How must you use an auto loan? And how do you get it, so to speak? And two questions about premiums.

[UKTone]

I want to pay for my first used car, plates, and have the loan help with paying for full coverage insurance since I live in a city that's considered bad and things do happen from time to time. Could I do all that? Could I use it for parts I may need for the car and/or maintenance?

Could I use the loan for things not relating to my car? For example a book for school.

If something happens to my car, my premium will likely rise correct? If it's something done to my car and I get it fixed myself, it won't rise? Basically what are some ways to avoid having your premium risen and ways to lower it? I am 22 and I have never had my own car and I have over a 3.0 gpa (so I'll likely get a discount).

Also if I do make a claim, what do they really pay for? Like just for example if someone stole the water pump, starter, or battery from my car, would they pay for the part and the maintenence? I could put the battery it myself, but the other two, I'm not sure lol.

Appreciate all the help and advice.

[sccredit]

Not for ths insurance, most of the time you can do purchase price and (depending on the deal vs blue book) tax, title and license.  Most of the time you'll need to put at least TT&L down

[jackg]

I accidently saw your post and questions and thought I might be able to help a bit, here goes:

This is you 1st question:

I want to pay for my first used car, plates, and have the loan help with paying for full coverage insurance since I live in a city that's considered bad and things do happen from time to time. Could I do all that? Could I use it for parts I may need for the car and/or maintenance?

The answer to this one is complicated and I suggest you speak with someone you trust to explain how "buying a car" works, who's involved & so on.

2nd question:

Could I use the loan for things not relating to my car? For example a book for school.
Typically, NO.

3rd question:
If something happens to my car, my premium will likely rise correct? If it's something done to my car and I get it fixed myself, it won't rise? Basically what are some ways to avoid having your premium risen and ways to lower it? I am 22 and I have never had my own car and I have over a 3.0 gpa (so I'll likely get a discount).

You need to speak with an insurance agent to get your answers on this one but I will say this, you will get what you pay for. Please don't talk with any fly by night auto insurance company, go to a reputable company like State Farm for example. You will pay a lot because of your age, it won't get better until you turn 26.

4th question:

Also if I do make a claim, what do they really pay for? Like just for example if someone stole the water pump, starter, or battery from my car, would they pay for the part and the maintenence? I could put the battery it myself, but the other two, I'm not sure lol.

Again, talk to an insurance agent.

Lastly, I hope you get what you want, good luck

[StartingOver10]

Don't get the insurance from the same place you get the car - that is a sure sign of a subprime auto dealer.

Normally you don't ever make a claim on your insurance. If you do, the insurance will pay per the policy and at your age - probably drop you thereafter.

If you think that you can have the insurance pay for repairs, the answer is NO.

Insurance will pay for the repair if you wreak the car or if the car is stolen or if any other covered event happens. You don't want any event to happen to your car, especially at your age.

Insurance rates will go up if you get a ticket and if your insurance score is low. Talk to several reputable insurance agents with reputable companies.

You might consider just getting a beater type car for your first car since you have never had one on your own. Get used to maintaining a car and driving and paying for insurance until you turn 26. Then go out and get a better vehicle. IMHO.

[UKTone]

So should I get no fault or full coverage? Thinking no fault if I am supposed to avoid claims.

[StartingOver10]

Get full coverage.

The people that have issues are those that selected less than ideal coverage. Shop your insurance coverage and rate. Take the time to have the insurance agent explain everything to you and take the time to read the policy to make sure you have the coverage you think you are buying.