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After you refinance your car, you’re done, right? Well, sort of. While refinancing your car loan is super easy, you want to make sure all of your i’s are dotted and all of your t’s are crossed. So let’s talk about refinancing and what you need to do after your car loan is refinancedHere’s what to do after you refinance your auto loan (and why you should refinance your car in the first place).What steps should you take after refinancing your car loan?After your car loan is refinanced, be sure to take the following steps.Step One: Keep Paying Your Original LoanYou want to keep making payments on your original loan until you are sure that your new lender has paid off your old loan. If you overpay on your old loan, they will refund you the difference (just be sure to keep track of what payments you have made). It’s always better to overpay rather than underpay, so continue until it is clear that all of the paperwork is completed.Step Two: Make Your Final PaymentDepending on who you refinance with, you may need to make the final payment to your old lender. Your new lender might handle this directly, just be sure that the original loan gets paid off in full.Step Three: Start Paying Your New LoanThe next step is to start making payments on your new loan. Setting up for autopay can help ensure that you make on time payments. Step Four: Check Your Credit ScoreWhen all is said and done, it’s a good idea to check on your credit score. Refinancing your car loan will cause a dip in your credit score, but it should only last a few months. But keeping an eye on your score is always a good idea.Why do people refinance auto loans?There are a few reasons why people may choose to refinance their car loans. But the main reason people refinance is to save money. Refinancing can get you a lower car loan APRWhen you refinance your car loan, you get to start fresh with a new car loan. That means a new car loan APR. There are a few reasons why you may qualify for a lower car loan APR:Their credit score has improvedThe market rates have improvedTheir debt to income ratio has improvedIf any of these apply to you, there is a good chance you may be able to secure a lower car loan APR, which can save you hundreds (if not thousands) of dollars.Refinancing allows you to change your repayment planIf you are looking to change your repayment plan, refinancing your car loan is the perfect way to do so. Lengthening your repayment term will reduce your monthly payments significantly (although you will end up paying more over the life of the loan since you will be paying interest for a longer time). Shortening your repayment term will increase your monthly payments but it will save you a lot of money in the long term. Depending on your situation, shortening or lengthening your repayment period might be a good idea.Refinancing allows you to add or remove a cosigner There are a number of reasons why you may have a cosigner on your loan. Maybe you bought a shared car with a loved one, or maybe you just needed their good credit score to give you an edge. But you are not able to simply remove a cosigner from an existing loan if your circumstances change. You see, lenders take a lot of factors into account when determining the best car loan APR to offer. And if there are two people cosigning they will look at both of their credit scores and financial histories. If part of that changes, the likelihood of repayment changes (in the eyes of the lender, anyway). Therefore refinancing is the only option to change this situation.On the other hand you may wish to add a cosigner to your loan. If a loved one has a better credit score than you they may be able to help you secure a better car loan APR. Or if you want to help a loved one build credit, adding them as a cosigner is a great way to do that. But whatever the reason is, refinancing is the best way to add or remove a cosigner.When can you refinance a car loan?You can refinance a car loan at any time. And you can refinance more than one time. But there are times when it makes more sense than others. Here are our top tips for when to refinance your car loan.Wait six months to a yearExperts recommend waiting six months to a year before refinancing a car loan. This will give your credit score some time to rebound before you start looking for a new car loan. It will also give you time to make full, consistent, on time payments on your existing loan, which will also help ensure you get the best rates possible. Wait until you will be offered a better APRIf you know that your credit score has not improved or that market rates have not improved, you may not be able to refinance effectively. While you can still refinance to change your repayment period or to add/remove a cosigner, it’s best to take the time to ensure you will get the best rates and terms possible. So before you refinance, take the following steps:Request a copy of your credit report and review for errorsMake it a priority to make consistent, full, on time payments to all of your lendersEnroll in autopay to ensure you don’t miss paymentsRequest higher credit limits to improve your credit utilization ratioDon’t wait until the end of your loanRefinancing will save you less and less money as time goes on. The closer you are to the end of your loan term, the less benefits you will see from refinancing. Refinancing when there are at least two years left on your loan will help maximize your savings.Those are the steps to take after you refinance your loan.Refinancing has a lot of benefits, so it’s worth pursuing if you suspect you might be overpaying. When all is said and done you can save a lot of money, but it’s important to follow up to be sure that your original loan gets paid off and that your credit score stays in good shape.Refinancing your car loan is especially easy when you use a company that specializes in car loan refinance, like Auto Approve. Contact us today to get started!GET A QUOTE IN 60 SECONDS

Fall is one of the best times to enjoy a getaway on your bike. The crisp fall air is a welcomed change from the heat of summer and the leaves are changing color to create the perfect scenic backdrop. No matter where you live in the contiguous United States there is a beautiful fall motorcycle adventure awaiting your tires. So take one (or a few) weekend rides before parking your bike for the winter and check out these top road trips for leaf peeping!Here are our favorite fall motorcycle road trips to see the fall foliage (no matter where you live!)NortheastIt’s hard to beat the northeast in the fall. After all, who doesn’t imagine rolling Vermont hills speckled with orange and yellow leaves when they think of fall? And a motorcycle trip to the Northeast is the perfect way to truly enjoy all that autumn has to offer. Moosehead Lake, MEMoosehead Lake is Maine’s largest lake, and the second largest lake in all of New England. Located in the northwestern part of the state, it offers beautiful views year round, but in the fall it is pretty unbeatable. Ride up to the Attean Overlook to see all of Moose River Valley and stop at one of the lakeside towns such as Greenville or Rockwood to grab a bite to eat or stay the night. Coastal Route 1, METake a ride up Coastal Route 1 on the other side of the state to see the Atlantic coast in fall. From the Canadian border at Calais you can drive down to see all of the lighthouses and seascapes while the leaves change colors. There are tons of quiet villages to visit, but you will never be bored driving down the coastline and seeing all that the coast has to offer.US Route 7, VTVermont is at its best in the fall, and a perfect way to see it all is to take a drive up US Route 7. It weaves from Green Mountain State Forest up to Burlington and is full of gorgeous views, small towns, and roadside attractions. And with so many parks and covered bridges along the way, you are sure to take in some gorgeous fall scenes.Route 666, PAPennsylvania has some beautiful regions, and fall is the perfect time to enjoy the scenery. Route 666 (also referred to as Route 666-One Hell of a Ride!) is in the northwest part of the state in the Allegheny Mountains. Full of twists and turns, it’s a fun ride as well as a scenic one, full of natural rock formations, babbling brooks, and beautiful views. While the route is only about 30 miles, there are tons of other routes and towns nearby that you can enjoy, so it’s well worth the trip. SoutheastThe Fall in the southeast might be a little warmer than up north, but it is just as full of beautiful scenic rides. There are countless mountains and national forests in the south that can be enjoyed year round but are especially beautiful in the fall months.Blue Ridge Parkway, NC & VAThe Blue Ridge Parkway is lovingly referred to as “America’s Favorite Drive”, and with good reason. This 469 mile road runs from The Great Smoky Mountains in North Carolina to Shenandoah National Park in Virginia. In the nearly 500 miles of this stretch you can see the highest mountain peak in the eastern United States (Mount Mitchell), the deepest gorge east of the Grand Canyon (Linville Gorge), and the highest waterfall east of the Rockies (Whitewater Falls). And there is no better time to visit than in the fall when the leaves are changing.Tail of the Dragon (Deal’s Gap),TN & NCDeals Gap runs along the Great Smoky Mountains on the North Carolina and Tennessee border. Also known as The Tail of the Dragon, the road is 11 miles of twists and turns that take you through a scenic wonderland of fall foliage. With over 318 curves and turns with names such as Copperhead Corner and Brake or Bust Bend, it is perfect for any thrill-seeking motorcycle enthusiast. Blue Ridge Mountains, GAGeorgia has some stunning fall drives, but the Blue Ridge Mountains are definitely at the top of the list. From the Russell Brasstown Scenic Byway in northern Georgia you can ride through the Blue Ridge Mountains and along the Chattahoochee River. There are a number of great small towns on the way, including Helen and Clayton, that you can stop at on your way to Brasstown Bald. Brasstown Bald is the highest point in Georgia, offering stunning views of the state.MidwestThe midwest transforms itself in the fall as the temperatures start to drop. From the tip of Michigan down to the scenic byways of Kansas, it’s hard to go wrong with a midwest tour of fall.Tunnel of Trees, MIMichigan in the fall is simply beautiful, especially if you start out near Lake Michigan. One of the best features of this area is the Tunnel of Trees, part of the M-119. This 20 mile stretch runs on a bluff overlooking Lake Michigan, and has some sharp twists and turns that make it a fun ride as well as a scenic one. Continue on Lake Michigan’s northeastern shores to visit some small fishing towns, lighthouses, and beautiful coves.Shawnee Forest Country, ILLeaf peepers from everywhere flock to Route 127 between Murphysboro and Jonesboro during the fall months. Located along the Shawnee National Forest, it is a beautiful motorcycle ride with rolling hills and lots of beautiful trees and scenes. Surrounded by dense forests, it is the perfect place to see the leaves change colors. You can round out your trip with apple picking, or by heading to one of the local wineries or breweries. Kettle Moraine Scenic Drive, WIKettle Moraine is a beautifully unique region in Wisconsin that really shines in the fall. The area is highly glaciated, meaning it was formed by glaciers millions of years ago (it’s even part of the Ice Age National Scenic Trail). Because of this, it has a hilly terrain and lots of glacial landforms, making it a distinctive and fun ride for any motorcycle rider. The incredible fall foliage only makes it that much better.WestNo matter where you are on the west coast, it’s pretty beautiful in the fall months. You are guaranteed to find a beautiful leaf peeping drive in any of the western states. Columbia River Gorge, ORThe Columbia River Gorge begins in Portland and runs to the Columbia River, separating Oregon and Washington. It has been shaped by geological events over the course of time, and while the river is at sea level, cliff sides run as high as 4000 feet on each side. With countless twists and turns, the Historic Columbia River Highway is perfect for any motorcycle lover. Waterfalls, fall colors, and gorgeous cliffsides make this a perfect fall riding destination.Crested Butte, COCrested Butte has the largest aspen grove in the United States, making it a beautiful fall road trip destination. Located in the Rocky Mountains of Colorado, Crested Butte is famous for its stunning alpine lakes and wildflower meadows. A motorcycle trip on The West Elk Loop Scenic and Historic Byway is the perfect way to celebrate fall, with a stop in town to stroll Elk Avenue and see this historic Colorado mining town.Eastern Sierras, CAThe Eastern Sierras have so much to offer in the autumn months. This region contains parts of Yosemite National Park and Death Valley National Park making it an amazing destination year round. Take your motorcycle on a ride from Lundy Lake to Mono Lake to see the best that this area has to offer, from waterfalls and alpine lakes to beautiful displays of willows, aspens, and cottonwoods.Those are our favorite leaf peeping motorcycle trips to take in the fall.The fall is one of the best times to enjoy your motorcycle. There are so many routes to take, just be sure to check the local guides to see the best time to see everything in all of its glory. While early October may be best for certain regions, late November may be better for other regions.Fall is also a great time to check in on your finances and make sure you aren’t overpaying on your motorcycle payments. If any of the following apply to you, you might be eligible for a lower monthly motorcycle payment:Your credit score has improved since your initial financingThe market rates have decreased since your initial financingYour debt to income ratio has decreased since your initial financingIf you are overpaying on your motorcycle payments, Auto Approve is here to help. We have relationships with lenders across the country and can secure you the best refinancing rates possible. Spend more time enjoying the fall scenery and less time worrying about payments.GET A QUOTE IN 60 SECONDS

Riding a motorcycle is tons of fun, but paying to fix it? Not so much. Enter motorcycle protection plans, which can help you pay for costly repairs and give you some peace of mind. While some people swear by protection plans, others avoid them like the plague. So how do you know if it’s worth it to get a motorcycle protection plan? Here’s everything you need to know about motorcycle protection plans and how you can decide if getting one is worth it.What is a motorcycle protection plan?When you purchase a new motorcycle it will most likely come with a manufacturer’s warranty. These warranties are guarantees from the company that if something should go wrong with their product they will pay for a repair or replacement. Companies will typically cover mechanical and electrical components that are faulty through no fault of your own. These components can include:EngineGearboxElectrical systemShaft Drive UnitWarranties cover most failures that aren’t a result of wear and tear. They will not cover things that naturally wear and need to be replaced, such as brake pads. Motorcycle warranty coverage will vary drastically from policy to policy, so it’s important to read the fine print and know exactly what is covered.Motorcycle protection plans are different from motorcycle warranties. Protection plans are purchased separately and can work as coverage on top of your warranty or can take over when your manufacturer’s warranty expires. Just like manufacturer warranties, motorcycle protection plans vary a great deal in what they cover.While car warranties typically last 3 years or 36,000 miles, motorcycle warranties are often much shorter in duration, usually only lasting one year. This is one reason a motorcycle protection plan is a good idea–it can give you protection for much longer. What are the pros of getting a motorcycle protection plan?While a motorcycle protection plan may not be worth it for everyone, it can be worth it for some people. A motorcycle protection plan might be worth it if any of the following apply to you.You aren’t comfortable working on your own bike.Older motorcycles are pretty straightforward to fix. Working on your motorcycle used to be part of the culture of owning a bike, but that has shifted a bit in the past few years. Nowadays bikes are much more sophisticated and high tech, so when something goes wrong they can be much more complicated to repair. Even diagnosing a problem can mean a trip to the bike shop. But if you have a repair plan, you can get a diagnosis and repair at no cost to you.You plan to put a lot of miles on your bike.The more you ride, the more likely it is that your bike will need some serious repairs down the road. So if you take long rides on your bike and rack up the miles, a plan might be worth it. If your bike is used and already has a lot of miles on it, a protection plan is also a good idea.It can save you money.If you cannot work on your motorcycle yourself for one reason or another, you will need to take your bike in every time you have an issue. This can add up to a lot of money after a few repairs. Most shops charge $75-$100 per hour of labor, depending on where you live and what type of bike you have. This rate can quickly increase to $125-$150 per hour if you have a more rare or expensive bike. Extended warranties will cover these repairs for you, saving you money and hassle.You have a bike that is high maintenance and tends to have issues.The more high performance a bike is, the more you can expect to pay on repairs. Specialty labor tends to be more expensive as well as the specialty parts they require. An extended warranty can help you prepare for these costly repairs.You don’t have a lot saved up for emergencies.An emergency fund is a necessary part of any budget.  After all, emergencies are unexpected and leave you little time for creative problem solving, so we highly recommend that everyone prioritize getting a solid emergency fund up and running.But if your fund was recently sucked dry, a major repair on your bike could really set you back financially and cause a big problem for you. Instead, you can add on a small monthly payment that can cover the unexpected and give you a lot more peace of mind.There are other perks.Depending on the details of your motorcycle protection plan, there may be other perks. For example, when you get a motorcycle protection plan through Auto Approve as part of a motorcycle refinance, the following perks are available to you:Courtesy towing. Towing costs are an added expense that no one wants to pay. But Auto Approve will cover this under your protection plan.24/7 roadside assistance. If you break down, help is just one phone call away. Rental car reimbursement. If your bike is your main ride, a breakdown can really cramp your style. You can easily get stuck with hundreds of dollars in rental car costs. But with Auto Approve these costs are reimbursed to you up to $50 per day.In addition to those perks, a protection plan with Auto Approve will cover repairs with any ASE-certified mechanic. This way you know that the repairs are done the right way. Auto Approve also allows you to build your protection plan into your financing so everything is in one low payment. This makes it convenient as well as affordable.What are the cons of getting a motorcycle protection plan?While a protection plan will absolutely make sense for a lot of riders out there, it will not make sense for everyone. Here are some of the cons of motorcycle protection plans.There’s a chance you won’t get your money’s worth.With any extended warranty you run the risk of not getting your money’s worth. While you don’t want something to go wrong with your bike, you certainly want to feel like any money you are paying towards your protection plan is saving you from more costly repairs. This is a valid concern, but in general it’s better to be prepared for the unexpected rather than get blindsided with a costly repair bill.It can be a commitment.Most protection plans will ask you to commit for a few years. And while some protection plans are transferable, not all of them are. If you are unsure if you will be keeping your bike (or just don’t like the obligation of a contract) a motorcycle protection plan might not be right for you.Is it worth it to get a motorcycle protection plan?The value of a motorcycle protection plan will vary a lot from person to person. Maybe it sounds like a great idea to you, or maybe it seems like a waste of money. But in general if you answer yes to any of the following questions, a motorcycle protection plan might be a great idea for you.Does your motorcycle have a reputation of needing significant repairs?Do you not have the time or inclination to work on your motorcycle yourself?Have you voided the warranty by making changes to your bike?Is your bike used? Does it have high mileage?Do you plan to keep your bike beyond the factory warranty expiration?Do you put more than 8,000 miles per year on your bike?If you have a motorcycle, you probably know how much time and money they can cost. A motorcycle protection plan is an easy way to prepare for the unexpected and give you a little more peace of mind.The good news is that motorcycle protection plans aren’t that expensive. And if you bundle it with your motorcycle payments, they are even more affordable. Let’s face it: you are probably overpaying on your motorcycle payments every month. But if you refinance your motorcycle with Auto Approve, we can save you hundreds (if not thousands!) of dollars per year. Add a motorcycle protection plan to that and you will have lower monthly payments, added protection, and peace of mind.That’s everything you should know about motorcycle protection plans.Getting a motorcycle protection plan can help you save money on costly repairs and get ahead of any emergencies. And when you refinance your motorcycle loan with Auto Approve, you can bundle your protection plan with your loan so you will have just one low monthly payment. But you don’t need to take our word for it. With a 96% would recommend rating on LendingTree and a 4.7 out of 5 review on TrustPilot, you know our customers are happy with their results. Customers report saving hundreds–even thousands–of dollars by refinancing their loans with Auto Approve. So don’t wait! Get your free quote today and start saving money!GET A QUOTE IN 60 SECONDS

The automotive industry is ever-changing and is constantly evolving to keep up with the world around us. Advancements in connectivity, autonomous driving, and fuel storage all are shaping the way we think about transportation. So what exactly are the top automotive trends?Let’s take a look at the latest trends in the automotive industry.Advanced Driver Assistance SystemsAs technology becomes more and more advanced, it can be used to help keep drivers safe on the road. Advanced Driver Assistance Systems (ADAS) are systems that can help drivers detect accidents and assist in driving and parking functions. There are a lot of different ADAS systems, including:Lane keep assistAutomatic lightingBlind spot detectionAdaptive cruise controlLane departure warningsReverse brake assistForward collision avoidanceCross traffic alertsThese systems rely on innovative technology including the use of software, ultrasound sensors, lidar, and radar. As these systems become more and more advanced, they will be used in autonomous, self driving vehicles. But for now they are being used in many new car models and are becoming increasingly standard in base models. About one third of the cars sold in the US, China, Japan, and Europe have ADAS features.Self Driving CarsClosely connected to the concept of ADAS features is the increased push for self driving cars. ADAS features are divided into six categories to describe the level of autonomy of the car. The categories are as follows:Level 0, No Driving Automation. The car can provide information to the driver but cannot control the car. This may include features like parking assist, lane departure warnings, and rear-cross traffic alerts.Level 1, Driving Assistance. The car can take control over one functionality. This may include adaptive cruise control or emergency brake assist.Level 2, Partial Driving Automation. The car can take over multiple functionalities. This may include highway assist and autonomous parking.Level 3, Conditional Driving Automation. The car can make informed decisions but the driver is still required to be alert and present to manually take over.Level 4, High Driving Automation. The car can make informed decisions and intervene should something go wrong. A driver can choose to manually override. Level 5, Full Driving Automation. The car will fully drive itself without the need of a driver. These cars will not have steering wheels or gas pedals, they will chauffeur people around independently.Level 5 automation is the goal of many car makers, but most cars are still around level 2 or 3. Certain car manufacturers including Volvo are working on level 4 automation, although local legislation will dictate how these cars can operate in their jurisdictions.The future of cars is self driving and autonomous, and these advances are being made today.Improved ConnectivityAs our wireless infrastructure improves there is a push in the automotive community to have more connected cars. There are seemingly endless possibilities to what improved connectivity means for the future of cars. Not only are cars being connected to other devices within the car, such as the driver’s phone and smartwatch, but they are connected to the internet at large. Currently, improved connectivity is being used in the following ways:Send vehicle health reportsGet real time directionsWarn of issues with the carIntervene to prevent a breakdownThis type of technology is quickly developing and improvements in connectivity are a major trend in 2022 automotive technology.Human Machine InterfaceHuman Machine Interfaces, or HMIs, provide an interactive experience for drivers and passengers. While we use HMIs everyday (your touchscreen and keyboard are just two examples), HMIs are constantly evolving in the automotive world. From dashboard touchscreen displays to voice recognition to augmented reality, carmakers are pushing boundaries on what HMIs can be used for and how they can make the driving experience better.Increased Usage of Electric Fuel CellsFuel cell electric vehicles (FCEVs) are quickly becoming the most popular trend for electric vehicles. Fuel cells generate energy through electrochemical combustion as opposed to combustion. Hydrogen and oxygen are combined to generate electricity. Fuel cells have been proven to be more efficient than internal combustion engines and produce only water as a byproduct. This makes them more environmentally friendly and less prone to breaking down. Additionally, they have more instantaneous torque and provide smoother, more consistent power.Many countries are pushing this new wave of electric vehicles, including the United States, Japan, China, Germany, and South Korea. This is because electric vehicles release 54% fewer CO2 emissions than traditional gas cars (even the newest vehicles). In the United States today there are over 1.2 million electric vehicles, and this number is expected to grow to nearly 20 million by the year 2030.Car Subscription ServicesThere are currently five automakers that are rolling out subscription features for their cars– Audi, BMW, Cadillac, Porsche, and Tesla. These subscription services require owners to pay to use or unlock certain features of the car. Owners will have a monthly or yearly fee to use features such as voice recognition and driving assistance.While subscription models are nothing new–after all, don’t we all have Netflix?–subscription models for cars open a whole can of questions and concerns.Automakers want you to be paying customers for life. By switching to a subscription model, they will ensure that you will be a paying customer even after your car is paid off. On the plus side, this model can incentivize automakers to stay up to date on software updates and help owners keep their current cars for longer.But this also raises concerns over safety and fair treatment of consumers. Consumer advocates worry that a charge for safety features will price owners out of safety features, making the cars less safe overall. Because of this, there is a push to ensure that all subscription features are convenience features, and that certain features become base level across the board. These base level features would ideally include automatic emergency braking, forward collision warning, and blind spot warning.But until legislature is put in place to restrict or standardize the subscription model, we can expect subscription models to become more and more commonplace.Those are the latest trends in the automotive industry.The automotive industry is quickly changing and evolving to keep up with technology. And while it’s amazing to see how much is changing, one thing is constant: people will always need to save money on their car loans.If you are overpaying on your monthly car payment (and you probably are) then get in touch with Auto Approve today! Refinancing your car loan with Auto Approve can save you hundreds of dollars a month–so don’t wait, get started today!GET A QUOTE IN 60 SECONDS

Memorial Day is just around the corner, and we all know what that means: summer is almost here! Which also means that summer vacation is on everyone’s minds. But with the cost of everything creeping higher and higher thanks to recent inflation, the cost of summer vacation is also on everyone’s minds. So today we are talking about how you can free up some of your hard earned money and use it to relax.Here are our top seven tips to free up some money for your summer vacation.Tip #1: Create A Vacation Savings Account and Firm Vacation BudgetPlanning for your summer activities is the key to success. Creating a separate account that is just for your vacation spending can help ensure you have enough funds for whatever your vacation plans are. First, decide on the basics of your vacation: the what, the where, and the when. Then do your research. Set aside a few hours a week to do research and make sure you have a good sense of the costs of your desired vacation. And always add a few hundred dollars as a buffer. Remember: emergencies happen on vacations as well.Now that you know how much your vacation will cost, you can create your savings goal.Modify your existing budget to include your vacation savings account. (You have an existing budget, right? If not, be sure to create one using our tips here). Make sure your vacation savings are separate from your rainy day fund – you never want to sacrifice your emergency fund for some fun in the sun. Based on the time you have until your vacation, you can determine how much money to set aside every week to ensure you have enough saved by the time your vacation rolls around.Be sure to budget for the following for any vacations:Round trip travel expensesLodgingLocal transportationMealsActivities Souvenirs/ extra spending moneyCreating a budget for your vacation is key to making sure you have the necessary funds to enjoy your vacation without sacrificing your financial wellbeing.Tip #2: Edit Your SpendingGo through your personal budget carefully and see what you can edit out. Are there subscription services you don’t use? Cancel them. Do you buy brand names at the grocery store? Try switching to generic. Do you use coupons? Go online to find deals on your favorite products.Here are a few other tips to cut your spending:Use store rewards cards for extra savingsCook at home more oftenCombine trips out when possible to avoid extra mileage (and extra gas)Find a cheaper cell phone planShop second handReduce your utility use (such as electricity and water)Ditch your cable plan or satellite dishThese are all small changes that can result in big savings. Get creative when looking at your budget and look for other ways to cut costs and in turn save for your summer vacation.Tip #3: Set Up An Automatic Transfer To Your SavingsOnce you have your vacation savings account set up, you know how much money you need to save. Adjust your direct deposit to allocate some of your paycheck to your vacation fund. Even if it’s just a small amount of your paycheck, it can add up over the weeks and months.Tip #4: Refinance Your Car LoanRefinancing your car loan is a great way to free up some money for your summer vacation. You can save money by:Refinancing to a lower car loan APR. If our credit score has improved since your initial car loan, there’s a good chance you may qualify for a lower car loan APR. You may also qualify for a better APR if the market rates are lower than they were when you initially got your car loan (and since we are still seeing historic lows for car loan rates, the market rates are most likely lower).Shortening your repayment period. By shortening your repayment period, you will pay less interest overall in the life of your loan. Your monthly payments will increase, but you will be saving money overall.Lengthening your repayment period. By lengthening your repayment period, you will decrease your monthly payments. You will end up paying more money over the life of your loan, but you will save money in the short term, money that you can put towards your summer vacation fund.If refinancing your car sounds like a good option for you, the experts at Auto Approve can help you get started! We have relationships with lenders across the country and can secure you the best car refinance deals possible. Tip #5: Count Your PenniesLiterally! Saving all of your change may seem old fashioned, but saving up your change can result in some real money. Whether it’s your childhood piggybank or a jar on your dresser, have a spot where you can keep all of your loose change and exchange it at your bank before your vacation.Tip #6: Book Ahead Of TimeIf your vacation involves airfare and hotels, be sure to look for reservations well ahead of time. The earlier you book your flights and hotel, the better deals you will secure (and the more options you will have!) To get the best deals on flights, you can set up an alert on Google Flights to tell you when the airfares are the cheapest. Flying on a Tuesday, Wednesday, or Saturday will usually get you the best rates, so try to be flexible with your travel dates to secure the best deals. To get the best deals on hotels, you can use lodging search engines like Hotels.com or Kayak.com to get the lowest rates.Tip #7: Reserve “Unexpected” Money For Your VacationWhile tax refunds and job bonuses aren’t exactly “unexpected”, they are pools of income that most people do not typically have allocated for certain things. Use these funds to pay for the vacation you’ve always wanted. Those are our top tips for saving money and having your best summer to date.Summer is just around the corner which means it's crunch time when it comes to financing our big plans. We hope these tips can help you loosen up some space in your budget so you can fully enjoy the sun and fun the summer brings!Refinancing your car loan is a great way to save hundreds (if not thousands!) of dollars per year, so be sure to contact Auto Approve today to start saving. Just think of the amazing vacation you could pay for simply by refinancing your car! So don’t wait – get your free quote today!GET A QUOTE IN 60 SECONDS

Inflation has been a hot topic of conversation lately, and for good reason. Inflation is the highest it’s been in nearly four decades, and it’s affecting every part of our day to day lives.Today’s inflation is exacerbating many people’s money issues, causing more and more strain on many household budgets and leaving many on the hunt for ways to save money. But what exactly is inflation, and why is it rearing its ugly head now?Today we are talking all about inflation – what it is, what causes it, and how you can protect your money.What is Inflation?Inflation is the increase in the price of goods over a period of time. It is natural and can be a good thing – to a certain extent. Economists believe that a little inflation signifies a healthy economy with healthy supply and demand. If consumers believe prices will rise slightly, they are more apt to spend their money at present. There is no cut and dry rule for what constitutes healthy inflation, but economists and policymakers generally accept that 2% inflation is acceptable.When inflation gets out of hand and starts exceeding the 2% mark, that’s when the economy takes more of a hit. Our current inflation rate is around 8%, quadruple what it should be. So what caused this drastic change?What Causes Inflation?Inflation has many causes, some of which are more complex than others. In general, these causes can be broken down into two categories: demand pull inflation and cost push inflation.Demand Pull InflationDemand pull inflation is when the demand for items is greater than the supply of those items. When demand gets ahead of supply, prices increase as upward pressure is applied. Here are a few causes of demand pull inflation:Marketing and New Technology. When a new product or new tech comes out, the demand usually outweighs the supply, resulting in demand pull inflation.Growing Economy. When the economy is growing and expanding, unemployment tends to drop and people have more money in their pockets. This results in increased demand for items, and therefore an increase in prices.Government Regulations. Certain government regulations, such as tax subsidies, can cause demand to rise. If that demand is higher than the supply levels, demand pull inflation can occur.Expanded Money Supply. If the Fed prints money at a higher rate than the economy is growing, then more money is in circulation. Since there is more money in circulation for the same amount of goods and services, demand pull inflation occurs.Cost Push InflationCost push inflation occurs when the cost of materials and wages increases. These costs are then passed on to the consumer, resulting in inflation. Here are a few causes of cost push inflation:Supply chain issues. When materials are scarce, the cost of the materials will increase due to supply and demand. This is one of the main contributors of our current hyper-inflation. Rising wages. When wages increase, either as a result of government regulation or as a result of competition for workers, it results in a higher cost of production. It is important to note that this is a debated area in the world of economics. Many economists believe that higher wages across the nation will cause an increase in demand that can offset inflation.Government regulations. Certain government regulations, such as building regulations and tariffs, can cause the cost of production to rise, costs that are then passed on to consumers causing cost push inflation.Change in exchange rate. If the value of the U.S. dollar loses value in relation to foreign currency, imported goods become more expensive to buy. Since most products in the United States are imported, this causes cost push inflation.Our current drastic inflation is a result of both demand pull inflation and cost push inflation. Is Inflation Good or Bad?While it a little inflation, as mentioned above, can be ok, there are definitely some downsides. Let's look at the possible consequences of inflation.When inflation occurs, it causes a decline in purchasing power. This leads to a cycle where: Consumers spend less money → Businesses cut back on investing and hiring → Higher unemployment rates and reduced spending The bottom line is that when inflation occurs, it can be hard to get out from under. But what does this mean for you? Inflation has three major effects on consumers in their everyday lives:Products are more expensive. Prices rise due to increased wages, supply chain issues, and lowered exchange rates. Money does not stretch like it used to, putting more of a strain on everyone’s budgets.Loan interest rates increase. Interest rates increase in part because of the Fed’s response to inflation. To cool down the economy and curb inflation, the Fed decided to increase the fed funds rate earlier this year. This rate serves as a benchmark for interest rates nationwide. This makes it harder and more expensive for people to buy houses, cars, and get personal loans. Returns on savings decrease. Savings account interest rates hovers just above 0%, so any interest that you might accrue is quickly outpaced by inflation. In short, every dollar matters more than ever in times of inflation. What Should You Do When Inflation is High?Budgets are tighter and uncertainty runs rampant in times of inflation. But there are some steps you can take to protect yourself from the effects of inflation and make it through these financially difficult times.Make a Budget (and Stick to It)While it’s not the most exciting task in the world, making a budget is more important now than ever. A little planning can go a long way in keeping your spending (and saving) on track. Simply follow our easy guide to budgeting to create a realistic blueprint for your finances.Determine your income.Determine your expenses.Budget for your needs.Budget for your savings and rainy day fund.Budget for your wants.Review your budget on a monthly basis to maintain.For a more in depth guide on budgeting, you can check out our blog post here. Be sure to include a rainy day fund in your budget; experts recommend having six months worth of expenses tucked away. Rainy day funds are important, even when budgets are tight (in fact, they are even more important when money is tight because you are less likely to be able to handle a financial emergency).Pay Off Your DebtsNow is a great time to focus on paying off any variable debt that you have, such as credit card debts and personal loans. Since these rates can change based on other benchmarks, it’s a good idea to pay them off so that you are not subjected to increased rates. Include this as an item in your budget to ensure you prioritize it.Look into RefinancingHigher inflation rates tend to lead to higher interest rates. Car loans are not directly affected by the fed funds rate, and the competitive nature of the car loan industry makes the interest rates more stable than rates in other industries. But chances are the rates will increase over the next few years, as we are still experiencing incredibly low rates for refinancing.  Refinancing your car to a lower APR can save you a lot of money in the long run and help you stretch the money in your budget. How do you know if it’s worth it to refinance your car loan? Easy! If any of the following apply to you, it’s worth considering vehicle refinance.If you have a higher credit score than you did when you originally got your car loan.If the trending market rates are lower than they were when you originally got your car loan.If you want to stretch out your loan payments over a longer period of time.If you want to add or remove a cosigner from your car loan.Vehicle refinance can free up hundreds of dollars in your monthly budget. And in the era of hyper inflation, that can make a huge difference in your day to day life. If vehicle refinance sounds like a good idea to you, contact Auto Approve to get a free quote today!Consider Investing in BondsBonds are a great investment to make in an inflated market because they are guaranteed to keep pace with inflation. Since they are fixed rate investments, they are adjusted for inflation, making them a safe investment in uncertain times. Consider an I-bond, which can be cashed out after a year, or a Treasury Inflation-Protected Securities bond (TIPS), which can be cashed out after two years.And that’s everything you need to know about inflation.We hope these tips will help you navigate the waters of our inflated economy. Understanding how inflation works is important because it can help you protect your money and your investments. Inflation changes how we think about our money, making it a time to hold off on riskier investments and instead prioritize budgeting, saving, and cautious investing.Refinancing your car loan is a great way to save some of your hard earned cash. If rates have dropped since you initially took out your car loan (and they probably have), now is a great time to consider refinancing. Get in touch with one of our refinance experts at Auto Approve today to start saving today!GET A QUOTE IN 60 SECONDS

Credit scores always seem like a bit of a mystery. How are they calculated? Why do they seem to randomly increase or decrease?That's why, today we're talking all about FICO scores; how they are calculated, what causes them to change, and why having a good credit score is so important.And, perhaps most importantly, what we can do to increase our credit score. After all, whether you want to buy a house or refinance a car loan, your credit score matters.Let’s look at how FICO credit scores are calculated and how you can increase your score.A credit score is a number assigned to a person that indicates to lenders their capacity to repay a loan. The number is between 300–850 and indicates a consumer's creditworthiness. The higher the score, the more likely a person is deemed to pay back their loan. How Credit Scores are CalculatedCredit scores are calculated based on 5 different categories. Payment history (35%)Amounts owed (30%)Length of credit history (15%)Credit mix (10%)New credit (10%)All of these categories contribute to your credit score, but some have a lot more weight than others.Payment HistoryDo you pay your accounts on time? Do you miss payments? How many days past due are your bills? These are factors in your payment history score. If your payments are over 30 days late, your lenders will typically report it to the credit bureaus. You want to have a high proportion of on-time, full payments to make your payment history score high. Amounts OwedThe amounts owed category is a mix of how much money you owe, how much money you have available to you, and the number and types of accounts you have. An incredibly important factor in this is your credit utilization ratio, which is a ratio of how much money you owe compared to how much money you have available to you. This ratio should be less than 30%.Length of Credit HistoryThis category looks at how long you have had open and active accounts. How long have your credit accounts been established? How long has it been since you used certain accounts? The longer you have a history of having open accounts and consistently paying them, the higher your score will be.Credit MixYour credit mix looks at how diverse your accounts are. Healthy credit mixes can include installment loans, mortgages, car loans, credit cards and retail cards. Having a good mix will give you a better score.New CreditThis category looks at how many new accounts you have. If you have a short credit history with many new accounts, this will count against you. What Causes a Credit Score to Change?There are three credit bureaus that calculate credit scores: Experian, TransUnion or Equifax. Creditors typically send updates to these credit bureaus monthly. There are many things that can cause a credit score to change. A missed or late payment, paying off a debt, or closing an account are just a few things that can change your score. But sometimes it feels like you really haven’t done anything different and your score has fluctuated. No missed payments, no closed accounts. Well, the reality is that your score is always fluctuating. This is because if you are consistently paying your bills and consistently using your credit, things are going to shift one way or the other.Here are some of the most common reasons your credit score will fluctuate.You reduced your overall debt. If you have paid down some of your accounts, such as your mortgage or car loan, it reduces your overall debt. This will increase your score even though you haven’t necessarily done anything (besides paying your bills regularly).You reduced your borrowing limit. If you go for a long period of time without using one of your lines of credit, it could trigger the account credit limit to be lowered. This will increase your credit utilization ratio, which will have a negative effect on your score.You paid off a loan. Wait, isn’t that a good thing? Well yes and no. It’s great to have one less bill every month and one less headache, but when the loan is paid off, it affects many parts of your credit score. It will cause your credit mix to change, your overall debt to reduce, and your borrowing limit to reduce. Also, if you paid your account on time it will no longer factor into your score as heavily. Time has passed. Time simply passing will cause your score to change. If you are not keeping your accounts active, it will count against you. A negative event expired. If your house was foreclosed on or you had to declare bankruptcy, this appears on your credit report. And it stays for anywhere between 7 and 10 years, depending on the event. As time goes on, their impact is reduced, and eventually they will be wiped from your report.Identity theft. If there is a big swing in your credit report, it's possible that someone is using your credit to open unauthorized accounts. If you suspect this, request a copy of your credit report immediately and talk to the credit bureau.Why is Good Credit Important?So we know how credit scores are calculated, but why are they so important? The truth is good credit means a whole lot these days. Again, having a good credit score indicates to lenders that you are creditworthy and will pay back your debts. Having a good credit score can help with the following:Lenders will approve you for lower interest rates on credit cards and loansLenders will be more likely to approve youLenders will give you higher credit limitsInsurance companies will give you better insurance ratesLandlords will approve you for rentals more easily You will have more negotiating power for loans and accountsHow Can I Increase My Credit Score?If you want to increase your credit score, there are a number of things you can do in the long term and the short term. Make On Time PaymentsMaking consistent on time payments is the most effective way to increase your credit score. Remember, payment history makes up for 35% of our credit score, so this category is extra important as it carries the most weight. Try to set up for autopay if possible to ensure that you don’t miss a payment.Request Higher LimitsOftentimes credit cards will raise your limits automatically throughout the years. But it doesn’t hurt to ask for your limit to be raised. Raising your credit limit will raise your available credit and reduce your credit utilization score. This can score you some extra points on your score, as this part of your credit score accounts for 30% of your total score.Pay Down Debt StrategicallyYour credit utilization ratio looks at your overall debt compared to available credit, as well as your debt to available credit for each account. So if you have one account in particular that has a higher ratio, prioritize paying down that debt first.For example, say you have two credit cards. One has a limit of $20,000 and a balance of $5,000. The credit utilization ratio for this account is 25%. The other credit card has a limit of $10,000 and a balance of $3,500. The credit utilization ratio for this account is 35%. You should prioritize paying down the debt on the second card to reduce that credit utilization ratio.Check Your Credit Report and Dispute ErrorsYou should get in the habit of requesting your credit report three times per year. It is free to do so once per year from each of the three credit bureaus. When you get your report, look over everything carefully. Cross check your payment records and credit limits and make sure nothing is misreported. This will also help you catch any fraudulent activity that may be brewing.If you notice any issues or irregularities, report them to the credit bureaus immediately. They have 30 days to investigate and respond, so the sooner you report any issues, the better.Refinance Your Car LoanYou are probably wondering “does refinancing affect credit scores” – and the answer is yes. In fact, a great way to improve your credit score is to refinance your car loan. It will not instantly raise your credit score (on the contrary, the hard inquiry on your account will temporarily ding your score). But refinancing your car loan can help you out in the long run. Refinancing your car loan when market rates are low will help you secure a lower car loan APR. And this can save you lots of money every month, not to mention overall. It will ultimately free up more money every month so that you can pay off other debts and ensure that other payments will not be late. And that’s everything you need to know about credit scores.Put in the time and effort to make sure you have a good credit score. It will pay off tenfold in the long run. If you have a good credit score but want to bump it up to the next level, consider refinancing your car with Auto Approve. We can help you save loads of money every month, and who couldn’t use some extra cash?GET A QUOTE IN 60 SECONDS

A few years ago, you decided to lease a car. You weren’t quite ready to commit to buying a car, and the more affordable leasing payments made much more sense. But now it’s three years later and your lease is up. And you can’t bear to part with your car for one reason or another. What do you do now?Today we’re talking all about car lease purchase – the whys, the whens, and the hows.Here's What Happens When You Lease A CarFirst up, how do car leases work?Think of your car lease as a long term rental. You do not own the car, but instead pay to use the car. The company that owns the car will draw up a lease agreement that outlines all of the conditions of your lease. Car leases will typically outline the following:The initial payment. Think of this as your first and last month’s rent. This will include your first month’s payment plus any drive-off fees that the leasing company charges. They will also deduct any rebates or trade-in credits that may be offered.The lease length. How long will you use the car for? This typically ranges between three and five years, but it is possible to get shorter or longer leases.The capitalized cost. The capitalized cost (also called the cap cost) is the selling price of the vehicle. Your monthly payments will be based on this amount.The lease residual value. The residual value is the amount that the car will be worth after depreciation. When you lease, you are essentially paying for the depreciation of the car during your use. The money factor. This is essentially the interest on the lease. Instead of being expressed as a percentage, it is expressed as a very small decimal. Multiply the number by 2400 to get an approximation of what the APR on the lease is.The monthly payments. The monthly payments will depend on the capitalized cost, the residual value, the money factor, and the length of the lease.Excessive use fees. All leases have limits to the amount of miles you can put on the car. Annual mileage limits are typically 10,000 miles, 12,000 miles, or 15,000. If you go over that mileage limit, you may face some hefty fees.Early termination fees. If you need to get out of your lease early, there will be fees to do so. Make sure you understand what you will be charged should this happen.The car lease buyout price. The cost to buy the car at the end of the lease should be outlined in your lease agreement.In addition to these nitty gritty details, there will be limitations and restrictions outlined in your lease agreement. These will vary greatly from lease to lease, but they will most likely include the following:Customization to the car. Since you don’t own the car, you cannot customize it however you would like. This means no custom paint job, no window tinting, no new stereo system. You must purchase the car to make it your own.Maintenance. You are responsible for the upkeep of the car. There will be a section of the lease that reviews exactly what you are responsible for maintaining. Oftentimes leases will cover routine maintenance, such as oil changes, and fix normal wear and tear issues. But this will vary from lease to lease. Excessive wear. Your car lease will outline what is considered normal wear and tear and what is considered excessive. If they deem there has been excessive wear and tear on your car, you may be responsible for extra fees.If you drove your car a lot during your lease and racked up excessive mileage fees and excessive wear and tear fees, it might make more sense to buy your car. Lease purchase can be a good move if you are facing thousands of dollars in fees.Can You End A Lease Early?If you’re wondering how to get out of a car lease early, there are a few different ways to do so.Early Lease TerminationIf you are unhappy in your lease and need to get out of it ASAP, you can simply terminate the lease. You will be responsible for whatever payments and fees are outlined in your lease agreement. The Consumer Leasing Act requires for all leasing companies to transparently list what fees and payments you are responsible for by terminating the lease early. The early termination fee will take into account how much time you have left on your lease. It may also include vehicle disposal fees, transfer fees, and taxes. And on top of this you will still be responsible for any past due payments, late fees, and parking tickets that may be outstanding. If you are contemplating early lease termination, you should call your leasing company to get an exact cost of termination. Because of how lease payments are structured, the earlier you terminate your lease, the more expensive it will be for you.Lease TransferAnother option to get out of a car lease early is to transfer the lease. This may not be permitted in your lease agreement, so be sure to check the fine print. If it is allowed, you will have to make sure that the new lessee meets the credit requirements of your lender. There are many companies that will match people looking to transfer their leases to people looking to take over the leases. Websites such as swapalease.com and leasetrader.com are great places to start.Lease BuyoutIn many cases, a car lease buyout is the best way to get out of a lease early. The cost to purchase your car early should be outlined in your lease agreement. There may be additional fees to end the lease, but it still might be worth it for you depending on why you are looking to end your lease. If you buy your car early and sell it privately, you might make out better financially. Should I Get Out of My Lease Early?There are pros and cons to ending a car lease early. If you have a change in life circumstances that make having a car difficult, you should do the math and see if ending your lease makes sense. But if it’s just a case of not liking your car as much as you thought you would, you might be best served to keep the lease until the end of your term.If you want to lease a car, do a lot of research ahead of time to make sure you will still want it in a few years. Choosing The Right Car For Lease If You Want To Buy LaterLeasing a car with the option to buy is a great way to get a new car with lower upfront monthly payments. The monthly payments will be significantly lower than if you purchased the car new from the beginning. But how do you pick the right car for lease?Know your budget. Be sure that you can handle the monthly payments on your lease so you do not get behind on payments.See what’s available. Look around to see what cars are available for lease. This may limit your options.Be sure to test drive. Leasing a car is a big commitment, so make sure you are 100% confident in your decision. Always test drive to make sure you like the feel of the car.Do even more research. Do other drivers like this car? What are common complaints? What about maintenance issues? What about maintenance issues down the road? Will the car still be worth something when the lease is over? Ask all of these questions and talk to anyone who might have the same car. When your lease ends, weigh your options carefully. Think about the condition of the car – is it still in good shape or does it have some battle scars? If the car isn’t in great shape you may not want it as much, but you may be liable for some hefty fees if you choose to give the car back.Determine what the market value of the car is and compare it to the buyout amount listed in your agreement. Is it still a good deal or did the car depreciate more than you anticipated, making it a bad investment?If you still love your car and decide it makes more sense to keep it than to give it back, you will need to secure financing as the next step. That’s where Auto Approve comes in. With competitive rates and a simplified buyout process, keeping your set of wheels has never been easier.And that's what you should know if you leased a car but want to buy now.If you’re interested in a car lease purchase, Auto Approve has you covered. Our agents are eager to keep you in the car you love, all while saving you money. Our passion is saving you money, so contact us today!GET A QUOTE IN 60 SECONDS

Emergencies are unpredictable, by nature, and none of us want to get caught off guard by a huge, unexpected expense.We have all heard how important it is to have a rainy day fund, but how much should you save, and how do you start saving?Here we will look at how much money you should save for emergencies and give you some tips on how you can build this into your budget.What is an emergency fund?An emergency fund is a separate bank account or savings account that will help offset any unexpected situations that pop up. Such emergencies might include buying a new car if your car suddenly stops working, fixing a leaking roof, or paying for unexpected medical expenses. An emergency fund might also be kept in case a person loses their job. What constitutes an emergency will vary greatly from person to person, so an emergency fund will be used differently by different people.But the goal of an emergency fund is always the same: it can help bail you out of a tight financial spot. How much should you budget for emergencies?Just as what constitutes an emergency will differ from person to person, so too will how much you should save. Emergency funds are often discussed as “how many months of expenses'' you should save. While the general rule of thumb is to save six months’ worth of expenses, this depends a good deal on your lifestyle and financial situation. Let’s look at some different scenarios:When you should save three to four months’ worth of expenses:If you are in a relatively stable position in your life and don’t have a lot of people financially dependent on you, saving three to four months’ worth of expenses will provide a good emergency fund. Consider saving this much if the following applies to you:You’re relatively young and healthy.You have a stable job, and if you lose your job you could easily find a new one.You do not have dependents (children or pets).You have a partner who is financially stable.You have little debt.If this sounds like you, aim to save for three to four months of expenses.When you should save six months’ worth of expenses:If you have a lot of expenses every month, or have dependents, you are better off saving closer to six months worth of expenses. Consider saving this much if the following applies to you:You have a lot of expenses (this could include a high mortgage, multiple loan payments, or high vehicle payment).You have dependents.Your job is not very stable, or if you lose your job you would have a difficult time finding another.You are the sole provider.You live in an area with a high cost of living.All of these factors mean that if you have an emergency expense, it might be a very costly one. Experts suggest saving closer to six months’ worth of expenses to give yourself a bigger cushion.When you should save one year’s worth of expenses:If you are older and still have a good amount of expenses, it is better to be safe than sorry and save a bit extra. Consider saving this much if the following applies to you:You are older or have underlying health conditions.You are nearing retirement.You have a highly specialized job.You are the sole provider to multiple dependents.Emergency expenses in this case might be pretty costly, so having a year’s worth of expenses will help offset any unforeseen costs and keep you from needing to worry about what could be coming around the bend.How do you determine your expenses?It is important to have a good grasp on what your living expenses are every month. You should always have a general idea of how much money comes into your household and leaves your household every month. Creating a budget is a great way to do this. If you need help starting your budget, check out our Beginner’s Guide to Budgeting. To calculate your expenses, start by figuring out the following:Your mortgage or rentYour utilities (electricity, gas, water, etc)Your car paymentsYour insurance paymentsYour loan paymentsYour groceriesYour medical bills and prescriptions Any other monthly expenses (subscriptions, vet bills, etc)When you add all of this up , you will have a pretty good idea of how much money goes out of your pocket every month. Depending on your goal, multiply this number by 3, 6, or 12 to determine your ideal emergency fund amount.How do I save for emergencies?You know how much you need to save, but how do you make that into a reality? Follow these steps to start saving for your emergency fund today.1.Set your savings goal. Calculate your expenses as described above and determine your savings goal. Having a specific goal in mind will help you stay on track.2.Create a budget. Determine all of your expenses for the month as well as all of your income, and look for some places where you can trim some fat. Are there subscriptions that you don’t use? Can you cut back on eating out or takeout? Comb through your budget for opportunities to save.Pro Tip: A great way to save money every month is to refinance your car. By refinancing to a lower rate, you can save hundreds of dollars that you can then invest in your emergency fund. And if you use Auto Approve, the process couldn’t be simpler. It's easy to get a quote today (no credit check required!) and see just how much money we can save you!3.Create an emergency fund within your budget. Start contributing to your emergency fund as if it is a bill you have to pay. Determine how much you can afford per month to set aside, whether it is $10 or $500. As long as you are routinely contributing to your fund it will eventually grow. If you come into extra money throughout the month (think tax returns, a bonus, extra tips, money from a side hustle, etc.) think about investing at least part of it in your emergency fund.4.Put it somewhere safe. It is important to keep your money in a secure place where it can ideally grow and earn interest of its own. Where should you keep your emergency fund?When we talk about emergency funds, we might think of cartoon characters keeping their money in a jar above the refrigerator marked “rainy day fund”. But in reality, we are talking about thousands upon thousands of dollars. So where is the safest and smartest place to keep this money? According to financial experts, here are the top four spots to keep your emergency funds:A high yield bank accountKeeping your emergency money in a high interest saving account is one of the easiest and safest ways to keep your money. It is easy to access when you need it in an emergency, and you may be eligible for a sign-on bonus when you open a new account.A money market accountMoney market accounts are similar to savings accounts, but banks are allowed to invest this money differently so they often offer higher interest rates. You can still easily access your money, but there are often some restrictions (for instance you cannot withdraw money more than six times per month). Additionally, these funds are not insured by the FDIC so you could lose money out of these accounts.A certificate of depositA certificate of deposit offers a guaranteed return at a fixed rate (for example they might offer 1.25% APY for 24 months). These guaranteed rates are usually higher than a savings account or money market account, but your money is tied up for the period of time to which you agree. This means that you may earn more money with this option, but you might not have access to the money when you need it most.A Roth IRAWhile a retirement fund might not immediately come to mind when you think of emergency savings, investing your emergency money in a Roth IRA might be a good move for you. If you invest your funds conservatively, you can make more money than with a traditional savings account. There is a higher risk here however of losing some of your money, so it is riskier than a traditional bank account.And that’s everything you should know about starting an emergency fund.While it is impossible to prepare yourself for everything life throws at you, you can certainly try to prepare. Preparing for the unexpected with an emergency fund is a great idea that everyone should consider.If you are trying to cut down on your monthly expenses to create an emergency fund, or just looking to save some money, consider refinancing your vehicle with Auto Approve. Our team will shop around to find you the best rates, making refinancing your car as easy as possible. And with a 96% would-recommend rating on Lending Tree, you know we have the testimonials to back it up. So what are you waiting for?GET A QUOTE IN 60 SECONDS

When you buy a new car, it usually comes with a factory warranty that protects your car for the first few years. But when the factory warranty expires, you are left to foot the bill on any repairs that your vehicle might need. This is why dealers will try to talk you into purchasing an extended warranty on your vehicle. But how exactly does an extended warranty work, and is it worth it?Let’s look at how extended warranties work and what you should consider if you are thinking about purchasing one.What is a factory warranty on a vehicle?A factory warranty is basic coverage that is offered by the manufacturer that will repair certain issues at no cost. What the warranty covers specifically will vary greatly depending on the manufacturer. Warranties have gotten much better in the past decade or so, and standard warranties usually cover powertrain issues and many bumper-to-bumper repairs. The powertrain warranty covers your engine and transmission if there are any defects that cause your engine to operate improperly. The bumper-to-bumper warranty covers most everything else on your vehicle, including air conditioning, on board computers, and navigation systems.The length of the standard warranty depends greatly on which manufacturer you buy from. The standard timeframe is 3 years or 36,000 miles, whichever comes first. Certain luxury brands however have longer warranties. General Motors offers five year/100,000 mile powertrain warranties, while Hyundai offers ten year/100,000 mile powertrain warranties.It is important to read your warranties very carefully to know exactly what is covered and what is not. Under federal law, manufacturers are required to cover emissions repairs up to eight years/80,000 miles. This covers catalytic converters as well as other emissions system parts. You should absolutely read the fine print of your factory warranty in your consideration of whether or not you need additional protection.What is an extended warranty on a vehicle?How exactly is an extended warranty different from a standard factory warranty? There are two types of extended warranties, those offered by manufacturers (also called OEMs, original equipment manufacturers), and those offered by third party vendors. OEM warranties will extend your coverage and work the same way that your standard factory warranty works. Depending on the manufacturer, they will either cover similar issues as your original warranty, or they might cover significantly less. Third party warranties are similar to OEM warranties, but with a few key differences. One of the major differences is how your repair bills get paid. For a factory repair, you will need to go to either a dealership or a dealer certified mechanic, and they will handle billing. For a third party warranty, you may need to pay for the repairs out of pocket, then get reimbursed later. A good extended auto warranty will pay the mechanic directly. The upside of third party warranties is that you do not need to use certified parts, which are usually much more expensive than the generic parts.How much do extended car warranties cost?The cost of an extended warranty varies widely based on coverage options you select as well as the make and model of your vehicle. A factory extended warranty can easily cost between $1000 and $3000 up front, and if that coverage is rolled into your auto loan, you will pay interest on that cost.What are the advantages of an extended auto warranty?So, is an extended warranty worth it? Here are the pros and cons of purchasing an extended warranty.Pro: You can drive your car for longer worry free.If you are planning on driving your car for longer than the factory warranty covers, it might be worth it to consider. Expensive repairs can hit unexpectedly, and an extended warranty will alleviate this. An extended warranty is like insurance. You don’t always need it, but when you do need it, it is extremely helpful.Pro: It can help you keep up-to-date with technology.In-car technology is amazing nowadays. But with all of the advanced features out there, it is very easy for technology to become obsolete or stop working properly. One Apple upgrade on your phone and suddenly your GoogleMaps doesn't connect properly. A new Android hits the market and suddenly the bluetooth doesn't sync quite right. Having an extended warranty will often cover software upgrades at no cost so that you can use the technology for longer.Pro: You can customize it to your needs.Extended warranties, especially third party vendor warranties, can be customized to fit what you would like covered. This can be helpful to reduce your monthly payments but still get coverage for common issues with your car. It is helpful to use sites like JD Power and Associates and Kelley Blue Book to see what some common repairs are on your particular vehicle, and try to get a warranty to cover those issues.Pro: You might get some added benefits.If you purchase an extended warranty through a third party vendor, you might get some additional perks such as roadside assistance, rental car benefits, and complimentary towing. This depends largely on who your provider is, but these extra perks might tip the scale for you if you are on the fence about getting an extended warranty.What are the disadvantages of an extended warranty?Con: Paying for a repair might cost less overall.It is impossible to say whether or not an extended warranty will cost less than simply getting the repairs. On average, extended warranties cost about $750 a year. If you get a three year extended warranty and nothing ever goes wrong with your car, you are out $2250 with nothing to show for it. When deciding on an extended warranty, you should consider how much you end up at the repair shop. If you are there often and there seems to always be something going wrong with your car, it might be worth it. Also consider your vehicle in general: do you have a car that’s known to be unreliable, and you’ve just been lucky up until now? These are all important things to consider. Again, look up common issues and possible repairs your car may need and consider how long you intend to drive your current vehicle. One pricey repair, again, could tip the balance – and the nice thing about an extended auto warranty is that you can plan for the cost of the warranty, so you don't have to worry about big surprises. Again, it's like insurance – if you just pay for it all year, it can feel like a waste, but if you end up needing it, you may be grateful you got it.Con: They don’t cover everything.Even if you customize your extended warranty to fit your needs, there are many things that are not covered by warranties. Many wear and tear items, including brakes, brake pads, and headlights aren’t covered by all warranties. It's important to find out what each warranty provider you're considering covers and compare and contrast plans.Con: They require proof of maintenanceMany warranties require proof of regular maintenance as well. If you regularly miss oil changes and tire rotations, there's a chance they will not cover certain repairs. If they believe it is something that regular maintenance could have prevented, they might give you a hard time about covering it. Additionally, if it is a factory extended warranty, you will need to go to a dealership or dealer certified mechanic to do any repairs.  This can be a strain if you live far from a dealer.Con: There may be either overlap in your protection or a gap in your protection.If the extended warranty’s coverage overlaps with your regular factory warranty, you will end up paying for a useless warranty for the overlap period, as the coverage is redundant. That's why not everyone opts for an extended auto warranty with a new car. However, if there's something in particular your regular warranty doesn't cover that you'd like covered, it may be worth shopping around for extended protection. Some extended warranty companies are more flexible than others.All that said, if you wait for your factory warranty to expire before purchasing an extended warranty, you will probably have to wait for coverage to kick in. Extended warranties do not cover pre-existing conditions, so they often have a waiting period. Typically you must wait 30 days or 1,000 miles before the warranty takes effect. So it's a double edged sword – you may want to try to start the extended warranty coverage as close to the time your manufacturer warranty ends.Con: You might have to pay a deductible.Certain extended warranty plans will charge you a deductible for each repair. Depending how your contract is worded, it is possible that you will have to pay a deductible for each time your vehicle is brought into the shop. This means that you could end up paying multiple deductibles for one repair. So read contracts closely and ask any agent you're working with about the details of the coverage you're being offered.Can you buy an extended warranty later?Yes, you can buy an extended warranty after you buy your new car. But if you purchase the extended warranty when you initially buy your new car, you can build the extended warranty into your loan payment. If you are not planning on financing it, you should definitely think about it and do some shopping around before agreeing to a dealership extended warranty.Should I get an extended warranty?There is no right answer for this question. If you are nervous about not having coverage and can afford the payments, it’s certainly worth looking into. Just make sure you do research on your particular vehicle to make an informed decision.That’s how extended warranties work on new cars.We hope this will help you make an informed decision about purchasing an extended warranty for your new car. 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