How to save up for a car much faster

Decide which car you need

While a person abstractly dreams of buying at least some kind of car, the chances of saving up for it, frankly speaking, are small. To understand how to move towards a goal, you need specificity.

1. Make and model

Choose a car based on your desires and preferences, but:

• Don't lose touch with reality. You can dream of a cool expensive car as much as you like. As well as saving for it when your income is small. However, if the car for you is just a dream, and not a means of transportation, this is quite an option. If you really need a car, take a practical approach and consider budget options.
• Assess your needs adequately, not only at the present moment, but also for the coming years. Let's say if you're planning soon have children, a three-door car is hardly suitable for you. It is better to immediately focus on the family option.
• Consider the cost of not only the car, but also maintenance and spare parts. This is not essential from the point of view of savings for the purchase, but it will be important during operation.

2. New or used

Used definitely cheaper. Therefore, you will be able to pay less for the model you were planning to buy. Or, at the price of a new car that you were thinking about, you can take a used one of a higher class. On the other hand, a car from the passenger compartment in the first years is unlikely to require additional investment. A used repair may need to be done very soon.

There is no correct answer to the question whether to buy a new car or a used one. You will have to solve this problem yourself. Just don't dismiss the options right away, weigh the pros and cons.

Decide how you will pay

If you don't want to save for a long time, you can take car loan - target loan for the purchase of a car. In this case, the down payment will be sufficient. The interest rate on car loans is usually lowerCar loan calculator / Sravni.ruthan for consumer, because until the debt is repaid, the transport remains pledged by the bank as a guarantee. Car dealerships, in turn, offer borrowers attractive prices and additional bonuses.

However, most banks do not require CMTPL insurance as insurance, but a more expensive comprehensive insurance. And this can negate the benefits. In general, here it is also better to weigh the pros and cons and choose the appropriate option.

Set a financial goal

Time to plan how you will save. To do this, you need to know two variables:

1. How much do you need

At the last stage, you decided which car you want. Now is the time to do some research. Find out how much the selected model costs in car dealerships or on classified sites. Record how much money you need to buy (or down payment if you chose a loan).

Increase the received amount by at least 10%. Nobody knows what will happen to the currency tomorrow and in which direction the economy will swing. And prices are only going up anyway. It hurts to think about it, but it is necessary. If you ignore price changes, you may end up running out of money.

2. When are you planning to buy a car

It is better to have a specific term - for example, in one and a half or three years. If you do not define the period, then there will be no control points that will help you understand whether you are going to save or not.

Then divide the estimated savings by the number of months to go. The result will show how much money you need to save each month.

Adjust the amount

If the figure turns out to be too large, you will have to reconsider the conditions: increase the accumulation period or moderate your appetite and choose a cheaper model.

When deciding how much you can save per month, it is again important to be realistic. The remainder should be enough for a normal existence. Of course, for some time it's really possible to save on everything, but what kind of life it will be! Moreover, this approach can be harmful. For example, limiting yourself in a nutritious diet, it is easy to get health problems. And this can affect the state of the psyche. In general, don't overdo it.

Decide where to put your saved money

There are options. Sometimes it is advised to seal the deferred amount in an envelope. They say that it is psychologically difficult to unpack it and pick up the bills. Perhaps this method will suit you.

But consider also a savings account with a bank. In this case, monthly, albeit small, but interest will be added to the amount. And you can also transfer money there more than once a month, but at least every day - suddenly you will have a surplus.

Start saving

The best way to save money is if you treat it as a must, rather than an optional one. That is, no matter what happens, every month you need to transfer the required amount to a separate account. If you do everything according to your financial plan, you will get the result just by the date you were going to.

Accelerate the accumulation process

A financial plan, if adhered to, makes the process clear and predictable. To achieve the goal, you cannot postpone less than what you have planned. But more is possible: this way you will reach the finish line faster. Here are some ways you can get closer to your goal.

1. Analyze costs

Track your spending to see what you can painlessly get rid of. It is impossible to say unequivocally: this expenditure item is superfluous, give it up. For example, drinks from coffee shops or popcorn in movie theaters are sold with large markups Is a great option so as not to waste your money. But maybe they give incredible delight and make your life better.

Still, most people have incidental expenses that are easy to do without. And more money can be found by giving up alcohol and smoking. It is good for health and for the wallet.

2. Increase your income

An item that does not become less significant from its obviousness. Many people talk about the desire to earn more. But a much smaller number of people do something for this. So sometimes it's enough to just start to get results. Talk to your boss about a salary increase, update your resume, find a part-time job.

3. Sell ​​unnecessary

If you take apart things in an average apartment, you can find many that you no longer need and just take up space. But if you take the time to sell them, you can make some money.

There is potential in literally everything, just some things will go away quickly, while others need to wait for their buyer. For example, an old iPhone can be sold almost immediately. The complete works of Stendhal or a Soviet chandelier may hang on the ad site for a longer time. But sooner or later they will also be in demand. In general, it is worth at least try.

4. Save All Unexpected Money

It happens that funds come from unusual sources - they suddenly gave a prize, returned a long-forgotten debt, gave something. You didn't count on this money anyway. So it is convenient to postpone them right away and forget. And the amount of savings due to such a strategy will increase.

Do you have a car? Share in the comments how you managed to buy it.