Buying a car is like choosing a faithful companion for all your future road trips.
With so many factors to consider, purchasing a vehicle can be a challenging decision.
Budget is all-important when deciding on your new wheels
Above all, you need to think carefully about one thing: your budget.
Experts at online car traders, cinch, have taken a look at some handy tips to keep an eye on your finances and help you find the best car for your needs.
Determine how much you can afford
Firstly, you need to figure out how much you’re able to spend.
Over-stretching your budget may seem easy enough when doing the deal, but in the long run, especially if you have limited savings or are faced with unexpected costs, it can put you under considerable financial pressure
Lease vs Buy
PCP or PCH? The decision to lease or buy a car through hire purchase is something you need to consider fully.
Leasing will bring your monthly payments down but may require a larger deposit, and you won’t own the car at the end of the term.
Hire purchase may cost a little more on a monthly basis but the attraction for some is that you will own the car at the end of the term.
Make sure to do your sums and subtractions and consider things such as your income, expenses and financial goals – then you’ll know exactly how much money you can put aside for your new wheels.
It may be your dream car, but make sure you find the right deal
Choose the right car for you
Once you’ve set your budget, make sure you choose a vehicle that meets your personal needs.
If you have children, any two-seaters on the market are probably a no-go – no matter how cool they appear to be.
Likewise, why invest in a spacious vehicle if you’re the only passenger riding it?
Keeping your budget and priorities firmly in mind, you can be more confident when it comes to signing on the dotted line.
What about running costs?
On average, UK motorists spend more than £2,500 per year to keep their cars on the road.
So, when jotting down your budget, make sure to take into account any extra costs.
Some of the extra bills you’ll need to face include fuel, insurance, servicing and maintenance – although the last of these is not a legal requirement.
Sam Sheehan, motoring expert at cinch, says that it may be something you want to think about.
“Unlike an MOT, car servicing isn’t required by law,” Sheehan explains.
“However, getting your car checked every so often will make sure it stays in good condition and is more attractive to potential buyers for when you decide to sell.
“A full service will assess your tyres, brakes, lights, engine oil and oil filters, bodywork, and coolant levels, and will give you much-needed peace of mind.”