Calculating Car Workshop Labour Efficiency

The clock is ticking

'Time is money' in bodyshops and service workshops. Essentially, these operations buy and sell the time of panel beaters, painters and technicians. A service workshop, for example, might buy one hour from a technician for £10 and sell it to a buyer for £40, and make a profit of £30. (These figures are, of course, notional).

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Buying and selling the time of productives is, or should be, the major source of revenue and profit in bodyshops and service workshops. Profits from the sale of spare parts; oils and lubricants; paint and materials; and sublet and sundry are all subsidiary to the buying and selling of productives' time. If you don't sell time, you don't sell any of these other things.

Calculating Car Workshop Labour Efficiency

Just as you would take great care when buying and selling a spare part, you have to pay equal attentiveness to buying and selling productives' time - or even more so, because you cannot 'stock' productives' time. In other words, if you don't sell their time today, you cannot sell it tomorrow.

Time for sale

So once time is gone it's gone, whereas a spare part will still be in stock. So it is a good idea to know how much time you have for sale. This would seem pretty simple. If you have six productives, and they are there eight hours every day, no ifs ands or buts you have 48 hours for sale? Well, no, you don't.

For a start, productives might be in the workshop for eight hours every day, but they don't work on paying jobs for eight solid hours. For example, a buyer could come back with a car that you serviced yesterday and complain that it keeps stalling. It will then be necessary for a productive to rectify the problem, and of course you cannot fee the buyer for that. If it takes two hours, then you only have 46 hours left to sell, in our example.

Time sold

To complicate things further, you can no ifs ands or buts end up selling more than 48 hours. Imagine, for instance, that a vehicle manufacturer's thorough time for a major service is two hours and you quote the buyer on this basis. If your technician completes the service in one hour (unlikely, we know) then you will still fee the buyer for two hours.

If this happened all day long, you could sell 96 hours less the four hours you could have sold if one of your technicians hadn't spent two hours spent rectifying the engine stalling problem. (It's four hours because you are selling two hours for every hour worked in this example.) So if your productives could halve the thorough times all day, that's 92 hours sold rather than 48 hours.

Three measures of time

What we are talking about here is the three kinds of time ready in a bodyshop or service workshop:

Attended time - this is the time that panel beaters, painters or technicians are in the workplace ready to work.

Work time - this is the time they spend no ifs ands or buts working on jobs that, at the end of the day, a buyer pays for. Clearly 'work time' does not consist of any time spent rectifying problems, or anything else they do that does not have a paying buyer at the end.

Sold time - this is the time that you fee customers for. It could be the time quoted on an estimate for an insurance company, or a menu-priced service.

You could say that 'attended time' and 'work time' are both 'real', because you can roughly see them. You can see when a productive is in the workshop, and you can see a productive working on paying jobs. What's more, you can part 'attended time' and 'work time' using a clock.

On the other hand, 'sold time' is not 'real'. You can't see it, and you can't part it using a clock. But at the end of every day you can add up all the time you have sold to customers from your job cards or invoices.

How fast and how long

If you part attended time and work time, and add up sold time at the end of the day, you can then see how fast and how long your productives have worked while the day.

How fast they have worked is sold hours divided by work hours. In our example, that's 92 hours sold compared to 46 hours worked, or 200% expressed as a percentage. That is, your productives are working twice as fast as the thorough time.

How long they have worked is work hours divided by attended hours. In our example that's 46 hours compared to 48 hours, or 95.8% expressed as a percentage. That is, your productives were working on paying jobs for 95.8% of the time.

Labour efficiency

What we have just worked out as percentages are two 'labour efficiencies':

Productive efficiency tells you how fast productives are working compared to thorough times, or the estimate in the case of a body heal job - how many sold hours they produced compared to the work time it took them to produce these sold hours.

Labour utilisation (sometimes called 'selling efficiency') tells you how long productives worked on paying jobs compared to the time they attended the workplace.

As formulae, productive efficiency and labour utilisation are calculated like this:

Productive efficiency = (Sold Hours/ Work Hours) x 100%

Labour utilisation = (Work Hours/Attended Hours) x 100%

Overall labour efficiency

There is one other part of labour efficiency and that's called overall efficiency. This is a simple aggregate of productive efficiency and labour utilisation, and comes from multiplying them together:

Overall Efficiency = productive Efficiency x Labour Utilisation

Or, another way of finding at overall efficiency is as sold hours divided by attended hours:

Overall efficiency = (Sold Hours/Attended Hours) x 100%

How labour efficiency affects profit

Obviously you will make more profit if you can squeeze more sold hours from the hours your productives attend. We have already said that if you buy one hour from a service workshop technician for £10 and sell it to a buyer for £40 you will make a profit of £30. But if you bought one hour from the technician and then sold two hours, you will make much more profit - £70.

It is equally confident that if you buy one hour from a service workshop technician for £10, and then the whole hour is expended rectifying a come-back job for which you can make no charge, you have lost £10. Less confident is that you have lost the occasion to sell two hours (in our example), and thus lost the occasion to make a profit of £70.

So the guess for measuring time in a workshop, and then calculating the labour efficiencies, is very clear. It's all about profit. And if you don't part time and guess the labour efficiencies, it is no ifs ands or buts confident you will not maximise profitability because you will not know:

How fast your productives are working as a team and individually, and either they could work faster if they were better trained or had better equipment

How long your productives are working as a team and individually, and how much time they are wasting on work that customers aren't paying for.

How time is measured

The most basic way of measuring time in a workshop is by using a 'clock' which stamps time on a 'clock card' for attended time and on the job card for work time. The times are then correlated manually on a 'daily operating control' sheet, and the labour efficiencies calculated.

However, computers have largely superseded this basic method, with the 'clocking' carried out using barcodes or magnetic swipe cards. The computer then completes all the correlations and calculations instantly.

Typical labour efficiencies for the Top 25%

In new years, the labour efficiencies achieved by bodyshops and service workshops have fallen from what would have been carefully the 'norm' a decade ago. The reasons for this are complex. Any way the top 25% of franchised dealer bodyshops and service workshops are still achieving reasonable levels of performance, typically:

For a bodyshop, productive efficiency averages 106%, utilisation 88% and therefore overall efficiency is 93.3% (106% x 88%)

For a service workshop, productive efficiency averages 115%, utilisation 92% and therefore overall efficiency is 105.8% (115% x 92%)

For 40-hour attended by a productive in a week, these translate as:

For a bodyshop - 40 hours attended, 35.2 hours working on paying jobs, and 37.3 hours sold or invoiced to customers

For a service workshop - 40 hours attended, 36.8 hours working on paying jobs, and 42.3 hours sold or invoiced to customers.

Why service workshops are usually more labour-efficient than bodyshops

bodyshops are clearly less efficient, but why? Firstly, jobs move between productives in a bodyshop - starting with strip, then panel, then preparation, paint, refit and valeting. usually this means intriguing the vehicle physically nearby the bodyshop, which is far less productive than the level in a bay, job done and level out situation of a service workshop. The effect for bodyshops is a lower labour utilisation than for a service workshop.

Productive efficiency in bodyshops used to be higher than for service workshops, because sold hours were negotiated with insurance assessors - so-called 'opinion times'. A bodyshop might get 20 hours for a job and the productives would terminate it in 15 work hours, achieving a productive efficiency of 133%. Nowadays, the times in a bodyshop are set by computerised estimating systems with virtually no room for negotiation or 'opinion times'.

service workshops, like bodyshops, have seen thorough times fall, too. But their buyer base is millions of motorists rather than a dozen insurance companies, so service managers can set anything times they want - within reason, and of course, subject to competition.

Lost time

Obviously it would be great if you could get away with just paying technicians when they are working on paying jobs, but you can't. What you no ifs ands or buts pay them for is attendance, or 'attended time', and they don't 'work' on paying jobs all the time they are attending.

The inequity between attended time and work time is 'lost time', which is also called non-productive time - the few hours every week that technicians are paid for when they are not working on paying jobs. Three common things that make up lost time are rectification of faulty work ('come-backs'), variety and delivery of cars, and cleaning and maintenance.

In increasing to paying for lost time, you might pay bonus and overtime, and you pay for technicians' holidays, sick leave and training. Then there is the employer's offering to National Insurance, and the cost of any perks technicians receive such as pension or health insurance contributions.

It's tempting to throw all of these payments into the cost of buying the technician's time in our example and guess what you might see as the 'real' profit. If you did, the cost of buying the hour would probably be nearby £13, and therefore the profit falls to £27.

Accounting for time

The facts presented so far would seem to make calculating the profit when buying and selling technicians' time quite simple. Apparently all you have to do for any duration - a day, a week, a month or a year - is add up all your labour sales and subtract all your technicians' costs (including basic, bonus, overtime, holidays, sick, training, perks and National Insurance) to arrive at your profit on labour.

You can, but it is far better to identify all your technicians' costs separately in your supervision accounts, because you can then see how much you are paying them for not working. And by separating these payments to technicians, you can look more closely at the effects of labour efficiency on your operation, either it is mechanical servicing and heal or body repairs.

The following example shows the customary format for the supervision accounts of a service workshop or bodyshop. Here we have taken the results for one technician over 12 months, assuming basic pay of £12 per hour and hours sold out at an average of £60 per hour. Additionally, we have assumed that the technician attends 44 weeks per annum and 40 hours per week, working 37 of those hours with lost time of 3 hours. As a effect of the technician's efforts, the workshop sells 42 hours per week (or 1,848 sold hours per annum from 44 weeks x 42 hours), and this is achieved without any overtime or bonus pay.

Management accounts

Labour sales 1,848 hours sold @ £60 = £110,880

Less Technician's pay for 1,628 work hours @ £12 = £19,536

Technician's bonus pay (all bonus pay entered if earned) = Nil

Technician's overtime pay (all overtime entered if earned) = Nil

Gross profit on labour sales (Labour gross profit) = £91,344

Direct expenses

Technician's pay for 132 hours of lost time @ £12 = £1,584

Technician's pay for hols, sick & training (40 days of 8 hours) @ £12 = £3,840

Technician's National insurance and perks = £3,744

Direct profit on labour sales = £82,176

Labour gross profit

In this customary form of supervision accounts, then, the cost of the technician is divided up into no less than six lines. The first three lines appear level after labour sales, and consist of all pay made to the technician for no ifs ands or buts producing work that is then sold to a customer. This includes pay for 'work time', and all bonus and overtime pay. Accountants call these the 'cost of sales'.

By subtracting these three lines from sales, you end up with the gross profit made from buying and selling the technician's time - usually called the 'labour gross profit'. The labour gross profit is often expressed as a percentage of labour sales, which in this example comes to 82% (£91,344 divided by £110,880 expressed as a percentage).

The remaining three lines appear in the direct expenses section of supervision accounts along with the cost of non-productive salaries, apprentices, consumables, courtesy cars, advertising, etc. The idea, as we have said, is to identify what you pay technicians for not working. In this example, the total cost of the technician is £28,704 per annum, and £9,168 is for not working. That is nearly one-third, and a far from unusual proportion!

Dividing up the technician's pay

The way some of the technician's pay is divided up is self-evident - bonus, overtime, holidays etc, and National insurance and perks. That just leaves the technician's basic pay, which is divided up agreeing to 'work time' and 'lost time':

In our example we know the technician attends 40 hours each week and works 37 of these hours, which means that the technician works for 1,628 hours in a year (37 hours x 44 weeks), which at £12 per hour is £19,536.

That leaves three hours of lost time each week, or 132 hours per annum (3 hours x 44 weeks), or £1,584 at £12 per hour.

In fact, this split corresponds to one of the measures of efficiency we discussed earlier - labour utilisation. Labour utilisation is 'work hours' divided by 'attended hours' expressed as a percentage, or 92.5% in this case (37 hours divided by 40 hours). The split in the supervision accounts allocates 92.5% of basic pay as the cost of doing the work. The remainder (7.5% of basic pay) - corresponding to the technician's pay for lost time - is allocated as an expense.

It should now be clear that labour utilisation has a direct bearing on how much gross profit is effectively produced from selling the technician's time, and what is paid to the technician for not working.

Calculating labour sales

In our example, the workshop sells 42 hours per week as a effect of the 37 hours the technician no ifs ands or buts works out of the 40 hours attended. We have already seen that the labour utilisation here is 92.5% (37 hours divided by 40 hours). The productive efficiency can also be calculated as 113.5% (42 sold hours divided by 37 work hours), and the overall efficiency is 105% (42 sold hours divided by 40 attended hours). All these formulae were covered earlier.

The labour sales in our example are calculated by multiplying the sold hours in a year (1,848 hours) by the labour rate of £60 per hour. In full, this calculation is as follows:

Annual labour sales = 1 technician x 40 attended hours per week x 44 weeks attended per year x 105% overall efficiency x £60 per hour labour rate = £110,880

Increased productive efficiency

Now we can have a look at what happens to the profit on labour sales if labour efficiency increases. Let's say our technician still works 37 hours out of 40 hours attended, but works faster (i.e. Is more productive) and achieves 43 sold hours. The utilisation is still 92.5% (37 work hours divided by 40 attended hours), but the productive efficiency has increased to 116.2% (43 sold hours divided by 37 work hours) and the overall efficiency has also increased to 107.5% (43 sold hours divided by 40 attended hours). The effect is as follows (and we have assumed again that bonus and overtime are 'nil'):

Labour sales

1 tech x 40 att. Hours x 44 weeks x 107.5% overall efficiency x £60 per hour = £113,520

Less

1 tech x 40 att. Hours x 44 weeks x 92.5% utilisation x £12 per hour = £19,536

Gross profit on labour sales (Labour gross profit) £93,984

Direct expenses

1 tech x 40 att. Hours x 44 weeks x 7.5% lost time x £12 per hour = £1,584

Technician's pay for hols, sick & training (40 days of 8 hours) @ £12 = £3,840

Technician's National insurance and perks = £3,744

Direct profit on labour sales £84,816

A small increase in productive efficiency - just about three percentage points - has resulted in an extra every year profit on labour of £2,640.

Improving labour utilisation and productive efficiency

So far, we have explained how to part time in a service or body heal workshop, how labour efficiency is calculated, and how supervision accounts are designed to feature the sources of labour profit. We have shown how productive efficiency affects profitability. Next, we look at the effects on profit of improving labour utilisation, and then both productive efficiency and labour utilisation at the same time.

Increased labour utilisation

Taking the same example discussed earlier, let's improve labour utilisation by assuming that our technician manages to work 38 hours out of 40 hours attended instead of 37, while leaving the productive efficiency the same (113.5%) as in the customary example. This means that utilisation goes up to 95% (38 work hours divided by 40 attended hours), and even if the productive efficiency is the same at 113.5%, then our technician will produce 43.1 sold hours (38 hours worked x 113.5%). That is, the technician's overall efficiency has increased to 107.8% (43.1 sold hours divided by 40 attended hours).

The effect on labour profits is then:

Labour sales

1 tech x 40 att. Hours x 44 weeks x 107.8% overall efficiency x £60 per hour = £113,520

Less

1 tech x 40 att. Hours x 44 weeks x 95% utilisation x £12 per hour = £20,064 Gross profit on labour sales (Labour gross profit) = £93,456

Direct expenses

1 tech x 40 att. Hours x 44 weeks x 5% lost time x £12 per hour = £1,056

Technician's pay for hols, sick & training (40 days of 8 hours) @ £12 = £3,840

Technician's National insurance and perks = £3,744

Direct profit on labour sales = £84,816

The improvement, from one extra hour worked per week, is £2,640 in a year.

Do both!

But what would happen if both utilisation and productive efficiency improved at the same time? That is, the technician still attends 40 hours, but works 38 hours at the improved productive efficiency of 116.2% (from Part 2) thereby producing 44.2 sold hours (38 work hours x 116.2%) and hence an overall efficiency of 110.5% (44.2 sold hours divided by 40 attended hours). The calculation looks like this:

Labour sales

1 tech x 40 att. Hours x 44 weeks x 110.5% overall efficiency x £60 per hour = £116,688

Less

1 tech x 40 att. Hours x 44 weeks x 95% utilisation x £12 per hour = £20,064

Gross profit on labour sales (Labour gross profit) = £96,624

Direct expenses

1 tech x 40 att. Hours x 44 weeks x 5% lost time x £12 per hour = £1,056

Technician's pay for hols, sick & training (40 days of 8 hours) @ £12 = £3,840

Technician's National insurance and perks = £3,744

Direct profit on labour sales = £87,984

The correction is £5,808, multiplied by (say) seven technicians is a sizeable £40,656 extra profit per annum.

This shows how necessary for profitability only relatively small increases in labour efficiency can be. However, labour profits can also fall just as significantly if labour efficiency falls by an equally small amount.

Hidden lost time

If small improvements in labour efficiency translate into big improvements in labour profits, but any dinky allowance means big falls in profit, then you need to know what levers to pull to make sure you are on the side of big profits. So what's the secret? Or is it about managing the minutiae?

There's no secret. The trick is managing every aspect of a workshop. Managers have to do all things they can to make sure technicians, panel beaters or painters are working as fast as inherent for as long as possible. In other words, you must do all things to minimise lost time, and provide your productive staff with every means to reserve faster working like training, power tools... And even placing confident jobs with productives who are the most experienced. If you have a clutch job, then give it to the clutch expert.

But there is one private worth knowing, and that's 'hidden lost time'.

As we have shown, lost time is a killer. But then lost time, if it's measured at all, is usually about the most confident elements such as rectification of faulty work, variety and delivery of cars, and cleaning and maintenance. However, there is a lot more lost time private away within jobs. Technicians may seem to be working hard, but too often they may be waiting for spare parts at the back counter of the stores. Or a technician may be waiting in line to use a piece of tool like a wheel alignment rig.

The outcome of 'hidden lost time' is a fall in productive efficiency, but labour utilisation is unaffected because you haven't measured the losses. But, as you have seen, the effect on profits can be huge. So apart from attending to the confident and direct influences on labour efficiency, which sway how fast technicians work (productive efficiency) and how long (utilisation), workshop managers must also attend to anything that can slow them down when they are supposed to be working.

Calculating Car Workshop Labour Efficiency

Car Financing For Bad prestige - A explication For Those in Dire Need

Owning a car is everyone's dream. Without one, how do you expect to get to your office or drop your kids off to school? While most population are lucky to afford the vehicle of their choice, there are those who cannot for one guess or another. Those who cannot get a car normally have financial difficulties.

Unless you have cash up front, you can drive off the car lot in your new car. In this day and age, most population do not go this route. They pay for their cars straight through financing. To avoid any problems, population should pay their car loans on time. What often happens is the opposite. They end up defaulting on their monthly payments. This is because they have to stretch their funds to take care of other prominent needs, such as mortgage loans and curative procedures.

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Not being able to pay for your car loan will succeed in vehicle repossession. Whether by the dealer you purchased it from or the lending business that gave you the loan. Now that you are without a car to drive, you need to wait awhile before applying for a loan again. Bad reputation is a stain on anyone's record. The good news is there is car financing for bad credit.

Car Financing For Bad prestige - A explication For Those in Dire Need

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The first step on your road to redemption is to rebuild your damaged credit. You do this by production your payments on time. This means prioritizing your monthly car loan. Dealers at buy here pay here car lots will grant you the loan as long as they see you are doing something. All they want to see is you are not falling back into your old habits and that you are doing something about it.

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Getting car financing for bad reputation is not difficult. You just have to play it smart and know your limitations. At this point, you want to avoid falling into the same trap that got you into this mess in the first place.

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Hybrid Cars

There are many reasons why population should drive galvanic hybrid cars. They are safer for the environment than gasoline engines. They also are more fuel efficient, and cost less money to control than a gasoline powered car. However, they also cost a limited more to buy than a similar gasoline powered car, and because they are so new it is hard to find any cheap used models. They also do not burn less fuel when being operated at highway speeds. Since the biggest consumers of gas and the biggest polluters are tractor-trailers and other commercial vehicles, the use of galvanic hybrid cars will make only a small dent in cleaning up the environment.
It is frequently advertised that galvanic hybrid cars are good for the environment. This is because they use less gasoline than quarterly combustion engines. They emit far less pollution than a quarterly car because at least part of the time they run on electricity which is a much cleaner form of energy than gasoline. If everyone drove an galvanic hybrid car, the environment would be a much cleaner place. Problems like smog and the hole in the ozone layer could be fixed.

Hybrid cars are also good for the environment not only because they are preventing pollution, but because they are using up less of our natural resources. It has been shown that if we continue to use oil at the rate we are presently using it, it will not be long before there is no oil left. However, with galvanic hybrid cars we can use less oil. In this way galvanic hybrid cars conserve our natural resources and forestall an oil shortage from occurring.

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Hybrid Cars

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If every family owned just one galvanic hybrid vehicle it could significantly help the environment by creating less pollution and using less gasoline. Families who can afford these cars can save themselves money on gasoline. However, this technology is new and there are still several areas in which the hybrid car can be improved so that it could have an even bigger certain impact on the environment and the population who drive them.

Hybrid Cars

How to Write a Quick & Easy Car Repo Letter

On your own letterhead paper write or print out a notice which includes the name, address, and phone amount of the defaulted client. Elucidate that you have attempted to sense them to no avail. Inform that they must sense you in order to come to a resolution to their excellent payments.

List the car that is in examine along with its Vin number.

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Give a final date that all past due payments are due by (labeled "last date for payment") and the amount due to catch payments up (labeled "amount now due"). Elucidate that:

How to Write a Quick & Easy Car Repo Letter

"If you pay the amount now due by the last date for payment you may continue with the contract as though you were not in default. If you do not pay by that date, we may exercise our possession under law, including involuntary repossession of the car in which we hold a protection interest."

Remember that as time passes until the due date you assign more payments due may accumulate. Consist of in the letter that by the due date these payments will also be due and list each payment by amount and general scheduled due date, i.e. "date due_______ amount _______"

After listing these payments that will gain by the final due date Elucidate that:

"In order to fully cure your account, and in order to prevent the exercise of our legal possession under the law, the payment or payments listed above must Also be paid in full on or before the last due date for payments"

Inform that even if the inventory is caught up you still have the right to take activity in the event that payments fall behind again within a designated amount of time:

"If you are late again within the next____weeks in manufacture your payments, we may exercise our rights, including repossession, without sending you an additional one notice like this one."

Explain your possession to gain added monies owed under the lien contract:

"The possession we may exercise under the law Consist of repossession of the motor car securing this debt. If the motor car is repossessed, either voluntarily or involuntarily, it may be sold and you may owe the contrast between the net proceeds from the sale and the remaining equilibrium due under the contract."

Ask the client to sense you right away if they have any questions.

Close the letter with:

"If we do not hear from you within___days, we will have no option but to put out a Repossession Order on the vehicle."

Sign it and have it notarized.

Mail the letter certified with delivery confirmation and return address requested. This way you have 2 ways of confirming and proving that they did receive the notice in case legal questions arise after the repossession.

You also gain any forwarding address if the client has moved so that you can more really uncover the vehicle. The return address requested will send the letter back to you if they have moved instead of being forwarded to them.

If payment has not been made and you are ready to repossess the car you need to write or type a Repossession Order. This will state the following:

Repossess Order

Purchaser:
[Name]
[Address]
[Phone number]

Default of contract
[vehicle year, make, model, Vin]
Net Payoff Balance: [Total lowest line equilibrium owed]
Repo fee: [$ amount of the repo fee you charge]
Storage fee: [$ amount of the storage fee you charge]
Damage: [$ amount of any damage known to be done to the vehicle] You may also write Tbd or To Be considered here
Total: Add up all of these amounts and enter the total here

The named buyer is in default of installment loan contract and payment is under uniform and market state and local codes face installment contract.

We agree to indemnify and save [your name/business name] inoffensive from and against all claims damages, losses, and actions resulting from or arising out of our efforts, except as may be caused by negligence or unauthorized acts by our agents representing us.

Dealer Authorizing Repossession

[your name/business name, address, and phone amount here]

Notarize at the bottom

-Make a copy of the order for your records and give the order to your repossession agent (the someone performing the actual car acquisition).

Note that -

* If you result these steps you will have done a legal repossession.
* Many habitancy do not send a notification letter because many times a client will effort to hide the car once they have received a letter like this, especially if they have no intentions of paying.
* Most habitancy are unaware of their possession when it comes to a car repossession so they ordinarily don't narrative someone who has not followed permissible procedure, however, If you do not send the certified letter notifying them of their default and giving them opportunity to make payment they have grounds to narrative you to the state's Dmv Dealer Services and the state's Attorney general which can result in you being fined as well as taken to court for violating repossession laws.
* Keep in mind that some states do not allow a repossession to take place on underground asset if the repossession agent is asked to leave (some states need him/her to leave and for you to gain a court order).
* Some states have no restrictions on public property.
* Some states forbid repossession to take place at a client's place of employment.
* Be sure to check definite repossession laws pertaining to your state.

How to Write a Quick & Easy Car Repo Letter

How to Find Bank Repo Cars and What You Should Know About Buying Bank Repo Cars

More and more people are looking for bank repo cars nowadays. We have heard of how we can get cheap vehicles by buying those repossessed by banks or other financial institutions. We have also heard of how some are sold for as low as 10% of their current store value. However, to categorically benefit from this source of cheap vehicles, one must know 2 things: where to find them and what to look out for.

Bank repo cars - How to find them

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The repossessed vehicles are typically auctioned off in whether communal auctions or dealers' auctions. The latter requires participants to possess a dealer's license. Such auctions are sometimes advertised on local newspapers. Spend a few minutes each day flipping straight through classified ads and you may just spot one or two. Someone else way to find out about these auctions on bank repo cars is by calling the banks. This will take a wee more time and Pr skill as not all the employees may have the information and you may have to speak to dissimilar people to ultimately get to the right man to talk to. Finally, you can use online services to crusade for bank repo cars put up for sale or auctions in your area. Most of these services fee a one-time membership fee and are able to furnish you with modern information on these sales.

How to Find Bank Repo Cars and What You Should Know About Buying Bank Repo Cars

What you should look out for
There are many things that one needs to be aware of when participating in such sales or auctions. We may not be able to cover all here but just to give you an idea of the more prominent things to note:

1. health and history of the vehicle. Bank repo cars are repossessed in a range of ways, sometimes, without the owners' pre-knowledge. And depending on how the former owner takes care of the car, the health of these vehicles varies. Some auctions have a preview duration when you can check out the cars you have in mind. Bring along a mechanic if you are not so customary with car inspection. Also, you should get a car history record using Carfax. The record will tell you many details such as any former accidents or repairs done to the vehicle. You may need to spend some money on these but trust me, it is well worth it in the long run.

2. Setting a budget and stick to it. Some people ended up overbidding on a car because they didn't set a concrete budget beforehand. A good guideline that I will use is the wholesale price of the car minus the cost of some minor refurbishing that might be needed for the vehicle.

3. Read the fine prints. It is all the time wise to check for any inexpressive costs or warranty issues before you even start bidding on bank repo cars.

How to Find Bank Repo Cars and What You Should Know About Buying Bank Repo Cars

3 Ways to Get a Car Loan With Bad credit & No Money Down

If you have bad prestige you have probably been to more than one car dealership that has turned you down. This is very base that population don't accept the opinion of the first car dealer and so they go seeing for a second opinion much like many population do with doctors. We just don't like to hear the bad news and were seeing for man that will tell us what we want to hear.

Here are three ways that you can get stylish for a bad prestige car loan without having to put any money down.

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1) If you have a local bank or prestige union that you have your checking catalogue with, you may be surprised to find that they will absolutely offer you a car loans so long as, you have a cheap median equilibrium and don't ever have any overdrafts. You will have to have a garage place of home that you have probably been added for at least two or three years, you will need to have been eager job for a primary estimate of time, and the price of the car needs to be within clear guidelines. These guidelines will report to the loan amount. The loan estimate versus the loan value. Getting a car loan with no money down using a local bank or prestige union, means that you will have to find a deal on a car that is priced at or near loan value.

3 Ways to Get a Car Loan With Bad credit & No Money Down

2) Buy here pay here car lots are not the cheapest place to buy a car, however financing is very easy. Some places do not even have a prestige check and don't absolutely even have any requirements whatsoever, other than having a down payment. The only way to avoid a down cost when buying a car at a car lot that finances their own cars, is to have a trade-in that is whether paid off or has primary equity. This is not the best option for you if you want to save money and get a good deal on a car, however, I mentioned this facts in this record because buy here pay here car lots are commonly carefully as an option when you have prestige problems and need a car.

3) Online loan associates that are legitimate, can offer you finance saying with no money down and guidelines and lending standards are quite a bit separate from those that you will find when using a local bank. These types of lenders work only with population that have bad credit, and are in company just to help population out there that have bad prestige and can't get financed at a car dealership. This is by far the easiest way to get a fast approval, get lower monthly car payments, and a better interest rates. One of the great things about using a aid like this, is that you can pick and choose what model and make of car that you want, without being little to what just one car dealership has to offer.it is much easier to get a no money down car loan when you are able to shop colse to and find a good feel on a car. When you can do this you can find good deals and local classified newspapers, business transaction hunters, and even on on line auction sites.

3 Ways to Get a Car Loan With Bad credit & No Money Down

Buying a Car at a Southern California Auto Auction

What could be great then cruising to the beach in your brand new car you just purchased at a southern California auto auction? Knowing you saved some thousands dollars compared to what you would have paid if you bought your new car at a dealer may make your touch that much greater. And that's the whole point of buying a car at an auction, recovery money.

If you've never attended an auction but are intrigued with the idea you do need to be aware of the advantages and disadvantages of purchasing a car at one. You don't want to rush into your nearest auto auction without knowing what to expect. This can be a good way to end up with a car you may not have indeed wanted.

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The first thing most auction beginners want to know is why are the vehicles offered are so cheap. Most of the vehicles are being auctioned off because they have been whether repossessed by a lender or they were seized by federal or local law obligation agencies as a ensue of a criminal investigation and arrest. These vehicles take up space and cost money to store, therefore those institutions that find themselves overrun with cars, trucks, and Suvs want to plainly cover the cost of processing these vehicles and sell them off to the lowest bidder.

Buying a Car at a Southern California Auto Auction

If you are thinking of attending an auto auction in southern California here are some advantages and disadvantages to take into consideration. First we'll look at the advantages.

1. Cheap cars - This, of course, is the whole reckon of buying a vehicle at auction. The starting bids are very low and most population drive away with a car that they purchased for some thousands less then it is worth. In many cases population save up to 90% off what they would pay at their local car dealer.

2. Slightly used cars - Many of the vehicles being offered are relatively new and in good shape. In fact there may be cases where you can find cars less then a year old that have been small used. You will also be able to find all makes and models.

3. Car histories should be provided by the auction assistance - This ensures that the car you select to bid on and hopefully buy has a clear title and has not been previously damaged.

4. Ownership - When you place a winning bid you will need to pay the full amount. But once you have made payment you own the car outright with the title in the glove box.

Some disadvantages to buying an automobile at auction.

1. All vehicles are sold "as is" - This means once you pay for the car it and any problems it has is all yours. There is no warranty or warrant with auctioned cars and you can't return it.

2. Beginners up against tough competition - If this is your first auto auction be forewarned that you will be up against auction veterans who are very experienced at assessing and bidding on cars. If you can find a friend or family member who is customary with car auctions to go with you and help you work straight through the process.

3. Your time - Taking the time to study the cars or cars you are concerned in is an leading part of the process. There is also the time required to fill out the critical paper work and traveling to and participating in the auction. This is where the online auction services can be helpful. They supply one stop data about auction dates, catalogues of vehicles being auctioned, study feature that let you check on a cars past history, and in many cases the capability to bid online.

A southern California auto auction can be a great way to save money on your next ride. If you take your time to do the permissible study you will soon find yourself cruising to the beach in your brand new car.

Buying a Car at a Southern California Auto Auction

What Does Your Car's wholesaler Do?

Hello and welcome back to our mini-series on automotive tips and how to guides for the midpoint Joe. This is a great series of articles if you are new to auto mechanics or maybe you just want to understand a microscopic more about what all goes on under the hood of your car. We've spent a lot of time on tools, but in today's article I'm going to go over your car's distributor. It should be noted that more and more modern car's are switching to distributorless ignition systems which we will be face in a later article.

The function and purpose of the jobber is pretty direct. It takes the spark that is generated by your car's ignition coil and distributes it out to the individual ignition wires at the allowable time to generate combustion inside the combustion accommodation of each cylinder. Roughly all distributor's use a jobber cap, and either a rotor or a set breaker points and condenser to facilitate the distribution of spark energy. As the rotor in the case of most modern cars swings across it's circular arc, the tip of it makes electrical sense with the jobber cap to send the electrical current to the ignition wire and later the spark plug. A points ideas works in much the same way, but a points jobber ideas has some very considerable drawbacks and hence forth aren't used in modern cars, and even in cars that have been built over the past 30 years. Any problems with sense or oxidation on either of the rotor or jobber will cause random misfire issues and are commonly the cause of random misfires. Sometimes random misfires can be caused by other problems such as a bad jobber operate module or cracked coil, but 9 out of 10 times, it's commonly just the cap or the rotor.

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What Does Your Car's wholesaler Do?

What Does Your Car's wholesaler Do?

Car Ding fix

A car ding repair is easy to do if you have a good auto ding repair kit. Such repair kits are not so expensive; about and it's genuinely easy to used. Such automobile ding repair kids can be purchased at most stores selling car parts or car accessories. The task you have to do is to pull or take off glue from the outside on all panels of the car and most of these cheap ding repair items for sale today are genuinely working for this purpose if the dents or dings are not too big. For small and medium dents or dings, ding puller devices provides a simple, cost effective removal. Fortunately there is no need to access the underside of the panel.

We see a trend today that more and more car industry are using light gauge sheet metal in the building of vehicles. In fact, it is not difficult to dent many new cars by simply leaning against them. The nice things about these dent/ding out, glue puller kits are that they give the do-it-your-selfers and car amateur enthusiasts a pro selection to costly dent dismissal services.

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There are also distinct kinds of ding or dent repair kit and each of them offers a tool for exact damage. So you must know which repair kit you need for fixing your exact problem. This is no big deal however, because the only thing you have to do is to tell the sales person in the auto part or accessory store what you'll need to do and he or she will find the dent fix kit for your needs. To cover yourself completely, you can buy any of them, thus having a tool for any ding or dent problem your car might incur. If you buy three distinct ding or dent fix kits, you'll have what you need for all types of dent repair.

Car Ding fix

How to use these kits? Here is what you do:
apply a bead of glue to the pulling nib affix the nib to the bottom area of the dent you're going to fix the ding repair tool slips over the threaded stud a wing nut tool is threaded down pulling the metal up as soon as the dent is pulled out, a couple of drops of a release agent that regularly is included in the kit is applied to the glue and the pulling nib will come right off.

These dent fix kits are uncostly and easy to use and they will not damage your factory finish.

Car Ding fix

How to Check a Used Car For Transmission Problems Before You Buy it

The first most importantly thing to do is ask the salesperson for the used car history records. By doing this policy may save you some time and money. If the used car history article shows that the car in fact was a rental vehicle or has been complex in an accident, there is no point to even finding at it any further recommend. Ask the previous owner or salesperson if any repair has been done to the transmission. If the automatic transmission has already been rebuilt, try to avoid buying such a car. By saying that...not suggesting that all rebuilt transmissions will have problems but in some cases they work even great than before. The problem is that not all transmission shops can do equally the same high ability job. And since there is no way to verify if it was rebuilt properly or not, it's great not to take chances. Other thing to be concern about is, ask if the used car you are finding to buy was not used for any towing purposes. Many vehicles that have a towed history like an example towing a trailer. Have much greater risk of having a worn out transmission because of the use for towing that can put a sustainable amount of strain on the transmission over time.

How To Check An automatic Transmission

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You should first get started by checking the transmission fluid level and condition. With the engine idling, transmission in "Park" (some cars may have dissimilar procedures, refer to owner's by hand if needed) remove the automatic transmission dipstick and wipe it off with a clean cloth. Then insert it back in and pull it out again. Check the fluid level, low level may indicate a transmission leak. Pay close attention at the fluid very closely. It helps to drip the fluid on a white paper towel to be able to see fluid condition. The fluid on the paper towel should be clean and transparent, without any metal filings or black flakes. New fluid ordinarily comes out red. Over the time in use it become more of a brownish of color, but it shouldn't be black. Try to smell the fluid. It should not have a burnt smell. It may seem to be difficult to tell at first, but after you check a few similar cars, you'll be able to pin point the unlikeness with ease. If you eye that the transmission fluid is too dirty or black, or smells burnt, avoid buying such a car. Keep in mind, however, that some contemporary cars naturally don't have the transmission dipstick and wish extra procedures performed in a shop to check the fluid level. In this case, the only way to check it is by doing a test drive.

How to Check a Used Car For Transmission Problems Before You Buy it

Automatic Transmission Indications Of possible Transmission Problems Overview

One of the indications of a transmission problem is delayed engagement, when there is a long delay between the occasion you shift the shifter into "D" (Drive) or "R" (Reverse) and the occasion the transmission kicks in. It's easier to note delayed engagement after a car was sitting for a while: With the transmission in "P" (Park) start the engine, and wait until the engine rpm has reduced to normal level (650 - 850 rpm). With your foot retention down the brake pedal, shift to the "D" (Drive) position. Almost immediately the transmission should engage - it feels like the car wants to creep forward. This should happen very smoothly, without a strong jerk or clunk. Shift to "N" (Neutral), and the transmission should disengage. Now, still retention the brakes, shift to the "R" (Reverse) position. Again, the transmission kicks in Almost immediately - you will feel the car wants to creep backward. This also should be very smooth, without a jerk or clunk. Now, still retention the brake pedal down, try to shift from D to R and back. There should be no strong jerk or clunk. If there is a paramount long delay (more than 1 seconds) between the occasion you shift and the occasion the transmission kicks in, such a transmission might be whether too worn or has some problem. If you feel a strong jerk or clunk while shifting, the car may have a transmission problem, avoid such a car.

With the shifter in "D" (Drive) position drive gently, with smooth and gradual acceleration. Until the vehicle reaches a speed of 30-37 mph (50-60 km/h) or you should feel the gears shifting at least twice (from first to second, and from second to third gear). All shifts should be done very smoothly, without jerks or slipping.

You should be able to feel when the transmission shifts by the tiny change in the engine tone or change in engine rpm. If the transmission is severely worn it may shift with quite a strong jerk, shudder or a delay (especially from first to second gear). Driving at a speed of 25-30 mph (40-50 km/h) if you press down the accelerator pedal for a few seconds, you should feel downshifting to the lower gear, if the automatic transmission works properly.

While driving at 60-70 km/h or 35-45 mph on a level road, without using the accelerator, switch overdrive On. You should feel an up shifting to the next speed. Switch it to "Off," and you should feel a downshifting.

Another thing to watch out for that may indicate the transmission has a problem is the slipping. When the transmission is excessively worn it may slip - which means you press the accelerator, the engine rpm increases but the speed remains the same. While during a test drive you feel any problems such as the transmission seems to be slipping or shifts with a jerk or shudder or if the transmission got stuck in some gear, or has trouble shifting into a singular gear (for example, from second to third), You should avoid buying such a car. Always try to test drive the car as long as possible. Often the transmission may work well when it's cold but when it's warmed up it starts giving troubles or vice versa. So, it is great to spend more time checking the transmission wholly than later repairing it at your expense. ordinarily there should be no shudder, no noises or any kind of strong jerks at any speed and at any engine temperatures while any shifting is going on. If the salesperson tells you that the jerks or shudder or any other abnormal transmission behavior is "normal" for this car or it's just because the car is cold or anything alike..., don't trust them. If the "check engine" and, or a flashing overdrive light comes on while driving, have the vehicle inspected with a certified mechanic before buying a vehicle.

How To Check An by hand Transmission

You should first check for oil leaks. There should genuinely not be any leaks. Now, shift the transmission lever into neutral. Apply the parking brake. With the engine idling, press the clutch pedal all the way, hold it down, and listen for noises. Then publish the pedal and listen for noises again. There should be no loud noises at whether positions. The next step will be to take the car for a test drive. Try to drive the vehicle at dissimilar speeds in all gears, one by one. Every gear should shift smoothly and genuinely without any noises or jerks. While driving at the second or third gear, try to press down sharply on the accelerator pedal for an instance. The clutch should not slip. If you feel any slipping (example like... The engine rpm increases but the speed remains the same), then the clutch most likely has to be replaced. Try to drive with acceleration and deceleration there should be no grinding, whining or humming noise under any health circumstances. All the gears should shift genuinely and noiselessly free.

How to Check a Used Car For Transmission Problems Before You Buy it

Remote Car Starter Buying Guide

My store has been installing Remote Car Starters since the early 1990s. This caress has taught us what is important in a ability remote starter installation. With the cold season practically upon us, we plan it would be a good time to post our Top 10 List (in no particular order):

10. Warranty

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The actual remote starter brain should be warrantied for as long as you own the car. Many ability associates offer this. If they do not, it is a potential sign of inferior equipment. Remote controls, however are rarely warrantied for more than a year. Our Pro line remotes carry a 2 year warranty and all our 2 way remotes have a exchange plan.

Remote Car Starter Buying Guide

9. Engine Speed Sensing

A good remote starter should have some formula of monitoring the Engine Rpm's. Why is this important? There are a consolidate reasons:

* On a very cold day, the car might not start on the first turn of the key. The same is true with a remote starter. It might not start the first time the starter does it's thing. Without a formula of sensing Engine Rpm's the remote starter will have no way of knowing that the vehicle has failed to start. The end ensue is that you go out to your car and it is still cold.

* The other main fancy is over-rev protection. A ability remote starter will know if the Engine speed is too high and shut off. A remote start that does not offer Rpm sensing cannot know if this level is exceeded and could end with damage to the vehicle.

8. Transmitter Range

You want to make sure that the remote start that you are buying will allow you to start/stop/lock/unlock, etc from a long distance. Many population say that they just park their car right surface of their house and do not need a long rang transmitter. Just keep in mind the trips to the movies, the mall, the amusement park, etc. You will want to use your remote start then also and you will not be parked as close as at home. Our transmitters offer a minimum of 800 feet and some are over a mile!

7. Hood safety Switch

Make sure that there is an emergency cutoff installed under the hood. This cutoff is designed to preclude the vehicle from remote starting if the hood is up. This protects you and your mechanic from forever having man else open your ketchup bottles! Do Not Overlook This! Many shops skip this step because it saves time. Mobile Edge integrates a hood cutoff on every particular job.

6. Manufacturer

Make sure that the constructor is a firm that specializes in remote car starters. There are many associates out there that plainly throw a label on a goods and call it their own. You want to avoid that. It is our caress that these associates supply small if any reserve for their products and many will not be in firm next year. Stick with the experts.

5. New Car Warranty

Do not let your car dealer tell you that an aftermarket remote car starter will void your warranty . This is against the law. The Magnuson Moss Act prevents a dealer from voiding a warranty plainly because of the addition of aftermarket equipment. If that tool or related factory causes damage to the vehicle, the dealer does not have to warranty the job. This is more of a fancy to go to a scholar shop that sell good remote starters and installs them professionally. I have a detailed Pdf on this subject.

4. Do it Yourself?

Unless you are a certified technician with caress in remote car starter installation, Do Not exertion to setup your own remote starter. I know... The one you saw at WalMart comes with an instructional video. That video will teach you sufficient to make you dangerous. Trust me! It will not teach you how to consolidate the transponder in a 2004 Ford or bypass the safety in an 06 Trailblazer. The instructional video may have worked in the early 1990's, but today's cars are very sophisticated. Save yourself a ton of cost and ill and have it installed by man who does this for a living and can be responsible for the job. This brings us to whole 3.

3. Buy it Here / setup it There?

Do not buy your remote starter on eBay (or WalMart or Amazon, etc) and expect to find a quality, reputable shop that will setup it for you. While many aftermarket shops will setup stereos and amps purchased elsewhere, few if any will setup a remote start purchased elsewhere. while remote starter season, the good shops are busy sufficient trying to keep up with their own work. If you find a shop that will setup man else's remote starter, they are likely not very busy. Do you want to trust your vehicle to that guy?

There is an additional one very important fancy not to buy a remote starter at one place and have it installed at another. Let's say something goes wrong. A remote starter is an electronic goods and can fail. The guy that puts it in will blame the goods and the constructor will say that it was installed wrong. Guess who is stuck in the middle with no recourse. When you have the shop that you buy a remote starter from setup it, you have one place to go in the event of a failure. There cannot be any finger pointing.

2. Go to a Specialist

Look for a specialty shop. Not to bash any of the chain stores, but they have a much higher turnover rate with installers than a specialty shop. These are population that likely have less caress than a long term laborer at a specialty shop. It is my caress that many installer "cut their teeth" at a chain store and, once they have more experience, move on to a scholar (We pay more!).

Many specialists (not all though) will solder all of their connections. I feel that this is very important. Crimp connectors can save up to an hour of factory time, but when dealing with the vehicle's electrical system, I want a rock solid connection. The only way to get that is by soldering the wires together. Mobile Edge has soldered every association on every job for nearly 15 years.

Will a remote starter from a specialty shop cost more than from a chain store? Sometimes yes. But put that into perspective. Even if the job cost 0 more from a specialist, that inequity is less than 1/10 of 1% of what you probably paid for your car. Why take the risk. Not to mention, when you deal with a specialist, you can talk to the installer, salesman and, in many cases, the owner. There is absolutely a value in that.

1. More than Just a Remote Starter

Make sure that you describe all of the convenience features that can be added to your remote starter with your salesperson before the installation! Most higher ability remote starters will allow a ton of cool features to be added or controlled from the remote. Whatever from heated seats to keyless entry and rear defrost can be integrated with most better systems. It is A Lot cheaper to have this done at the time of installation. If you want to add it later, you may be paying for any hours of supplementary labor.

The bottom Line

In summary, the cheapest price does not always save you money! When choosing a shop to have a remote starter put in, ask a lot of questions. How long have they been in business? How much caress do their technicians have? Do they have sophisticated computer programs to aid with installation? How do they cope warranty issues? You get the idea. The better shops will clearly rise to the top. They might cost a small more up front, but that extra cost will pay dividends in ability and piece of mind. I am sure that you will find that Mobile Edge is one of the best shops for your Remote Car Starter Installation.

Remote Car Starter Buying Guide