Buying a new car is exciting. The thrill is new and it has that new car smell. In the beginning you get all the benefits of having a new car such as a maintenance plan and service plan that takes care of everything for you. After that period is over, some people sell their cars to buy a new one, whilst others still love their car and tend to keep it longer. Is it wise to keep your car longer?
Well, that will depend on you, but here are a few reasons that may help you with your decision.
- The main benefit of keeping your car longer is that you would have paid it in full after five years. Thereafter, you will have no more monthly car payments to make which frees you financially. In this sense, it is a good idea to keep your car.
- Consider whether your car is still in good working condition and that it is roadworthy. If it has been in many accidents and the performance of the car is compromised then it might not be a good idea to keep the car. However, if there are only a few dents or scratches then it's not a train smash. Or maybe it's only been in a small accident and the car was repaired by a reputable mechanic, and since then there have been no issues with it. In such a case, you can still consider keeping it. The most important part is that it is still safe for driving.
- Before the maintenance plan comes to an end, you can select to take out an extended motor plan. This will give you similar benefits as you had before and it will give you that added peace of mind if anything breaks down or needs to be replaced. It is always a good idea to be covered for those just in case scenarios.
- If you don't opt for the extended motor plan then you may want to investigate what the general price range is for car parts for your particular vehicle. Are the parts generally expensive or reasonable if anything were to be replaced? Will you be able to afford it? It may be advisable to save some of the money that you used to pay the monthly car instalments. That savings could be used for services, any part replacements or brake maintenance services.
Source by Paresh Gordhan
