The Howdy Blog

Al Boenker Insurance Blog

When the economy crashed, so did your credit. Now you find yourself in the uncomfortable position of needing a new car. Yours doesn't run. What are you to do? Will someone even provide you a loan? Why would they? And how about the car insurance required by the State of Texas? Where should you go? Who can you trust? To find the right car, you'll need to shop around. However to find the right car insurance, one you can trust that knows what it means to be a Texan, you don't need to go any further than Al Boenker Insurance Agency of Texas.

New vs. Used

Is a used car your only option with bad credit? Not necessarily. Although a used car may be less money up front, in the long run it could be more costly in repairs. It's important to have a trustworthy mechanic take a look so you can make an informed purchase. If one of your first priorities is to reestablish your credit, you will need a loan. Loans are available for both new and used cars, however, if you purchase a used car at a dealership that is "buy here, pay here," the credit bureau may not receive notice of your payments. Keep in mind, you are still buying a used car that could require repairs. Is a new car an option? It could be.

How about financing?

If your credit is poor, would a lender be willing to provide a loan, even for a new car? For a number of reasons, it actually can make business sense. First, a new car is more valuable than a used car making it better security as collateral. If a buyer defaults on the loan, the lender can reclaim it. Another consideration is the availability of funds. If the buyer does not have to spend money on the repair costs usually required with an older vehicle, it ensures available funds with which to repay the loan.

Would a dealership be willing to sell a new car to someone with poor credit? Although the dealership's perspective is not the same as the lender's, it also makes business sense. The sale of a new car is an investment in a new relationship. Everyone has a network of family and friends and when you have a positive experience, you tend to become a source of profitable referrals. For a dealership, a customer referral could result in new car sales or new service opportunities.

Car Insurance for Texans

With vehicle ownership comes the requirement for insurance. For those Texans looking for a company they can trust and who will serve them, Al Boenker Insurance Agency of Texas is for you. With access to 127 online insurance companies, Al Boenker Insurance Agency of Texas is sure to meet your needs at prices you can afford. Thanks Al!