Independence and autonomy are a crucial part of younger millennials’ lives, and the critical tool that they need to achieve this is usually their own car. However, when you are still in your late teens and even early twenties for some, vehicles are a costly expense and can be a massive drain on the finances of someone still getting set up in life. Happily, there are ways you can save money in this area. Keep reading to find out what they are.
Beware of your emotions when buying a vehicleJust like when you buy a house, purchasing a car, especially if you have wanted a particular make or model for a long time can be rife with emotions. The danger is that feelings and finance aren’t a very good mix sometimes, and you should be making your purchasing decision based on value for money, the condition of the vehicle you are buying, and the running cost you can expect to pay.
To that end, don’t let your emotions get the better of you, even if you find a vehicle that you love! Instead, use logic and pragmatism and draw up a benefits and downfalls table to compare options before you part with any money.
Reduce your risk, reduce your insurance costs
Next, if you are a millennial looking to cut the cost of running your car, you need to grasp the notion of risk in insurance. This is because the higher risk you are as a driver, the higher your insurance costs will be. What this means is that if you have a poor driving record, a faster or more powerful car, or even live in an accident or theft hotspot, your insurance can cost a great deal more.
Luckily, there are some ways you can reduce this expense, and most of them have to do with reducing the risk you are to your insurance provider. If you are a homeowner with a garage, make sure to mention to your insurer that your vehicle is parked indoor. This reduces the risk that it could be stolen, damaged or involved in an accident while stationary.
Are you a fan of technology? It seems like everyone these days has a camera in their car. You may wish to check out articles like this dashcam buyer’s guide and find a camera that you can install in your vehicle. This will then act not only as a deterrent for dangerous driving in those you share the road with but also remind you to drive more safely as well. If your insurance provider grants you a discount based on your driving monitoring, take advantage of it.
Go for reliability that will save your money in the long term
Vehicles are not a throwaway purchase, and they cost money over time to maintain and keep running as well. With that in mind, it is vital that you consider them more of a long-term investment, and that is why one of the critical things you need to think about when purchasing a car is the make and model’s reliability.
After all, if you choose the most reliable model you can, that will run for years with few problems and has excellent fuel efficiency you will save money over the longer term. Happily, the internet is peppered with car review sites that go over precisely this type of information, so make that you do your research before you make your purchase.
Wonderful post, thanks so much for sharing this!
I love that sage advice up there, “beware of your emotions while buying a car”. Better to be smarter with your money than to go buy more car than you need.