It’s a no-brainer that every other individual aspires to own a car and drive to work. Needless to say, owning a car is a wholesome feeling. You don’t need to waste time waiting at bus stops or opting for expensive cab rides. However, maintaining your sweet ride is not as simple as buying one.
If you are not in a rush, I would recommend you take some time to plan how you will fund your purchase. Also, don’t jump to a decision as soon as you visit two or three showrooms.
Spend a few days researching online, visiting showrooms, and understanding where you get the best price. Also, spend carefully on overheads like car insurance. I have some simple yet effective strategies that will help you save on your car expenses, so keep scrolling…
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11 Time-tested Tips to Help You Cut Down on Car Expenses
There’s a saying: “Getting a car is first a need and then a luxury“. But you need to be aware of the budget and affordability before making a firm decision. I have listed the 11 best ways to save money on car expenses.
1. Go for second-hand models instead of brand new
Though nothing can beat the essence of sitting inside a new car, tons of second-hand cars are available that are as good as new. You can always go for an attractive second-hand ride that doesn’t report any major problems in its working.
Until the time comes when you can easily afford a brand-new car, go for a used one in decent condition. Needless to say, showroom models are way more expensive than moderately used cars. So the sensible option is to save that hard-earned money.
2. Keep the car long enough
People frequently change their cars in awe of getting a bigger and more luxurious model for their family. But this is not a very good idea. We all know that the prices of new cars keep increasing every year.
Moreover, cars depreciate quickly so it’s wise to keep them for at least five to seven years before getting rid of them. If you sell your car too soon, you will lose a lot of money on low trade-in values. So I advise you to maintain your existing car, service it well, and try keeping it for longer.
3. Do your budgeting beforehand
Just like every other retail market, the car industry is full of convincing salesmen who will compel you to buy expensive models.
To buy a car, you must first know how much you are ready to spend on it. Track your income and expenses and find how much scope you have for accommodating a car’s expenses.
Once you know your budget, go to retail outlets and see the models that fit well into your range. Don’t end up buying something so expensive that you find it hard to fund your investment. It’s a one-time investment, so make sure it counts.
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4. Know your credit score
You need to find the best possible interest rate to finance your car without feeling too burdened. Your credit score is a vital determinant of the interest rate you get. Buying a car means you will have a new debt to pay off. So a low-interest rate will save a lot of money. A mere 0.5% to 1% difference in the interest rate can make a huge difference.
Also, a good credit score can help you bargain for a better deal. So it is necessary to be aware of the advantages and disadvantages of your credit score. If you don’t have a high score, you should wait for some time until it improves and then buy a car.
5. Go for outside financing
Car dealers may not give you very good interest rates to finance your new car. Securing your financing is always a better option as you have the liberty to hunt around for the rate you want. Visit sites that can offer good rates.
You will save a huge chunk if you land at an affordable interest rate.
6. Dial up the air conditioner if the weather is good
These days, it is hard to imagine oneself driving with the windows down due to concerns like pollution. But for your vehicle’s sake, you should travel in your car with the air conditioner temperature set high. If you don’t mind travelling without the air conditioner, then it’s even better.
The survey by Ksat news shows that driving with the AC turned on can decrease the vehicle’s fuel economy by 25%. The more you run the AC, the higher are your expenses.
When you sit in the car, keep the windows open for some time to let all the hot air out. Only then should you consider switching on your air conditioner.
7. Drive sensibly
Some simple driving tips can help you save a lot of money on your car’s fuel expenses. Speeding up unnecessarily can result in a lot of fuel burn. Putting too much acceleration or even hard braking is harmful to your vehicle. This is because these habits can reduce gas mileage by about 5% in the city and 33% on highways.
Increasing speeds while travelling on highways is fine but you should accelerate gradually. If you are parked, make it a habit to turn off the engine. These simple habits will help you save a lot in the long run.
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8. Compare rates of maintenance and service costs
Car owners usually don’t realize how much money they end up spending on car servicing and maintenance. Such overheads magnify your entire budget for purchasing a new car. Minor repairs result in a lot of money wasted when you send your car for servicing.
So, comparing the service and maintenance prices of different car brands is crucial before deciding on one. Research and shop around before fixating on your decision.
9. Get the best insurance rates
A car is a massive investment second to a home. So if you are planning to buy one, you must ensure you get the best deal for it. A car loan should not be a burden to you because of the sky- rising interest rates car dealers offer these days.
Take some time to look for options like credit unions or banks that are ready to offer you a lower rate than car dealerships. This way, purchasing your dream car will not feel unreasonable in the future.
10. Keep the tires inflated
Regularly checking on your tires is essential as there are chances the pressure would decrease.
Stats say that having sufficient pressure in your tires will improve the gas mileage by 3.3%.
It is not advisable to reach the maximum pressure that you see on the tire’s sidewall. You can look up the owner’s manual to know the correct tire pressure one should set.
You can help yourself by getting a tire gauge to check on your tires every month. Driving with inflated tires will keep your gas mileage stable and help you save on your fuel expenses to a great extent.
11. Go for regular servicing
You should handle minor problems and repairs if you can. This can relieve you of the burden of
unnecessary overhead expenses that might occur if you send it for servicing. However, if your
car is bothering you with some major issues, it is best to send it to your car dealership.
Delaying such things might result in a huge bill later. Also, keep in mind to send your car for
servicing frequently, at least once in three months. This way, you are well aware of what your
car needs and when.
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Key Takeaways
Merely thinking of buying a new car will never suffice. You will naturally be excited to get your
dream car as soon as possible but hold on to your nerves and make a wise decision. One can’t
imagine the amount of money that goes into overhead expenses once you finalize a deal.
Also, being aware of what you want is very important before you step inside a car showroom. If there are only two people in your family, a tiny hatchback can suffice easily. On the other hand, if you are planning a car for your big family, shop around to find the most affordable cars that have good space.
Furthermore, simple daily driving habits can do wonders when it comes to lowering your monthly vehicle expenses. Stop idling and drive sensibly to save up money. Decide what you want and then compare the prices of different dealers.
Use your negotiating skills to get the best bargain on your purchase. Get good insurance coverage that is not too expensive. I can just hook you with the tips and tricks that can help you in your investment.
But you ultimately have to decide what is best owing to your financial situation. Do not rush, take time to compare prices, and then go for the one which suffices you the most. That’s all!
