Bankruptcy

Save Money on Your Car: Avoid these Scams

By guest-writer

While owning a car is an indispensable part of many people?s lives (and often the main mode of transit to and from work), maintaining a car can put a real dent in the monthly budget. And, if you aren?t especially vehicle-savvy, you may run a further risk of being taken in by car-related scams.

This post from Bargaineering.com offers some insight on some of the worst and costliest car scams out there, which we all need to avoid, especially if we?re recovering from a bankruptcy filing. Here?s a summary.

Know What Your Car Needs?and Doesn?t Need

• The engine shampoo: This service, which some unscrupulous mechanics have been known to offer, involves cleaning the outside of your engine. Admittedly, car engines get very dirty, what with all the work they do to keep your car moving. But, as those in the know realize, cleaning the engine doesn?t have a real impact on your car?s performance. What it does affect is your wallet ? this scam can set you back a couple hundred dollars. A much better use for that money would be toward paying down debt.
• The engine flush: This service does for the inside of the engine what the shampoo does for the outside. In some cases, this may be necessary (you?ll know you need a flush if you notice buildup under the oil cap). But, unless you?ve had your car for a while and have seen the oil cap buildup, opt out of the flushing service. If you have some money to spare, think about using it to start a savings (savings page) account.
• Fuel injector cleaning: Again, unless your car has more than 100,000 miles on it, an offer to clean your fuel injectors is likely to be a waste of your money.
• Gas saving gadgets: These have been blasted by Consumer Reports as money wasters. If you?re looking to spend less on gas, try driving within the speed limit, keeping the proper air pressure in your tires, braking gradually, losing extra weight in your vehicle and otherwise making sure your car is in good shape. If you?re really pinched for cash, try carpooling or switching to a bike a few times a week.

Car-Buying Scams

In addition to these maintenance scams, there have been reports of online scams targeting people interested in buying cars for a good price. One notorious scam claims to be selling repossessed cars for steep discounts. Know the warning signs:

• A seller asks you to wire money.
• A seller asks you to pay a significant portion of the price before you ever see the car.
• The price seems too good to be true.

Cutting costs is essential to establishing financial health after a bankruptcy filing, but sometimes you need to pay more in order to get a reliable product.

Full post as published by The Bankruptcy Blog on September 21, 2010 (boomark / email).