Los Angeles, CA (PRWEB) July 30, 2013 -- A recently published budgetary guide from McDonald’s failed to report the true cost of owning a vehicle. In a recent loans.org article, one current employee explained how his transportation costs deplete his income significantly.
The restaurant chain reported that $150 would cover a monthly auto loan payment. This estimate is staggeringly lower than the national average.
The average monthly payment for a new vehicle financed during Q1 2013 was $459 according to Experian Automotive. Although many minimum wage workers shy away from a new car payment, even used car payments cost a significant amount of money. For used vehicles, Experian reports an average loan amount of $17,532.
McDonald’s auto loan budget is off by hundreds of dollars, which makes a large impact on employees and their families. If the $150 budget cannot cover a used vehicle auto loan payment, then workers are either forced to ride the bus, walk, or get a ride from a friend. All of these alternatives become difficult for a full-time employee.
One McDonald’s employee said he takes the bus to work, but it runs late sometimes. He is then forced to decide between spending $23 for one-way ride in a cab or arrive late and risk losing his job.
He goes the safe, but costly route. His monthly transportation costs run around $90 per month.
Jim Miller, accountant and author, said if he earned minimum wage, he would live in a city where he could take a train or a bus.
But that is not an option for the 1.8 million people employed by McDonald’s worldwide.
For more interviews with McDonald’s employees and financial experts, please read the article at http://loans.org/auto/articles/mcdonalds-budget-disillusion-car-costs.
Additional articles, interviews, news and frequently asked questions about the auto loan industry are available at http://loans.org/auto.
About loans.org:
loans.org is a leading lending authority website that covers financial news, produces informative articles, and answers frequently asked questions. In addition to providing lending-related information, loans.org also hosts a variety of free online application forms for prospective borrowers to use when applying for loans.
For more information, please contact:
Rebekah Coleman
Rebekah(at)loans(dot)org
(909) 784-2465
Source: loans.org
Rebekah Coleman, Loans.org, http://loans.org/, (909) 784-2465, [email protected]
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