Many people dream of owning real estate and consider that as a milestone in their life. Some consider buying a car as a major milestone as well. But in the case of the latter, it’s considerably more attainable and realistic.
With car prices slowly increasing over the past few years, approaching your first car purchase isn’t as straightforward as it once was. However, that’s not to say it’s impossible, as it’s still among the more plausible and respectable financial goals. Here’s a quick guide on how you can save up for your first car.
Decide if You’re Buying Brand New or Used
Whether you’re buying a brand new car or a used one will matter in your approach to saving up for it. As early as now, consider your choices. A brand new car is far more reliable but fetches for quite a sum. Secondhand or used cars aren’t too bad either, and their prices are competitive, but you might have to contend with less-than-premium performance.
Set Aside a Car Savings Account
Here’s a good tactic: create a separate bank account dedicated to saving up for your car. This is also a good self-motivating strategy as you have something tangible to observe. You can find out whether you’re progressing and will even feel motivated when you’re beginning to hit your goal. Setting up your car fund is rather easy and only merits a quick call to your bank.
Start Saving Up Now
Of course, the best time to start saving up is now. Don’t wait until your salary is bigger, or when you get a bonus. Your initial savings shouldn’t be big anyway; you can always start slowly. And gradually, your savings will become significant enough to start the whole buying process.
Look into Car Financing Options
You need to have a cost-effective way to make your car purchase, one that won’t break your bank and allow monthly payments but won’t necessarily saddle you with enormous interest rates. Check with your local bank or auto suppliers for car financing options. There are different ways to finance a car purchase, such as a personal loan, an auto loan, a contract plan, and more. Research the different ways and learn their ins and outs, and then you’ll be able to find the one that fits you best.
Boost Your Income
The only way many of us receive money is through our salary. And if you’re looking to buy a car, it simply makes sense to look into boosting your income. That’s a given, of course, but the how is always the trouble. Consider looking at a second job, especially one that allows remote working. If you have a profitable skill that you can offer for freelance jobs, you already have a way to add to your car savings fund.
Taking Care of Your Car
The journey doesn’t end when you’ve bought the car, however. It’s only the beginning. The next step is to take care of it and make it last. Here’s how you can achieve that.
Read the Manual. Your car comes with a manual with all of the necessary information contained inside. Don’t throw this away. Instead, keep it in your glove compartment. It can help you should you encounter any emergencies, and it also tells the recommended maintenance schedule.
Know the Nearest Repairs. When there’s something wrong, you want your car to be taken care of as soon as possible. Only professionals can solve some car issues, so knowing the nearest car repair can help you out. Have the number of your trusted mechanic always ready, as car problems can compound and worsen if left unchecked. Avail of the complete care and repair service package for your vehicle to ensure it’s in the best condition.
Drive Properly. Cars would last far longer if they’re used properly. The tires will last longer, and the engine will keep its power. This way, there will be less maintenance. It pays to learn how to drive properly.
Learn Basic Car Maintenance. It helps to know at least a little about car maintenance. You don’t have to learn how to fix your engine; it can be as simple as changing your tire or oil. Learning how to do basic car maintenance can help you save money and increase your car’s longevity, so do your best to learn it.
Owning a car brings a sense of personal freedom that’s difficult to match. Fortunately, it’s something that everyone can work hard for. It takes a little hard work mixed in with cleverness, but everyone can achieve owning one.
