Mobile technology and the internet have made the process of buying your new set of wheels easier than ever. And yet, purchasing a vehicle, for some people, can be more strenuous than going to see the dentist. With the dawn of the New Year, you may be gearing up to get a brand new car, but there are financial risks involved and a lot of hassle that comes along with it.
Here are a few simple things to consider when making your big purchase to enhance the experience and get the most out of it:
Figure out how you’ll pay for the new car
In case you have enough cash set aside to pay for your vehicle, this part isn’t a problem. But for the vast majority, this isn’t the case and they have to utilize some type of car finance. The standard places to go for financing your car purchase is a bank or the car dealership. Look at interest rates that they offer before making a decision on which organisation you want to arrange the finance from.
Do your research around price and warranty details
When you’ve shortlisted a few ideal vehicles, you need to concentrate on getting the appropriate price. To check the price tag, call or email the dealerships that have the vehicle you need. Find out the total selling cost, including any extra adornments that may have just been introduced on the vehicle. Don’t forget to compare prices and look out for special offers and bargains. You could consider using a specific car dealer’s quote and reaching out to alternate dealerships to give you a better one.
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Avail a pre-approved loan
Loans that are preapproved help set you on the best path. Checking in with banks ahead of time also gives you a fair idea of the loan amount you’re eligible for, especially if you already have other loan commitments. You’ll also know the cost of bank finance that you would then be able to compare with the dealership’s scheme. Check with your bank if they offer such a facility. To start the loan endorsement process for your vehicle, you may have to submit certain personal and employment details. Try to make the purchase within a week or two of getting your loan approved.
Do a credit examination
Make sure you investigate your own credit rating before beginning this process. Al Etihad Credit Bureau’s latest app allows you to check and download your credit report and credit score. Taking this step will help you avoid over-leveraging yourself and also give you a clear picture of where you stand in terms of debt obligations. It will also help you figure out if you are at all eligible to take on additional car finance. With a good credit score in hand, you may also be able to negotiate better terms on the loan.
Invest in the right car insurance
Here in the UAE, there is a wealth of options for procuring insurance and the costs vary widely. So make sure you do your research and select the right insurance company you want to partner with. Souqalmal.com offers a great platform to help you instantly compare multiple quotes from the UAE’s leading car insurance providers.
Buying a new vehicle can be a huge commitment and sometimes a financially hazardous decision. But implementing a few of the above-mentioned tips can help alleviate some of the stress and make the process more hassle-free.