Thursday, October 24, 2013

Fixing up vs Buying New

Some might say that the best way to save money on cars is to keep and care for the ol' clunker and drive it until the drops. However, after some point, this becomes untrue; the money you save from not buying a new car is being eaten up by the costs associated with keeping the old one on the road. Whether to fix up or buy new is up to you, but here are some points to help you make an informed decision.

For fixing up:
  • Except for the most disastrous of damages, repairs are almost always cheaper than buying an entirely new car. You might be able to buy a used car for a few thousand dollars, but keep in mind that a used car comes with its own set of issues.
  • Insurance premiums, registration fees, and personal-property taxes go up with new cars, and your financial situation might not be ideal.
  • New cars depreciate drastically within its first couple years on the road. Your old car has already taken the hit.
  • Everyone has a little sentimental attachment to their old cars. Perhaps it was your dream car, or your first car, or a gift from a beloved family member; your car can be like an old friend, associated with unforgettable memories of journeys long gone, and that can be something that is difficult to give up.
For buying a new car:
  • You don't have to worry about future breakdowns, or at least not for a while. 
  • Trips to the mechanic cost you not only a hefty sum of money, but it also eats away at time better spent on work, friends, and family.
  • You're tired of your old car and ready for a change. Perhaps it looks like it's scratched and banged up like it's gone through a war, or it rattles like it's about to fall apart at the next trip to the store, or you have to bang on A/C to get it to work. 
  • You want something safer, since new cars come the the most up-to-date safety features and equipment (side airbags, tire-pressure monitors, electronic stability control, and more). 
  • A nicer looking car might could potentially boost your credibility in the eyes of your clients, for certain professions such as lawyers or salesmen.