Autotrader offers new car buying tips

Other than a new home, a new car is one of the biggest purchases a person will ever make. In 2016, new car sales in the U.S. jumped 7 percent over last year, but are people prepared before heading to their local dealership? Purchasing a car is an important financial decision whether you are single, have a family, soon-to-be retired, or whether or not you’re planning to receive a big tax refund this year.

Autotrader released the results of its national consumer survey about the shopping habits and preferences of new car buyers as it relates to the test drive. According to the survey, 80 percent of new car shoppers would prefer a guide, checklist or tip sheet to prepare them before their test drive.

Here are some of the highlights from the report:

Taxes:

  • The majority (70%) of tax filers expect to get a refund

  • Among those expecting a refund, 47% plan to save the money, 35% plan to pay off credit card debt, and 27% plan to use it toward a car related expense.

  • Among those using their refund for a car related expense (n=102), Most (61%) are using it toward the purchase of a new or used car. 28% are using it for repair and only 10% are using it to pay off their existing car.

Test Drives:

  • 90% of buyers said that they test drove their vehicle before buying it.

  • 84% said test driving the vehicle they are considering is extremely important (97% said extremely or somewhat important)

  • Most (58%) only need one test drive with the vehicle before making a decision on it. [This varies a little from what we saw in our Car Buyer Journey research]

  • Over half (51%) said that they need less than 30 minutes to thoroughly test drive a vehicle. Only 2% said that they need the vehicle overnight/24 hours.

  • While only 13% included Electronics/infotainment in their Top 3 things that they look for on a test drive, this could be because those features are evaluated at the dealership and not on the actual test drive.

  • Salespeople are generally seen as helpful to have in the vehicle during the test drive (59% said it is very or somewhat helpful). Only 18% said it was somewhat or very unhelpful.

  • 64% said that the most helpful thing a salesperson could do during the test drive is to show the features and functionality of the vehicle.

  • 80% said a guide, checklist or tip sheet would be helpful for them.

 

When looking to purchase a new car, the test drive is considered one of the most influential parts of the decision making process. The problem? Most people take less than 30 minutes on a test drive, and they only take one test drive in the vehicle they’re planning on purchasing, which is not long enough to make an informed decision.

Autotrader also released a guide of helpful tips and other resources for new car shoppers, along with its annual list of “Must Test Drive Vehicles.”

2016 Must Test Drive Vehicles:

  • 2016 Chevrolet Malibu
  • 2016 Fiat 500X
  • 2016 Honda Civic
  • 2016 Kia Sedona
  • 2016 Lincoln MKC
  • 2016 Mercedes Benz GLC300
  • 2016 Nissan Titan XD
  • 2016 Subaru Legacy
  • 2016 Toyota Prius
  • 2016 Volvo XC90

 

Must Test Drive Tips

1.     Come prepared with people and stuff.

Your test drive should mimic closely the way you use your car in day-to-day driving, so you need to bring the people and items that typically ride with you. If you have a family, take them along. Try a child safety seat to see how it fits. Throw your golf bag in the trunk. See if your lanky teenager can sit comfortably in the backseat. If you’re single and typically drive alone, bring a friend. You’ll benefit from the help of a sidekick anyway.

2.     Don’t follow the usual route.

When you take a test drive with a dealership salesperson, it’s likely that the route won’t be very long. Nearly any salesperson will allow a longer test drive, if a shopper requests it, especially if they’re serious about making a sale. Make sure you test the road in your typical driving conditions—through neighborhoods, on the highway, and in rush hour traffic if your daily commute has you in tenuous stop-and-go traffic. And don’t forget to try driving it home, if possible, and parking it in your garage to see if it fits.

3.     Drive on rough roads.

One of the most important places to go on a test drive is on rough roads to find out how a car drives on harsh surfaces. It would be no fun to drive home in a new car and discover later that the ride is too jarring for you to handle.

4.     Drive on curvy roads.

After you’ve driven on a rough road and on the highway, your next stop should be a road with some curves. You’ll want to do this in order to feel the physics of the car. Is it too top-heavy? Do its motions make you carsick? And, of course, do you feel like the steering and handling is adequate for your needs? A curvy road is the best place to answer each of those questions.

5.     Try parking the car in various scenarios.

Many shoppers on a test drive forget a crucial aspect of driving that can be very stressful: parking. That’s why we strongly suggest that you take any vehicle and try to park it in different parking places like a crowded parking lot and even a parallel parking space. If you do, you might discover potential flaws with the car, such as a large turning radius or poor visibility. Of course, you also might find out that the car is easy to park, which can only be a good thing.

6.     Test the infotainment system and connect your phone.

The interface for making phone calls, answering texts and accessing the maps on your phone is probably the portion of the car you’ll interact with many times per day – second only to the steering wheel and seats. Make sure the pairing is easy, that the graphics are large enough to read at a glance. If at all possible, look for a system that is very easy to use like Chrysler’s Uconnect or either Apple CarPlay or Android Auto.

 

AAA: Cost to drive hit 6-year low

Annual cost to own and operate a vehicle falls to $8,558 in 2016

ORLANDO, Fla. (April 2016) – Due to falling gas prices, the annual cost to own and operate a vehicle in the United States has fallen to a six-year low of $8,558 according to AAA’s 2016 Your Driving Costs study. This year, a driver can expect to spend 57 cents for each mile driven, approximately $713 per month, to cover the fixed and variable costs associated with owning and operating a car.

“Thanks to lower gas prices, American drivers can expect to save hundreds of dollars in fuel costs in 2016,” said John Nielsen, AAA’s managing director of Automotive Engineering and Repair. “Fortunately, this annual savings more than offsets the moderate increases in maintenance, insurance, finance charges and other costs associated with owning and operating a vehicle.”

Based on 15,000 miles

mall Sedan  Medi. Sedan    Large Sedan    Sedan Avg.    SUV (4WD)    Minivan
Ann. Total Cost  $6,579    $8,604   $10,492    $8,558    $10,255    $9,262
Ann. Cost/Mile   $0.4386  $0.5736   $0.6994  $0.5705    $0.6837  $0.6175
Fuel: DOWN 24.62 percent to 8.45 cents per mile/$1,267.50 per year (-$414).

Compared to last year’s study, the average price of regular fuel fell more than 25 percent to $2.139 per gallon in the fourth quarter. At the same time, vehicle redesigns and improved powertrain technologies increased the average fuel economy of the sedans used in the study to 26.71 mpg.

Insurance: UP 9.60 percent to $1,222 per year (+$107).
Insurance rates vary widely with driver, driving habits, issuing company, geographical area and more. While AAA’s insurance cost estimates are based on low-risk drivers with good driving records, even this group has seen rates rise over the past few years. Rising costs are likely attributable to lower gas prices, which have resulted in more miles driven, greater numbers of collisions and higher insurance payouts.

Depreciation: UP 2.87 percent to $3,759 per year (+$105).
The single largest ownership expense, depreciation, rose for 2016 due to robust new-car sales and, therefore, increasing numbers of used and off-lease vehicles entering the marketplace. This reduces retained value and resale prices, thus increasing depreciation.

Maintenance: UP 3.33 percent to 5.28 cents per mile/$792 per year (+$25 per year).
While there is significant variation among individual vehicles, modest increases in vehicle maintenance are attributable to engines requiring more expensive semi- or full-synthetic motor oils, and increases in extended warranty pricing and shop labor rates.

A recent AAA survey found that 35 percent of Americans have skipped or delayed service or repairs that were recommended by a mechanic or specified by the factory maintenance schedule. According to AAA’s certified Approved Auto Repair shops, consumers that forget or ignore recommended maintenance ultimately pay higher repair costs.

License/Registration/Taxes: UP 3.31 percent to $687 per year (+$22).
License, registration and tax costs are impacted by vehicle sales prices and state/local tax rates. In addition to rising vehicle prices, many states, counties and cities have increased their fees related to vehicle purchasing, titling, registration and licensing.

Finance Charges:  UP 2.09 percent to $683 per year (+$14).
The average vehicle finance rate remained relatively unchanged in 2016. The modest dollar increase in finance charges is attributable to higher new car prices combined with increased tax, title, license and registration fees, which are typically rolled into the vehicle financing.

Tires: UP 2.04 percent to 1.00 cent per mile/$150 per year (+$3).
Due to the competitive and dynamic nature of the tire market, tire costs in 2016 are relatively unchanged, rising by just .02 cent per mile.

In addition to calculating the driving costs for sedans, AAA determined annual costs associated with both minivans and sport utility vehicles.  Owners of these vehicle types also benefit from lower driving costs in 2016, at $9,262 and $10,255 respectively.

“One-in-five Americans plan to purchase or lease a new vehicle in the next year, and many consumers may mistakenly believe minivans are more expensive to drive than a large sedan,” continued Nielsen. “With lower gas prices, these vehicles offer drivers the flexibility of transporting additional passengers and cargo while remaining more affordable to own and operate compared to a large sedan.”

AAA has published Your Driving Costs since 1950. That year, driving a car 10,000 miles per year cost 9 cents per mile, and gasoline sold for 27 cents per gallon.

The Your Driving Costs study employs a proprietary AAA methodology to analyze the cost to own and operate a vehicle in the United States. Variable operating costs considered in the study include fuel, maintenance and repair, and tires. Fixed ownership costs factored into the results include insurance, license and registration fees, taxes, depreciation and finance charges. Ownership costs are calculated based on the purchase of a new vehicle that is driven over five years and 75,000 miles. Your actual operating costs may vary. See AAA’s 2016 Your Driving Costs brochure for a list of vehicles and additional information on the underlying criteria used in the study.

And the 10 lowest rated cars are …..

BY GERRY MILES

There are the Razzies, the jazzies and many other names for things in the worst of categories that hold an unwanted place in the American desire to rank so many things.

Consumer Reports, which rates everything from dishwashers to xylophones it seems has released its lowest-rated cars in 10 categories with the overall lowest scores.

Their hope to avoid your purchasing a clunker to replace the one you’re trading away. To paraphrase their report, everything but these vehicles is a better choice.

The Overall Score offers a complete perspective on each model, combining road-test score, reliability, owner satisfaction, and safety, including government and insurance industry crash-test results.

Several of these vehicles are due for replacement this year, and are likely to be carrying significant incentives, or at least have some generous negotiating room. As the maxim goes, great deals are rarely found on great cars. In these cases, falling for a smooth sales pitch and a swell cash-back offer could lead you to suffering years of buyer’s remorse.

To quote the Consumer Reports release; “avoid one of the worst cars of 2016 and other subpar vehicles, check all of our tested vehicles. Better yet, skip right to our 10 Top Picks of 2016 to see the truly exemplary models.”

Remember forewarned is forearmed. Let the buyer beware.

The Lowest-Rated Cars in 10 Categories:
Lowest-Rated Subcompact: Mitsubishi Mirage
Lowest-Rated Compact: Fiat 500L
Lowest-Rated Midsized Sedan: Chrysler 200
Lowest-Rated Compact Luxury Car: Mercedes-Benz CLA250
Lowest-Rated Midsized Luxury Car: Lincoln MKS
Lowest-Rated Family SUV: Dodge Journey
Lowest-Rated Luxury Compact SUV: Land Rover Discovery Sport
Lowest-Rated Large Luxury SUV: Cadillac Escalade
Lowest-Rated Minivan: Chrysler Town & Country
Lowest-Rated Green Car: Mitsubishi i-MiEV

 

Kelley Blue Book study reveals ride-sharing, car-sharing services don’t threaten car buying

 KBB.com Finds Americans Not Ready to Give Up Freedom Associated with Vehicle Ownership

IRVINE, Calif., March 2016 – The results are in, and according to Kelley Blue Book, ride- and car-sharing is not an imminent threat to new-car buying and vehicle ownership, despite the growing number of services being offered to consumers.  This is just one of many interesting findings from the recent 2016 Kelley Blue Book Ride Sharing/Car Sharing Study, released today by KBB.com, the vehicle valuation and information source trusted and relied upon by both consumers and the automotive industry.

Commissioned by Kelley Blue Book and conducted by Vital Findings to understand the motivations behind ride-sharing and car-sharing usage, as well as opinions and behaviors surrounding current and future transportation, the survey found that these sharing platforms primarily are used as substitutes for taxis and traditional rental car companies, and have very limited impact on current or future vehicle ownership.  In fact, the expected transportation method of the majority of Americans that currently own or have access to a vehicle (74 percent) is to drive themselves in the next six months.  When asked what statements about owning or leasing a vehicle respondents agree with, 80 percent completely or somewhat agreed that owning or leasing a vehicle provides a sense of freedom and independence, followed by 62 percent that completely or somewhat agreed that owning or leasing a vehicle gives you a sense of pride/success.

Ride-sharing services, including Uber and Lyft, among others, use a Smartphone app for consumers to request and pay for a ride on demand from drivers who typically own the cars they drive.  On the other hand, car-sharing companies, such as Getaround, ZipCar and Car2Go, among others, provide consumers with the opportunity to borrow vehicles and drive themselves, using a Smartphone app to schedule, unlock and pay for borrowed vehicles.

“Ride- and car-sharing services are getting a lot of attention these days, and we wanted to better understand the current landscape of these app-fueled platforms and how they may impact both consumers and the auto industry moving forward,” said Karl Brauer, senior analyst for Kelley Blue Book. “While there are numerous benefits to ride sharing and car sharing, our data reveals that owning a car still reigns supreme, with reliability, safety and convenience all being major factors.”

Looking down the road, the field is relatively level for potential ride-sharing providers to enter the market with more than one-third of respondents (37 percent) giving the most consideration to companies with a ride-sharing app, followed closely by rental car companies (32 percent) and taxi/limo companies (26 percent).  In addition, 24 percent of those surveyed also would consider vehicle dealerships as a potential ride-sharing provider over vehicle manufacturers (16 percent) and individuals with a vehicle (15 percent).  Respondents were least likely (14 percent) to consider tech companies as potential ride-sharing providers.

Similar to ride-sharing, the opportunity for new car-sharing services to enter the market is fairly level, as traditional vehicle rental companies (36 percent), companies specifically created to provide vehicle-sharing (33 percent), and notably, vehicle dealerships (31 percent) were among the most considered car-sharing providers among respondents.

Sample of Additional Findings from Kelley Blue Book Ride Sharing/Car Sharing Study

  • Awareness Doesn’t Mean Use:  Nearly three-quarters of respondents (73 percent) are aware of ride sharing, but only 16 percent have actually used these services, with Millennials and city dwellers leading usage.  As for car sharing, 43 percent of respondents are aware, but only 7 percent use these services.
  • Still Planning to Buy or Lease:  Vehicle-sharing services are viewed as substitutes for taxis (41 percent) and rental cars (39 percent), with more than three-quarters (76 percent) of vehicle-sharing users reporting their intent to purchase or lease their own vehicle within the next two years.
  • Ownership Has Its Benefits:  According to respondents, vehicle ownership is more reliable (81 percent vs. 19 percent for ride sharing; 78 percent vs. 22 percent for car sharing), safer (80 percent vs. 20 percent for ride sharing; 80 percent vs. 20 percent for car sharing) and more convenient (74 percent vs. 26 percent for ride sharing; 75 percent vs. 25 for car sharing) than depending on sharing services.
  • Budget Is Primary Ownership Factor:  Among those surveyed who did not currently own or lease a vehicle, more than half of respondents (57 percent) name affordability, which also was the highest listed reason, as the main deterrent for not purchasing or leasing their own vehicles.  Only 5 percent listed utilizing ride sharing and 3 percent listed car sharing as a reason for not owning a vehicle in the future.
  • Safety First:  More than two-thirds of respondents (69 percent) believe that ride-sharing services are a great way to combat drunk driving; however, only 33 percent of those surveyed deemed ride-sharing to be safe  In fact, 48 percent stated they wouldn’t be comfortable riding alone with a ride-share driver.

The national survey reveals the responses from more than 1,900 U.S. residents between the ages of 18-64 years old, weighted to Census figures by age, gender and ethnicity that have a variety of residential and ownership patterns.

Dealers that embrace technology have better sales, sales experience: Survey

Porsche Ranks Highest among Luxury Brands; MINI Ranks Highest among Mass Market Brands for a Sixth Consecutive Year

The use of technology—i.e., tablets and computer displays—by dealers during the sales process can substantially improve customer satisfaction among new-vehicle buyers, according to the J.D. Power 2015 U.S. Sales Satisfaction Index (SSI) StudySM released today.

The study, now in its 29th year, measures satisfaction with the sales experience among new-vehicle buyers and rejecters—those who shop a dealership and purchase elsewhere. Buyer satisfaction is based on four factors: working out the deal (17%); salesperson (13%); delivery process (11%); and facility (10%). Rejecter satisfaction is based on five factors: salesperson (21%); fairness of price (8%); experience negotiating (8%); facility (7%); and variety of inventory (7%). Satisfaction is calculated on a 1,000-point scale. Overall sales satisfaction improves to 688 in 2015 from 686 in 2014.

Given an increasingly tech-savvy consumer, dealerships that integrate technology tools into their sales process deliver a superior customer experience. Dealers that fail to invest in consumer-facing technologies risk being trumped by competitors. According to the study, among both non-premium and premium buyers, use of tablets by sales personnel to perform such tasks as record customer vehicle needs, demonstrate vehicle features and display pricing information yields higher satisfaction with technology usage than when a tablet is not used (8.12 vs. 7.02 and 8.63 vs. 7.52, respectively, on a 10-point scale). Notably, handwritten price quotes have a negative impact on buyer satisfaction with technology usage, with a -0.55 point gap in satisfaction between non-premium buyers when this method is used and when it is not and a -0.45 gap between premium buyers.

Finance and insurance (F&I) products, such as extended warranties, pre-paid maintenance contracts and tire/road hazard protection are not only highly lucrative for dealers, but satisfaction is also higher among customers who are offered these options. For example, among non-premium owners, satisfaction is 46 points higher when a dealer offers them a pre-paid maintenance contract vs. when they do not (788 vs. 742, respectively), and among premium buyers the gap is 26 points (827 vs. 801). Moreover, when F&I product and pricing/payment options are presented on a computer or tablet screen, satisfaction is higher than when any other method is used, including printed materials, verbal quotes/descriptions and handwritten figures.

“With retail vehicle sales in the United States in 2015 forecast to reach 14.2 million units[1] and this positive momentum expected to carry into 2016, dealers face challenges in properly servicing a high volume of new-vehicle buyers who are increasingly tech savvy,” said Chris Sutton, vice president of the automotive retail practice at J.D. Power. “Dealerships should understand that customers want and trust technology and that it can enhance efficiencies. Dealers that disregard it may risk being left behind in 3-5 years. Customers are experiencing interesting uses of technology in many of their other retail transactions—and now expect this in auto.”

Gen Y[2]—the single most impactful generation on all markets due to numbers and purchase power—is among the buyers flocking to car lots and accounts for 29%1 of new-vehicle retail sales. Furthermore, average transaction prices for new vehicles exceed $30,000.1 “There is every incentive for dealers to use the most effective tools available to satisfy customers and build a relationship with them during the initial purchase process. This relationship should translate quickly into future service business. Implementing tools and processes that meet the needs of Gen Y will ultimately benefit all consumers,” said Sutton.

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Following are some of the key findings in this year’s study:

  • Sales Staff Remain Vital to Sales Experience:The most impactful sales satisfaction key performance indicator (KPI)—best practice—is interacting with a salesperson who understands the customer’s needs completely (+106 points). Such salespersons are good listeners, ask relevant questions and are able to deliver on customer requests. This KPI demonstrates that even with the growing prevalence of online communications and emphasis on an efficient transaction, the salesperson still plays a key role.
  • 5 of Top 10 KPIs Relate to Working Out the Deal:Among the most impactful KPIs are five that involve making customers feel comfortable (not pressured) and confident they are receiving the most transparent and up-front information to aid their decision-making while at the dealership. Delivering on these best practices improves satisfaction and builds loyalty and advocacy.
  • Gen Y Equally Interested in Safety and Protecting Vehicle Value as Other Generations:Among generational groups, Gen Y is as likely to purchase F&I products as other generations. For example, by generation, the following proportions of customers purchase tire/road hazard protection: Gen Y (21%); Gen X (21%); Boomer (20%); and Pre-Boomer (20%).

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Brand Sales Satisfaction Rankings

Porsche ranks highest in sales satisfaction among luxury brands, with a score of 752, improving by 14 points from 2014. For a sixth consecutive year, MINI ranks highest among mass market brands, with a score of 762, a 35-point increase from 2014.

The 2015 U.S. Sales Satisfaction Index (SSI) Study is based on responses from 27,831 buyers who purchased or leased their new vehicle in April or May 2015. The study is a comprehensive analysis of the new-vehicle purchase experience and measures customer satisfaction with the selling dealer (satisfaction among buyers). The study also measures satisfaction with brands and dealerships that were shopped but ultimately rejected in favor of the selling brand and dealership (satisfaction among rejecters), and was fielded between July and September 2015.

Learn more about the 2015 U.S. Sales Satisfaction Index (SSI) Study at http://www.jdpower.com/resource/us-sales-satisfaction-index-ssi-study

 

BMW, Toyota in top 10 of brand loyalty survey

 

MBLM_BrandIntimacy_2015_PR_Asset_v2

 

NEW YORK — Top ranked intimate brands outperform major financial indices in profit growth and revenue growth over the past 10 years, according to MBLM’s Brand Intimacy 2015 Report, which examines ultimate brand relationships.

From 2005 to 2014, intimate brands enjoy an average of five percent more revenue growth and 11 percent profit growth over the S&P 500. That translates to an average of $33 billion per year in average revenue for the top brands and more than $9 billion in average annual profit. Brand Intimacy delivers comparable performance to the Fortune 500 as well.

Examining this performance a little deeper, brands that achieve the highest levels of intimacy also enjoy greater price resilience. Consumers of these brands are five times more willing to pay 20 percent more.

This year’s report contains one of the most comprehensive rankings of brands based on emotion, analyzing the responses of 6,000 consumers and 52,000 brand evaluations across nine industries in the U.S., Mexico and UAE. MBLM’s reports and interactive Brand Ranking Tool showcase the performance of almost 400 brands, revealing the characteristics and intensity of the consumer bonds.

“Brand intimacy is a new benchmark for our times and the marketing challenges of today. This year’s findings confirm that the way to think about, build and measure brands can lead to untapped business potential,” stated Mario Natarelli, MBLM’s managing partner.

The report revealed that in the U.S., Apple took first place followed by BMW and Toyota placing second and third, respectively. The top 10 is rounded out by: Amazon, Harley-Davidson, Disney, Coca-Cola, Whole Foods, GMC and Samsung.

Other notable findings include:

  • Apple ranked #1 in the U.S., Mexico and the UAE
  • The automotive industry is the strongest performing of the nine industries analyzed in the U.S., Mexico and the UAE

In the U.S.:

  • Retail came in second and health & beauty came in third; travel & leisure is the poorest performing category
  • Twenty-five percent of people surveyed have intimate brand relationships
  • Those under 35 tend to have emotional relationships with technology, entertainment and retail brands, while those over 35 have stronger connections with consumer packaged goods
  • Harley Davidson was the #1 brand among men
  • Toyota ranked highest for fulfillment, which centers on exceeding expectations and performance
  • Lego ranked highest for its associations with nostalgia
  • Google ranked #1 for enhancement, enabling improvement through use of the brand. Google also ranked 16th  overall
  • Ben and Jerry’s was seen as strongest on indulgence
  • Mercedes Benz is the top brand related to the identity archetype, meaning it reflects an aspirational image or admired values
  • Startup Uber ranked 14th among automotive brands

If Divorce wrecked your credit take these shopping tips to heart: Edmunds.com

BY GERRY MILES

A pothole can do severe damage to your tire, the rim and the vehicle’s alignment, but it’s imminently fixable.

A divorce is a heart-wrenching experience that can exact a devastating toll upon both parties, not to mind your credit report at times. For people who find themselves in that situation, Edmunds.com has collected some prudent shopping tips that appear to be quite helpful.

Last year Credit.com surveyed 526 divorced adults and found that 31 percent suffered a credit score drop following the break-up of their marriage. A poor credit score can saddle a car shopper with a higher interest loan and possibly make it difficult to finance the car at all.

Emma Johnson, noted personal finance expert and creator of the popular blog WealthySingleMommy, covered this topic for Edmunds.com in an article called “Divorce, Credit Scores and Car Shopping.” The article included these tips:

  • Before you step foot in a car dealership, pull your credit report and history and look for any negative scores.
  • Consider working with your ex to remove your name from any outstanding debts that your ex is the one responsible for, as well as the title to any vehicle you are on the title of but no longer own.
  • Be prepared to prove your post-divorce income.
  • Plan to make a decent down payment.
  • Tell your story: Electronically generated credit scores are not the only factor in lending decisions.

“If you understand the details of your credit history before speaking with a lender, you’ll be able to make a stronger case for your qualifications as a borrower,” reports Johnson. “Worst case scenario, if you are forced to accept a loan with a high interest rate, you can always refinance or buy another vehicle under better terms in a few years when you are back on your feet and your credit has improved.”

More information can be found at http://www.edmunds.com/car-loan/divorce-credit-scores-and-car-shopping.html