Did you just complete your taxes and receive a tax refund from the IRS? Invest in that money where it counts with a car purchase at Reedman Toll Chevrolet of Springfield. The finance department at our Springfield Chevy dealership can be of assistance. Find out how you can use your tax refund towards a vehicle acquisition.
Use as a Down Payment
The tax refund can contribute towards the car down payment. We recommend aiming for a 20% down payment, which is beneficial in a couple of ways. First, it reduces the vehicle’s remaining balance, helping you take out a shorter loan term. Secondly, a larger down payment makes you a more qualified borrower in the eyes of some lenders.
Buy Out a Lease
If you’re currently leasing a vehicle, you can use the tax refund money to buy out the lease if you wish to own the car and the lease is near its end. This option is good if the car’s Kelley Blue Book or Edmunds value exceeds the buyout price. Alternatively, you can save the money for the lease end and put the money towards a new lease contract or address wear-and-tear penalties.
Emergency Car Fund
Instead of a car purchase, you can elect to incorporate the money into an emergency fund specifically for automotive use. This can be for repairs, towing, accessories, and other unforeseen costs related to your vehicle. These may occur out of the blue, so keeping aside money for a rainy-day fund is always good.
Visit Our Springfield Chevy Dealership
Use your tax refund towards an investment that will provide years of use and enjoyment. Come by Reedman Toll Chevrolet of Springfield to browse our inventory if you’re shopping for a car. Our finance department can assist you with budgeting matters and loan pre-approval.
