Entering adult life means making independent decisions and serious purchases. One of the most serious purchase you will make is a car. You just can’t wait to get your own beast, to turn up the beat and drive around the town! While this can be an exciting event in your life, you might not realize it is a serious commitment which needs some tough brainstorming. There are so many options from car models to buy with different purchasing plan and loan options. Here is a step by step guide for you to make this decision easier and smarter.
1. Asses your car needs and budget
First, assess all your needs and also your pocket with honesty. Also, look into the option of new or used car. However, used cars often need frequent tuning. Sometimes this cost can mount up to or even surpass the cost of a new one. It can also cause additional stress. So invest in an old or used model if you can manage a little tuning at your own.
Ponder how much you can afford to invest in cash and how much loan you can get. How much down payment you can arrange and how much loan is reasonable for you. Check out this Car Loan Calculator for a better decision. Be careful because you will be the one making payments. Plan how you will repay your loan. It is very important, to be honest with yourself in this phase.
2. Become Car literate
Being able to drive a car and being able to keep a car is different. To keep a car in good condition you should know at least basics of its functioning. If you are not much of a car enthusiastic, you probably don’t know much about making and working of a car. Study engines and batteries of vehicles. Learn about tires, the coolant in the engine, brake oil, fuse, and other such important components of car maintenance. You should at least be able to change tier, know how to cool down a heated engine, when to change engine oil, have a basic understanding of working of engine and where parts like carburetor are. Don’t worry all this information is available online and you can learn a lot form Youtube videos like this one. This information will also be helpful while choosing the type of car you want and maintaining the car later.
3. Research on Line
Thanks to tools like Google, it is way easier and quicker now to research options at this time. You have decided on the mileage you need the amount you are willing to pay and you are aware of your needs. Analyze what car models fit into your need and pocket range. Look for the pros and cons of different car making companies. Compare and shortlist a few cars you are interested in. Check which models will fit your needs and budget at the same time.
4. Collect data through Market Survey
Conduct a market survey. Visit different retailers and car making company showrooms in your area. Compare prices between different retailers. Take test drives. Discuss payment plans with retailers. Sometimes you may need someone with a good bank statement to co-sign the contract with you to make sure to find a reliable friend or relative who will be willing to help you. Collect as much data for your shortlisted cars as possible. Visit banks to know their car purchasing plans. When considering Car plans it is recommended if you can squeeze it in your budget you should opt for bigger installment so you can pay if quicker with less interest rate. It is important to discuss car mileage and engine utility with actual car users rather than just sales representatives.
5. Make the final decision
Now with all this information, you have gathered make a final decision about the car you are actually going to purchase. Picture yourself driving the vehicle you have decided for. Make sure you are comfortable with your decision. If not research again.
6. Apply for the loan
Gather your documents and apply for the bank loan you have settled for. Relax while your loan is being processed. Do not boast about your future car with your friends. You never know when things might go wrong and you are left embarrassed.
7. Go get your car
Once your loan is approved, it’s time to visit the vehicle retailer you chose. Fill the papers, make the down payment and get your keys. Congratulations now you can drive yourself where ever you want.
However, read the papers you sign very carefully and take someone experienced with you. If you are co-signing your contract with someone do not forget to give a nice lunch treat to that person.
I hope you found these tips helpful. I have listed some other helpful tips about renting an apartment if you are interested in checking out.