How To Save Money On Your First Car

Being a first-time car buyer can be expensive. Without a previous vehicle, you have nothing to trade in. Meanwhile, not forgetting that insurance costs can be sky-high if you’re a new driver. For those that are currently shopping for a car on a tight budget, here are a few tips and tricks to help you save money on your first car.

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Buy A Used Car

If you’re looking to save costs, you don’t want to be buying a new car. Whilst new cars can be more economical and reliable, they’re much more expensive than their used counterparts. Most cars lose half their value in the first couple years of being owned – if you want something that’s still relatively new but affordable, it could be worth looking for such vehicles.

Shop Online

The internet is great for finding deals on cars. It could be the ideal tool if you’re looking for a specific type of car such as a Vauxhall (This is what we currently have) – you can search many directory sites to find a used Vauxhall near you. Sites like Facebook and Gumtree are also great for finding cheap cars being sold independently. But please, I cannot stress enough, don’t ever buy a car online without seeing it in person first. Unfortunately, there are bad people in this world and I would never want you to have a bad experience.

Consider Finance Options

Finance schemes can allow you to lay down a deposit on a car and then pay the rest over time. You usually have to pay interest on these loaned vehicles, which means paying more in the long run. That said, there are some interest free deals out there such as these Mini finance deals. You may need to have a good credit score in order to apply for finance. Always worth checking out all availble options and seeing what is out there.

Use Your Close Network

There may be a friend or family member or a friend of a friend that is selling their car. By buying through these people you may be able to get ‘mates rates’ – because they know you, they may be more likely to knock down the price. You can also trust these people usually, unlike buying from a stranger. Obviously, this isn’t always available but if the timings right and the options there…

Check The Insurance Costs

Before settling on any car, check the insurance premiums for that vehicle. If you’re a new driver, you may well end up paying more money for your first year’s insurance than you would for the actual value of the car. Some cars will naturally have cheaper insurance such as those with a lower engine size. You should be wary of very old cars that may have gone over their recommended mileage – whilst they may be cheap to buy, these cars will often come with very large insurance premiums simply because they’re more likely to have parts fail, potentially leading to an accident. You can compare insurance rates online on your phone.

You might also be interested in: Traveling By Car – Life On The Road

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2 Comments

  1. May 26, 2019 / 2:05 pm

    Do car places always on your side of the Atlantic have holiday weekend sales and stuff like that, like they do here? Two of my three cars I’ve bought were done so near major holidays, so that helped me get a better deal. In fact, I bought my first and third cars exactly 18 years apart to the day. This most recent time, the deal was 0% financing. I had enough saved up that I was planning on paying it off quickly so I wouldn’t be paying a ton of money in interest; I have a degree in math (or maths as you guys call it), so I think about things like how much more money I’d be paying over time when interest is included. But with 0% interest, I got the best of both worlds; I didn’t have to deplete my savings, nor will I be paying more money over time.

    • May 31, 2019 / 12:13 pm

      we do have deals over here but nothing that good (for what I know off) that’s amazing that you managed to get 0% interest! honestly, that’s a fantastic deal. It definitely makes sense to look out for deals like that because you can pay it off a lot quicker without a huge rate!

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