What newlyweds need to know when buying a car together?

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, updated on August 4th, 2023       

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As newly weds there are major financial decisions that you need to make together. More so, if you are purchasing large items such as a car. You want to ensure that you agree on what type of car you would like and how much you are willing to part with to pay for your new set of wheels. However, there are quite a few other factors that you will need to discuss beyond the performance and appearance of the car.

You don’t need a shiny new car

A shiny new car fresh off the lot can be expensive. When you start adding up the repayments costs on your loan along with the insurance that comes with it, it can all add up. Of course, getting an ancient piece of metal wouldn’t be ideal. But limiting yourself to the new car market will mean you will miss out on used car deals that are fairly new and cost less. A car depreciates the moment you drive it off the lot so you will have to consider things such as its value. The best way to get more bang for your buck is to compare your options, and also look for latest models in a used car that comes from a reliable manufacturer.

Discuss how much you are willing to spend

Before you go out to get a loan, it will be in your best interest to discuss where you both are financially and how much you are willing to spend on a car. Buying your first car is an important step and shouldn’t be hurried. You both need to be open and honest of your current financial situation and what type of car loan will be suitable for you. You are most likely going to need a 20% deposit that needs to be paid. Opening a joint savings account can help both of you save up for a deposit before going to a lender for a car loan. Take your time. The last thing you both want to do as a newlywed couple is to rush into a financial decision that can cost you later on.

Finding a loan

First of all, you need to have a set budget that you have both agreed on for the car that you are interested in. Once you have found your perfect car you will need to find car loan quotes. Most Australians usually go online to find a lender who will be able to borrow them the finances. However, the onus is on you to check that the lender you are applying to is a registered provider in your area. To get the best value for your money you must compare. By comparing quotes, you will be able to find the same loan with a low interest rate and flexible repayment plans that can work for your budget. It is vital that you check the car loans features to avoid any disappointments later on.

Do your research

Especially if this is your very first car. The more prepared you are the better it will be for you to easily manoeuvre the car buying process. It will also give you a one-up on your negotiating skills to get a better deal. You can research other financing options and what car will best match your current situation. Knowing what you want will help you avoid situations where you were pressured by a sale person pitch to purchase a car that is not financially suitable for your life.

Get your wheels insured as soon as possible

A newly purchased car that is not insured can run your bill up drastically should you be involved in an accident, theft, or natural disaster that affects your car. You will both than yourselves by getting an affordable car insurance cover that is friendly on the pockets and comes with features that are value for money. You should take your time when analysing the car insurance features and premiums that come with it. Once more, comparing quotes is the best thing to do.

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