Should I Use My Tax Refund To Buy a Car?
With tax season just around the corner, many people are beginning to think about how they will spend the funds they receive as a tax refund. One way to think about your tax refund is to imagine that you are simply making a full withdrawal from a savings account that the government used as an interest-free loan throughout the year. When you are considering what you should do with your refund, focus on smart investment items on which you can utilize your “savings.”
One of the smartest moves you can make is to buy a car with tax refund money. If you are in the market for a vehicle, tax refund money can put you at a significant advantage in the purchase process. Here are three excellent reasons you should consider using your big check towards a Certified pre-owned used car with a Lifetime Warranty for as long as you own the vehicle.
- You can utilize the tax refund money to make an excellent down payment. If you have ever purchased a new or pre-owned vehicle, you know that your monthly payment can largely depend on the size of the down payment you are able to make. For example, if you are purchasing a vehicle that costs $10,000, but you are able to make a $5,000 down payment, you will only be making payments on a loan of $5,000. Or even if you sell your car to the dealership, since you can receive up to $2,000 more cash than your highest KBB offer! This can put you in a very good position to either have a small monthly payment over a typical loan term (say, 72 months), or to be able to take a short-term loan and pay your vehicle off more quickly.
- Many dealerships offer special deals during tax season. Smart dealerships know that many informed, money-savvy customers will be looking to purchase a vehicle with their tax refund. So, you can often find special sales and deals during tax season. Taking advantage of competitive prices at a quality car dealership can help you score a great deal.
- You will be making a smart, long-term investment. Unlike spending your tax refund on a trip to the mall or a weekend vacation, putting it towards a vehicle means that you will be getting significant, every day value for your investment. A car is a necessity for most people, so you will be glad you made the smart purchase.
As you can see, using your tax refund to purchase a new car is a no-brainer. At Reliable Auto Sales in Las Vegas, Nevada, our professional, knowledgeable team is prepared to help you use your refund money to invest in one of our affordable, high-quality pre-owned vehicles. Contact us for more information about how you can make a smart tax season investment that will serve you well every day.