How to save money on your next family car

Getting your next family car can be a big decision to make. Many families want a spacious, safe and reliable car with a low purchase price. Running a car and having a family can be expensive but it doesn’t need to be. If you’re in the market for your next family car, you may be wondering where to start with getting the best deal and the car that’s right for you. The guide below has been designed to help you take the stress out of car buying, from setting your budget to comparing car insurance rates, we can help make your decision a little easier. 

Budget first always

The first thing you should do when buying any car is set a realistic budget. You should take a look at your household income, subtract any bills or financial commitments, and then see how much you have left to save. Use this amount to see how long it would take to save up for your next car or to put down a deposit for car finance. Whatever you’re saving for, you should have a clear savings goal in mind and work out how long it will take you to get there. If its longer than you thought, you could consider cutting that gym membership you never use or finding ways to make a little extra money. 

Consider car finance

If you’re on a tight budget, you could consider getting a car on finance to help spread the cost. Car finance allows you to make affordable monthly payments towards the car you want till the end of the finance deal, his can be spread across 1-5 years. To get the best deal possible, you could consider shopping around for low interest car finance as the interest rate offered can mean you pay more in the long run. A lower interest rate means the rate of borrowing is lower and can save you money on your car finance deal. 

Compare running costs

For many families, getting a car is the hard part but it’s also worth considering how much a car costs to run and maintain. Getting a car is a long-term financial commitment and you don’t want to go into it without doing your research. You will need to factor in the cost of fuelling your vehicle, car insurance, road tax and repairs/servicing. Other factors such as breakdown cover aren’t essential but can save you money in the long run. It can be worth exploring running costs of different makes and models before you commit to getting your next family car. 

Save up for a deposit

If you’re choosing to go down the finance route, it could be a good idea to save up for a car finance deposit. There are many 0 deposit car finance deals available so don’t worry if you need a car in a hurry. However, having a deposit to hand means you don’t have to borrow as much from a finance lender. Taking out a smaller loan can help to reduce your monthly payments and make your finance deal more affordable. Having a deposit could also help get you approved for finance as it shows good finance responsibility. 

Shop around for car insurance rates

Car insurance in the UK is a legal requirement. All vehicles used on the road must have a valid insurance policy in place. Car insurance can be expensive, especially if you are a young or first-time driver. Some cars are more expensive to insure than others so it’s worth comparing the insurance rates of makes and models that you like to see which can be the cheapest to insure. This can also help to reduce costs if you ever need to make a claim. By buying a car that is in a low insurance group, having a clean license and driving carefully can help to make your insurance premium more affordable. 

Cut your fuel consumption

If you drive a petrol or diesel car, you will probably know that fuel costs are at an all time high. Unfortunately, many drivers are already looking to drive less or hunt around for the cheapest fuel. You can also help to reduce your fuel consumption by reducing the weight in your car, driving smoothly, keeping your tyres in check, and abiding by regular servicing and maintenance.