lot. With an impressive range of CARFAX-certified cars, trucks and vans, drivers can find any type of used vehicle they may be looking for at a price they can afford. 

Car Shoppers Focus On A Few Key Factors

When it comes to shopping around for a used car, every driver is looking for something different. A few motorists are focused on the driving performance, while others may be drawn to impressive safety features or a sleek exterior. In general, many prospective buyers are looking for a combination of these top factors, and a recent study from the NADA Used Car Guide attempted to find just what the most attractive qualities in a car purchase are. 

According to the survey, the overall quality and dependability of a vehicle is considered to be the most important aspect of a car purchase by more than 23 percent of shoppers. That is well ahead of fuel economy, which took second place with more than 14 percent of the vote despite being the runaway winner in last year's poll. Many drivers are placing less emphasis on mileage now that gas prices are falling back into an acceptable range. 

"While higher gasoline prices and stiffer federal regulations have raised the profile of fuel economy over the past few years, the survey results clearly indicate that car and light-truck shoppers are looking for a trouble-free ownership experience above all else," said Jonathan Banks, an auto analyst for the NADA Used Car Guide. 

Other factors that played a role in the purchase process included the brand, vehicle design, power and performance, and safety. On the opposite end of the spectrum are extra features like navigation systems or driver-assist technologies. Compared to some of the aforementioned characteristics, these features were not considered terribly important. 

No matter what motorists are looking for, they can peruse the top-notch options at the New Jersey State Auto Auction. The auction lot is loaded with CARFAX-certified cars, trucks and vans, allowing drivers to select the ride that suits their needs and has all of the qualities they are looking for. 

Traffic Congestion Gets Worse Across The US

No one likes getting caught in traffic. Unfortunately for many drivers across the U.S., it's looking like that prospect is unavoidable. The most recent INRIX Gridlock Index found that traffic in June increased 8 percent compared to the same time last year. It's the third straight month traffic has increased.  

The influx of traffic is largely due to an improved economy, which led to more jobs and more employees heading to work. In the country's 100 most populated metro areas, where much of this economic growth took place, drivers are finding themselves stuck in traffic for 7 percent longer than in 2012. 

"Last year at this time we saw a 19 percent year-over-year decrease in traffic congestion levels," said Bryan Mistele, CEO of INRIX. "Yet we turned a corner in December. Aside from a slight pullback in March, we've seen higher levels of consumer spending and employment lead to dramatically higher levels of gridlock on our roads nationwide." 

While the surge of traffic on the roads may be a good sign for the national economy, it's not so great for drivers. Luckily, there are a few things motorists can do to make sure they stay safe and comfortable behind the wheel, regardless of how many people are driving around them. Getting air conditioning and the HVAC system checked out is essential for staying relaxed in a car, and motorists should also make sure their brakes are in top condition and can handle the stop-and-go style often found in heavy traffic. 

If you think your car has an issue that needs to be addressed or it's simply ready for a tune up, head to NJ State Auto Auction. The garage there caters to the public and is capable of handling any problems that may pop up. 

Decline in Used Car Sales Could Benefit Buyers

The used car market is seeing a slight decline in sales, which could create ideal conditions for buyers on a budget. When the economy took a turn for the worse a few years ago, many drivers turned to used cars or held on to their current rides in an effort to save money, and this resulted in fewer used vehicles that sometimes cost more than their new counterparts. As conditions have improved, numerous car owners have turned back to the new car segment, putting less of a strain on the supply of used cars. This has given the used car market some breathing room, as prices have come down and inventories have grown.

According to a recent Edmunds.com report, used car sales fell 3.4 percent in the first six months of 2013 compared to the first half of 2012. With less of a demand for pre-owned models, dealers will likely be lowering prices to reach their sales quotas, making this an excellent time to begin the search for your next ride.

It is important to note that, while overall sales may have fallen, franchise dealerships and certified, pre-owned sales have improved 6 and 12.5 percent, respectively. This means drivers will want to check out other options, such as New Jersey State Auto Auction. The dealership, located in Jersey City, is open to the public and has more than four football fields worth of used cars, trucks and SUVs. Every model on the lot is backed by a Carfax report, so you'll know exactly what you're buying before you finalize the sale. You can also get approved for an auto loan in minutes, as NJ State Auto partners with a number of major lenders to help get you behind the wheel of the car you need regardless of your credit history.

Watch Out For Flood Damage In Used Cars

There are many things to consider when shopping around for a used car. In addition to important aspects like fuel economy, driving performance and safety features, you also have to be aware of a vehicle's history. This is especially important when you consider the number of flood-damaged cars on the roads. According to a new report from Carfax, there are more than 212,000 vehicles classified as flood damaged currently on the roads, despite the fact that many of these automobiles were thought to be ruined beyond long-term repair. 

Nearly two-thirds of these flood-damaged vehicles are confined to 10 states, including New Jersey, New York and Pennsylvania. Many of these vehicles may have suffered damage from Superstorm Sandy, and were given a short-term fix before being sold to unsuspecting drivers. If left untreated, the issues present in these cars could pose a major concern for motorists, but there are a few things these individuals can do to protect themselves. 

"Flood cars a volatile mixture of water, metal and electricity," said Larry Gamache, a communications director at Carfax. "Once a car is ravaged by water, the mechanical, electrical or safety systems can fail at any time. There's also the health risk, as mold and bacteria permeate the vents and soft parts of the interior. Know what you're putting you and your family into before laying down your hard-earned money. Start with a Carfax Vehicle History Report and thorough inspection by a trusted mechanic." 

To make the car search easier, head to an auction lot where the options are Carfax-certified. You can find just that at New Jersey State Auto Auction, which has a wide selection of pre-owned cars, trucks and vans that are more than capable of meeting your driving needs.