When it comes to managing a more cost-efficient household, there’s no ignoring the car. It’s likely to be the second biggest source of expenditure in your life, and one of the costliest purchases in your life. However, that doesn’t mean that there isn’t plenty of room for saving to be made. Here’s how it’s made.
How you drive it
The fuel costs are the most frequently occurring and thus the easiest to notice. Buying a more fuel-efficient car based on how you use it is always wise. Make sure you know the difference between city MPG and motorway MPG depending on where you drive for that reason. Fuel Economy can help you calculate your fuel costs, as well, so you know how to fit it better into your budget when getting a new car.
How you care for it
Though it might not be as frequent an expense, that doesn’t quite take the sting out of the repair costs when they do happen. When buying a new car, making reliability a determining factor in your purchase is important and the Reliability Index can give you the information you need to do that. Beyond that, if you’re able to invest a little more into learning how to make small fixes like replacing brake pads and spark plugs, you won’t have to invest as much in paying the garage to do it.
How you buy it
Getting a better deal when you first buy the car is just as important. It’s what determines how much you’ll be paying every month. For that reason, it’s almost always wise to consider going used with dealers like Hilton Garage. Yes, depreciation will always have taken a chunk out of the value of the vehicle. However, as assets, cars are always depreciating so it’s more important to get a better price for it than to worry about how much it’s work.
How you pay for it
It might seem much simpler to take the financing offer that the dealership offers when buying a new car, but that’s rarely the most cost-effective way of doing it. Instead, personal loans might offer more manageable terms but only if your credit is healthy enough to afford those options. Make sure that you’re always working to improve your credit by staying current with bills and loans and whittling down your credit card debt.
How you insure it
Besides the costs of repaying the car loan or financing, your insurance is likely to be the biggest cost to contend with. As such, doing what you can to reduce your premiums is wise, but you shouldn’t do it by giving yourself a lower deductible. Instead, you should look at things like black box insurance from Bell. By proving your safety on the road, you might be able to get a better insurance deal.
If you’re getting truly serious about you save and spend your money, then you simply can’t afford to overlook the car. After the costs of the mortgage or rent, it’s what’s going to take up the lion’s share of your budget. Make sure there’s a lot more left afterwards with the tips above.