It's no shock that families are on a tight budget after what many call the "Great Recession". That can make major purchases, like a car, difficult.
Between loss of hours and inflation costs on many necessities, a tight budget is the only way for a family to keep their heads above water.
Tips to Live By When Buying on a Budget
Usually when you finally get everything running smoothly, you hit a major road bump. For example, the family car dies and repairs are going to cost more than what the vehicle is worth.
At Auto Credit Express we work with families everyday that are facing the challenge of buying car within their budget. We've rounded up a few tips from those experiences that will help your family with their car buying experience.
- Decide what you can afford
Probably the biggest mistake anyone on a budget can make is to walk into dealership with no expectation of what they will be spending on their new vehicle. Also keep in mind that paying for a car doesn't just include the monthly payment; Gas, insurance and maintenance are part of the monthly expenses as well.
- Decide what you need in a vehicle
It's pretty easy to be blindsided by all the beautiful and sparkling new cars that are usually placed where you enter the dealership. So make a list of exactly what you need in a vehicle. Do you need third row seating? Extra Storage? Navigation? Decide on all these things before looking at cars so you're not dazzled into a car that you really can't afford...or really want.
- Get Financed
This is a pretty uncommon approach by some and thought to be a scam by most. However, getting pre-approved or guaranteed auto loan does actually exist and work. By getting your financing out of the way first, you'll know exactly what your spending limit is. This means you can reduce the number of cars you get hung up on that are simply outside of your budget.
- Bring an Expert
Okay, so maybe expert is overkill. Bring someone that has bought a car through a dealership more than once and knows what to look for. Sometimes what sounds like an awesome deal is really not worth it at all.
- Read the Fine Print
This is where you can easily be caught with unexpected costs. Take the time to actually sit down and read your contract. There could be hidden fees, ridiculously high interest rates, or other terms that you may not understand or even agree to. It's best to discuss and negotiate these with your dealer before you sign your name on the dotted line.
- Don't be afraid to walk away
At the end of the day, it's your money. Don't let a dealer bully you into thinking this is your only opportunity for a vehicle. If there is something that they are not willing to budge on, you don't have to take the deal. Nearly every town has more than one dealer, and I promise you that someone will be willing to negotiate as long as your terms are reasonable. Just remember; it's your budget, your money.
As We See It
Probably the most crucial part of buying a car, is going to a trusted dealer who isn't going to try to pull the wool over your eyes. Here at Auto Credit Express we can help you find the right dealer in you local area with only three moments of your time.
If you need a dependable dealer to help you stay in a budget, give us a try and we'll get you to all the right places!