Friday, May 24 2013 11:20 PM EDT2013-05-25 03:20:27 GMT
For a family in Lake Charles, one phone call changed everything. The aftermath of the Moore, Okla. tornado revealed the loss of a loved one. One of the children who died at a school destroyed by the tornadoMore >>
A family in Lake Charles mourns the loss of a young relative in the Moore, Oklahoma tornado.
Friday, May 24 2013 8:43 PM EDT2013-05-25 00:43:00 GMT
The Vernon Parish Sheriff's Office is looking for a bank robbery suspect. The Vernon Bank branch on Colony Boulevard in New Llano was robbed Thursday afternoon. Investigators say a black male subjectMore >>
The Vernon Bank branch on Colony Boulevard in New Llano was robbed Thursday afternoon.More >>
Friday, May 24 2013 7:33 PM EDT2013-05-24 23:33:22 GMT
A kindergartner at T.S. Cooley Elementary Magnet School in Lake Charles read 875 books in one school year. Sophia Moss is 5-years-old and she loves to read. "A lot of the days I read books. It's justMore >>
Sophia loves to read. She even wrote her own book and did her book report on it! And even though she's just beginning her academic career, it's only the beginning of her story.More >>
Friday, May 24 2013 7:24 PM EDT2013-05-24 23:24:38 GMT
Southwest Louisiana is doing its part in the Oklahoma tornado recovery effort. In Westlake, people from all over Southwest Louisiana donated items for the tornado victims. It all started with one manMore >>
Southwest Louisiana is doing its part in the Oklahoma tornado recovery effort.More >>
Friday, May 24 2013 5:51 PM EDT2013-05-24 21:51:00 GMT
The following are closures and changes in garbage collection schedules in Southwest Louisiana related to the Memorial Day holiday: Lake Charles: The City of Lake Charles will observe the Memorial DayMore >>
The following are closures and changes in garbage collection schedules in Southwest Louisiana related to the Memorial Day holiday:More >>
Local News, Weather, Traffic, Sports, Stocks, Movies on your Cell PhoneMore >>
Get local news, weather, sports, and video on your mobile device.More >>
Information contained on this page is provided by companies via press release distributed through PR Newswire, an independent third-party content provider. PR Newswire, WorldNow and this Station make no warranties or representations in connection therewith.
CHICAGO, Feb. 26, 2013 /PRNewswire/ -- A median-income household can only afford the average-priced new car or light truck in one of the 25 largest metropolitan areas in the U.S. (Washington, D.C.), according to research released today by Interest.com, a Bankrate (NYSE: RATE) company. Interest.com published a related list of how much a median-income household in each metro area can afford to spend on a vehicle.
"What this research indicates, more than anything, is that a lot of Americans are spending too much money on their cars," said Mike Sante, managing editor of Interest.com. "Car costs are one of the most controllable parts of a household's budget. For example, if you live in New York City or San Francisco, you're probably going to have to pay a lot for housing, but you don't have to pay a lot for a car. You're better off driving something more affordable and saving or investing the difference."
When calculating how much a household can afford to spend on a car or light truck, Interest.com considered three key factors that are commonly referred to as the "20/4/10" rule. That is: a down payment of at least 20%; financing lasting no longer than four years; and principal, interest and insurance not exceeding 10% of a household's gross income.
Interest.com recommends that median-income households spend no more than the following amounts on vehicle payments (principal and interest) in total and each month. For comparative purposes, the average price of a new car or light truck in 2012 was $30,550, according to TrueCar. That equates to a monthly payment of approximately $601.
Methodology: For each metro area, Interest.com calculated 10% of the monthly median gross household income in that area and subtracted the average monthly insurance premium in that area to determine the maximum amount that the median-income household should spend on monthly car payments (principal and interest).
Interest.com used its Auto Loan Calculator to calculate how much the median-income household can afford to borrow. Assumptions: 20% down payment, 48-month loan, national average interest rate, roll the sales tax into the amount being financed. The calculator is available at:
Sources: Median incomes for each metro area were pulled from the U.S. Census Bureau's 2011 "American Community Survey" (the latest year for which data is available).
Insurance costs are 2010 statewide averages from the National Association of Insurance Commissioners (the latest year for which data is available).
TrueCar provided the average national cost for new cars or light trucks in 2012.
The average rate for a 48-month new car loan came from Bankrate.com (January 23, 2013).
Sales tax rates were obtained from local governments and car dealers.
Since it was created in 1994, Interest.com has been helping consumers make smart financial decisions. Interest.com's stories, calculators and interest rate tables also appear on the websites of more than 100 newspapers in 31 states, including the Los Angeles Times, the Chicago Tribune and the Dallas Morning News.
Interest.com is owned by Bankrate, Inc., which is among the largest and most trusted providers of personal finance advice and information on the Web.