General Motors, one of the largest car manufacturers in the world, has filed for bankruptcy with the American government. For as long as cars have been around, General Motors (GM) has been one of the three largest producers of cars in America as well as one of the world’s biggest car companies. Now the car industry is on its knees, and of the three biggest car manufacturers in America two have already been forced to ask the government for protection from their creditors. But what does all this mean to us?

Well, for those of us in the UK, the answer is probably not a lot. If you own a car made by GM, you don’t need to worry about the possibility that you might not be able to get parts for it in the future, as the company is still in business and hasn’t ceased trading. With the financial protection of the US government, they predict the company will be reconstructed in as little as three months. Further to this, the European branch of GM, which is responsible for Vauxhall and the German brand Opel, has already been sold off to a Canadian company who have said they will do all they can to protect the 5,500 UK jobs at stake.

For consumers looking to purchase a new car in times like these, it could well be that leasing or contract hire could be a better option than buying outright, as it gives you more freedom of choice and wouldn’t leave you in the lurch later if the manufacturer did go out of business. Certainly if you are worried about buying a car by one of the main manufacturers tied to one of the companies that is at risk such as Vauxhall or Ford, car leasing could put your mind at ease.

Whether you’re looking for a handy little car about town or a fancy new BMW, car leasing gives you a wider choice of vehicles including those that may otherwise have been out of your price range for buying outright. Your agreement takes into account your projected mileage and wear and tear, so the value of the car will not decrease over time and when your agreement ends you get to swap the car for the new model of your choice. With the car industry in such a state of disaster, it could be the best way to make sure you’re not affected by any future surprises!

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Technorati Tags: BMW car leasing, car leasing, contract hire, ford car leasing, general motors, GM, van contract hire, van leasing

Thousands of workers at Honda’s Swindon factory have returned to work after the troubles of the car industry forced its closure four months ago. The 3,400 workers have agreed to taking a pay cut until 2010 but are glad to be back at work with their jobs secure after the uncertainty of the last four months.

The factory was forced to close while the company decided on the best way of dealing with the problems caused by the global recession and the effect the economic downturn has had on the number of car sales and contract hire agreements. The motoring industry has been hit hardest of all and many car manufacturing companies are struggling to make ends meet,  but Honda’s experience could serve as a good example to the other brands still hanging in the balance. Their decision to temporarily close the Swindon factory has allowed them time to make important decisions about the future of the business as well as perform long-planned maintenance work. During the four months downtime the production lines were stripped down and rebuilt, and the entire plant was redecorated, wherever possible using existing employees with the relevant specialist skills or training. 

But not everything is good news. 1,300 workers from the Swindon factory chose to opt for voluntary redundancy when the factory closed, many of whom still have not managed to secure alternative employment. And although the employees returning to work now know their jobs are secure, their pay has been cut by 3%, or 5% in management roles, for the duration of the next 10 months. The plant is only running at 50% of its normal capacity, with a predicted total production of 113,000 vehicles in 2009, less than half the original intended number of 228,000.

In short, it’s a small victory but the company is not out of the woods yet, Honda car leasing and sales figures will have to increase significantly over the next few months if they want to avoid any further disasters. The Swindon factory is due to start production of the new Honda Jazz model in September, which should increase sales and give a clearer picture of the long-term future of the Swindon factory. Not to mention as the economy begins to recover buyers will be taking advantage of low car prices as across the board from Honda to Mercedes, car leasing and purchase prices are cheaper than ever.

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Technorati Tags: car leasing, contract hire, Honda, honda car leasing, mercedes car leasing, van contract hire, van leasing

While I was driving to work the other morning I got stuck in a traffic jam on the motor way, it was quite a lengthy one and I did begin to get slightly bored. After a while I glanced over to the other side of the carriageway, to my astonishment for at least 30 minutes every car that went pass was so nice. There I was in my heap of junk while every one else was driving tremendous cars. I mean how do they get them?

After thinking for a while I came to two conclusions, because there is literally no way that most people can afford to get brand new vehicles, especially in this economic downturn, so below are my two thoughts.

1) They purchase cars on finance which they really cant afford and then they struggle to make repayments. People go and get the best possible cars and then they cannot keep up with the monthly payments that they have committed themselves to for the next 10 years, so they end up trying to sell the vehicle and we all know that cars are always dropping in price.
2) In my opinion this is how a lot of people are getting their vehicles and it is the best possible way, something that could in fact overtake buying vehicles is car leasing. Car leasing lets you get a much nicer car than you could usually have, without paying for it all at once. You just pay a monthly fixed rate for a new gleaming car and you do not have to worry about all of the repair costs. When your contract has ended you just hand the car back and get a brand new one.

To be honest the second option sounds so interesting that I might just go and get myself a new car on a lease contract tomorrow. it certainly sounds very tempting

Look no further for great deals on van leasing and van contract hire

Technorati Tags: car leasing, contract hire, new cars

The car gadget industry is growing on how many are released every year. The most popular can be fitted and unfitted easily which is especially important when you’ve got a car contract hire. All of these gadgets are just some of my personal favourites.

The light up car signal.
A great way to tell people what you really think about them, even better write out how’s my driving, I dont really care. Brilliant for those who love a joke.

Econav
Doesn’t compete with the main rival tom-tom but it’s great for everyone who loves to be environmentally friendly as ot chooses the most fuel-efficient route to take.

Safe to keep your valuables in the car.
A perfect way to hold most of the other gadgets in. Many of these safe’s can be attached to the car without any mess however, what happens if your whole car gets stolen?

A breath tester to read the alcohol levels.
Great for a laugh on a night out or for seriously seeing if you have gone over the legal limit. Not sure having one in the car is the best idea as if you’re drunk and in your car you will still get arrested but there you have it.

Dad’s cab
I know that my dad always moans about taking me everywhere, I just wish i had the luxury of being able to afford lessons! This will leave me even more short in cash as each journey is recorded just like a proper taxi. Great idea for dad’s to get their own back.

The fan which is great for non air-con cars.
Perfect for all the cars without air conditioning in the car. A good idea for when it’s just too much in the summer.99 you cant go wrong at all.

A speed camera alert gadget.
A good gadget to have if you don’t realise that you are slightly over the limit. You have enough time to slow downl, a simply brilliant gadget. The police still roam the roads and it cant tell you where they are!

The Tom-Tom
Got to be the best gadget out there. Great for when you want Homer Simpson to be saying Doh! whenever you have missed a turn as well as avoiding arguments.

Most of these gadgets are removable which is brilliant if you are always changing cars. Car contract hire is a brilliant idea and you can carry the gadgets from perhaps a Punto all the way to as top of the range Audi with a Audi contract hire.

Technorati Tags: audi contract hire, car contract hire, contract hire, Gadgets, Technology

So you want a new car but just can’t seem to make your finances stretch far enough? Or maybe you’ve already found the car of your dreams, but know you’ll never be able to afford it. You’re not alone – the auto industry has been hit hardest of all by the recession and sales have reached an all time low. It seems no one can afford to think about investing in a new car right now.

But don’t let that discourage you – there is another option. There is another way you couldget the car you want, and you wouldn’t even have to pay upfront for it. Car contract hire or leasing agreements are a great way to choose the exact car you want and you only have to pay one manageable monthly fee.  

I know what you’re thinking, there’s got to be a catch, right? Well, actually, no there’s really not. Sure you have to sign a contract but you get to choose from whichever car you want, even those that would normally be out of your price range. In fact, the more desirable the car, the better deals you can get. It’s not like buying a new car where the value decreases with time, most contract hire agreements are based on your projected usage so they take wear and tear into account and when the contract ends you can trade it in for a newer model.

Choosing contract hire will usually also help with the running cost of having a car – often the road tax and servicing costs are thrown in to the monthly instalments so you won’t find yourself suddenly landed with huge repair bills. And being able to trade the car in every few years means it’s less likely to break down as you’ll always have the latest model.

Basically, it’s a really beneficial and financially viable way of getting a new car without the worries of buying outright – it really makes sense, especially now when times are hard. And who knows, you might end up with that dream car after all!

Technorati Tags: car contract hire, Cars, contract hire, credit crunch

The French government have just announced a €6.5bn loan to support the country’s sinking car industry. It is the latest in an increasingly long line of similar measures taken by authorities around the world to protect jobs and the economy. A worldwide slump in car sales has left even the most established car manufacturers struggling, and millions of workers in danger of losing their jobs.

In the UK there have already been significant job losses despite the government lending large amounts of money to help keep business afloat. A number of factories have had to close temporarily and the Japanese carmaker Nissan has become the latest to announce that it will be making job cuts of almost 10% of its global workforce, including 1200 positions in its UK factories.

In these difficult times of recession, it’s hard to see how the car industry is going to recover. With things the way they are, most people are feeling the strain and need to keep a close eye on their finances. It’s safe to say that buying a car is the last thing on most people’s minds, and until the economy starts to improve the motoring industry can’t do much more than bide its time.

But direct sales don’t have to be the only option for car dealers. If the problem is that people don’t have enough money to buy cars upfront, the answer could be to offer more car contract hire deals where customers lease their car on a monthly basis until the cost has been paid off. The availability of these deals means that buyers have a far greater choice when it comes to cars – they have the option to choose a more expensive car that may normally be out of their price range, which means more money for the car manufacturers in the long run.

Contract hire is a great deal for the consumer too, not only does it mean you get a wider choice of more desirable cars but the payment is in manageable instalments and there are often loads of other benefits thrown in. The contract will often include extras like servicing costs and road tax in the monthly price, so there’s less for people to worry about. Basically, everyone wins!

Technorati Tags: car contract hire, Cars, contract hire