Fill In The Form
Just enter your basic
Get Lender Approved
In as fast as
Get Your $$$
Money sent to bank
You may be wondering when the best time is to cash in your well-loved and well-used car for a newer model. However, before you do this, chances are you can get a few more years out of your old model and avoid having to pay hefty new car payments. Financing a new vehicle can sometimes create an huge bill that many times you don't need.
Do Maintenance Yourself
The maintenance cost on new vehicles can often be very hefty, and may make purchasing a new vehicle worthwhile. However, you can save a substantial amount of money simply by doing some of the maintenance yourself. Learning how to do the more easy maintenance such as changing the oil, adding more oil when levels are low, replacing the air filters, switching out spark plugs, etc. can save you hundreds if not thousands of dollars on maintenance costs. All of these are possible to do, even if you don't have a lot of experience, as they only require a little research.
Maintenance Costs Vs Car Payment
Even when you need a more substantial car fix for your old vehicle, more often than not it will still be much cheaper than switching your old car out for a new one. For instance, it is worth your money to have your old car repaired if the cost to repair it is the same or less than one month's payment for a new vehicle. Even if repairing your old car will cost a few months' worth of new car payments, it can still be worthwhile if you will not need any other car repair for several months.
Repair Cost vs. Your Car's Value
In order to determine if the cost to repair your car is worth it, compare it to its market value. If the repair costs less money than half of what your car's market value is then it is worth it to repair instead of purchasing a new car. Also keep in mind that you can often spread out the cost of repair over several months, which can ease the financial burden. If you don't know the value of your car then you can look up its Kelley Blue Book or Edmund's true value on the Internet to get an accurate estimate.
Extend Your Car's Life
Even if the cost of repairing your car is hefty, if it means that it will add years to its life then it can be well worth it. If the repair that is needed on your car is something that only happens once in a blue moon, then it probably makes more sense to repair it then it does to replace it with a new car.
Consider Your Budget
If you find it difficult to keep up with the cost of repairing your car then how will you be able to afford making car payments on time? On top of this, keep in mind that obtaining a new car doesn't mean you won't have to pay for its maintenance and repair every once in a while.