Owning a car costs a lot of money. Not only do you have to pay for the car itself. You also have to pay for car insurance, gas, tolls, parking, maintenance, and repairs.
And, if you’re an aggressive driver, you’ll probably have to pay for speeding tickets and higher insurance premiums on top of all that.
You don’t have to go broke owning a car, though. There are lots of things you can do to lower your car expenses. Keep reading to learn some easy ways for you to save money on your car this month and beyond.
4 Easy Ways to Save Money on Your Car
1. Never Buy A New Car
The first and most important step you should take is never to buy a new car. Like never ever. That’s because the second you drive that new car off of the dealer’s lot, it loses thousands of dollars worth of value.
Instead, look for good deals on the most reliable used cars. Not only will you save money on your car loan, but your insurance payment will also most likely be lower, too.
2. Negotiate for Better Deals
When its time to buy a car, don’t be afraid to negotiate the price down to a number that you want to pay. Car dealers know that if you show interest in a car, you are likely to buy it.
Shop around, and use online tools like Kelly Blue Book’s Used Car Pricing Guide to get a feel for what a fair price is for the type of car you want.
Once you find the right car for you, don’t be afraid to walk away from the deal. Most of the time, when a buyer is ready to walk away, the dealer will meet their demands.
You can also negotiate for better insurance rates. Get a quote from all of the major insurance carriers (like GEICO, State Farm, Progressive, and Allstate). You just might be surprised at how much you can save by shopping around.
3. Find a Good Mechanic
Unfortunately, you are going to have to pay money at some point to keep your car in good working condition. Finding a reliable, trustworthy mechanic is one of the most important things you can do as a car owner.
If you don’t have one already, ask around to your trusted friends and family members. Almost everyone has a “car guy” or “car girl” in their network that more knows about cars than the average person. Don’t be afraid to ask their opinion about how much a repair should cost, or if they have any advice about where to find a good mechanic. Most of the time, they will have more than enough information to tell you, because they love talking about cars!
4. Skip the Aftermarket Accessories
Unnecessary stuff like chrome rims, or a bumpin’ sound system might impress your friends, but they will drain your wallet. If you happen to have an extra few thousand in cash lying around, use that money to pay down your car loan if you have one. Or instead, throw it into your savings account, so that you’ll have money saved for the next unavoidable repair.
Paying Yourself Back
Follow the four tips above, and you’re likely to save thousands of dollars over the course of your car ownership. Whatever you do with that money is up to you, but there’s no better place to store it than in your high-yield savings account (HYSA).
Happy driving, and saving!
