Let's navigate through these options to help you make an informed decision.
Insurance
What It Is: Car insurance protects you financially in case of accidents, theft, or damage. If you have a secured loan on your car, comprehensive insurance is a mandatory condition of your loan approval. Impact: Insurance premiums vary based on factors like your age, driving history, car model, and coverage options.
Registration
What It Is: To drive your vehicle on public roads, it must be registered. Impact: This is an annual ongoing expense
Maintenance and Repairs
What It Is: Regular maintenance (oil changes, tyre rotations, brakes) and unexpected repairs. Impact: Proper maintenance can prolong your car’s lifespan and reduce the risk of major repairs.
Financing
What It Is: If you’re financing your car through a loan, you’ll pay interest on the borrowed amount. Impact: The interest rate, loan term, and your credit score all influence the total cost of financing.
Fuel costs
What It Is: The cost of fuel required to power your vehicle. Impact: Fuel efficiency matters—vehicles with higher fuel efficiency save on long-term fuel expenses.
Depreciation of value
What It Is: Over time, your car’s resale value will decrease in most instances Impact: The rate of depreciation varies based on factors like make, model, and kilometres.
Tyres and Wheels
What It Is: Replacement and maintenance of tyres and wheels. Impact: Quality tyres contribute to safety and performance but can be a recurring expense.
Parking and Tolls
What It Is: Costs associated with parking, tolls, and potential permits. Impact: Urban areas might have higher parking fees, impacting your overall budget.
Upgrades and Accessories
What It Is: Costs of adding optional features, accessories, or personalisation. Impact: Customisations can enhance your driving experience but add to the overall cost.
Extended Warranties
What It Is: Additional warranty coverage beyond the manufacturer’s warranty. Impact: Extended warranties offer extra protection but come at an added cost.
