You’re hoping to buy a new car. The only thing standing in your way is you don’t have the funds just yet. That’s okay. There are several things you can do to secure these funds. The following are seven things that should help you get closer to your dream car.
1. Family Loan
One thing you can do to secure the funds for your new car is talk with your family. If there’s someone who can help you out, then go ahead and have a conversation with this person. You want to work out a deal that’s favorable to this family member. If you must, sign a contract so that you both feel safer about this loan. This is a lot of money, so it’s best to do everything by the book.
2. Second Stream
Sometimes, the best thing you can do is go ahead and get a second stream of income going. This is easier than ever thanks to the gig economy. It’s here where you can give folks rides or deliver food for people in your community. You could even rent out a room in your house for a little extra cash so that you can buy your car. Whatever you do can be temporary, so your life can go back to normal once you get your car.
3.Getting a Loan
You could just go the traditional route and look for a favorable loan. The good thing is there are several companies out there offering reasonable financial solutions for you. You’ll want to find a company that specializes in new car loans. A lot of people get a Chattel Mortgage to get the car of their dreams. There are some requirements, but they vary from lender to lender, so be sure to find out what those are.
Those who have savings have been taught not to touch it, which is a good idea. The problem is some things are needed now like your new car. Maybe you need it for work or school. You shouldn’t wait too long for these purchases. If you’ve got some money saved up, this is one way you can fund this purchase. You can start replenishing your savings after you purchase your vehicle.
5.Use a Credit Card
People can buy a car with a credit card if they have a high limit. It’s important to point out that most people don’t have limits this high, so they may have to use multiple cards. You need to consider the interest rate on the card you’re thinking of using. On top of that, all car dealers don’t allow you to purchase a car with a credit card, so make sure it’s welcomed. If everything is good to go, then this is a good way to get that car you’ve been wanting.
You could lease a vehicle. There are a lot of rules you have to abide by, like making sure you stay under a certain amount of miles along with other little rules, but if you follow these rules, you can get a good deal. You have to return the car after a few years, and you can just do this again for your next vehicle. You’ll always be the person driving the latest vehicle, which is pretty cool.
This is another way some folks get to ride a new car. For this, your employer will take money from your check to make payments on the vehicle. Some of the money will not be taxed since it is taken before you are taxed on it. Of course, everything else about this contract remains the same. You have to stick to the rules required of you. You’re going to need to return the vehicle when the time is up, but you still get to drive it for some time.
Now, you know seven ways you can fund the purchase of your new car. Try to see which one works best for you and what you need from this loan. Take your time because each of these options has its pros and cons.
About the Author:
Ray is a sought-after thought leader and an expert in financial and money management. He has been published and featured in over 50 leading sites and aims to contribute articles to help novice financial planners. One of his goals is to impart his knowledge in finance to educate and help ordinary people create and achieve their financial goals.
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