Vehicles are an important part of our lives and we really couldn’t do without them. But there are a lot of things to take into account before buying a car.
Having a car means we’ll have to pay for gas, maintenance, insurance and other costs that we will have to account for in our budgets.
What is the real cost of owning a car?
There are some costs that you already know will be part of your budget. These costs are gas, taxes, registration, and scheduled maintenance. They are ongoing costs, as you will have to pay for as long as you have a car, some of them are paid yearly, some monthly and some others depending on the mileage, but they are somewhat fixed expenses that every car owner is familiar with.
This is an inevitable part of owning a car. Whether it is scheduled or an unexpected repair, you need to keep in mind that repairs can easily add up and sometimes they can be quite expensive. In order to minimize the cost, here are some guidelines:
-Determine whether you should keep your car or buy a new one: sometimes, fixing up your car can be really expensive, especially if it is so damaged that you will have to get it repaired over and over again. Do your maths and determine whether it’s time for you to change it or not.
-Use the scheduled service: your car manufacturer will recommend certain scheduled maintenance checks. Make sure you do them! You can also consider an extended warranty. Check with your manufacturer to find out more.
-Shop local: if you need standard service, local shops can provide high-quality assistance and they usually offer fair prices. This, in turn, will allow you to build a relationship with a local business in case something unexpected happens. And, at the same time, you will be helping your community.
All cars need insurance. You are required to have one form of car insurance in almost every state. You can opt for the required liability insurance that covers the basics but take the time to shop around and find out what the other options are.
Some insurance companies offer good deals on collision and comprehensive coverage.
Also, consider including personal injury insurance and uninsured motorist coverage. Keep in mind that your insurance rate will vary depending on different factors, such as age, gender, driving record, vehicle type and insurance score.