So how can you save up to $25,000 or more by maintaining your current vehicle rather than purchasing a new car or truck?
Here are some points to ponder!
If you have a reliable vehicle that is paid for, as an example, you may be spending $1000 per year on preventive maintenance service (regular oil changes and inspections) and general repair.
A new car or truck priced at a modest cost of $30,000 will not only have a monthly payment and interest structure if financed, but insurance costs are also higher. So, let’s say as an example, you spend $1000 for service, repair, and accessories on your current vehicle this year as opposed to payments of $450-$800 per month (based on interest rate, down payment, and total length of payment plan).
At $600 per month, you would spend $7,200 this year on car payments, plus pay higher vehicle insurance rates. Over a four year period, the savings are dramatic – in this case, a savings of over $6,200 per year. And if you placed the same amount as the car payment in a savings account you would have earned interest!
Even if you had a major repair of perhaps $2000 during one year of a four-year payment plan of $600 per month, the savings to you are still substantial over the payment period.
So before you buy a new vehicle, compare your options and if you are comfortable with your current car or truck, maintain it with Hudson Auto Service and save some money for other expenditures!