It's tax season again. And that means it's time for the government to "show you the money!" Are you expecting a good tax return? Have you already filed? Perhaps, you're just waiting on the funds to be transferred. If so, you're in an excellent position to make your tax refund pay off in ways that could last a long time. And here are a few ideas of ways you can use that refund at Volvo Cars Palo Alto.
Typically, the amount of the tax refund is enough to cover your down payment. Financial experts often recommend using the "found money" towards the purchase of a vehicle. Using a tax refund not only frees up your other cash, but you're also able to plan better. Because you already know the exact amount of your down payment, you can choose the new Volvo car or SUV you know that you can afford. It takes the guesswork out of the selection process and makes your buying experience much more pleasurable. And, of course, our inventory is well-stocked with all the top brands and models for Menlo Park and Mountain View, CA drivers.
And if you already have cash stacked away, you could double your down payment and have a much lower monthly payment. You might even be able to qualify for a lower interest rate with a larger than usual down payment.
When it comes to a lease, your tax refund may give you the best bang for your buck. A lease is a straightforward transaction. You know the amount that is needed ahead of time and what the costs will be to drive away. Because those amounts are predetermined, you don't have to come up with any additional money in most situations. And if there is money remaining, you can use that towards your monthly payments. If you budget your tax refund very carefully, it's almost like not having a monthly payment at all and driving for free for a month or two. Also, keep in mind, the first payment on a lease is already rolled into the amount needed at the time you sign your contract.
If you've been putting off any repairs or maintenance, now is your chance to get caught up. Using your tax refund to take care of the practical things is a responsible thing to do. Even if your refund is not as large as the average refund, you should be able to get service or maintenance completed, such as brakes, tire rotation, a new battery, new wiper blades, or new tires. And you can always treat yourself with new accessories like floor mats, a trailer hitch, a roof rack, or a new set of wheels. You've earned it and deserve it!
Is your existing auto loan coming to an end soon? Then, it's a superb way to use your tax refund and pay the loan off early. Typically, the interest is much lower towards the end of a loan, which means the payoff should be easier to match your tax refund. Think about how good it would be to no longer have a monthly payment. Or better yet, paying off your loan sooner also frees up your debt-to-income to purchase another vehicle for the household rather than using it as a trade. Now could be the moment you've been waiting for to have two vehicles or even a third.
Whether you're interested in a purchase, lease, repairs, or paying off your loan sooner, tax season is always an ideal time to consider these options. Contact our Volvo dealership in Palo Alto to learn more. Or visit us to take a test drive. If you're still waiting on your refund to be transferred to your bank, no worries, stop by for a visit anyway! Sunnyvale and Redwood City customers, we're hoping to see you too!
4190 El Camino Real
Palo Alto, CA 94306