This is general advice only and has been prepared without taking into account your particular objectives, financial situation and needs. Before making a decision based on this information, you should assess your own circumstances or consult a financial planner. Loans from Summerland are subject to eligibility criteria. Terms and conditions, fees and charges apply.Aside from buying a house, purchasing a car is probably the second largest financial commitment any of us will ever make. However, once you’ve got your dream car, there are a number of ongoing costs which can leave your bank account looking a bit bare, if you’re not careful. But it doesn’t need to be like this! Here are some simple ways you can manage your car’s ongoing costs, so you can enjoy a little more financial freedom.
1. Open multiple savings accounts
It may sound strange, but this really does work, and can be applied to all aspects of your finances - from rates to utility bills. Every year you receive a bill to pay your registration and green slip (If you live in NSW) and the bill can be a bit of a shock. To avoid this dent in your finances, set up automatic payment transfers every pay period from your everyday account to the savings account you’ve set up for your car costs. After a few months, you’ll have enough funds to pay your rego and green slip, and you wouldn’t have even sweat over it.
2. Car Insurance
Shopping around for the best price on your car insurance is one of the easiest ways to save money. You might say ‘I don’t have time’, but if it takes you 10 minutes, and you get paid $20 an hour; a saving of several hundred dollars is definitely worth your time. What’s even better is you may be able to keep your Rating 1 No Claims Discount, regardless of who you’re insured with, as these details get transferred from your current insurance provider to another. Why not get a quote online and see how much you could save.
3. Servicing
What some people don’t understand is you don’t have to get your car serviced at the dealership you bought your car from. If your car just needs a basic service, you can save yourself hundreds of dollars, just by looking around at other garages. Please bear in mind, if your car is still in warranty, this is the only time it pays to get your car serviced by the dealership you purchased it from, because any issues with your car could still be covered within the warranty period.
4. Road side assistance
There is a famous 4 lettered roadside service that seems to have the monopoly on getting people moving again. Even though they may be very good, there are several cheaper providers who use the same 4 lettered mechanics and other local providers – which can consequently save you a lot of money. You may not receive the same membership benefits as the said famous roadside service, but the cheaper option may have access to a larger list of local breakdown services at their disposal.
5. Be fuel smart
Aside from finding the cheapest service station to fill up your vehicle, which you can find out by downloading the NSW Fuel Check App, using premium fuel instead of E10 can make a huge difference too. Ok, I know this story was about saving money, but hear me out. E10 may in the short term be cheaper to fill up, but it’s reportedly caused issues with the fuel injection on certain cars; which could lead to an expensive trip to a mechanic in the long-term. For less than the difference in the cost of a cup of coffee, your car will enjoy the long-term benefits of using premium fuel in comparison to E10.
6. Refinance your car loan
If you’ve bought your car from a dealership and they’ve organised the finance, how many of us know the interest rate we’re paying? You may save yourself in interest costs over the course of a year, just by looking at refinancing your car loan to a financial institution with a cheaper interest rate.
Check out our competitive car loan rate that has fast pre-approval within 24 hours, so you can get on the road with your new car sooner.
