U.S automobile industry has faced several bankruptcies in the past one year that led to significant losses. While General Motors (GM) paid off all their debts (around $4.7 billion) recently, Chrysler Group also showed an operating profit of $143 million in the first-quarter itself. Addition to this Ford Motor Co. closed with the highest point since January 2005.

The three market players are showing positive signs of industry improvement which makes automobile industry out of recession phase. End of 2008 was a time when these market giants had cut down their production, laid-off employees and held themselves back from paying incentives. They were also trying to make product-line improvements.

Currently, auto makers are focusing on high quality hybrid and electric cars which are safer, sustainable, fuel efficient, etc.  This was not as simple as it sounds. GM had received aid of $50 billion from U.S government and Chrysler received $12.5 billion and a 20 percent share of Fiat SpA which made it simpler for them to come out of bankruptcy.

With sales rising, bankers and lenders are now ready to increase the flow of money in market by granting loans to facilitate people who desire to own a vehicle. However, one must always be aware of what credit score is and what the individual’s score is. It is highly essential when we apply for loan as this is the only medium which gives a vague idea to the bankers about the borrower’s credibility.

Now when market is reviving back, we must search for a source of income which is sufficient enough to fulfill all our needs and also enough to pay all our bills. If one payment is missed, it can put a mark on your credit score card which later will cause barriers in availing loans. Hence, start planning your personal finance as soon as possible and if you don’t then be prepared to face any difficulties that may come your way to a comfortable life.

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