What additional costs should students consider when financing a used car?

When financing a used car, students should consider several additional costs beyond just the price of the car. These extra expenses can add up, so it’s important to plan ahead:

• Insurance: Car insurance is a must, and the cost can vary depending on the car’s age, model, and the student’s driving record. Younger drivers may face higher rates, so getting quotes before committing to a car is a good idea.
• Maintenance and Repairs: Unlike new cars, used cars may need more frequent repairs and maintenance. Regular oil changes, tyre replacements, and other services can add to the cost of owning a used vehicle.
• Registration and Taxes: Every car must be registered with the local authorities, which costs money. Students must also pay taxes when purchasing the vehicle, which can sometimes be overlooked in the initial budget.
• Fuel Costs: Depending on the car’s fuel efficiency, students may spend more on fuel than they initially thought. Before buying a car, it’s important to research how much fuel it uses on average.

Being aware of these costs can help students avoid financial surprises and manage their used car expenses better.