Smart Motorist

Are extended warranties worth it? Unless you're prepared to pay for the very best policies from the highest rated companies, I find them more trouble than they're worth. One specific exception is a manufacturer's certification on a used car: this is extremely valuable, but the car will cost top dollar, and you can't choose to buy it.

The wisest and thriftiest course is to pay cash for your cars. If this is not an option, I highly recommend you obtain financing before you settle on a particular vehicle.

Loans versus Leases - Loans enable people to buy things. A lease is a rental agreement. Once you make all the payments on an installment loan, you actually own your car; whereas, when all the payments are made on a lease, you own nothing.

Insurance fraud has become a major financial problem for both insurance companies and consumers. The National Insurance Crime Bureau reports that insurance fraud costs the insurance industry an estimated $30 billion each year.

The actual cost of renting a car can exceed advertised rates from 50 to 75 percent when you add up all the fees, taxes, and surcharges that rental companies tack on to your bill. The best way to avoid a surprise is to ask lots of questions before you sign.  Traditionally, rental car companies don’t disclose the extra fees and surcharges when you are quoted a rate over the phone.