Top tips on vehicle finance – The South African economy and financial markets provide different avenues for individuals to access vehicle finance. There are however certain steps and pointers one can consider before making a decision.Below are the tips
Budget : Vehicle finance is all about money. It is therefore important to consider what you can afford up front or in instalments. It is a good precaution to include the increased cost of insurance and upkeep. Certain vehicles cost more to maintain and insure than others.
Research: The internet is one of the most effective places to find out information about potential finance and vehicles. The more you know the better equiped you are to negotiate price.
Do comparative shopping: Get quotes from dealers in your area and from surrounding cities or towns. Not only could you save money by visiting another town but you could drive down local prices if you have a quote in hand.
Choosing a vehicle: There are many different vehicles on the market today. If you are not sure, ask around. When you see a car you are not interested in ask people about their experience with that vehicle. By doing this, you will get a general picture of the vehicle in question.
Compare interest rates: Talk to your bank, research online and consider the vehicle finance options from the dealership, then choose the one that offers you the lowest interest rates and the best terms.
Negotiate everything: Try to negotiate every detail of the deal face to face. Avoid telephonic negotiations as these could be denied later.
Test drive: Test driving is a must. Dont test drive the vehicle on the small side streets in town, take it to the highway where you can get it up to the legal limit. Used cars will sometimes not show their true colours until you have brought them up to good speed.
Warranties: A new car should come with a warranty. Take time to closely examine the warranty and the cost of extending it against potential repairs, including the ones not covered.
Black and White: Anything and everything you agree upon with your vehicle finance should be in writing and signed by all parties concerned.