When you apply for a vehicle loan, there are two things that will help your chances of getting your loan approved. The first of these is to collect a decent-sized deposit together for the vehicle of your choice. After all, the less you borrow, the less you have to repay and the less interest you’ll be facing. Secondly, pay off any outstanding loans and debts to improve your credit history. This includes something as simple as clearing the debt on your credit card.
We understand that it takes discipline to clear debt, however, by choosing to make a few cuts here and there, your savings will add up. They key is to take a creative approach, as it’s all about budgeting. Here are a few tips to get you started:
Eat out less often
For many of us, this may have come about naturally amid COVID-19, where we have adjusted our lifestyles. But aside from the here and now, even in the future, in the ‘post-COVID’ world, just stop and look at what you’re buying. If you want to save a bit of dosh, prepare your meals at home, and in bulk. Take leftovers with you to work, so you don’t have to fork out a hefty sum each week on expensive cafe food. It’s not that you can never go to a restaurant or eat out – but save it for special occasions.
Get your hands stuck in
As the saying goes, if it ain’t broke, don’t fix it. However, if it is broke, rather than discarding old items, have a look at repairing it. And forget about calling in someone to do the job – unless it’s something outside your skill or qualification level – tackle the job yourself! Whether it be clothing, furniture, car maintenance or even some small-scale work around the house, you can save a few dollars by getting your hands dirty.
Buy only what you need
We all get carried away from time to time, buying things we thought were a fantastic choice in the moment, only to later realise…why? Regardless of how much you save on a purchase, sometimes you realise you really could have just done without the item altogether and saved even more.
Put those legs to good use
Sure, it might seem somewhat ironic that as a car-oriented website we’re recommending you leave the car in the garage when heading out, but there is a difference when it’s a short commute as opposed to one where you really need to drive. So, if you have a bike or can walk that short trip, leave the car at home and save a few bucks, plus do your bit for the environment.
The important thing when budgeting so you can save for a deposit is to just get started and to stick with it. Once you start making the changes and see the difference, the more that your behaviour is likely to stick with you.
The Fincar team is here to help you with all your financing needs. Contact us today to help arrange your next car or equipment loan.