Not only is a car the second most expensive purchase – after a house – that most of us make, it has an ongoing cost in terms of fuel, tax, insurance, maintenance and more. It can seem less like a means of transport and more like a pit into which you shovel money.
But there are things you can do to cut your costs without going back to taking the bus.
Leave the rat race
Although we all love to have a nice, shiny car on the drive there is an alternative and one that can save you money provided you don’t really care what you drive. That’s to buy a banger for a few hundred pounds – make sure you get one with at least six months on the MOT – then run it until it breaks, scrap it and buy another one.
You’ll need to join a breakdown service and your neighbors may look down their noses, but by not spending money on maintenance – other than maybe the odd oil change – you can make major savings.
If you’re not ready to embrace the economics of the banger you can still save by leasing a new car instead of buying it. You may be surprised to find that car leasing in Leicester through Total Motion costs less than the payments on a loan to buy a car.
You also have the advantage that maintenance and road tax is usually included in the lease so by car leasing in Leicester you can effectively fix your motoring costs for two or three years. At the end of the contract, you simply hand the car back and take out a new deal.
You can’t avoid insurance and fuel whatever you drive, but you can make significant savings by shopping around. The internet is a great help here and it’s easier than ever to get a range of insurance quotes. There are even sites that let you find the cheapest fuel locally.
Don’t be afraid to look at radical alternatives in cars either. If you do high mileage you can save by opting for LPG, or if most of your journeys are short the lower running costs of an electric car could outweigh its higher purchase price.