Your Car Could Be Costing You Thousands Every Year. Here’s How To Save.

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Your car is one of the most important purchases in your life, and it’s also one of the most expensive. Between maintenance, insurance, gas, and other expenses, the costs of your car can really add up.

In fact, the average American spent almost $10,000 on their cars per year between 2015 and 2017, according to the Bureau of Labor Statistics. And considering that’s only the average, there are plenty of people who spent more than that!

While maintaining and owning a car is a big expense, there are ways to save without having to park your car. Here are a few ways to make your ride a little cheaper.

Refinance Your Loan

If you took out a loan to buy your car a few years ago and you’re in a better financial situation now (like a higher credit score), refinancing your loan can save you a lot of money over time.

Not only can you get a better interest rate, but you may also be able to get a shorter term, which means less interest accumulates. Refinancing is a simple way to potentially save thousands over the course of your loan.

You can easily search for loan options via Fiona’s free to use service and it won’t affect your credit score.

Find A Better Insurance Rate

Car insurance is legally required but you don’t have to spend a lot to get coverage for your needs. By shopping around for a better policy regularly, you’d be surprised how often you might find better options.

For example, The Zebra, a car insurance comparison tool, saves their users an average of $365 per year. You could be overpaying for car insurance and not know it as it’s convenient to stay with the same provider.

Save Up When You Fuel Up

Gas costs make up more than 20% of all car related spending, according to the BLS. In terms of annual income, the average American spends 7% of what they make in a year on gas.

Its the second biggest expense of car ownership overall, but also one of the easiest ways to save over time. In terms of gas conservation, using cruise control, driving defensively, and moderating your speed can help stretch out your mileage per gallon. 

Not only can you find ways to fill up less, but you can also save when you do have to hit the pump. GasBuddy is an app that shows you real-time gas prices at stations in your area. You can even plan a trip with GasBuddy and have it show you the best times to stop for gas.

Cents add up and by making more informed choices, you’ll save hundreds over the course of the year.

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