Tips To Afford A Car As A Student

February 4th, 2020 | Comments Closed | Blog

Owning a personal vehicle in college can have many perks. It will let you visit your parents when you get homesick, travel freely during vacations, rent housing outside campus, and generally feel more free and mobile. Are you a student and Want to have a car for college traveling? We asked Tutor John W from the DoMyEssay writing service to share some handy tips on how students can afford a car on campus.

2023 Hyundai Kona EV

2023 Hyundai Kona EV

Despite all the perks, not all college students own a car. According to a survey by the U.S. News, only around half of the students have cars on campus. Why’s that? The answer is pretty simple, many young people don’t think they can afford a car in college. If you are one of them, read on to learn how you can change this and afford to buy a vehicle.

Find a Steady Income

Whether buying a new or old vehicle, as well as whether paying in cash or taking out a loan, having a steady income is a MUST for a student looking to buy a car. We all know that students’ schedules are packed with schoolwork. All the lectures, essays, tests, and homework can leave you with no time for looking for a job. But when it comes to such major purchases, it’s always good to have a job and some income. After all, buying a car isn’t a one-time expense. You have to understand that it’s an ongoing investment that will keep draining your budget.

So, if you don’t have a job or at least some side income yet, it’s time to find one. Also, find a trusted academic helper to combine working with studying seamlessly. If you hire a paper writing service to do my essay cheap, you will get a professional to take care of your college assignments while you are working.

Calculate Saving

According to research, only 1 in 3 college students in the US are mindful of saving money and have $1,000 or more in their savings accounts. In contrast, 39% of students have only between $100 and $999 saved, and there are 16% who managed to save less than $100, and 11% who have nothing saved. These numbers indicated a poor savings culture in young people, which is a part of the problem when it comes to major purchases like a car. If you want to afford a vehicle in college, you should rethink your budget and start making savings early on. To get started, try to save at least 20% of your monthly income. It will feel hard at first. But when you get used to it, you will be able to save money for literally anything and get more financially literate.

Consider an Old Car to Buy

A new vehicle looks great, is more reliable, and probably will have more advanced tech and features. But in most cases, a new car is more expensive. If you have a shoestring budget, it’s often better to buy a used vehicle.
This way, you will significantly reduce the initial price tag. But that’s not all. Buying a used car also often means paying less in sales tax and having lower insurance rates. But keep in mind that there might be many pitfalls, such as high mileage and related breakages. So you should be very careful when shopping for an old car.

Look for Special Offers

If you want to buy a car and save money, one more thing you can do is look for available deals and special offers. This may surprise you, but there are tons of great discounts for students. Pretty much every manufacturer and dealership offers special prices for current students and recent grads. You can use sites like Findthebestcarprice and similar to discover the available opportunities and learn if you qualify for any of them. Note that the majority of student discount programs on cars require you to have a job or a commitment, so our first tip is helpful in this case too.

Consider Car Financing Opportunities

Finally, if there is no way you can pay the full price for a car, but you still need one, don’t forget that there are plenty of car financing opportunities out there. The most common options include:

  • Hire purchase (HP) :- When you hire a vehicle from the lender until you pay it off in full.
  • Personal Contract Purchase (PCP) :- It works similarly to HP, but when you pay off the car’s price, you can gain ownership, hand it back, or even use it as a deposit for your next car.
  • Personal Loan :- Usually, it’s a fixed amount of money borrowed for a certain period of time. It can be used for different personal purposes, including buying a vehicle. The big benefit is that you will own a car as soon as you hand over the money to the dealer.