1. Take out Your PMB Take notes on Your own Sheet of Paper Car Buying: Calculate how much you can afford a car payment Use the Income to Debt Ratio Formula (gross income x 42%) – fixed expenses = (total housing) $_______________

2. Before You Buy What's your budget What do you NEED in a car Gas Mileage (MPG), Reliability, mileage, Make/Model, # of seats Check Kelley Blue Book/Carfax & Consumer Reports Have an inspection on the car When negotiating be prepared to walk away from the deal

3. Find a car that fits you budget Use Autotrader.com or Craigslist to find a car that you can afford. You can finance the car for 2 to 5 years @ 8.9% APR Check your Auto Insurance (Task 7.3) to calculate your monthly auto insurance payment Figure the other expenses associated with owning a car: gas (1000 miles/ $2.79) maintenance (.35/mile) licensing ($50-$100)

4. Tips for Buying a Car https://www.youtube.com/watch?v=bLre5s2Yf9o

5. PMB - Transportation Page Use the Auto Calculator on Cars.com (click on Financing) http://www.cars.com/go/advice/financing/calc/loanCalc.jsp?vpLoan=4999&tvLoan=0&stLoan=0&microsite=false&mode=full http://www.cars.com/go/advice/financing/calc/loanCalc.jsp?vpLoan=4999&tvLoan=0&stLoan=0&microsite=false&mode=full Buying a car:Approx. Cost 5,000.00 Down Payment 500.00 Car Loan Amount 4,500.00 APR %8.9% # of years on loan3.0 Monthly Payment$157.97

6. Best Used Cars in 2014 After finding a car that you can afford, go to Consumer Reports and Kelley Blue Book to check out the test results for the car you are interested in. What are the top 10 Used Cars under $8000? http://www.kbb.com/car-reviews-and-news/top-10/best-used-cars-under-8000-2014/2000010511-4/