Top tips for buying your first car

If you’ve recently passed your driving test or you’re wanting to get a car for when you do, it can be a stressful time. Choosing your first car is an important decision and you want to be assured you are making the right choice.
The guide below has been designed to help you choose the car that’s right for you and how to make sure you’re not spending more than you need to. We explain how picking the right budget, and comparing a range of cars and insurance policies can secure you the best first car for any young driver!

Budget first

The first step you should take is to have a clear budget in mind. Whether you want to pay for your first car with cash or take out a finance deal, you may still need to save up a lump sum. If you’re saving from scratch or want to know how much you can afford for finance each month, we would recommend setting a monthly budget. Take a look at your incoming each month and factor out the bills you need to pay. This is a good time to also cancel any unused memberships or subscriptions to help make your savings a little easier. Also, don’t forget about all the extras that are involved when purchasing a new car aside from the initial cost of the vehicle. There are several expenses to consider, from breakdown insurance to your own private number plates, so make sure to include this in the plan too. Once you have done all of this, you can then see how much you have left over to put towards your savings goal.

Buying your first car – New or used?

Depending on your budget, you may be considering buying a new car, a used car or taking out used car finance. Used cars tend to be less expensive, there are no wait times for the car to be built, most of the depreciation will have already hit and there are many used cars to suit a range of budgets. New cars on the other hand can benefit from more financing options or 0% interest deals, you’ll have no doubt about the car’s history and the reassurance of a manufacturer’s warranty. There are benefits to getting both a new and used car but it may ultimately come down to how much you can afford to spend on a car.

Compare car insurance quotes

One of the biggest expenses for first-time drivers can be their first year’s car insurance. This is because first-time drivers don’t have much experience and are more likely to make a claim during the first year of having their vehicle. Car insurance providers set high premiums for the first year as an added layer of protection for everyone involved. Some cars can be more expensive to insure in general so it’s worth comparing insurance rates for a range of cars you like for instance Tesla Insurance and opting for a low insurance group to help save you money.

Build a credit history

If you’re looking to get a car on finance, you may be wondering what your chances of approval are. Car finance is never guaranteed, and you may have more luck getting a car loan if you have a good credit score. Younger people may not have had a chance to build a credit history yet but financing a car with no credit is possible too. However, you may put
yourself in a better position if you build a little credit first. This can be as simple as getting a mobile phone contract in your name and paying it by direct debit each month. Alternatively, you could also make small purchases on a credit card and pay them back in full each month.

Buying your first car – Find a reputable dealer

If you’re looking to buy a used car, you’ll need to decide if you want to use a reputable dealer or a private seller. Private sellers can have lower prices but it’s more of a risk as you don’t know the car’s history. Car dealers on the other hand can offer both new and used cars and have more added protection. Unless you know a lot about cars or know someone who does, we would recommend using a reputable car dealer to be on the safe side. You can read online reviews about the dealer and have more protection is anything goes wrong with the vehicle.

Take a test drive

If you’ve found a car that you like, you should always test drive it first. It may be the right price, but you may find that you don’t like the way it drives. When you test drive a car, you should find a comfortable driving position by adjusting the seat, check there are no warning lights on the dashboard, make sure all controls work and are in easy reach and give the car an inspection both inside and the exterior. You should also test drive the car on roads that you will regularly drive such as city streets or motorways to get an idea of how it will perform on your daily commute.