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How Not to Get Ripped Off When Buying Your First Car

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How Not to Get Ripped Off When Buying Your First Car

Cars aren’t something you change every week—once you decide to get your very first one, you should do it properly. There’s a lot of people out there who want to take your money and give you something not as valuable in exchange, which is why you need to be careful.

First of all, you should understand the fact that this project isn’t difficult and that anyone can get a nice vehicle. It doesn’t really matter if you’re not that knowledgeable when it comes to cars or not. That being said, you should go through the next six steps of buying your first car.

Limit Your Budget

You need to be realistic about this; so my suggestion is to give it some serious thought. When getting your first car, you should know that its price isn’t only about what the money you give to purchase it—owning a vehicle will add a certain amount of money to your monthly bills because you’ll have to pay for gas and repairs as well.

Therefore, when you’re trying to decide on a budget, you should make sure that you will be able to afford maintaining your new car.

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Decide On A Model

    Naturally, your budget will determine the quality of your car, but you should also think about what kind of model you are in need of.

    If you need a family car you should go with something spacious like a caravan or a van.

    On the other hand, if you need a vehicle for yourself to drive to work you don’t have to overthink; get something that doesn’t spend too much gas and that you find comfy.

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    This is the part of your project where you need to do research, so take your time so that you can learn about vehicle specifications in order to find a combination that works for you.

    Test Different Vehicles

    The best way to be certain about your decision is to test every vehicle that you consider purchasing. Do so several times per vehicle. Many people find it uncomfortable to go to the same car lot over and over again and ask to test the same vehicle; this is a feeling you need to shake off right away.

    This is not the time to be shy. Getting your first car is an investment into your your future and you should take it seriously, which is why you should get back and test different vehicles as many times as you consider necessary.

    Find A Nice Car Dealer

    Know that a car salesperson works on commission and it’s in their interest for you to agree on a bigger amount of money so that they can earn more. This doesn’t meant they are out to get you; it’s simply something to be aware of.

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    Know The Pros And Cons Of A Car Loan

    If you have credit issues, you should know that you’re not the only one (quite the contrary). So if you’re thinking about getting a loan for your car, make sure to get familiar with the pros and cons so that you know exactly what to expect in the future.

    Used Cars Need an Inspection

      When you set your mind on purchasing a used car you should put another thing on your to-do list: finding a good mechanic. The fact that a vehicle is used doesn’t imply that it’s not in good condition, but you should be extra careful about it and make sure that it goes through a thorough inspection by someone you trust before you sign anything.

      You May Need To Haggle

      I saved the most difficult for the end—this is something you either have in you or you don’t. If you’re like me and get embarrassed at the mention of money, you’ll need help with getting a car from someone who’s highly capable in negotiating for you and lowering the price until it’s reasonable.

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      I know this sounds scary when you lack the necessary experience—the only thing you need in order to complete this project successfully is time. When you take things slow, go through all of your options and do your research properly you will manage to get yourself a vehicle that meets your needs.

      Image Credit: Car in the snow via https://www.pexels.com/photo/car-road-snow-winter-12875/ Woman on car via https://www.pexels.com/photo/woman-in-white-shirt-laying-on-green-car-hood-29842/

      Featured photo credit: Pexels.com via pexels.com

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      Last Updated on July 20, 2021

      Financial Freedom is Not a Fantasy: 9 Secrets to Get You There

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      Financial Freedom is Not a Fantasy: 9 Secrets to Get You There

      Have you ever considered your life now, and how it would be if you had more time to spend with your family and less worries about money?

      Nowadays, financial stress is one of the most troublesome weights in life. If you’ve ever encountered financial stress, you know the difficulty of not having enough income to pay your obligations or bills.

      Many people say that money is not the ultimate goal of life. While that’s true, money certainly plays a very significant role. The meaning of financial freedom changes with the different phases of our life, but ultimately, it is something that many people strive for.

      In this article, we’ll explain how to capture that financial freedom you’ve been looking for. Read on to learn the secrets to financial freedom.

      Break Free of Your Finances

      Financial freedom is about having a constant flow of cash from your assets to cover all your regular needs.

      When you are not worried about your income, or living paycheck to paycheck, you gain a great sense of freedom. It’s the freedom to be obtain and do what you truly need to make your way through everyday life.

      Gaining financial freedom, though, is a process of growth, making small improvements and gaining emotional strength.

      Though it seems hard to believe, it is really very simple to get financial freedom.

      To do so, you simply need to make sure that your assets exceed your liabilities. In other words, you’ll need to find the sweet-spot where your residuals meet or surpass your expenses. This is something that you can achieve with the proper plan.

      While not every person will accomplish financial freedom, the potential for anyone to do so is certainly there. Anyone can achieve this success, regardless of their income level.

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      Outlined below are 9 secrets that will help you in your goals of achieving financial freedom.

      1. Stop Unnecessary Spending

      We often spend money inwardly, instead of objectively.

      For example, you may spend when you’re anxious, depressed, restless, exhausted, from fear of missing out, or to please others. This is a very unhealthy way to handle your finances.

      To stop this habitual spending, log down all your spending over the course of a month.

      Just as some people keep a food diary, keep an expense diary. Remember not to just write down how much and what you spent the money on, also include the circumstances of why you spent the money. Was it an impulse buy at the checkout line or was it something you planned to purchase?

      This increased self-awareness could enable you to avoid triggering situations in the future when you are considering an impulse buy.

      2. Plan a Monthly Budget

      This is a great opportunity to get serious.

      Take a seat with your spouse or partner and make a monthly budget based on your income, not your expenses. You are never again going to spend more cash then you have on hand.

      Overspending is the thing that led you to more financial obligations. Make sure you decide every month what is coming in and what will be going out and stick to that budget… no matter what.

      3. Cut-up Credit Cards

      Perhaps you are the type of person who always pays your credit card balance in full before the end of your billing cycle, and enjoys the reward points you gain. If this is the case, then you’re already way ahead of the game.

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      If not, you may want to consider ridding your life of the burden that credit cards bring.

      Many cards have strategies set up so that if you make a certain number of late payments, they will raise your interest rate much higher. This can really add up in the long run and you won’t be doing your financial situation any favors. If you’re prone to late payments or have a large balance due on your cards, cut them up!

      Without proper self control on credit card spending and payments, you are basically throwing your money away. To ensure that you have better control over your spending, use only cash or debit for all future purchases (and don’t forget to pay at least your minimum payment on your cut-up cards each month!).

      4. Increase Savings

      There is no doubt that for a comfortable retirement you must accumulate satisfactory savings throughout your working life.

      It’s good practice to save up to 15% of your income.

      Start with your workplace 401(k), if you have one. If not, a Roth IRA (if you are eligible) or a traditional IRA (if you are not eligible for the Roth) are the next logical steps.

      Increase in longevity means you might be able to look forward to 25 to 30 years in retirement, or possibly even significantly more. Investing now in good retirement plans will ensure that you have a guaranteed a stable monthly income when the time comes to stop working. [1]

      5. Invest Wisely

      Consider investing in funds.

      Specifically, you will gain higher returns if you invest in different types of mutual funds such as Debt funds, Equity funds and Hybrid funds with a proper balance, although it absolutely relies on your personal preferences and sense of risk taking.

      To get the most of these benefits, make sure you are investing in a variety of assets. Another resource of investing in mutual funds is SIP (Systematic Investment Plan) where you invest some money every month in funds. SIP works by averaging the per unit price of the stock.

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      Mutual fund investors are aware of the benefits of an SIP (Systematic Investment Plan). For one, it is the most secure way to invest in equity mutual plans so that wealth is created over a long period of time. This plan also helps you to gain a better sense of financial discipline, which will come in handy in all your financial endeavors.

      6. Invest in Gold

      There isn’t really a better way to invest in gold than to have the physical gold itself in your possession.

      You can purchase gold coins and bars from mints as well as from coin dealers and other private sellers.

      Another way to invest in gold is through ETFs (Exchange Traded Funds).

      These are is similar to mutual funds but they are exclusively investments of gold. ETFs are great because they offer more liquidity; the ETF owns the actual physical gold, stores it, and retains the value of the shares. These shares can then be bought and sold in the stock market, and one big benefit is that the transaction costs of gold ETFs are much lower than the that of physical gold.

      With its consistently-increasing demand, investment in gold can be very wise long-term investment to make.

      7. Stash Emergency Funds

      Whether it’s a cash gift or a work bonus, always try to save any extra money that comes your way rather than making unneeded purchases.

      If you get paid every other week, you’ll get an “extra” paycheck (three rather than the usual two) twice a year. Either save those paychecks towards your emergency funds or utilize the money to pay down other obligations, such as loans, credit cards or other debts.

      Make it hard to get your cash.

      Put your savings in an alternate bank, maybe an online bank that forces you to delay for several business days before transferred money hits your regular bank account.

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      8. Find Fabulous Mentors

      Find a mentor, such as a friend or family member, who has exceptional control over their finances and pay attention to everything they do.

      If you do not have any friends or family that are enjoying financial freedom, then find a mentor online! There are numerous blogs and guru websites featuring the advice of many people who have reached financial freedom, and they exist primarily to let you in on how to achieve it for yourself.

      There are also plentiful forums available that share tips and tricks on how to best achieve financial freedom. Read as much as you can and start changing your habits for the better.

      9. Be Extra Patient

      Patience is the key of financial success.

      Being patient can be quite tough, especially when you’re struggling with your finances, but having faith is worth it. You’ll continuously be on the right track if you are taking the proper steps above.

      So don’t be discouraged, even if you are only saving a few dollars a month; it all adds up. Within just a few years you’ll look back proudly at your accomplishments and be glad that you had the patience to get there.

      Financial Freedom for All

      Anyone can achieve financial freedom, regardless of their financial circumstance.

      Use the tips provided above to get yourself on the track to financial freedom and toss your monetary concerns out the window. If you wish to achieve a life with financial freedom for yourself and your family then you must adopt a disciplined approach towards your finances.

      Following the simple secrets above is a great start to making your money work for you, so you can work less and live more!

      Featured photo credit: rawpixel via unsplash.com

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      Reference

      [1] Hartford Gold Group: IRA Retirement Accounts

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