FAQ Friday: How Can I Lower My Automotive Expenses?
Do you ever think, "Where the heck is all my money going?" If you're like most Americans, the answer is housing (#1) and automotive expenses (#2). Since the economy has forced the word "budgeting" from the realm of accounting geekdom into dinner conversation, it's more important than ever for car owners to lower their vehicle's operating expenses.
All vehicle expenses aren't the same. Our new article, How To Budget and Lower Your Automotive Expenses, shows you where your money is going and goes into detail on how to save on finance and interest charges, taxes and fees, insurance, fuel, maintenance and repair.
Did you know, for example, that a car loan can often be "refinanced," similar to the way home mortgages are? If you shop around and can lower your interest rate, you can save significantly on your monthly car payments.
So if you're trying to save money, forget cutting coupons for now, and put some time in where it can make the biggest difference: Your car.
- Posted by
- Joanne Helperin September 25, 2009, 11:00 AM
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- Car Advice Articles, FAQ Friday
There are other ways too.
Buy a good used car. By avoiding the huge initial depreciation, you can cut depreciation to less then a 1000 per yer instead on several thousands. You can often just pay cash then too and avoid finance charges altogether.
Find a job closer to home. When I was laid off last year, one of my priorities was a shorter commute. My new job is a 5 minute drive instead of 45 minutes. Saves me over $100 per month on gas.
Do your own basic maintenance. Oil changes are easy and saves you time and money. Lots of other things you can do too with a little more effort.
Also, a big one - stop buying a different car every 3 or 4 years. It's a trap a lot of us fall into, but modern cars are so much more reliable. You will save thousands of dollars a year by keeping your cars for as long as possible.
Even if you have to spend $1,000 a year to fix a car, you're still saving a lot of money over even a $200 a month car payment.
Also, a big one - stop buying a different car every 3 or 4 years. It's a trap a lot of us fall into, but modern cars are so much more reliable. You will save thousands of dollars a year by keeping your cars for as long as possible.
Even if you have to spend $1,000 a year to fix a car, you're still saving a lot of money over even a $200 a month car payment.
Is it just me or does the more you take of your cars, the more money they consume. Virtually everyone I know whom sees their cars as just transportation doesn't seem to do more than oil changes, tires and state inspections. On the other hand, I always have a to-do list on my three cars, two of which are fairly new and low millage Japanese brands. It's not like I beat my stuff up either, but a $1000 a year per car would be a significant improvement over what I spending now.