Should You Keep Your Old Car or Buy a New One?
Posted: Wednesday, September 21, 2005
by Mantius Cazaubon
Are you sure you need a new car? I'm sure you want the newest safety features and modern styling that a new car offers. Perhaps you need a larger vehicle to fit your growing family. You probably feel that your old car no longer fits your life. But how about cost? From an economic perspective, you're better off keeping your old car. It could save you thousands of dollars. Taking better care of your current car may make much more sense in the long run. You're probably thinking - those repair bills are really adding up. But the cost of repairs will never exceed the cost of a new car. Changing your oil, replacing brakes, belts, and hoses are nothing compared to monthly payments on a new car. Even costly repairs like rebuilding an engine makes good financial sense. If you've paid off your car, it is still in great shape and needs only a few modest repairs, there's no need to throw it away. Enjoy your freedom from car payments. Enjoy lower annual taxes, insurance rates and license fees on your old car. Buying a new vehicle would mean several years more of monthly principle and interest payments on a loan. You can feel secure knowing that modern vehicles last longer. Not too many years ago, a vehicle's useful life did not exceed 100,000 miles. Today, many vehicles can breeze right past that 100,000 mile mark with no more than a tune-up, or maybe a new timing chain or fuel pump. Older cars generally cost more to maintain and are more likely to break down. Repairs can be frustrating and expensive. But on the other hand they're cheaper to own and operate. They lose most of its value in the first five years of their life. Your used vehicle won't depreciate as much, saving you thousands. Unless you're rolling in cash, I'd say keep your old clunker. Comfort yourself knowing that one day you'll be able to easily afford that costly new ride.
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Top-level comments on this article: (3 total)Yes, this article is similar to others about whether to buy a new car or repair a old car.
made me feel better about my bomb. :-)
I like the analogy used by the writer, unless you're driving a money pit, too much down time becomes huge burden. I'm currently driving a 22 year old BMW 528e just this week i renewed my registration with it came the un-popular smog inspection so before going for the smog check i took the car to the BMW specialist to have it inspected, to my surprise the mechanic could not find anything wrong mechanically so off i go to the smog station the car passed the first time with out any adjustments. Really if you think a new car is going to do you any good think it twice. In our household we must have two cars because the wife also works so we own a 2009 Jetta TDI love the car hate the monthly payments, insurance is also pricey, let's not forget that here in Cali we're up for a re-adjustment for registration fees that will double. My recommendation keep that body damage free it's not that difficult to keep your old car looking good inside and out. you'll love it, it'll save lots and lots of money.
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