TCU Savers Club

Keep Your Old Car Running

Maybe this was the year you'd been planning to buy a new car—or at least a newer used one. But after the latest review of the family budget and a look around at the state of the economy, you've decided that you really need to keep that old car running awhile longer and in good condition. 

Here are some steps that will help you to keep rolling.

Make sure you have a good mechanic
With an older car where the warranty has expired, you're almost certain to get the least expensive repairs at an independent auto repair shop. In addition to asking family and friends for recommendations, one of the most stringent certification programs is run by the AAA, based in Heathrow, Fla. You can visit the Web site at www.aaa.com and click "Auto repair shops" for a list of recommendations. Membership in the Automotive Service Association is a good sign. 

If you're considering a new auto shop, start with a simple job like an oil change and see if you have a good experience.

Follow the maintenance schedule
Even if you never have paid much attention to the owner's manual for your car, it's time to give it a careful reading. It will set out what maintenance tasks should be done at various mileage levels. Whatever interval the manual stipulates for oil changes should be fine for most drivers. Stick to the lower mileage interval if you drive in harsh conditions. But don't ignore the often more expensive but less frequent changes of other fluids—brakes, transmission, and power steering. 

Drive carefully
How you drive your car also can affect its longevity. For instance, in cold weather, letting your car warm up while idling can damage the catalytic converter, says Mike Calkins, manager of the AAA-approved auto repair program. Instead, he recommends to start driving about 30 seconds after you start the car, but go easy on the gas pedal for a mile or two until the car warms up. Also, avoid sharp acceleration and sudden braking. 

If you have found an auto shop you trust, urge the staff to look over your car carefully whenever you come in for an oil change or other routine procedure. If your mechanic can spot a developing problem, it likely will cost you a lot less to fix now than later.

Consider starting a savings account set aside for potential auto repair. If you don't end up using it for repairs, it can become your down payment and reduce the size of a credit union loan for your next new car. The professionals at TCU can help you set up a savings plan for car repairs. Call us at 800-552-4745 or click here to visit our website.

Talking to Your Kids about the Economy

It's a good idea to find out what your children have heard and are thinking about the economy, and to reassure them if necessary. You may see warning signs that they're concerned. "They may act withdrawn, or different from normal," says Francie Alexander, chief academic officer at Scholastic Inc., New York.

"You can say, ‘It looks to me like you're worried; let's talk about it,' " she continues. "Start by listening or asking questions, and then share information appropriate to their ages and stages." 

It's important to be factual, and to speak at their maturity levels—which aren't always the same as their age levels, adds Rick Kahler, CFP, president of Kahler Financial Group in Rapid City, S.D. "Obviously you'll tell a teenager more than a four year old, but that's why you start by asking questions, so you can build on what they already know."

They need to know the situation and that you have a plan. You might say, "Mommy's company ran out of money and she's looking for a new job," says Alexander.

"You don't need to say much more to younger children, but they're comforted when they know what's going on, what might change in their lives—such as not going to the movies for a while—and that you're working on it," she says.

Children who are a little older and more mature may ask further questions. Answer them directly, but without complicated theoretical discussions that could cloud the issue.

Teenagers will generally appreciate more details. "I might tell them there'd been company-wide lay-offs, that jobless numbers were going up in the community, and that I was concerned," Kahler says.

Teaching children how to use money is an important skill in today's world. "If you haven't done that, take this crisis as an opportunity," advises Alexander. TCU has free resources and programs that can make it easy.

Copyright 2009 Credit Union National Association Inc. Information subject to change without notice. For use with members of a single credit union. All other rights reserved.