Should I Repair or Replace My Old Car?

Are you totally in love with your old car and not ready to give up on it? Before you plan to spend more on car servicing and repairs, here’s your guide to decipher whether it’s more economical to repair or whether it’s a better idea to replace your old car.

1. Do the Maths

If you are spending more than $100 upon your car repairs every month, then it’s better to give up on your old car. Don’t ever rely on those ‘free car servicing’ offers from car dealers that usually come up with the vehicle’s schedule maintenance. Though the inspection part may be free, your car mechanic may trick you and rip you off your pockets. If you need doing a chain of extensive repairs every month (and it has been more than four months) then it’s better to bid a goodbye to your old vehicle. Include every such aspect while making estimates of your total cost of car servicing per month.

If you are going to buy a new car, include your selling costs of your old vehicle plus your savings to get a major self-discount on your new car!

2. Will the repairs increase your car’s life?

If you find that the particular repair is perhaps a once- in a lifetime issue, the repair costs are lesser than half of the car’s market value and if this single repair can increase the life of your car by at least three years, then it’s definitely better to go for the car repair.

3. Counting on your budget

Say, that you would need to pay instalments of $500 every month for a new vehicle and car repair costs for your old vehicle is turning out to be approximately $100 every month. Now, if your current financial situation is not allowing you to take the burden of such a heavy liability of a whopping $500 a month, then it’s probably wiser to stick to the repairs until your financial condition improves or your car goes beyond repairs.

4. Finding other modes of repairs

Before buying a new car, make sure you check out alternative modes of repairs that may often bring down your car repair costs. Diagnostic tools, getting repairs done at certified car service workshop instead of car dealers, getting serviced from trusted car mechanics and on time maintenance can help you bring down your repair costs.

5. Does your car really need repairs?

Just like we discussed before, your car mechanic may not always tell you the truth. If the repairs are out of budget, you may ask your car mechanic for better alternatives. However, you should never take risk on high priority safety features like brakes, tyres, clutch etc.

6. Is buying a new car, the only solution?

While it’s always tempting to surf for those awesome new cars available in the market, but, looking at your budget constraints, it may be a wiser decision to buy a used car instead, of course, which is in a good condition. Never go in for car leases as you may actually end up paying double the car’s value by filling the pockets of the dealer. While buying used cars, make sure you give it a thorough check-up before you go ahead and give your hard earned cash to the seller.

Also, beware of seller scams and always buy your new car from a trusted car dealer. Don’t forget to evaluate your insurance coverage costs while you decide to go for a new car, especially if you are planning to jump to the higher segments.

I am a marketer, reader and re-searcher