How to Find Deals Amidst Spiking Car Prices

Many Americans received incredible deals on new vehicles thanks to the government’s Cash of Clunkers program. On the other hand, if you purchased a car last month you probably paid more than you should have.

Consumer prices for new cars increased 1.6% in October, the biggest increase since May 1981 according to the Department of Labor. Used car buyers were worse off paying 3.4% more than the previous month. Fortunately, smart car buyers can still find bargains between now and the end of the year.

• Though 2009 inventory may be low, dealers are still likely to be offering special incentives to make room for 2010 models.
• Shop low demand vehicle styles such as mid-size cars and large trucks.
• Skip the mall on Black Friday, dealerships are likely to offer big incentives to reach end-of-the-month sales quotes and keep sales numbers up over the holidays.
• Consider end-of-design cycle models, more buyers will be waiting for the updated version leaving you big discounts on the old.
• Look to Ford, Nissan and Toyota, all offering higher than average discounts. For example Ford is currently offering 0% APR financing with $1,000 cash back. Nissan is offering $2,000 cash back on the Sentra. If you’re looking to lease Toyota is offering many low cost offers expiring the end of the month.

Most importantly, shop around. Despite current high prices there are deals to be found. Request price quotes, compare models, and research available rebates and incentives.

10 Most Unreliable Cars of 2009

Unexpected repairs are a nightmare for any new car buyer. After investing thousands in a new vehicle the last thing you should be burdened with are repair bills. Fortunately we can tell you which cars to avoid. Consumer Reports recently released their 2009 Annual Car Reliability Survey, using this and five-year repair-cost data Forbes.com has complied a list of the 10 most unreliable cars to buy.

1. Volkswagen Touareg
    Consumer Reports Rating: 66
    Five-year Cost of Repairs: $907
2. Mercedes-Benz GL450
    Consumer Reports Rating: 77
    Five-year Cost of Repairs: $1,509
3. Lincoln MKS
    Consumer Reports Rating: 73
    Five-Year Cost of Repairs: $869
4. Jaguar XF
    Consumer Reports Rating: 72
    Five-Year Cost of Repairs: $1,301
5. GMC Canyon
    Consumer Reports Rating: 41
    Five-Year Cost of Repairs: $718
6. Ford F-250
    Consumer Reports Rating: 37
    Five-year Cost of Repairs: $969
7. Dodge Caravan
    Consumer Reports Rating: 60
    Five-year Cost of Repairs: $807
8. Chrysler Town & Country
    Consumer Reports Rating: 64
    Five-year Cost of Repairs: $807
9. Chrysler Sebring Convertible
    Consumer Reports Rating: 45
    Five-year Cost of Repairs: $770
10. Chevrolet Colorado
    Consumer Reports Rating: 41
    Five-year Cost of Repairs: $798

The car with the best Consumer Reports reliability rating was the Honda Insight, followed by numerous Toyota, Honda, and Nissan models.

Five Easy Steps to Finding the Right Insurance - Even if You Drive a Bugatti Veyron

Eddie Griffin and the low-flying pelican have been all over the news for the past few days. Ever since Griffin drowned his Bugatti Veyron in a Texas lagoon after being startled by the bird. The pelican got away unscathed but the $2 million Bugatti died a slow death according to The Galveston County Daily News.

What kind of insurance would the owner of a Bugatti Veyron get? Liability, collusion, or comprehensive? Does driving your car into a lagoon classify as flood damage? Of course none of this really matters to us, your average car driver. What does matter is finding the right insurance for you.

If you own a car in the U.S. you must have insurance. How much you pay depends on your age, driving record, where you live, vehicle type and age. As well as the kind of coverage you require. Here are a few simple steps for finding the right insurance for your car.

1. Determine what kind of coverage you need (consider state minimums).
2. Request multiple quotes for insurance providers.
3. Compare quotes, then call winning providers asking for discounts or special offers.
4. Make sure the insurance company is reputable check your state's insurance departments and JD Power’s consumer satisfaction surveys.
5. Read the fine print before you sign, don’t be afraid to ask questions.

Once you find good insurance coverage it’s important to maintain your driving record in order to keep costs at a minimum.

Japanese Demand for the Prius Continues

For the sixth months straight the Toyota Prius has been the #1 selling car in Japan. Like the U.S. Cash for Clunkers program, Japan has been offering tax breaks and government subsidies for the purchase of environmentally friendly vehicles. This increase in demand has boosted Toyota’s profits after three consecutive losing quarters.

With numerous green vehicles on the market, what is it that makes the Toyota Prius so enticing to Japanese car buyers?

• Efficiency - The Toyota Prius gets up to 51 mpg. Gas prices in Japan may be at a 4 year low, but they still average over $4.00 USD a gallon.

• Pricing - Fighting to compete with the Honda Insight, Toyota has lowered Prius prices in Japan to around $19,000. Slightly less than the still affordable U.S. starting price of $22,400.

• Reliability - Long known for dependability, Toyota scored the highest in vehicle satisfaction for reliability in recent AutoPacific and IntelliChoice studies.

• Safety - The IIHS awarded the 2009 Prius top scores of “Good” on all tests.

As hybrid interest in the U.S. continues to heat up, it will be interesting to see if American car buyers follow suit. Do you have a favorite hybrid? If so why?

An Industry 1st, Ford Unveils Inflatable Seat Belts

In a press release yesterday, Ford announced the 2011 Ford Explorer will be equipped with back seat belt-mounted air bags. According to Ford, they are the first carmaker to mass produce this safety feature. The inflatable belts are designed to protect children and the elderly who are at a higher risk for head and neck injuries.

The seat belt is designed to inflate on impact within 40 milliseconds using cold compressed gas. Standard air bags use a heat-generating chemical reaction to inflate at a rapid rate, which would have been dangerous as the air bag is held tight against the occupant's body. Instead the belt air bags inflate slowly (if you can call 40 milliseconds slow) and only reach surrounding temperatures.

Ford chose the Explore due to its popularity with families, but aims to include the feature in additional models in the future. This advancement is likely to increase Ford’s hold on industry safety ratings. Currently the automaker has more 5-star U.S government and IIHS safety ratings than any other competitor.

Why the New Taurus is Key to Ford’s Success

Ford Motor Company has taken full advantage of it’s fumbling competitors over the summer, reporting a third quarter profit of $997 million according the New York Times. Ford’s profit gains were due in large part to its new Ford Taurus sedan which increased sales 141% over last year. What is it about the new Taurus that has attracted car buyers interest?

Of course we could attribute it to the lack of competition, but that would be cutting the new Taurus short. In fact, the Taurus is a sedan built for American drivers. Big and comfortable it bridges the gap between the traditional family sedan and luxury cars. It offers a quiet, smooth drive with a powerful V-6 engine.

Ford designers created a more assertive stance for the new Taurus, toughening up the traditional family car design. The interior, though simple, is spacious and well crafted, with thoughtful extras to improve driver and passenger comfort. The list of new tech features for the Taurus is so long I won’t begin to list them here, but be sure they’ll have you feeling like you’re driving an intelligent automobile.

The Ford Taurus is an excellent example of Ford’s understanding of what American drivers want. On top of it all, a starting MSRP around $25,000 makes it easy to see why smart buyers are choosing the Taurus.