Check those hidden costs when buying
BUDGETING carefully is one of the most important steps to take when you’re planning to buy a new or previously loved car — but are you sure that you’ve taken all the costs associated with purchasing a vehicle into account?
Imperial Auto listed some of the longterm costs to run a vehicle.
ON THE ROAD CHARGES
Also known as the ‘delivery fee’, on the road charges include the costs that the dealer incurs in getting the vehicle ready for you to take ownership. This includes registering the car and having new number plates made, a pre-delivery inspection as well as fuelling of the vehicle. Make sure that you’ve factored this into your final price, and pay for it in cash if you can – it doesn’t make sense to pay interest on this part of the purchase price unless absolutely necessary.
If your car is financed, you won’t be able to take delivery of it unless it’s comprehensively insured. The finance facility that you use to secure the loan to buy your car may well offer you a quote, but you are not compelled to take it and can shop around for the best insurance deal. It is worth noting that there are a range of insurance options that not only protect you from vehicle loss but cover costs relating to terminal illness or the loss of a family member.
Many new vehicle prices include limited-period service plans, which are a great value-add and cost saver in the shorter term. If your car doesn’t come with a service plan, find out how much services are expected to cost, calculate your expected mileage to determine how often your vehicle will need to be serviced and consider an RMI-endorsed package.
If you’re buying a used car, it’s worth investigating the costs of extending the warranty on the vehicle.
Most brands publish fuel consumption figures based on a combined urban and rural cycle, consider the routes you drive most regularly, and research a bit more to find out what your expected fuel costs will be.
Tyres last about 50 000 km. Smaller sizes tend to cost less, while unusual sizes cost a lot more. It’s never a good idea to replace a single tyre — always purchase new tyres in pairs to ensure equal traction.
Pinetown-based researcher Malcolm Kinsey’s annual list shows what replacement parts for your new car are likely to cost and his comparison always reveal surprising prices, such as that a fender bender on a Porsche Cayman was cheaper to repair than one on a new Toyota Corolla.
Contact the Imperial Auto Hub on 011 875 5852 for expert advice, or check the Kinsey parts reports on his site www.kinseyreport.co.za.