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Biggest car buyer regrets

Last updated on November 25th, 2021
  Written by 
Bill Tsouvalas
Bill Tsouvalas is the managing director and a key company spokesperson at Savvy. As a personal finance expert, he often shares his insights on a range of topics, being featured on leading news outlets including News Corp publications such as the Daily Telegraph and Herald Sun, Fairfax Media publications such as the Australian Financial Review, the Seven Network and more. Bill has over 15 years of experience working in the finance industry and founded Savvy in 2010 with a vision to provide affordable and accessible finance options to all Australians. He has built Savvy from a small asset finance brokerage into a financial comparison website which now attracts close to 2 million Aussies per year and was included in the BRW’s Fast 100 in 2015 as one of the fastest-growing companies in the country. He’s passionate about helping Australians make financially savvy decisions and reviews content across the brand to ensure its accuracy. You can follow Bill on LinkedIn.
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Car doesn’t work properly

Buying a faulty car is a common experience among those with car buyer remorse. In fact, according to research done in the UK, a third of people buy a faulty car and regret it afterwards. It might be that the car developed problems over time, which costs money to fix, or was a “lemon” – just wasn’t right from the start. Most people aren’t mechanics and, so it pays to have a friend that is to come along with you when you’re buying. Another option is hiring an independent assessor to have a look over the car before you buy.

Didn’t research the car before buying

In today’s switched on age, there’s no excuse for not doing your homework. You can get impartial reports on how green a car is, how safe it is and even how it handles. According to the UK report, one in eight people say they didn’t research the car they were about to buy and ended up disappointed. Also, look up serial numbers on the Personal Property Securities Register to make sure you aren’t buying a write-off or a stolen car. Get as much information as you can; a smart buyer is a happy buyer.

Huge running costs

You might’ve gotten a steal on your car from the dealer, but after a few months you find yourself shelling out more than you bargained for. Factoring in fuel economy, car insurance and regular log-book services on top of just the retail car price might end up costing you way more in the long run. It is also important to budget for the car you are thinking to buy.

Car depreciated quickly

It’s true: when you drive your new car out of the dealer’s lot, it’s a used car. Add to that, you’ve paid stamp duty, CTP and other fees and charges. The value of cars will generally depreciate 14% in its first year and 6-8% after that. If you are buying a car using motor vehicle finance, you could be paying off a car with little residual value as time goes on. This means the car very hard to sell once you pay off the loan. Some cars hold their value better than others do, but you’ll have to do your research using a service like Glass’s Guide.

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This guide provides general information and does not consider your individual needs, finances or objectives. We do not make any recommendation or suggestion about which product is best for you based on your specific situation and we do not compare all companies in the market, or all products offered by all companies. It’s always important to consider whether professional financial, legal or taxation advice is appropriate for you before choosing or purchasing a financial product.

The content on our website is produced by experts in the field of finance and reviewed as part of our editorial guidelines. We endeavour to keep all information across our site updated with accurate information.

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