Take a look at your budget. If you notice some items that move you to tears, it might be due to your four-wheeled money pit known as your car. Don’t feel too bad, though – it could certainly be worse.
It Could Be Worse
How could it be worse? You could own a boat! After all, you might be aware of the old adage pertaining to the two happiest days of a boat owner’s life: the day he buys the boat, and the day he sells the boat.
All kidding aside, there are some scenarios that can devastate a car owner as well as his or her budget. From the unexpected car repair to an unfortunate accident or occurrence that spells trouble, your car can cost you a lot of money. Fuel costs, a rejected car insurance claim, and so much more can occur.
As this article would be rather dreary by focusing on these aspects of owning a car, let us look to possible solutions. We’ll separate them into the short and long-term.
Apply the Duct Tape
No, not literally… well, that could be appropriate.
If your budget, and/or your comfort level with the car-related aspects of your budget, is not where you’d like it to be, you need to entertain some options to help you manage it all. Consider some of the following examples:
- Are your payments not right? You might be able to refinance, budget to pay more than your monthly payment, or even entertain a way to get rid of it (personal loan, mixing in buying a new car, etc.).
- Are repairs devastating your budget? Perhaps you could purchase a comprehensive warranty. You could also look at establishing an emergency fund for such expenses.
- Your insurance premiums could be too high, or you just want to lower your bottom line. Compare car insurance policies to see if you’re getting a good deal. You could always make some changes to your coverage to save money.
Surely you can find some options to help remedy the situation.
See the Big Picture
The metaphorical duct tape might ware off – maybe faster than the literal duct tape. Being aware of this, and though it might be difficult, you might need to turn yourself to the future.
Even if you don’t have much financial flexibility, you might be able to make some progress. Look at becoming more disciplined with your budget, for instance, and applying some money for a new car purchase. Set some goals and figure out what it might take to reach them. By doing this, you can look to transform your current situation to one of hope in the future.
Keep everything in perspective. Generally speaking, owning a car will not have anything to do with an investment. Do what it takes to protect your finances (insurance and warranties, namely) with your car. Your best hope will be to have overall strong financial health, which can then take some the shots you’ll receive from some areas in your budget; like your car – or boat.