The COVID-19 crisis is changing many industries along with our everyday lives. This includes the automotive industry. So what changes will you be seeing due to the coronavirus? Roadway Insurance, a provider of MAIF car insurance, discusses the new normal.
Car Lease Extensions
Due to the virus and stay at home orders, people aren’t leaving for anything that isn’t completely necessary. This makes it hard to go to a dealership and return a leased car. Many dealerships are closed anyway. Because of this, they’re making it easier to get your lease extended. Call your dealership or leasing company to work out an agreement for an extension. People who lease tend to lease again, and they’re going to want repeat customers to keep business going.
In addition, you can get help if you’re currently struggling to make payments. Unemployment is higher than it’s been in a very long time, and many are living off of unemployment payments. Contact the manufacturer to see what they have. You may be able to get your next few payments deferred or other short term help with your lease.
Coronavirus Payment Plans
Dealerships and manufacturers are some of many businesses during this pandemic. Thus, they’re offering deals and special financing terms so that people have more incentive to buy cars during this time. Many are also featuring online buying programs so that people don’t have to break stay at home orders. Between this and the stimulus payments, this could be a good time to buy if you’ve been waiting.
Lower Interest Rates
The Federal Reserve reduced interest rates extremely to help boost consumer spending. They wanted to help boost the economy and have more people making bigger purchases. However, to get a quality financing deal with an interest rate close to nothing, you’ll have to have great credit. While good deals are still available if you don’t have the best credit, make sure you shop around with financiers to get the best deal for you.
Many factories that normally are making cars are now hard at work making medical supplies for the country. This could lead to a shortage of new American cars, as well as those shipped from overseas. While many dealerships are offering coronavirus deals on their cars, if the supply gets too low and the demand too high, prices will go up. Consider getting a good deal on a used car that gets great gas mileage.