Ford Fusion v. Lincoln Zephyr: Worth the Premium?

Not too many people compare models from the same manufacturer, it is simply something that just isn't done. Still, when the models are similar enough in development, yet very different in price, the question to be asked about the more expensive car is this: is it worth the premium? Both the Ford Fusion and Lincoln Zephyr share the same platform along with the Mercury Milan. The base price differential for the two models is nearly ten thousand dollars, quite a big difference for the two cars. Is the Zephyr overpriced? Or, is the Fusion that much more of a better buy? Or, perhaps the answer lies somewhere in between. Let's check out the two cars and see how they compare.

The Ford Fusion is a welcome addition to the Ford line up as the venerable but aging Taurus leaves the fleet. Along with the full size Five Hundred sedan and the Freestyle crossover vehicle, these new models are part of the overhaul changes put in place by Ford to get the brand moving again.

Ford tapped its relationship with Mazda to build the Fusion. Borrowing the well regarded Mazda 6 platform, the Fusion, Zephyr, and Milan all share the same platform and many of the components. As mentioned earlier, the Lincoln Zephyr is priced nearly ten thousand dollars more than the Fusion.

So, what are the differences between the Fusion and Zephyr? Unfortunately, not that much. Both cars come equipped with a 3.0L Duratec V6 paired with a six-speed automatic transmission. In each model the engine produces the same 221 h.p. and the same performance results are achieved. This isn't bad, but it is disappointing that Ford engineers did not tweak the Zephyr enough to distinguish it from its more pedestrian sibling.

While under the hood differences are not present, there are some differences in the ride. As typical with all Lincoln products, the Zephyr's suspension system is tuned for a gentler, more luxurious feel. According to Lincoln, the steering has also been modified to give it a above average assist.

Next, the interior has been upgraded to include real walnut trim, a modified dashboard with sport display, and plush front bucket seats. The exterior possesses the ubiquitous big Lincoln grille as well as larger than life tail lights and keyless entry.

The Zephyr also offers a broader standard equipment list than the Ford, including a premium sound system, power heated front seats, and traction control. Still, a the top of the line Fusion SEL offers similar equipment options for a much lower price.

Ultimately, what it comes down to for potential buyers is this: would you be satisfied with a fully loaded Fusion SEL or are you willing to pay a premium for the Lincoln with a more luxurious trim level and a softer ride? A judgment call that only you can make despite the huge price differences between models that vary little from each other. 

Car Leasing Basics

Over the past few years, the popularity of car leasing has soared. When you compare leasing with buying a car and suffering the humongous monthly installment fees, leasing provides a better and more viable financial option.

For auto leasing, you need to know the tricks of the trade so that you will not end up paying more than when you directly buy the car. There are car dealers and manufacturers who can give you your money's worth if you want to go for this option.

You will get a better deal out of the car dealers if you appear knowledgeable about the auto leasing industry, so read up.

'Auto Leasing Defined'

You would "lease" a car by paying for the costs by which the vehicle depreciates in value. You can calculate depreciation costs by subtracting the car's value by the time that the lease ends, from its original value. There are cars which depreciate more than other brands. The rule of thumb is, the smaller the amount that your car depreciates, the lesser the costs to lease.

Once you decide to go for leasing over buying a vehicle, you may choose the one with the least depreciation value.

If you decide to go for this option, you need to learn about "lease term". This is the number of months that the vehicle is leased. Typically, leases last for 24, 36 or 48 months, depending on your contract.

'Leasing or buying: Which option is kinder to your pocket?'

-Automobile leasing requires you to have a good credit, so if your credit score is low, it is better to go for buying.

You may even be disapproved for a lease if your credit history is not good. Or, at the very least, you will be required to pay higher monthly dues.

-Leasing companies would need to profit from you.

They will invest capital on buying the car, then lease that car out. Just like with any loan, their money shoudl earn interest so you better consider this as well when considering the advantages of buying.

-Make sure that you get the best deal out of car leasing by comparing the monthly costs with the interest rates of your local car dealer.

By making a note and comparing both prices, you would more or less have an idea of which option to go for.

'Car Leasing Tips'

- When deciding on the model or make of the car that you will lease, choose the Japanese and European cars. These are basically the brands which have lower depreciation rates, as compared to the American vehicles.

You will find out that most luxury cars have the lowest depreciation values. Research, visit a local car dealer in your area or ask friends who are currently leasing cars. They should have some great tips to share with you on how to get the best deal out of leasing cars.

-Leasing a car may put a big dent in yur budget when it comes to car maintenance. You need to make sure that you are a "car-friendly" user when you opt to go for auto leasing.

-Definitely go for leasing if you are the type who wants to own the latest cars in the market. In the long run, leasing will be a better option for you as compared to buying the latest car model then trading in or selling the old one that you have.

-As much as possible, choose a shorter lease period. This is so that you can optimize the warranty of the vehicle.

-Finally, avoid the long-term leases, because the car's value will decrease by the time the lease ends, and this is mostly when engine problems begin. 

Tips On Finding A Good Lender

Much like the bad credit home loan market, the bad credit automobile loan market is a crowded and competitive arena. If you find yourself in the position of needing a bad credit automobile loan use caution in selecting your lender.

While most lenders dealing in the bad credit car loan sector are honest, there are those who skirt the law with predatory loan practices.

Knowledge is the best defense against these dishonest loan agents. Know more about your own credit than the lenders do. Arm yourself with a recent credit report and FICO score. If a lender says he has different information about your credit than you do, ask him for his sources.

If at all possible deal with a financial institution where you already have a banking relationship. Many banks and credit unions will help you apply for "second chance" programs. They know that when they help their customers in the short run they will retain the business of those customers in the long run.

Be Careful With Who You Apply With - Be extremely cautious when responding to any solicitations from bad credit lenders no matter how those solicitations are received. Do not give any sensitive personal information to a lender until you have checked the company out with the Better Business Bureau.

The best course of action is to initiate contact with a lender yourself from a list you have compiled through the Better Business Bureau and personal references. Don't be embarrassed by the fact that you are having to inquire about a bad credit automobile loan. Many lenders make more money off of their bad credit customers than off of their more credit worthy customers.

Find out the current interest rates - Interest rates fluctuate from day to day, so check them often. Depending upon the state of your credit you can expect to pay from as little as 2% above the average rate to as much as 17% above the average rate. Rates above this are in many cases illegal. Watch out for lenders who charge the legal rates but tack on an assortment of finance charges and prepayment penalties

Research The Price of Your Car - When you have narrowed down your car choices, research the value of the different models. The price of a car being financed with a bad credit loan may be a little higher than the same car for a good credit loan, however, the difference should only be a few hundred dollars not a few thousand dollars.

You can become trapped in loan if the dealer inflates the price to the point where the car is financed for more than it is worth. Just as you will shop for your car, shop for your lender and let all of them know that you are talking with more than one company. If you think a lender can do better, state your case and ask for different terms.

Any reputable lender will put its proposals in writing with all the blanks filled in. Further, you should always be allowed ample time to read all of the loan documents. Walk away from any lender who pushes you to sign something that you haven't had time to read. There are compromises you will have to make because you need to obtain a bad credit auto loan.

These compromises don't include being taken advantage of by a predatory lender. A bad credit auto loan should be a stepping stone to reestablishing your credit not a trap that may result in additional credit difficulties.