Tips for buying a car

There was a time when having a car was seen as a luxury. But today, with over 1.4 billion cars operating worldwide, having a car is almost a necessity. With the risk of catching COVID while navigating public transportation, more people are looking for other less crowded ways to move around.

If you’re looking to minimise your risk of catching a virus when going out, or you just need an effective way to get to your office, pick up your kids from school, or cruise on the highway with the top open; here are 5 things you should consider before buying a car.

1. Use

Price may seem like the first thing to consider when buying a car but the purpose of the car ranks higher on our list. Before you buy a car, one of the most important questions you should ask yourself is “Why?.”

If you need a car to pick up your children from school, you should probably consider a family car. For moving heavy materials, a pickup truck could do the work and for long-distance travels, a hybrid car that’s great for fuel-efficiency is a great option.

Also, consider how the car will be used. For instance, SUVs might be better suited for a daily route with potholes. Once you’ve figured out how the car will be used, then you can start checking for the prices that fit your budget.

2. Price

Price is definitely one of the most important factors to consider before buying a car. Your budget will also determine if you should buy a brand new car or a used car. A UBA Target Account  can help you save towards your dream car and you also earn up to 3.5% interest.

Beyond the actual cost of the car, you should consider the cost of maintaining the car too. A high-maintenance car could end up costing you in the long run, find out the cost of maintaining the car before you buy it. Some of the maintenance costs to look out for are; servicing the car, cost of replacing the tyre, spare parts costs and more.

Don’t forget about how much fuel the car could consume. If you buy a cost-effective car with low maintenance but high fuel consumption, you will still end up spending a lot of money.

3. How You Will Pay for The Car?

Are you saving towards the cost of the car, dipping into your personal savings or taking a loan to buy it? If you need to get a loan, UBA Auto Loan offers as much as ₦15m to finance your car and you can pay conveniently over as long as 48 months. You can also take a loan to swap your current car for a newer model. The brands you can buy with the UBA Auto Loan are Toyota, Honda, Mitsubishi, Hyundai, Mercedes, Nissan, Ford, Suzuki, Kia and Volkswagen.

4. How the Car Functions

When it comes to cars, how it performs is more important than how it looks. A car might have beautiful interior and exterior designs but if it doesn’t function well, it’s almost as good as having no car at all.

Testing the functionality of a car is a very important especially if you want to buy a used car. It doesn’t matter if the car has rave reviews or recommendations, you should get into the car and make sure everything functions as it should.

If you don’t know much about a car’s functionality, you can ask a mechanic to inspect the car and make sure there are no issues with it. You definitely need this if you are buying a used car because some sellers might not reveal non-obvious issues with the car.

5. Resale Value

A car is a depreciating asset, this means that the moment you pay for the car and collect the keys, the value of the car begins to drop and it keeps dropping over time. However, you can still resell your car for a good price but it all depends on the resale value of the car. For instance, if the car has too many models, its resale value could depreciate faster than other cars.

Always research on the resale value of a car in your state/country before buying in case you decide to resell the car. When considering resale value, you should look at factors such as the model of the car, the year it was made, the brand of the car, mileage, and others.

Now that you’ve got the basics on buying a new car, don’t be in too much of a hurry to buy; if a car doesn’t feel right for you, rather wait till you find the perfect fit.

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