For the last few months, my girlfriend and I have been sharing one car. It has saved us a lot of money but has cost us a lot of time and frustration. Our work hours aren’t the same and our offices are about 20 miles away from each other. So one of us always had to get work very early or stay very late. After several conversations, we decided to look into getting a second car. Here are a few things we considered that may be able to help you:
- How is your credit score? This is an instance when it is very important to know your credit history. Getting approval for financing a car can be tough. My girlfriend’s credit is much better than mine, so we needed to put the car in her name.
- Do you have other options? Carpooling, using the subway, bicycling, taking the bus—there are many alternatives to buying or leasing a car. My girlfriend and I both have to travel a lot for our jobs so we determined that it was necessary.
- Buy used or lease? Buying used can often be cheaper but it also carries risks. Make sure you use reputable dealers and have a complete history of the vehicle. Leasing also carries risks but you can often find great bargains if you look at lower end vehicles.
Finding a car is a big step. Take the process seriously because you’ll be in that car for quite a while. And remember that you will need to cut back on other expenses to account for a car. Check out more car financing ideas from Practical Money Skills for Life.by JohnH