Month: June 2021

Is It Better to Get a Loan or Car Finance?

After a home, a car is probably the second most expensive asset many people buy. That’s why it’s critical you consider the best way to fund it.

In identifying a suitable financing model, there’s no one-size-fits-all. As a buyer, you want a superb choice. You can get a car by getting a personal loan from the bank or organizing financing with car finance dealers.

Neither of the two options is better than the other, and the right option depends on multiple factors. Let’s take a look.

Bank Financing

Bank financing involves taking a loan to buy a car. The loan could be from the bank, building society, or any other financial provider.

If you choose bank finance, you obtain the quote from your car dealer and secure funding from your bank based on your dealer’s price. You seal the deal with the seller using a letter of commitment from the financing bank.

Advantages

  • It is the cheapest way to own a car on credit.
  • It is quick and can be arranged face-to-face, on the internet or, over the phone.
  • The price paid is final and covers all costs

Disadvantages

  • You have to wait for the bank to make the funds available
  • Monthly payments to the bank may be higher than other options

Car Dealer’s Financing options

Financing options organized by car dealers include;

  • Hire Purchase (HP)
  • Personal Contract Hire (PCH); and
  • Personal Contract Purchase (PCP).

Hire purchase (HP)

Hire purchase is a way of buying a car by securing a loan against the vehicle. In this case, the client pays an initial down payment and the remaining amount paid out in installments spread over a certain period. You only take the car after payment of the final installment.

This financing model is always very competitive for new cars.

Advantages

  • The process is quick and effortless to manage
  • Offers flexible repayment terms
  • Some dealers ask low down payment

Disadvantages

  • You don’t own the car until you make the full payment.
  • It is more expensive compared to cash terms

Personal Contract Purchase (PCP)

PCP is similar to hire purchase but has lower monthly installments. The lower monthly payments, however, translate to a higher total amount paid for the car.

Under this financing arrangement, as the car buyer, you don’t need to take out a full loan for the car. You only get an amount equal to the difference between the price of the brand new car and its value at the end of the hire agreement.

At the end of the hire agreement, you have three options, namely;

  • You can hand over the car to the dealer without paying anything
  • You can make the final payment or balloon payment of the resale price of the vehicle and keep it; or
  • You can trade the car in and start all over again.

Advantages

  • Low down payment
  • Low month installments
  • A choice of what to do at the end of the agreement
  • Flexible repayment terms

Disadvantage

  • You risk additional charges as a client if you exceed the mileage
  • You can also pay extra charges in case of excessive wear and tear
  • You may end up paying a higher amount than what would you would pay in hire purchase arrangements
  • You have to pay the outstanding balance to keep the car

Personal Contract Hire (PCH)

In this arrangement, you pay a fixed amount to the car dealer to use the car. The amount includes maintenance and servicing costs. The dealer expects you to return it at the end of the agreement without exceeding the agreed mileage.

PCH arrangement is more expensive than PCP in terms of monthly installments but offers more flexibility to switch providers.

Advantages

  • The total cost covers servicing and maintenance
  • The buyer pays a fixed monthly cost
  • The client does not have to worry about the depreciation of the car
  • Offers flexible payment terms

Disadvantages

  • Monthly costs are high due to maintenance and servicing costs
  • A higher initial deposit equivalent to three months’ rental
  • You don’t own the car

Regardless of the financing model you choose, you need to fully understand the exact amount you will eventually pay in each method. Prepare in advance to have all the information beforehand to ensure you don’t pay high prices in the end.

US and Taliban Peace Agreement

On Tuesday, the Palestine Liberation Organization’s ambassador for the U.S. announced how the future Palestinian state are going to be free of Jews, a declaration that’s also been created by West Bank Palestinian leader Mahmoud Abbas. This will not bode well for just a treaty of “peace and security” between Israel along with the Palestinians.

As if timed to travel along together with the above declaration, also on Tuesday, Hamas requested the overthrow with the Oslo Accords. The Oslo Accords make reference to an interim peace agreement produced in 1993 between Israel as well as the Palestinians, led at that same moment President Bill Clinton. Hamas would be the Palestinian (terrorist) party that is certainly in rule in Gaza (which neighbors Israel towards the southwest), which includes in its political charter desire to to eliminate the Jewish nation.

These are simply a couple with the many hints how the Palestinian leadership doesn’t want peace with Israel. They also demonstrate that Israel’s search for “peace and security” will never be met with a treaty with all the Palestinians, and, obviously, the Israeli leadership recognizes that.

The Bible predicts that Israel will sign a treaty that can appear to guarantee peace and security. However, presently, this definitely seems to be a long-shot possibility. Since the charters of both Hamas and Fatah-the teams of Palestinian leadership with whom Israel will have to deal if this signed a treaty with all the Palestinians-call for that elimination on the Jewish nation, it would appear which the fulfillment of God’s prediction of which a treaty of peace and security will indeed be considered a miracle, unless…

But suppose Israel’s next treaty are not with the Palestinians? What if God will fulfill His predicted treaty inside a far different way? In fact, that may be exactly what His word indicates. The end-times, seven-year treaty signed by Jewish leaders later on will be co-signed by ten leaders of other nations-and not because of the Palestinians. In fact, which will be the treaty that may appear to satisfy Israeli leadership’s search for peace and security. It will also function as treaty that can start time ticking within the final seven years leading for the return of Christ.

But to go to that point, it seems that a miracle will need to pass place. After all, the indication in Bible prophecy is five of the co-signers seem to be leaders of Middle East states-Israel’s neighbors. Yet, there is no secret that Israel is enclosed by enemies on the sides. This includes Israel’s neighbor to your south, Egypt, where Jews are hated. It also includes Turkey, one country taken out of Israel, where Prime Minister Erdogan is directing a campaign against Israeli leadership. Then there could be the Gaza strip, bordering Israel about the southwest, where Hamas has stoked a crisis situation with Israel. Let us remember Syria, bordering Israel about the northeast, Lebanon, bordering Israel to your north, along with the Palestinians for the east.

Things currently look harmful to Israel. In fact, they can not look worse unless some in the neighbors were threatening war. As a matter of fact, some are. Hamas is firing missiles while on an almost daily basis from Gaza, Hizbullah has declared war and is also mounting up weapons on an attack, Syria, which will be creating much greater trouble for Israel when the regime just weren’t hanging on for dear life, has declared its need to have war with Israel, and they’re all being pushed by the regime slightly stripped away from the immediate neighborhood-Iran.

However, Bible prophecy demonstrates that, down the road, the area will begin to align with Israel, mainly because it participates in doing exercises a peace treaty by incorporating European leadership. In addition, while using alignment of countless other key cogs with end-times Bible prophecy, it would appear that this alignment will not be set in the distant future.

So how could this be? Let us bear in mind that God is at charge. All of this is fitting into His want to perfection, and it’s also no problem for Him to change things around overnight. In fact, it would appear that God uses the very uncertainty that now exists in the Middle East to come up with His predicted plan.

The Arab Spring has risen uncertainty in the Middle East. In fact, nobody seems to experience how it will all shake out, on account of revolts and protests in the community. The Spring continues to be responsible to the depositions from the Tunisian government and also the Egyptian leadership and may lead to your ousting of Syrian President Bashar al-Assad. Moreover, it really is producing insecurity through the region.

In general, God make use of this uncertainty to glorify Himself, as He will demonstrate that only He is within control. More specifically, He will more than likely use the instability in the community to prepare for end-times fulfillment. An unstable region is which will change more speedily if certain events occur. For example, while using present conditions available, in the event the Syrian and Iranian regimes are deposed in the future, the location would quickly answer it by subduing terrorism and opening to work with Israel with a treaty of “peace and security.”

Thus, it seems that God is applying this uncertainty and instability to align with His prophetic word. So try to find some dramatic changes to occur within the horizon-changes that may perfectly align using what God has recently predicted.