Grab the wheel and take control to become a debt-free car owner
Staying on the highway to debt freedom can be hard for car owners that have to constantly dodge financial curveballs in the form of rising gasoline prices, frustrating garage bills and car insurance quotes that can often be mind-bogglingly high.
That’s why here at EOD we love it when a plan comes together and our readers banish car debt. We want to hear more success stories like this one so we’ve compiled a few cost-cutting tips designed to make you a debt-free motorist.
Check if you need to downsize
The easiest way to wipe out a huge chunk of debt in an instant is to get rid of that gas- guzzling SUV and trade it in for a smaller model that’ll cost less to insure, repair and run. Okay, so you may not cruise around in an SUV, but you get the point. As long as it gets you from A to B, what’s the big deal? It’s just a car, after all. If you can afford to drive an expensive vehicle then that’s just swell. If you can’t, though, make a change today, swallow your pride and get down your local dealership to see what falls into your budget.
Image courtesy of Mr G’s Travel
Decide if you can cope with one car
Simple economics dictates the more vehicles you own per household the more you’ll be paying in repayment schemes, insurance and at the pump. You could easily be spending twice as much when you could get by with just the one car. It may take some adjusting and not necessarily be a straightforward process, but with a little effort and perseverance you could be tens of thousands of dollars better off in the long run. You may be able to carpool to work or commute on public transport, too, which means that you might be able to get by without a car at all!
Image courtesy of Nicorien
Make sure you’re paying a fair price for insurance
Getting cheaper car insurance is way easier than you may think. For starters, discounts may be available for low-mileage drivers or if you’ve got more than one vehicle on one policy. You might also be able to take out home and auto insurance with the same company and get money off as a result so speak to your agent to see what advice that they can offer. They might just surprise you with how helpful they can be and the savings they can help you make. Other general ways to lower car insurance include choosing higher deductibles on your car and improving the security of the vehicle.
Image courtesy of IXQUICK
Get an immobilizer fitted if your car doesn’t already have one and look to invest in any other anti-theft gadgets that could make a difference. Stay safe as well when you’re out on the road by being sensible and sticking to speed limits and you’ll decrease the chances of being in an accident and having to make a claim, which in turn will hike up the cost of your insurance in the future.
In terms of insurance, some companies give “good student discounts”, so if you are a college student or recent grad, it’s something to look into and definitely take advantage of!
Hi Alysa, thanks for adding to the list. That is definitely a great benefit not mentioned in the article, especially because it deals with students with little or no money. Thanks again! 😀