Economic Chaos and Car Costs: How to Weigh Risks in Uncertain Times

Jun 5, 2025

Elizabeth Renter, a NerdWallet data journalist and senior economist, joins car buying authority Shannon Bradley to tackle economic uncertainty and its impact on auto purchases. They discuss whether now is the right time to buy a car amid fluctuating tariffs and market instability. Tips include assessing your financial situation, understanding market trends, and managing news consumption. Listeners learn about the implications of ownership decisions and tools to analyze financing options, ensuring they can navigate the current chaotic landscape confidently.

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INSIGHT

Unique Economic Chaos And Volatility

The current economic chaos is unique due to the scope and frequent policy whiplash such as tariffs fluctuating rapidly.
This turmoil causes stress and market volatility affecting investments and everyday financial decisions.

ADVICE

Coping With Economic Noise

Tune out noise that has no real potential financial impact but don’t completely ignore the news.
Focus on fundamentals: build emergency funds, manage debt, and avoid reactive investment moves.

INSIGHT

Tariff Impact On Car Prices

Tariffs on imported vehicles and auto parts are beginning to raise car prices due to partial pass-through to consumers.
Pricing impact is just starting as dealers sell pre-tariff inventory but prices will rise in coming years.

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Learn how to keep calm and carry on with smart money moves and car buying plans amid tariffs, market swings, and rising prices.

Should you buy a car now or wait — even if prices are expected to rise? How can you navigate the financial noise of today’s economy without losing your cool? Hosts Sean Pyles and Elizabeth Ayoola discuss coping with economic uncertainty and the impact of tariffs on consumer behavior. Joined by NerdWallet data journalist and senior economist Elizabeth Renter, they explore how ongoing policy whiplash — from tariffs to spending bills — is fueling market volatility, price instability, and stress for financially savvy households. They share strategies for cutting through the noise, including setting boundaries on news consumption, sticking to the fundamentals of budgeting, and staying focused on what you can control.

Then, Shannon Bradley, a NerdWallet authority on auto loans and car buying, joins Sean and Elizabeth to discuss whether now is a smart time to buy a car. They explore how rising tariffs, depleted inventory, and market unpredictability are reshaping the auto market. They also discuss when buying makes sense, how to tell if your current car is worth holding onto, and tools to assess financing tradeoffs. Plus: used car loan interest rates, prioritizing transportation in your budget, signs it's time to replace your car, and how to budget for future vehicle purchases.

Use NerdWallet’s free auto loan calculator to estimate a monthly car payment and total loan cost: https://www.nerdwallet.com/calculator/auto-loan-calculator

In their conversation, the Nerds discuss: how tariffs affect car prices, economic uncertainty 2025, car prices and inflation, used car financing tips, emergency fund during inflation, average car payment 2025, best time to buy a car, auto loan calculator, how to deal with market volatility, economic stress coping strategies, when to replace your car, saving for a car down payment, impact of tariffs on economy, trade policy and car prices, high yield savings for emergencies, used car interest rates 2025, how to manage financial anxiety, budgeting during inflation, how to stay calm during economic turmoil, effects of tariffs on global trade, how to get a good deal on a car, Kelley Blue Book car value, how to plan for a recession, used car inventory shortage, when to shop for cars, employee pricing car deals, how to choose a car loan, and NerdWallet car buying tips.

To send the Nerds your money questions, call or text the Nerd hotline at 901-730-6373 or email podcast@nerdwallet.com.

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