Buying a car is a major financial decision which must be approached with careful planning else one falls into financial debt buying a car to some is considered a luxury, while to others it is a necessity to help them to effectively carry out their daily activities by bringing about a ease with mobility. For those living in developing countries like Nigeria where there is an unstable economy and the standard of living is low, making decisions about buying a car needs a thorough thought process as it is not one which one can jump at without coming up with a valid plan on how to source for the money to buy the car and also look for ways not only to ensure that you have a good deal when buying a car but also ensuring that you save money when buying a car.
In buying a car, when you have the guide to buying a car, that is the proper information on how you can ensure that you get a good car, it makes it easy to go through this process. While there are various places or car marts where those buying a car can easily approach to buy a car, it is also important that they go to these various car mart with the right knowledge and understanding of what needs to be done.
In the wake of the economic hardship in Nigeria, you do not just take financial decision without adequate planning or preparation, instead you prepare for it. Especially if you are buying a car for the very first time, it is important that you ensure that you do not spend too much on it, because you buying a car don’t mean you have to go bankrupt in the process. There are many ways through which one can save money when buying a car.
Using the Nigerian context, Next to buying a house, buying a car is often considered as the most costly thing, and in the process of getting this, one of the things which you would want to avoid is overpricing the car and having to pay more than the worth of the car.
In getting a car, and trying to buy one that will enable you to save some cash, that is and in achieving this, there are many things which you must strategically do while making plans to get a car, save money in the process and different other factors which you must consider before doing this
How to save money while buying car
- Buy a used car- the thought of buying a brand new car can be exciting however it is important that you also know that buying a brand new car can also be notoriously expensive at the same time. it is one that comes with great financial requirement and commitment. In most cases many consider it that there are little or no changes with certain used cars and new cars. This is because there are some cars which are just few years old and were nicely maintained and moderately used by their previous owners. Also when buying car, avoid buying new cars when they are just released to the market, imagine trying to buy the latest Toyota Car brand when it is just released and made available to the open market for sales, definitely the selling price will be on the high side, but when you wait a little more time there is every possibility that the selling price of the vehicle would have reduced by certain amounts. As against the original price when it was first introduced
- Have a budget- it is very important that you have a budget that is a financial plan towards your plan of getting a car. Here you have to decide on how much you have to spend on getting a car. If you have a budget of 500,000 naira, then it will be easy for you to streamline down your search for a preferred car. Do not just work with assumption. Have a clear cut idea of how much it is you are earning after tax, understand how much you are willing to set aside towards the move to get a new car.
- Set up saving plan- you might not definitely have the full financial capacity to buying a new car, or even a fairly used car, however it is better that you have a savings plan which you purposed towards this objective. When you have a savings plan, it enables you to have certain funds which you have kept towards this cause which goes a long way in relieving the financial stress that comes with parting with a large sum of money all at once. A good and regular savings plan gives you the financial confidence to carry out certain major projects
- Avoid Loans- another very good way to save money when buying cars is by avoiding loans at all cost. Many in the course of buying a car can be so fixed on it to the extent of putting in for loans to facilitate this process. Going to the extent of using loan to buy a car can prove disastrous especially if you do not have a stable means of income, and you do not have other means of paying back the loan. This is why it is important that you have to think ahead and start a savings plan for the purpose of buying a car. When you have a proper and stable savings structure, it will be easier for you to finance the payment process of buying a car
- Research- this is a very important factor that you have to put into serious consideration when buying a car, this is because through this process you get to gather all the necessary information you need to make a good decision when you are buying a car. When you have the right information, it goes a long way in helping you to determine the true worth of the car which will go a long in helping you not to overprice the car. Go online to find out more about the car you intend buying, check reviews and compare prices.
- Limit unnecessary Spending- as you save up for buying a car, it is very important that you try to cut unnecessary spending, make only financial decision which you know will only be of benefit to you. Or meet your immediate needs. Do not engage in frivolous act or reckless spending that will disrupt your savings. Cutting down on un-necessary spending will definitely go a long way in helping you gather the much needed funds and this can be done when you set your priorities or make a scale of preference of your needs and wants. This will help you stay focus and disciplined with your financial activities.
- Get over your fear of haggling- when buying a car, one thing is inevitable and that is the need for you to ensure that you bargain well. You have to bear it in mind that this is strictly business and in the light of this you must be ready to play your game to the last card. The sole objective of the car dealer is nothing but profit maximization, and yours also must be focused on getting the best deal. This is why you have to ensure that you have done your research well before coming to bargain. A tiny little detail about the car state might save you a fortune off the initial price you were supposed to pay for the car. Do not just accept any price given to you by the car dealer, you are supposed to bargain, it is a must that you do if you do want to save some money in the process.
- Find out about discounts- when buying new cars, most car companies or dealership are always ready to give discounts when you are buying from them, this they do for various reasons. So when you are buying a car, do well to find out about these various discounts to know if you can benefit from it
- Buy used cars from auction- this is another way through which you can save money when buying a car. There are plenty used cars in very good conditions which you can find on auction sites, the Nigerian Immigration Service is quite noted for having regular auction of cars. These cars when put up for auctions are sold at cheaper prices to interested bidders or buyers
- Negotiate online- this is for those who have a phobia for negotiating a price with the car dealership, one good way to get over this situation is adopting the online approach. Here it is easier for you to negotiate online when you do not have to see the seller face to face. Here you can go great extent in ensuring that you have the best deal when buying a car either new or old.