Frugal Lifestyle: Buying A Car

When on the market for a new car it can get very confusing quickly. As you scroll down you will be revealed a list of things to consider when making your choice for your next car purchase.

Fuel millage economy

Hybrid/Electric:

Unfortunately recent study explored though the daily mail UK’s article larger electric cars pollute as much as the tiny city gas cars that are on the market. If your looking to make a difference for the green movement it is one way of going. Although keep in mind whether it’s a hybrid or electrical car you need to keep an eye out on your battery charge. Charging stations have just started to pop up in urban location; therefore if you live out in farm land areas I strongly don’t recommend that you own an electrical car there are a lot of charging station in a reasonable radius.

People who live in northern countries like me, have to face winter. Winter for electrical cars is usually not great, my surroundings who own hybrid or electrical cars notices their battery life was substantial reduced making the car unreliable.

Positive side of owning an electrical or hybrid car is: you significantly eliminate fuel from your budget(most household have more than one car). When purchasing a brand new hybrid or electric car the government often gives a tax break, even cities have special allocation programs.

Diesel

I love diesel vehicles, they are strong and they rot before the engine dies (if you take good care of the engine*). These cars have longer maintenance interval, enabling you not to be at the shop every other week, especially if you work on the road ! We currently own an old 2002 TDI and we do 1200km on 45-50L of diesel. It greatly welcomed when gas here is budgeted as a car payment. Currently looking out for a diesel minivan to convert into out camper/dirt bike tailor puller.

The short comings of a diesel engine is especially winter, if not equipped properly(oil pan heater) you may have trouble starting it especially a -15 degrees. And if your purchasing any diesel vehicle 2007 to today please inform yourself on how the emission maintenance the vehicle requires, it will save you financial head aches in the long run. Trust me.

Gas

Although they are the most common, they are the costliest option : to run, maintenance, purchase price, gas etc. Unless you have a Toyota Yaris or Mitsubishi Mirage (or any tiny card) gas bill is probably sucking your budget dry.

The most appealing aspect of a petrol car is: your have relatively fair priced AWD or 4×4. Which come in handy when you live out in farm land and some have out standing gas millage such as a Subaru Impreza 2017 which does 7L/100km. There are also very comfy SUVs out there and luxury sedans that aren’t that expensive on gas consumption as well.

Don’t Buy Brand New

Unless your really into the hybrid or electrical car, which I’ve seen some government give 8000$ in tax credit, I do not recommend buying brand new for your day to day car. First things first, a brand vehicle looses close to half it value when leaving the dealership lot. Just take a look at how much interest your paying on the full loan amount. Its just not worth it, plus there are now second hand dealership that dedicate their brand mission to selling you used car that look brand new for a fraction on the price.

Size

We’ve all wanted that over size pick up or that luxury sports car, but do we really need them or their price tags? Even though we have dirt bikes to pull every now and then, we don’t own a vehicle that can pull the trailer due to the fact that we can borrow a pick up truck and there’s no need for the excess fees of a pick up. We own two small sedans that are paid and we fuel then and maintain them and that’s what fit our budget.

Insurance

Many things can influence the price of your insurance. don’t be shy to shop around at every renewal, your money should work as hard as you do! Therefor take a look at the new customer promotion it will help you save more here are a couple thing taken into consideration when insurance broker provide you with a price:

  • Size of car
  • Vehicles brand
  • Your accident history
  • Credit score
  • Any road law infraction
  • Criminal record

Bonus tip: if your not using your vehicle for a month, ex:leaving for a long trip. Contact your insurance company and see if you declare the vehicle to be in storage will it save you money.

Licence Plate

Depend on where you live the licences plate price will vary because of the engine size, usage(personal, leisure, company). The bill can add up when you want to customize what written on your license plate. There is a separate price for hybrid and electric cars.

Bonus tip: If your not using your vehicle for a month: leaving for a long trip. Contact the license bureau and to find about declaring your car I storage for the month, it might save you a little sum.

Maintenance

Owning a car requires quite a bit of maintenance: oil changes, tire change, HVAC system maintenance etc. Depending on the use of your car, speak to your technician to see if you need to change you oil more often. For example if you pull a trailer more often you will most likely require shorter maintenance intervals to not compromise the life of your engine. The bigger and more luxurious the car the more expensive. Make sure you can do your maintenance else where tan the dealer ship (some BMW do not have an oil drain plug and you need a special pump that only the BMW dealer have in order to suck out the oil.)

Get an inspection before you purchase

Before finalizing a purchase (especially if your buying from someone directly), ask the owner if you could have your technician evaluate the condition of the vehicle. If the seller doesn’t allow it tats a major RED FLAG walk away from the deal. If the seller allows the inspection, take a look at the report and discuss it with your mechanic to see if it’s a decent purchase. If so go through with the transaction.

Liability check

During the procedures of purchase, talk times if there aren’t any leftover loans locked on the car or any other legal rights and problems. You would want your car to be taken by a repo man because a previous owner omitted finalize a loan.