So far, 2022 has seen the cost of living reach record highs and fuel costs at their peak. For many people, a car helps to pay the bills by getting them to their place of work or is essential for their business.
With more people trying to save money where they can, you may be wondering how you can help to reduce your costs when running a car. There are a number of ways you can be smart about managing your money when it comes to owning a car, from shopping around for your car insurance to keep on top of servicing and maintenance, our guide below has been designed with you in mind!
1. Shop around for car insurance rates
In the UK, any vehicle that is used on the road needs to have suitable car insurance in place. Car insurance is a legal requirement and having no insurance can have big consequences. You can shop around for a new car insurance policy at any time but mostly you may be looking for insurance quotes when you are buying a new car.
Car insurance rates can vary massively depending on a few factors such as your age, driving experience, type of vehicle, size of the engine, where the vehicle will be kept, and much more. You could consider getting a car in a low insurance group, adding a black box, adding an additional driver to your policy, or paying for your insurance annually rather than monthly to help reduce the costs.
2. Finance with low rates
If you’re getting a car on finance, it can be worth looking for car finance with low rates to help save you money in the long run. Alternatively, if you already have a car on finance, you could consider refinancing your current deal to a one with better rates.
Interest rates determine the cost of borrowing, and a higher interest rate can make your car finance deal much more expensive than it needs to be. You can help to lower your interest rate offered by increasing your credit score, having a larger deposit to put down, and choosing a shorter loan term.
3. Drive smooth
Many people don’t realize that the way they drive can be costing them money. Braking harshly, accelerating quickly, and driving in the wrong gear can increase fuel consumption. The more fuel you use, the more trips you’ll make to the petrol station.
By driving more sensibly, you can help reduce the amount of fuel you use and save money! Some of our top tips include driving in the highest gear possible, accelerating gradually, and stopping within a good time.
4. Ditch the weight
Many of us pack our cars within an inch of our life. But it could be costing you. We recommend having a safety kit within your car and that’s it.
This is because having excess weight in your vehicle can increase the amount of fuel you use. You can help to cut fuel costs and save money but emptying your vehicle of any unnecessary weight.
5. Keep on top of maintenance and servicing
Many people decide to skip their regular car service, but it can be so important to keep your car in good condition. Saving a bit of money at the time of skipping a routine service can cost you more money down the road.
You should aim to have your car serviced every 12,000 miles or every 12 months, whichever comes first. Regular servicing can guarantee your safety, extend the life of your vehicle, maintain the car’s value, and reduce the risk of costly repairs in the future.
6. Find cheaper fuel
The cost of fuel in the UK is at an all-time high. It can be hard to save money when costs are rising but you could shop around for the cheapest fuel possible. Using fuel comparison sites can help you to find the cheapest petrol and diesel cost in your area. Fuel is essential to your vehicle so it’s worth getting the best price possible and saving yourself money.
7. Park sensibly
Parking costs and where you park is often forgotten about when it comes to the cost of running a car. If you regularly park in built-up areas where parking is not free, it’s worth checking out where the cheapest spots to the park are.
There are mobile apps available that can show you the cheapest parking places in your area and if they are available or not. You could also consider how you park too as parking illegally can result in parking fines and charges.