Car Insurance

One thing that you will notice is that when you are searching for a used car, the auto insurance ads are not far behind. If you have never noticed this before keep your eyes open in the future. When it comes down to it, auto insurance companies know where to spend their advertising dollars. And one of the best places to do this is at online sites that offer used cars for sale. This way when somebody is searching for a used car, they can then go direct to an auto insurance site to get a quote for insurance. After all, nobody wants to buy a car if they cannot afford the auto insurance for it. By having the ability to research a used car and insurance at the same time, you will always be ahead of the game.

When it comes to buying auto insurance online for your used car, the best benefit is that you can get several quotes in a matter of minutes. In addition to being able to go to the individual auto insurance company’s websites, you can also search third party sites such as 2insure4less.com. Either way, you will have the ability to get an auto insurance rate quote for the used car that you just found.

As you can see the internet is changing the way that the auto industry works. Not only can you buy auto insurance online, but you can also find a used car at the same time. When you put these two things together, it is easier than ever before to get a car that you like, and be insured within a matter of minutes. Talk about convenience!

Not only will a new car cost you a lot of money, but at the same time the insurance on it will also run on the high side. In order to combat this there is one option that you can consider. How about buying a used car? When you buy used you will be able to save money on the car itself, as well as the insurance that you need to stay covered.

The reason that you can get a better auto insurance rate on a used car is quite simple. The less that your car is worth, the less it will take to cover it as far as insurance is concerned. If a used car is stolen or damaged upon repair your auto insurance company will not have to spend as much money to replace it as they would if it was new. Also, auto insurance companies can charge less for both collision and comprehensive coverage on a used car. In turn, this will mean that your monthly premium is lower as well.

As far as liability coverage is concerned, it is about the same cost on both new and used cars. After all, it does not matter what type of car you are driving if you cause injury or damage to somebody else or their property. If you are liable, you are liable.

Of course there are other details that go into how low your auto insurance rate will be with a used car. If you have a clean driving record you will not have to worry about much. But on the other side of things if you have had some accidents in the past and appear to be a risk, you are going to have to pay a high premium no matter what kind of car you are driving.

But overall, if you are trying to save money buying a used car may be the way to go. This can help you save money on the car itself as well as the insurance that you will need to pay every month.

There are numerous factors that determine a vehicle’s resale value, such as the make and model of the vehicle as well as its age, mileage and overall condition. Although a large portion of the resale value is predetermined, car owners can increase the value by taking proper care of the vehicle to keep it in its optimum condition.

The service specialists at Chrysler, Jeep and Dodge provide the following tips to help car owners prepare their vehicles for resale or trade-in:

* Have all ownership materials. The documentation that accompanied the vehicle when first purchased is a key component in resale value. Ownership materials include the warranty manual and owner’s manual. It also is important to have the spare key and, when applicable, the convertible top boot cover.

* Look under the hood and fill all fluids. These include brake fluid, power steering fluid and wiper fluid, along with oil, coolant and antifreeze.

* Do basic operational checks. First, check the dashboard to see if any warning lights are lit and address any indicated problems. Second, make sure all lights, locks, windows, wipers, turn signals, the trunk release, mirrors, seat belts, defrosters, the horn, air conditioning and heat systems and seat adjusters work. Accessories that were purchased with the vehicle, such as heated seats or a sunroof, should also be in working order.

* Conduct your own road test. Make sure the vehicle easily starts and the gear selector functions properly. Also, check steering performance and make sure that the cruise control, overdrive, gauges and sound system are in tip-top shape. Finally, check to see if the acceleration and brakes are operating effectively.

The solicitation of used vehicles has become an increasingly popular means of raising funds, especially for local or regional organizations. On the surface, it seems like a win-win situation for the donor and the charity: a convenient and easy way of disposing of an unwanted car while helping a cause. Before handing over those keys, however, there are some things that you should know.

A radio, television or newspaper promotion that welcomes car donations may mention a charity name that sounds like an organization working in your community, but that may not be the case. In fact, it may actually be located many states away. If you are not familiar with the charity, its location, and its programs take the time to check it out to avoid being disappointed later.

In addition, since so many organizations now accept donated cars, with a few calls and a little research, you can probably find a group that closely matches the needs or charitable concerns you would most like to support. Don’t confine your potential donated car recipients to the one or two charity promotions you recently heard in an advertisement.

Not long ago, only a handful of charities were known for accepting these types of donations. In recent years, these contribution requests seem to be everywhere. While this reflects the competition for the charitable dollar among a growing number of organizations, this growth is also due to the emergence of third-party brokers. These are for-profit firms that may sign up a number of different charity clients located in different parts of the country, solicit for donated cars on their behalf, sell and/or auction the cars, and then provide the charity with some portion of the dollars raised.

The donated car benefit to the charity can vary quite considerably depending on the arrangements. In some cases, the full amount of the donation goes to the organization if the charity sells the car itself or uses the vehicle to help fulfill some program services need (for example, delivering meals to homebound individuals). If a third-party broker is involved, however, the charity may receive only a percentage of the resale price of the car (such as less than 20%) or it may receive a portion of what is left after all the expenses have been paid by the broker, which can result in even smaller amounts going to the charitable cause.

In some situations, the amount the charity receives from a third-party broker has no relationship to the re-sale price of the used car. The organization may receive a flat fee (such as $100 per used vehicle) or a monthly agreed upon amount (such as $2,000 per month) that is not dependent on the total dollar value of sales incurred by the used car fund raising company. Finding out the nature of the charity’s financial relationship to the resale of the car is important, since a flat fee situation may result in making your used car donation ineligible for a tax deduction.

In order to take a tax deduction for donating a car, boat or other vehicle, there are a number of other things you should keep in mind. First verify that the recipient organization is tax exempt as a charity under section 501(c)(3) of the Internal Revenue Code. To verify that a charity is eligible to receive contributions deductible as charitable gifts, you can do one or more of the following. See if the organization is listed in IRS Publication 78, the Cumulative List of Organizations, which is likely to be available at most large public libraries. Visit the online version of IRS Publication 78 at www.irs.gov/search/eosearch.html. Or, ask the organization for a copy of its tax exempt status determination letter. (Note that churches are not required to apply for exempt status, and may not have such a letter or be included in the mentioned IRS publication. A car donation to a church, however, would still be deductible.)

If the organization is a charity, you can deduct only the fair market value of your car donation. In other words, this is the price the car would sell for today in its current condition. If the used car is not in good condition and needs significant repairs, don’t believe promotional promises that claim you will be able to get “top value” for your car donation based on one of the latest published guides that show the average regional prices for various used cars. If you are claiming that the car is worth $5,000 or more, you will need to get an official outside appraisal in order to substantiate the claimed value for the IRS.

Also, if you are claiming a car donation of $500 or above, you will need to complete and attach IRS Form 8283 to your tax return. For your records, you also will need proof that you made a charitable gift. The best evidence is to transfer the title of the car to the charity and keep a copy of this document. This title change also will help you avoid potential problems that can occur if the car is somehow parked illegally by the organization or is involved in an accident or other mishap before the charity is able to resell the vehicle.

Why all the fuss? For some households, a car donation may be the single largest charitable gift made during the year, or ever. This is all the more reason to make sure that the donation is being used for the greatest charitable benefit and that you can take full advantage of any potential tax deduction. The BBB Wise Giving Alliance welcomes readers to contact us about their experiences with car donations.

Vehicle Donation Checklist

* Verify that the recipient organization is tax exempt as a charity.
* Make sure the title of the car is transferred to the charity’s name and keep a copy of this record.
* Find out how the charity financially benefits from the resale of the car.
* For tax records, take a photo of the car and keep copies of current classified ads or guide value estimates for similar vehicles. (For more deductibility information, get a copy of IRS Publication 561, Determining the Value of Donated Property.)
* If the car is worth more than $5,000, get a written professional appraisal.
* Check out the charity with the Better Business Bureau serving your area.
* Find out if the charity is properly registered with the government agency in your state that regulates charities (usually a division of the state’s office of the attorney general).

The cost of gasoline is at an all time high, so many motorists are wondering what they can do to improve their gas mileage. What you spend at the pump is influenced in part by how you drive and what type of gasoline you use to fill your tank. Most gas stations offer three octane grades: regular (usually 87 octane), mid-grade (usually 89 octane) and premium (usually92 or 93). Octane ratings measure a gasoline’s ability to resist engine knock, a rattling or pinging sound that results from premature ignition of the compressed fuel-air mixture in one or more cylinders.

To improve your gas mileage, drivers should:

* Choose the right octane for your car. Check your owner’s manual to find out what octane your engine needs, then buy it. Resist the urge to buy higher octane gas for “premium” performance. Using a higher octane gasoline than your owner’s manual recommends offers absolutely no benefit. Premium gas also costs 15 to 20 cents per gallon more than regular gas. That can add up to $100 or more a year in extra costs. The only time you might want to switch to a higher octane level is if your car engine knocks when you use the recommended fuel.

* Keep your tires inflated to the proper levels. Properly inflated tires provide less road-resistance and can improve fuel efficiency. Check your owner’s manual for the guide to appropriate inflation levels.

* Keep your engine maintained according to manufacturer’s recommendations. Make sure that you change the oil and get tune-ups according to your owner’s manual.

* Drive within the posted speed limits.