How to Afford a New Vehicle

Often, we find that our car lets us down just when we can least afford it. This means that we need to find a way to afford a new vehicle when we just do not have the money to be able to pay for it. This might lead to us spending just a tiny amount on a very unreliable car which we have to replace very quickly and this is not ideal. If you need a new vehicle it is really important to make sure that you are able to buy something that you get good value for money from. There are different ways that you can go about this.

Buy very cheap

Buying a very cheap car is something that quite a few people do. They feel that it is a great thing as they can just scrap it when it is irreparable and they will get value for money. In some cases, this will be true but not in all. Firstly, if the car does not pass an MOT and needs lots of work doing then you could end up with a really big repair bill. This might be the case anyway, that the reason it is being sold is because there are problems with it. It can be quite easy to hide some problems, by painting over rust, doing temporary seals on places that leak and things like this. If you do not know what to look for then you can easily end up buying a car that costs you a lot more than the sale price in essential repairs. If you do know about cars, then you will have a much better chance of being able to find a car that will offer you good value for money. If you buy through a dealer, it will be more expensive but you will have some come back if the car turns out to be a wreck compared with buying form a private seller. In both cases they have no obligation to reimburse you for problems, but you are more likely to get goodwill from the dealer.

Borrow money

An option that many people choose to take is to borrow the money. This can be really convenient and it can mean that you end up with a car that offers better value for money or will last longer and be better quality because you can pay more for it. The cost of the loan, even payday loans with no credit check will need to be taken into account but it could still be worth it if you can save a lot of money in repairs and wait longer before you have to replace the car. It may also be cheaper to insure if you find a car which is not so old and in better condition. Of course, it is always wise to research the lender that you are considering using. Make sure that you trust them to provide you with a good service and also calculate how much the loan will cost in full and know how much the repayments will be. It is really important to be sure that you will be able to afford the repayments.

Use savings / Save up

If you have savings then using these to buy your vehicle could be extremely useful. It will save you the cost of the loan, which could add up to a big saving. It can be hard to part with savings, you may be saving for something else or want the money for emergencies. However, if you calculate how much you will save by doing this, then it could change your mind.

If you have no savings, then it might be wise to save up for the car. How long this will take will depend on how much you want to pay for the car and how much money you have available to save each month. You will probably need to cut back on spending so that you can save extra money. It is wise to start saving as soon as you get a car, ready for when you need to replace it and buy a new one as it is likely that you will need to replace the car at some point.

Find alternative transport

If you are saving up or do not like any of the finance options then an alternative is to go without a car altogether. It is likely to save a considerable amount of money on the cost of the car, tax, insurance, fuel, MOT, repairs, servicing and breakdown cover. However, some people will not be able to get to work without a car due to no public transport being available. Some may not like the idea of public transport or perhaps find it does not run frequently enough or is not quick enough. It is worth investigating though as for some people it could be a really good alternative.

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How to Find the Best Life Insurance

Many of us will hold a life insurance policy. This is often to pay off our mortgage if we pass away before it gets paid off in full. We may also hold one so that our dependents get some money when we pass away to cover any outstanding costs, loan repayments and bills that there might be. Many of us are not getting the best cover from our life insurance though.

Check out what you need

It is worth starting by thinking about what you want form your life insurance and whether you even need it at all. If it is with a mortgage then it is likely to be a condition of your mortgage and you will have no choice in the matter. However, if you have chosen to take out insurance, it is good to think about what purpose it serves and whether it is the best thing for that. For example, some people will want the insurance to cover their funeral costs. They will be paying in monthly for the rest of their life for this, when they could possibly go to an undertaker and pay a one-off fee and have that covered. If they want their dependents to have money, then it could be cheaper to save the money they are paying into the insurance each month and build up a lump sum instead this could build up to being far more than the amount the insurance will pay out. Of course, there is a risk factor here as the person may pass away before they have accumulated enough money but it can be a calculate risk depending on the age and health of the person trying to build up the fund.

Make sure the cover is right

It is wise to take a close look at the insurance policies that you have and to make sure that they cover you for what you hope they do. Sometimes insurance policies are not very clear and they may not pay out when you expect them to. If you are having trouble understanding the legal terms in your policy then call the provider and ask them about it. If you want to check you are covered in certain circumstances, then you can ask them and they should be able to tell you. For example, you might expect one to pay out if you are ill, so that it will cover the bills, but many policies will only pay out in very specific situations and you may not be able to make a claim even if you are ill and thought you would be able to.

Compare prices

It is worth comparing the prices every so often to make sure that you are not paying significantly more than necessary. You may find, that if you took out a policy a long time ago, that you will not find a cheaper one because you have got older and therefore riskier to insure. However, it is still worth checking as you never know. It is extremely useful to have an idea of the range of prices that you might expect to pay for insurance. You could potentially find this out using a comparison website or by getting quotes from different insurers websites.

Compare value

Once you know how much different insurers charge, you will be able to look at them in more detail to see if they offer good value. You want to make sure that they match all of your requirements and try to find out what they are doing differently that makes then cheaper. They could be all sorts of reasons from not paying out very often to having a customer service department located in a cheap country so you cannot make assumptions. What you do want to be sure of is that you will get the cover that you need. If you do get that cover then you might consider swapping to this company. However, you might want to see what they are like with regards to customer services, company reputation and things like this before. You might be able to find this out by looking at their website, finding out if other people you know have used them and what they think and looking at independent reviews.

This will take time to sort out, but it is worth it. You want to make sure that you are getting good value for money for the insurance that you have. You want to make sure that you are not paying more than necessary and that you have the cover that you need in place. It is good to review this every few years and then you could potentially save money by not paying more than you need to. If you feel that this is too difficult or time consuming it is worth noting that you may be able to find help through an insurance broker or financial advisor.

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