Buying a Car is a great first time emotional event and people are buying a car at a fairly young age. Once upon a time a person would be in his 40s when he bought a car, now he is in his 20s. Two things have happened – car was once considered a luxury, now it is considered a necessity. A guy goes around in a bike ONLY till his wife gets pregnant! Then there is so much pressure on him to buy a car, it is not funny!
I am not even getting into ‘do you need a car’ – that is a philosophical debate!
How Much Can You Afford? What Car Should You Buy?
This question should normally preceded by ‘How much car DO you need’. If you are going to travel 10km a day in a city and in a place where there is no traffic, and you are travelling alone you may need an Indica. However if you are planning to travel 200km a day, may have to take bankers, customers, etc. along, you may need a bigger car like a Toyota Corolla or a Honda Accord.
Should You Finance the Car?
For many people this question is answered by the sheer lack of cash to buy a car. Sure, I know 2 Mercedes owners who paid cash, but the general rule is people borrow for buying a car. In fact cars are discussed today as “Rs. 35,000 a month” rather than as a Rs. 15L car or a Rs. 18L car! Just try to pay up as much as possible upfront, so that the interest that you pay is kept to the minimum.
Post Footer automatically generated by Add Post Footer Plugin for wordpress.