Purchasing a Vehicle: 4 Tips to Save You Money
Article revised on 13 June 2017
According to the Société de l’assurance automobile du Québec, there were more than 6.3 million vehicles on Quebec roads in 2015. So it’s no surprise that the process of purchasing a vehicle is a process so many of us live through!
Are you shopping for a vehicle now? Before you make a purchase, ask yourself these four questions that will let you get behind the wheel without costing you the shirt off your back!
1. How much can you afford to pay?
If the vehicle purchase itself is a major expense, the fees associated with it will be just as great. Fuel, insurance, tires, registration, repairs and maintenance; so many aspects to consider! Use this calculator to determine your vehicle budget.
2. New or used?
Some people purchase a new vehicle for the thrill of driving a new model, to have peace of mind, for the warranty or to keep the vehicle for a long time. However, your vehicle will depreciate 25% as soon as you purchase it. Buying a used car (inspected!) also has its advantages: costs less, higher resale value, original guarantee is transferable and can be extended…
Weigh the pros and cons of each option, but remember to stay on budget.
3. How to finance
If you’re not paying cash, you have two sources available as options for financing: a financial institution or the dealer. This article from the Office de la protection du consommateur can help you make the right decision.
4. How to get more bang for your buck!
Opt for a fuel-efficient car with lower insurance costs to save on user fees. Also, taking the time to shop around, taking advantage of seasonal sales and negotiating with dealers can also save you money.
In short, one of the best ways to save on the purchase of a vehicle is simple: Start putting money aside early, for example in an online high-interest savings account!
Discover our high-interest savings account,
a tool to help you save for your projects!