You've probably come across the newest incentive for buying a new car in your local paper or radio station. Automakers know that consumers are hesitant to buy vehicles these days due to economic uncertainty, or put simply, the fear of losing ones job.
Kia is the latest automaker to jump on the bandwagon. Effective now, they're offering customers some protection if they find themselves unemployed within a year of picking up that new Rio, Borrego or Forte.
Shoppers are protected, free of charge, from a difference of up to $7,500 between the what they owe and what the vehicle is worth. With some of Kia's models now in the $40,000 range, it'll be interesting to see whether or not the $7,500 / one year limit will be sufficient. The deal covers job loss or self-employment bankruptcy, which means that even even entrepreneurs can benefit.
Question is, will this program have people running into dealerships to snatch up new rides?
Hard to say.
In uncertain times, the fear of losing ones job is likely in the same ballpark as getting rid of the trusty old family hauler, buying a new one, and then having to give it back. This news may make it easier on the conscience for some shoppers to snatch up a new ride, though the current economic environment is also likely to have many folks sinking a few bucks into that older machine and driving it into the ground.
Reaction for the press release:
KIA offers customers certainty in uncertain times
Kia is the latest automaker to jump on the bandwagon. Effective now, they're offering customers some protection if they find themselves unemployed within a year of picking up that new Rio, Borrego or Forte.
Shoppers are protected, free of charge, from a difference of up to $7,500 between the what they owe and what the vehicle is worth. With some of Kia's models now in the $40,000 range, it'll be interesting to see whether or not the $7,500 / one year limit will be sufficient. The deal covers job loss or self-employment bankruptcy, which means that even even entrepreneurs can benefit.
Question is, will this program have people running into dealerships to snatch up new rides?
Hard to say.
In uncertain times, the fear of losing ones job is likely in the same ballpark as getting rid of the trusty old family hauler, buying a new one, and then having to give it back. This news may make it easier on the conscience for some shoppers to snatch up a new ride, though the current economic environment is also likely to have many folks sinking a few bucks into that older machine and driving it into the ground.
Reaction for the press release:
KIA offers customers certainty in uncertain times