NJStateAuto, Author at NJ State Auto Used Cars

Autotrader says “Don’t Panic” over Loan Defaults and Car Repossessions

Jonathan Smoke is the chief economist at Cox Automotive.

Fact: Car reposessions are not above normal levels. So don’t worry.

In today’s market, the deterioration of consumer credit, and auto loan performance, in particular, is a worrying sign for industry watchers. In the context of high inflation and with the Fed intent on slowing the economy and weakening the labor market, there are indeed clear signs of stress in the system. Continued jobless claims are increasing, up from their historic lows.

Auto loan delinquencies are also continuing to rise, and auto loan defaults are growing as well. As a result, car repossessions are also increasing, but they too are rising from record lows. Through any economic cycle, increases in defaults and repossessions are a normal, expected occurrence.

Manheim Auctions are not flooded with repos

At our Manheim auctions, the volume of repossessed vehicles sold has increased in 2022 compared to 2021 – up 3% year to date – but the total volume of repossessed vehicles sold will finish the year below 2020 and down more than 25% compared to 2019. Overall, car repossession volume at Manheim, while increasing, is not yet near red-alert levels. If fact, repossessions are only tracking back toward historical norms.

It is important to remember that auto loans normally have negative equity. These are financing products on depreciating assets. And yes, despite a period in 2020 and 2021 when used vehicles were INCREASING in value, automobiles are depreciated assets. Over time, they always have been and always will be depreciating assets. Negative equity in an auto loan is not some exotic thing – it is a very normal and planned-for occurrence.

Throughout the pandemic and still now, consumers have been putting more money down in absolute dollars and as a share of loan amounts. This is helping prevent the stronger relative equity positions from deteriorating. In fact, our recent analysis of likely equity positions on outstanding auto loans suggests that they are in better shape than normal right now. And this means that consumers often have more options if a loan falls into default, and lenders are more likely to work out an agreeable deal, reducing the likelihood that a repossession is the end result.

Importantly, the current loan portfolio is relatively healthy. The total number of loans is down (a result of lower sales since spring 2020), and the share of subprime and deep subprime loans, the riskiest loans that drive more than 60% of repossessions, are down even more. This context is just not conducive to a crisis.

The real worry in the market right now is a recession, not a tsunami of repossessions. We have been expecting loan defaults and repossessions to increase, but long-term expectations through mid-decade (2025) suggest overall defaults and car repossessions will remain within expected norms.

The year-over-year increases may be notable – and headline-grabbing – but context matters. The industry is not facing an unprecedented wave of defaults and repossessions, but the current economic environment and the possibility of a recession will certainly drive an increase in both.

NJ State Auto Used Cars

406 Sip Ave.
Jersey City, NJ 07306

Text — 201-200-1100

Call — 201-200-1100

www.NJStateAuto.com

Electric Vehicles? Will High Prices Hurt EV Adoption?

High Prices, Range Anxiety Holding Back EV Adoption as electric vehicles punished for a variety of reasons.

While the tax credits for new and used electric vehicles included in the Inflation Reduction Act will do its part in making electric cars more attractive to American consumers, Statista’s Felix Richter notes that there’s more than just the high purchase price keeping Americans from buying electric.

According to a recent survey conducted by AAA, one quarter of Americans say that they would be likely to buy an electric vehicle (excluding hybrids) as their next car. That leaves three quarters who don’t see themselves plugging in instead of filling up just yet.

And the reasons for that hesitancy are mainly threefold. As the following chart shows, it all comes down to three factors: high prices, range anxiety and charging challenges.

Used Cars Jersey City

Search Used Hybrid and Electric Vehicles for Sale in New Jersey

The value of my used car – Top 10 factors

When someone says, “I want the real value of my used car” – oftentimes what they mean is:

How much is my car worth?
What’s the value of my used car?
What can I get for my car?
How much can I get if I trade it in?

The Top 10 Factors That Affect The Value Of My Used Car

I want to know the real value of my used car

Finding the right value is not always easy. But there are 10 simple things to consider which will affect used car value.

Read the top ten factors you should consider when selling or trading your used car.

Get an Instant Cash Offer in Jersey City, NJ

Get an Instant Cash Offer in Jersey City, NJ

Driver tried to beat Holland Tunnel toll with James Bond style device

License plate black-out device used to skip $16 Holland Tunnel toll

Another driver tried a James Bond move of skipping a $16 toll at the Holland Tunnel, Port Authority police said.

Some people said, he needed a faster car like the ones at NJ State Auto used car dealer: search coupes for sale.

This device wasn’t quite like the rolling license plates of James Bond’s Aston Martin had in the movie “Goldfinger,” which Bond’s spy agency colleague Q assured him were the way to beat tolls in New York City.

An eagle-eyed Port Authority cop spotted the New Jersey license plate device and stopped his car. The person was arrested and taken to the Port Authority police Holland Tunnel Command.

The easy method of keeping electronic toll readers from detecting his front plate was simpler: He didn’t have a front plate.

But driving without a front plate is a fineable offense in both New York and New Jersey.

Toll evasion is a violation of public trust that’s even more egregious when the person charged works at an agency that uses revenue from tolls to pay for transit service.

The cashless toll collection system at the tunnel either reads a vehicle’s E-ZPass transponder or photographs the front and rear license plates so the vehicle owner can be billed for the toll. In this case, the car had no front license plate, police said.

New York Daily News

Used Cars Jersey City

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Search affordable used cars at our dealership in Jersey City. We offer special financing options. Our online credit app will not impact your credit score. Then call or text us to make an appointment to speak with our credit managers and we can help get you driving.

In the market for a used car in Jersey City? We have hundreds of vehicles to choose from! Check out our inventory today and find your dream car at New Jersey State Auto!

NJ State Auto Reviews

1. Bought an RX 350 from this dealership and couldn’t be happier! Needed a bigger car now that I’m a mom and it’s perfect. Roomy but looks good as well! Thank you to salesman Andrew for helping me with the purchase. Was in and out within a couple of hours!

2. I visited NJ State Auto last week to trade in my Infiniti QX60 for something a bit bigger. Ended up purchasing a Chevy Traverse and I am SO happy with it! The staff was amazing and the process was quick and smooth. The office was nice and clean too. Definitely recommend for all your car needs.

3. Ezzy …..best car I had KIA 4 door .. thank you so much everyone I recommend Ezzy to be your helper found me the best deals clean car NO PROBLEM EZZY IS THE MAN YOU WANNA LOOK FOR HE WILL TAKE CARE OF YOU, I’M A VERY HAPPY CUSTOMER.

GET A GREAT USED CAR – FAST & EASY — Come see Cars, Trucks, Vans and SUVs for sale below Kelley Blue Book value and CARFAX certified.
We have the banks and lenders to get you approved and driving home the same day.

And, we take Trade-Ins and We Buy Cars too.

Come take a look: NJ State Auto Used Car Dealership – 406 Sip Ave., Jersey City, NJ 07306

NJ Driver’s Licenses Feel Fake

The state Motor Vehicle Commission tweeted this month that New Driver’s Licenses and ID cards being issued have a new feel and look.

The most obvious change incorporates the MVC’s new logo and color scheme also seen at agencies and inspections stations.

But some drivers said the new documents have a different feel than the old ones — people said they feel fake.

Gone is the plastic-feel of the old license that was slightly thinner than a credit card or corporate ID. Some drivers said the new license has been rejected when they used it for proof of being of legal drinking age at bars.

The new licenses and IDs have a different feel to them and include several improved security features, said William Connolly, an MVC spokesman.

“Both changes help MVC to combat fraud and identity theft, enhance security of individuals’ personal information, and make it more difficult for fraudsters to produce counterfeit NJ licenses and IDs,” he said, declining to describe exactly what the features were for security reasons.

The change happened when the MVC switched from issuing driver’s licenses at agencies to issuing them from a central facility and mailing them to drivers, Connolly said.

New Jersey is one of more than two dozen states that switched from issuing licenses at agencies to producing them at a central license facility.

So, why the different feel?

“The improved security features could not be implemented using the old technology that was used to print licenses and IDs (in agencies),” Connolly said. “The new material and centralized production make the new licenses and IDs more secure and less susceptible to fraudulent reproduction.”

Renew New Jersey Driver’s License

Capital One Auto Loan Pre Approval – Unlock the Benefits

Renew New Jersey Driver’s License

Q: Can I renew my driver’s license online in NJ?

A: Yes, you can renew your NJ driver’s license online.

Renew New Jersey Driver’s License

There are two ways to renew your New Jersey driver’s license or photo ID. Renew your NJ license:

Online.

At a Motor Vehicle Commission (MVC) office.

If you are eligible, you must renew online. However, if you decide to request a REAL ID for the first time, you must do so in person.

Renew Your New Jersey License Online

You can renew your New Jersey license or state ID online if you(r):

Address on file is accurate (you can update your address online before renewing).
Current ID photo is no more than 4 years old.
Are not applying for a REAL ID for the first time.

You MUST renew your New Jersey driver’s license online if you are eligible.

To renew your NJ license or ID online, visit the MVC online portal and provide your:

Zip code.
Driver’s license number.
Social security number (SSN).
Email address.
Credit card information for payment. The MVC accepts Visa, MasterCard, American Express, and Discover cards.

Your renewal will be effective immediately. Once you complete the transaction, print the temporary license and keep it with you when you drive.

It will take approximately 10-20 days to receive your license in the mail.

And when you are ready to start shopping for a car, check out some of these articles below:

Capital One Auto Loan Pre Approval

Bad Credit Car Loans

Used Car Prices are Soaring

Used Car Prices nationwide are soaring and have caused inventory supply to be scarce. Wholesale auto auctions, where car dealers get their cars have seen used car prices soar this year since we entered 2021.

The average used car price of cars are up and inventory is way down.

With supply being down, prices have been moving up 2% per week according to JD Power Auto Industry reports. That’s about $300 up per week on a $15,000 vehicle.

Why is this happening? The simple answer: Low Supply and High Demand. And it may get worse as the car shortage continues and new car buyers are entering the market to buy.

Used Car Prices — NJStateAuto Used Car Lot in Jersey City, NJ

Ask a Car Dealer today and they will tell you that when they are talking or texting with customers they sense urgency from the buyers.

Car buyers that need a car know they should buy now, because if they see something they like, they may not find it again especially at that used car price. And maybe, getting qualified for auto financing will be harder as prices continue to rise.

The current inventory shortage is made even worse due to a serious computer chip shortage in the new car industry for past 2 months. Because of the chip shortage, new car production across all brands are down – that means new car dealers have no new cars, which creates even more demand for used cars.

However, it’s a great time to sell a car or get out from under a payment.

Guess What: We Buy Cars too.

Stimulus Check Update 2021

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Get your Stimulus Check Update here.

Want to find when and how the IRS sent your 2021 Economic Impact Payment?

Use the IRS web page “Get My Payment” tool to find the status of your money. So far more than 35 million people have used the tool to get their 2021 stimulus update.

Here is the web link to the IRS Search Tool to “GET MY PAYMENT”

Good Luck everyone.

Stimulus Check Update — NJStateAuto.com in Jersey City

The IRS search tool is updated only once per day and that people should not call the IRS because they said they can’t handle it. The IRS is in panic mode and is saying don’t call us because phone operators have no information. Just keep logging in for daily updates. I know, everyone wants a update on their Stimulus Check.

As of March 17th, the Internal Revenue Service said it had sent out covid relief money to more than 90 million Americans under the initial round of payments.

Here is what the IRS said on their web site:

The first batch of payments will be sent by direct deposit, which some recipients started receiving as early as March 12.

Additional batches of payments will be sent in the coming weeks by direct deposit and through the mail as a check or debit card.

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Auto Service Tip: 4 Reasons to Avoid Driving on Underinflated Tires

How Do You Know Your Car Needs Service?

Finding out there’s something wrong with your car can be equally stressful and frustrating. But if you identify the problem early on, you can tackle it before it turns into an irreversible issue. Be on the lookout for these ten signs — they will signify that your car needs immediate service.

How Do You Know Your Car Needs Service?

The check engine light is on

A glowing check engine light is never a good thing. It often signifies there’s something wrong with one of the hundreds of systems in your car’s computer. It’s not necessarily a cause for panic, but it’s a definite indicator that you should take your car in for an inspection.

There’s smoke coming from under the hood

If you’re driving and notice smoke coming from under the hood, it could be a sign that the engine is overheated. This could destroy your car if you continue to drive and refuse to service it. Pay attention to the temperature gauge. If it seems too high, schedule an appointment for a maintenance check.

The transmission seems off-kilter

When it seems like your car is having trouble speeding up, and it feels shaky or it’s making strange noises, there could be an issue with the transmission. The transmission is essentially your car’s power system, so it needs proper maintenance. If you don’t take care of it, you could find yourself stranded on the side of the road waiting for a tow-truck to haul your car away.

There are major fluid leaks

Are there any major fluid puddles on the ground underneath your car when it’s parked? The leak could be coolant, transmission oil, engine oil, or brake fluid. Or, it could also just be cold water dripping from the air conditioner. While the latter is normal, other fluid leaks could keep your car from running smoothly. Be sure to take it in to the mechanic as soon as you can.

There’s a strange noise while driving

If you hear strange noises while you’re driving, take your car to the shop. A dragging noise could be coming from your wheels, which would signify the wheel or differential bearing is failing. A grinding noise usually occurs when your brakes have gone bad, so you need to get them checked and replaced immediately.

The car is constantly shaking while in motion

A car that shakes while driving over poor road conditions is normal. But if you notice it’s vibrating on a smooth street with no obstructions, you need to take it in. It could indicate a number of issues, such as an unbalanced tire or a bad universal joint. Failing to take care of the vibration could smoke the engine or transmission, ultimately leaving you without a running car.

You’re stalling at intersections

Stalling at an intersection is dangerous. If your car is sluggish and not performing the way it was built to, it could be a sign that the spark plugs need to be replaced, the fuel filter is clogged, or something more severe is occurring in the transmission. Schedule an appointment with the mechanic to take care of this problem before it turns into something serious.

It’s difficult to start it up

If it takes more than one turn of the key to get your car started every day, something’s wrong. It could just be a bad battery, but it might also be a defective starter that needs to be replaced. Regardless of the issue, it needs to be taken care of or you’ll be using public transportation to get around.

Your fuel mileage is bad

If you’ve noticed you’re filling your gas tank more often than normal — and you’re not using your car any more than usual — there’s an issue with your ride that needs to be taken care of. A sticking brake pad or improper tire pressure could be to blame, so take it to the shop for a check-up.

Shifting gears is rough

Driving an automatic car provides a smooth, reliable shift in gears. But if it seems less efficient than usual, causing your vehicle to hesitate or jolt between shifts, your transmission needs attention. Schedule an appointment to change the transmission fuel, filters, and screens.

Schedule Service in Jersey City, NJ

If your car shows any of these signs, just bring it in to NJ State Auto Used Cars. Our maintenance workers will help fine-tune your ride and take care of any issues.

If you feel as though the damage is done and you need a new car, just head on over to our lot. We’ve got hundreds of quality used CARFAX-certified vehicles to choose from in our inventory of used cars for sale in Jersey City, New Jersey.

About NJ State Auto: Used Car Dealership in Jersey City

Welcome to NJ State Auto. We have been one of the top used car dealers in New Jersey since opening our doors in 1994, helping the general public find and buy quality Used Cars, Trucks, Vans, SUVs, and Hybrids below Kelley Blue Book (KBB) Value. If you are looking for used car bargains at wholesale prices with clean titles, then you have come to the right place. Take a look at what we have to offer in our inventory.

The NJ State Auto Auction offers Free CARFAX Vehicle History Reports. All vehicles are checked by CARFAX, have clean titles, and include the CARFAX Buyback Guarantee. We also offer auto loan financing and online credit approval.

We are the largest used car auction in the tri-state metro area, serving New Jersey, New York, Connecticut, Pennsylvania, Maryland, Delaware, Virginia, and DC. We are ranked number one in customer service for all Public Auto Auctions in the Northeast Region.

Visit Our Store in Jersey City, NJ

Buying a quality used car is a huge investment. So get the most out of your hard-earned money, and come to one of the most reliable used car dealers in NJ. Our friendly and helpful office staff is ready to answer any questions you might have. Call today and let us earn your business.

New Jersey State Auto Used Car Dealership

406 Sip Avenue

Jersey City, NJ 07306

Phone: (201) 200-1100

How to Go Farther on Every Tank of Gas

Buying gas is part of the budget for any car, but that doesn’t mean you can’t find ways to save money. The way you drive and take care of your car has a big effect on the amount of fuel you use, according to the U.S. Union of Concerned Scientists. Keep yourself from pouring all of your money into your gas tank by following these easy tips for maximizing your car’s fuel economy.

How to Conserve Fuel While Driving

Give your car some TLC

Cars consume less fuel and run best when they are maintained well. This means getting regular oil and filter changes, spark plug replacements, and tire rotations. By taking good care of your car, you can prevent future damage and also improve the fuel economy. Check your vehicle’s owner’s manual to figure out when each maintenance appointment should take place.

Drive the speed limit

Slow down — save the fast driving for the race car drivers. The Consumer Energy Center of the California Energy Commission said all vehicles lose fuel economy when driven at speeds above 55 miles per hour. As for highway driving, going 65 mph instead of 75 mph reduces fuel cost by 13 percent. Avoid driving aggressively to save fuel in both the city and on the highway by driving the speed limit.

Take advice from your smartphone

If you have an app on your phone that you can use to monitor traffic, check it before you leave the house. By doing this, you can plan an alternate route and avoid wasting gas from idling during your commute. Also consider using a smartphone app that finds the cheapest gas in your area. Not only will this save you money at the pump, but it will also keep you from wasting your time trying to find the best gas prices in your area.

Avoid idling for more than a minute

Unfortunately, your engine uses a little bit of gasoline at its initial start-up. According to the UCS, letting your engine idle for more than a minute can burn more gas than turning off your engine and restarting it. Avoid idling by checking traffic in advance, or considering purchasing a car with “stop-start” technology that automatically turns off the engine when you brake.

Carpool when you can

If you have a friend whose business is close to your office, consider carpooling with them to get to work. Sharing a ride to work with friends is an effective way to double your fuel economy. Alternate every other week for driving with your pals to save both of you money on gas.

Park in the shade

The UCS recommended parking in the shade during the summer. Not only does this keep your car cooler during warm temperatures but it also minimizes fuel evaporation. Park in a garage or under an awning during the summer if possible. This is an easy way to save you money at the gas pump.

Find a Used Car With Good Fuel Economy in Jersey City

If you’re looking for an affordable, fuel-efficient car, check out NJ Auto Auction. Here, you’ll find a wide variety of CARFAX-certified cars, giving you many options to help find the perfect car that suits your needs. Let us know if you have any questions about our inventory.

Get a Free Vehicle History Report When You Shop at Our Used Car Dealership

One of the most important steps of shopping for a used car is checking a vehicle’s history, which is why NJ State Auto provides a free CARFAX report for each vehicle in our inventory. We think it’s critical that our customers know exactly what they’re getting when they buy a used car from us.

We’re especially proud to partner with CARFAX on account of the extensive details in their signature vehicle history reports. Below is a list of everything a CARFAX report covers.

CARFAX Vehicle History Reports Cover the Following:

Major Accident
Mileage Rollback
Multiple Owners
Structural Damage
Vehicle Service History
Lease, Personal, Taxi or Police Use
Total Loss
Rebuilt
Flood Damage
Airbag Deployment
Mileage Rollover
Salvaged
Hail Damage
Branded a Lemon
Last Reported Mileage
Junked
State Owned
Length of Ownership
Estimated Miles Driven Per Year
Not Actual Mileage
Recall Information
Warranty Information

Our Jersey City used car dealership offers free CARFAX reporting on our full inventory of vehicles. In addition to providing a detailed history based on each vehicle’s VIN, we also complete a thorough inspection on every car that arrives on our lot.

If you purchase a vehicle and still find something wrong with it based on an incident not listed in the vehicle history, we have more good news. All of our cars come with the CARFAX Buyback Guarantee.

At NJ State Auto, we’re committed to giving our customers a quality experience. If you have questions about a car on our lot or our free CARFAX report program, contact us by phone or through our website. We look forward to hearing from you.

4 Reasons to Avoid Driving on Underinflated Tires

Believe it or not, driving with too little air in your tires can be risky for more than just your well-being. It can jeopardize other parts of your car and even wreak havoc on your budget without compromising any of your hardware.

Luckily, inflating your tires is quick and simple with a tire gauge, an air pump and a little time. Make sure you’re consulting your owner’s manual to find the exact pressure. By keeping the amount of air at this level, you’ll be dodging a lot of these road troubles.

Why You Don’t Want to Drive on Deflated Tires

Reduced fuel economy

As soon as you take to the road on underinflated tires, you’ll be feeling some pocketbook pain at the pump. A drop of 6 psi can make a sedan’s fuel economy drop by 5 percent. That can mean sacrificing a couple of miles per gallon, which will add up quickly during any commute.

Easier tire blowouts

You won’t be kicking yourself at the pump if you get a flat before filling up again, though. Underinflating your tires is the easiest way to kill them — the inner pieces of the tire don’t function well without the correct air pressure. This can spell immediate trouble if you’re normally hauling heavy cargo, too. If the tires are severely underinflated — any pressure 20 psi under the suggested amount — you may experience a blowout sooner rather than later.

Blowouts mean paying more to get the tires replaced, or getting into an even more dangerous situation.

Decreased braking force

The reason the owner’s manuals suggest such precise tire pressure is because the equipment is made to have the highest contact with the pavement and greatest efficiency at that level. Underinflated tires cause performance issues, the most dangerous of which is increased stopping distance. On underinflated tires, you may roll a few extra feet after slamming on the brakes. In an emergency, every inch matters, and those extra feet could mean nicking a bumper or getting into a worse accident.

Increased tire wear and tear

Even if your tires don’t blow out, having too little air in them will cause them to break down quicker. Underinflation will cause greater wear on the treads toward the sides of the tire. In the case of a Honda Accord the source used as an example, a drop in 6 psi would cause the tires to degrade roughly 25 percent faster.

Keep your tires inflated at appropriate levels to lengthen the lifespan of your equipment and keep some extra cash in your pocket.

Don’t let deflated tires stand between you and a care-free road trip. Especially with used cars, maintenance and extra care is critical for safe, cost-effective driving. For all your budget-friendly, secure driving needs, visit NJ State Auto Auction in Jersey City, NJ.