Financing a new set of wheels can be a big decision. Before you commit to a new car, ask yourself these four questions to help guide the decision making process.
1. Do I have enough savings to buy it outright?.
Using your savings instead of borrowing money can save you money later on, as you don't have to worry about repayments. But when looking at the savings you have available, don't just look at the sticker price − be sure to factor in other expenses that are involved with an auto purchase, such as registration and insurance.
2. Would my work foot the bill?
If the car is for business purposes, you might be able to get your employer to agree to a leasing option, and you can also factor in things like tax rebates etc that will bring the overall cost down a little in the future.
3. Could a loan get me there faster?
If your savings aren't quite enough, and you need a new car quickly, a personal loan might be the answer to get you behind the wheel of a new ride in a shorter amount of time.
4. How much can I afford to borrow?
If you decide a loan is the way to go, be sure to check out our loan repayment calculator
To ensure you make the right decision, be sure to check out more of our tips on what to look out for when buying a car.