Why is Tax Season the Best Time to Buy a New Car?

While many people cringe when they hear the words “tax season,” there are others who actually celebrate at tax time. That’s because they know they’re getting a refund. And what’s not to celebrate? Depositing a refund check from the IRS is almost like getting a Christmas present from Santa Claus. It’s extra money, and most people use it as a bonus check. While there are still bills to pay, it’s not uncommon for the recipients of tax refunds to splurge on something special instead of paying down debt.


Put that refund to good use.

One of the most common purchases that consumers make with a tax refund is that of a new vehicle for the family. In fact, more than one-third of Americans who expect a tax refund spend it on car-related purchases, according to a survey in the Wall Street Journal. The influx of extra cash provides the incentive to go car shopping, and a tax refund makes a great down payment. 

Tax season is a great time to buy a new or used car.

Consumers shop for both new and used cars at tax time, but the used car market gets the lion’s share of the car sale business during this time of year. Tax season drives consumers into used car dealerships in droves. Buy here pay here car dealerships are popular because of the in-house financing options these car dealers offer. If you know you’re getting a tax refund and aren’t quite sure whether spending it on a new car is the right move, take a look at these reasons to buy a car during tax season.

Here are great reasons to buy a car during tax season.

Many dealers offer tax season specials. Many car dealers get prepared for tax season by offering seasonal specials to entice consumers to come and look around. These specials may include a lower interest rate on the loan, rebates of some sort, or other special incentives that make buying a car during tax season appealing and affordable for car buyers. 


Special loans and loan terms are often available. Often, in-house financing car dealers put together unique poor credit car loans for people who’ve had credit challenges in the past. These tax season loans may feature a lower down payment or lower interest rate that keeps payments affordable. New car dealerships also offer exclusive deals during tax season. Spring is the perfect time to get rid of last year’s inventory and start making room for new models in the fall. Many buyers find good deals at new dealerships during tax season.


Use your refund as a down payment - before you get it. Many buy here pay here car dealers allow consumers to use their tax refund as a down payment, even before they receive the refund. This is a popular program during tax season because of the heightened anticipation that goes with getting a refund. There’s nothing more exciting than the prospect of a new car, even if it’s only new to you. Many buy here pay here car dealerships make it simple for customers to make a down payment with their estimated tax refund and drive away with the “new” used vehicle that they’ve had their eye on.


Get something you’ve been putting off. It’s so easy to put buying a new vehicle on the back burner, especially when other bills need to be paid. A car is a big purchase and can feel like a splurge for some people. However, if your car is starting to show its age, is having mechanical problems, or just plain doesn’t start on occasion, it’s probably time for a new one. And your tax refund can help you over the hurdle of making that purchase that you’ve been putting off, taking some of the sting out the price tag.


Upgrade to something better. Automotive technology has grown by leaps and bounds over the past several years, and cars are now safer than ever before. If you’ve been driving a clunker that barely gets down the road, tax season - and the associated special deals that are available - is an excellent time to consider making the move to a safer vehicle with upgraded technology and safety equipment.


Where do you start your search for a used car in North Carolina?

If you live in or around Raleigh, Durham, Henderson, or Youngsville, North Carolina, then AutoMax is the place to start your search for a used car at tax time. AutoMax is an in-house financing car dealer, offering poor credit car loans for those folks who have bad credit or no credit at all. AutoMax also provides a seasonal tax program that allows customers to use their anticipated tax refund as a partial down payment on a new vehicle. Called the $89 Down Program, this program enables customers to drive a used car off the lot for a mere $89. Amazing, right?


How does the $89 Down Program work?

Here’s a rough overview of how the $89 Down Program at AutoMax works. Qualified customers come into AutoMax and use the Tax Refund Services refund estimator to determine the approximate amount of their tax refund. They can then defer up to one-third of that amount for their down payment, meaning they can pay it later when the refund actually comes in. They pay $89 upfront, along with a few other fees that may be required, such as tags, taxes, license, and document fees, and away they go in their new car!


Of course, there are a few other related rules and restrictions that have to be accounted for. But the $89 Down Program at AutoMax has helped hundreds of customers with poor credit scores get into a new car using their tax refund as leverage. For more information about AutoMax and the $89 Down Program, stop in and visit them in either their Henderson or Youngsville dealership, or visit them online today.