You may have heard someone say that a car is like a child. Some even say that it is a sick, because at any moment it can give an unexpected financial embezzlement. This is true, after all, buying a car can bring a lot of problems for those who buy it.
To avoid possible headaches when buying a vehicle, you should be careful not to make some silly mistakes that can affect (and much) your budget. Follow us!
You will not pay for public transportation tickets, but your vehicle will not ride without fuel. You also need to wash it from time to time, spending money for it or at the very least, your time. The value of the insurance should also be considered. This preventive measure is essential because, if you are robbed, you will be without the car, but you will still have installments to pay. Fixed maintenance costs – such as oil change and filters – and variable maintenance – such as exchanging burned out bulbs or replacing the flashlight – should also be counted.
Are you going to buy a vehicle worth $ 10,000 more than your initial plans and you will have to pay $ 5,000 more to have it? It seems like a good opportunity, but appearances are deceptive! How much will this premium vehicle insurance cover? And the maintenance plus fuel consumption?
Depending on the vehicle, this unmissable opportunity turns into a great nightmare. Ever thought if this car goes out of line and you can not sell it so easily? That advantage of $ 5,000 went down the drain!
Calculate very well the interest charged by stores and dealers. This is because there is the interest rate published in the ad and the total rate, called Total Effective Cost (CET). Typically, interest rate-announced financing of 0.99% per month, in practice, charges almost 1.5% per month because of these hidden values.
Do not be fooled because you are about to take out a financing that can be up to 36 or 48 months, and these amounts will be compromised during all that time.
If you intend to buy a used car, it is important to check the condition of the engine, the upholstery, the general condition of the bodywork and the condition of the windows. But do not forget simpler and even hidden details like steppe, hydraulic jack, internal lights, seatbelt operation and the interior more generally.
These minor repairs can generate additional expenses and compromise your budget, which will probably already be taken by the portion of the financing and all other fixed expenses of the vehicle.
Buying a car can mean your current one. If this is your case, negotiate the value as much as you can, after all, you have full ownership to highlight the advantages of owning your car. Often, in the excitement of acquiring another vehicle with more options or newer, the owner ends up selling the vehicle for a very low value. Remember that this amount will be used to enter the new car, and this will directly influence the amount of the financing installments.
Buying a car is an important step in anyone’s life and in order for it to be done as quietly as possible, financial programming deserves special attention.