car loans


here are the cheap & chic {expert-approved} ways to save on your new car

We all love the freedom of having our own to car to ‘do and go’ where we want. We also love having some extra cash in the kitty to ‘do and go’ where we want. Here’s the expert info to help you do both; buy a car and still have enough in your budget to enjoy it.

budget before you buy

1. Work out your budget. First and foremost, work out how much you can comfortably afford to repay. Having a deposit can help lower your repayments or could even help you afford to get a car a little better than you originally planned. Use a personal loan calculator to find out what you can afford to spend and what your repayments might be.

2. Decide on how you want to pay for your car. When considering a car loan think about non-bank lenders like Credit Unions when shopping around. People’s Choice Credit Union’s Personal Loans have no monthly account fees, flexible repayments {you can pay weekly, fortnightly or monthly}, and there are no penalties if you want to pay a chunk off your loan.

3. Choose the type of car you want and when to buy it. Buying a car at the end of financial year, or when they’re changing over the models can often net you big savings. Another tip when buying your car; weigh up whether the ‘extras’ such as rustproofing, fabric protection and extended warranties are really worth the price. Need some celeb-car inspiration? CLICK HERE

4. Don’t forget the on-road costs like insurance, stamp duty and registration when you’re working out your budget. Work out what type of car insurance you need and look at strategies to make it cheaper. A higher excess, limiting the number of drivers, checking whether a no-claim bonus might be available, are all ways to reduce the premium. Plus, shop around for your car insurance and bundle multiple policies together if possible.

5. Take into account the running costs. Petrol, servicing, spare parts and road tolls can all drain your budget, so take these into account to avoid over-stretching your resources.

6. Once you have all-of-the-above sorted, apply for a car loan to finance your dream set of wheels.

saving-strategies after you buy 

Okay, so now you have your brand new car {we love that new car smell}, here are more ways to save:

* Clean or change out your car’s air filter. A clean air filter can improve your petrol mileage by up to 7%, so in turn will save you money. Cleaning your air filter is easy to do in just a few minutes – just follow the instructions in your vehicle’s manual and you’re good to go.

* Inflate your tyres. For every two PSI of air pressure under the recommended level in your tyres, you lose 1% on your petrol mileage. Most people’s car tyres are five to 10 PSI below the normal level, so that means by just inflating your tires, you can improve your petrol mileage by up to 5%. Read your car’s manual to see what the recommended tyre pressure is, then head to the gas station.

* Stick to the speed limit. Speeding is not only inefficient in terms of fuel usage, it also can get you pulled over and cost you big-time with speeding tickets and higher insurance premiums.

* Wash your car whenever you can. Or buy the kids a chamois each and let them spray each other with the hose. They’ll love it!

* Clear the clutter from your car. Every 50 kilos of extra weight increases your fuel consumption by about 2% so clear out the bags, shoes, sporting equipment and kid stuff.

* Drive outside peak hour when possible. Sitting in traffic can account for up to 40% of our city fuel consumption, so if you can, drive when you know you’ll have a clear run.

* Take advantage of the little things, they all add up: Use shopping dockets to make your fuel cheaper, use special parking deals when possible, and buy your petrol on cheaper fuel days.


This article is in collaboration with People’s Choice Credit Union.
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{*bellaMUMMA only collaborates with brands and products she would recommend to her friends!}