Tax Time tax forms

How to Make the Most of your Tax Refund

Use your tax refund to better your long-term financial goals

Tax Season is almost here and if you’re expecting a refund, it’s a great time to get ahead of the game.

The Internal Revenue Service reports that an average tax refund comes in at $2,700 – $3,000, providing consumers an excellent opportunity to save time and money when it comes to their personal vehicles. If you’re a new or current customer at America’s Car-Mart, you can utilize your tax refund to make larger down payments or shorten the terms of a current note.

When you’re filing taxes, think long-term

Don’t think about the big screen TV and don’t impulse buy. New customers should really consider larger down payments to save on the overall cost of their vehicle. Current customers can work with our dealerships to reduce their term length, lower their regular payments, or handle mechanical concerns.

Tax refunds are a great opportunity for us to partner with you and create a solid plan based on your needs.

Develop a plan for your tax refund – Car-Mart can help

Whether you’re an existing customer, or in the market for a new vehicle, visit your local Car-Mart dealership before you receive your refund. Associates are also available to assist you with your filing.

Each dealership is ready to work with you in developing a solid plan for your tax refunds that will benefit you long term. Car-Mart partners with TaxMax in preparing and processing tax returns for customers.

Customers can bring in their last paystub or their W-2 and create a personalized plan, whether they’ve already filed or not.

Having a plan helps customers alleviate the anxiety and stress attributed to vehicle purchases. Each deal structured is based on individual customer needs.

Existing customers – Modify your current payment plan

If you’re currently behind on a car payment or find yourself running short in your budget each month, tax refunds are a chance to get caught up or adjust your terms.

When a customer finds that they’re consistently overextended in their budget, using their tax refund to restructure their current note for lower payments on the same terms can make a significant impact. Customers comfortable with their current payment amount can utilize their refunds to shorten their total number of payments and save a considerable amount of interest charges.

Maintenance and repairs are another area customers should consider when it comes to their refunds. Existing customers also need to consider the mechanics of their vehicle. Setting aside a refund for new tires or general maintenance is an investment in the equity associated with the vehicle. Again, keeping the end in mind, a customer should have a safe and reliable vehicle for their daily needs and that retains value for a future trade-in.

New Customers – Save money

Taking your tax refund to Car-Mart ensures peace of mind and flexibility.

Using your tax refund as a down payment on a new purchase gives Car-Mart the ability to better structure payment terms that work for each customer’s individual situation.

Simply put, the larger the down payment, the smaller the amount financed. This can mean lower payments or a shorter term, both of which save our customers money and set them up for successfully completing their contracts. We gauge our success on the success of our customers. That starts with quality vehicles and then structuring deals that can be consistently paid on time.

All Customers – Build your credit score

Credit reporting shows potential lenders what kind of borrower you tend to be. Positive credit reporting can benefit you with lower interest rates or better chances of credit approvals.

Car-Mart reports to multiple credit bureaus, helping our customers build a credit history. New and existing customers can leverage their tax refunds to improve their contract terms and create positive credit reporting; improving their access to future financing. Customers who partner with their local dealerships in making timely and consistent payments can watch their credit score rise significantly.

Your success is key – Partner with Car-Mart

A Car-Mart associate shaking a customer's hand.
Tax refunds allow us to create a custom plan to fit your needs.

Finding a financial solution for your vehicle needs shouldn’t be something you try to navigate on your own. Car-Mart takes a unique approach to finding solutions that adjust with their customers when life changes occur.

Tax season may be a dreaded time of year for some, but with a little change in perspective, there’s an opportunity to take advantage of those refund dollars and keep your money working for you.

If you need a new vehicle, you can use your tax refund as a down payment.

This will give you peace of mind and help you get the car you need. Come to Car-Mart, and we’ll be happy to assist you in finding the perfect car for your needs.

Dare to Compare – estimate cost savings over the life of your note

Customers can see how shorter terms, larger down payments, and lower interest rates will save them thousands of dollars over the life of their contracts. This is what we do for our customers. By keeping the end game in mind, offering customers flexible payment options and keeping our deals individual to each customer; the overall savings on the full term sets our customers up for success.

It’s simple – plugin the terms of your current note, or potential vehicle purchase and the Dare to Compare Calculator will do the rest.

Editor’s Note: This blog post was initially published in January 2020 and has been updated to ensure accuracy.

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