Credit Help Forums

Gen3 · #1 02-13-2007, 07:11 PM

The first and most important step you can make before you buy a car is to determine your financial situation. For example:

How much can you afford in repayments?
How much will it cost to maintain the car?
Registration & Licensing costs
Insurance

If you consider these factors and put them into your monthly budget, it will give you an idea of what sort of car you can afford. Think about it in the long term. Can you maintain these payments over three years?

Making this your first priority will allow you to make a better decision for your circumstance.

George23 · #2 06-21-2007, 07:52 AM

Yes, it is very important to budget out all of your car related expenses before you go to purchase a new/used car. Also, getting prequalified for an auto loan (and as you mentioned - determining how much you will need to pay in monthly premiums for your auto insurance) will give you a good estimate of how much you will be out of pocket monthly between the loan payments and the car insurance premium payments.

chane · #3 12-22-2007, 10:36 PM

Always buy used unless you have cash! New cars take a huge hit on value once you drive it off the lot. Let someone else (with cash) take the hit, you can still get some great used cars!

leia · #4 01-04-2008, 11:11 PM

Quote:

Originally Posted by chane

Always buy used unless you have cash! New cars take a huge hit on value once you drive it off the lot. Let someone else (with cash) take the hit, you can still get some great used cars!

Even if you're buying a used one, you still should have cash, it's hard to pay several loans at once ... right?

marsh · #5 07-19-2008, 03:26 AM

Hi
I don’t have so much idea regarding this subject.
Just I suggest you to take steps accordingly.

brady4232 · #6 11-17-2009, 09:49 AM

I agree with Gen3, make sure you include all those factors. A lot of them can be overlooked and next thing you know you are at almost twice the orignal payment amount.