For most of us purchasing a car means entering into a major financial commitment. It is even considered to be the second biggest purchase after our home.
Owning a car is not just about the purchase price, while potentially substantial, the cost of owning a car does not stop there. It is no surprise that we would all like to find ways to cut down on car expenses.
There are other costs that must be considered. These costs can be maintenance, car insurance, or fuel.
Maintenance: This is an expense that is necessary to own a car. Basic car maintenance such as changing engine oil, tires, air filters and such is a must and can help extend your vehicle’s life. By keeping up with regular maintenance, which is usually not a significant expense, you can prevent larger repair costs down the road. Follow your manufacturer recommendations on maintenance. If your car manual recommends an oil change every 5,000 kilometers, then make sure to get an oil change at that time.
An added benefit of regular maintenance is you will most likely get a better resale value out of your vehicle.
Car Insurance: Donâ€™t take your car insurance for granted. When was the last time youÂ shopped around for your car insurance? Donâ€™t just renew it, look around for a better deal. Chances are you will find significant savings by changing your insurer. Another way to reduce your insurance costs is to get a quote before you purchase a car. Certain makes and models have lower insurance costs than others. Purchase a vehicle that demands a lower premium. Better yet, bundle your insurance policies. By combining your auto and home insurance under a single provider you can get a discount.
Fuel: The type of car you purchase will have an impact on your fuel consumption but there are some aspects that are within your control. Aggressive driving can lead to higher fuel consumption which means higher fuel cost. Aggressive driving is all about rapid acceleration or sudden braking among other factors. Most new cars provide real-time fuel consumption information. Pay attention to this information and adjust your driving habits accordingly.
If you are looking for a new car, check out CAA Driving Cost Calculator. It is a very nice tool that lets you calculate and compare running costs of different cars. This will give you an idea of what to expect from a car you may be thinking of purchasing. It is always better to do your research.
Owning a car need not be a burden, all it takes is a little planning and budgeting your car expenses.