2010 Frugal Living Guide
Car repair
smart spending
6 tips to save money as a frugal car owner

The frugal car owner
Next
1 of 8
The frugal car owner

Buying a car is one of life's biggest expenses, but there are plenty of ways to save money, and the benefits add up fast. You can save thousands of dollars over the life of your car by doing simple things such as thoroughly researching before you buy, finding the right insurance and diligently maintaining your car once you get it.

The really hard part comes at the beginning: Choosing the right car. Unless your job or your professional image depends on having swanky wheels, discipline yourself to separate your emotions from your buying decision. Don't buy fancy, and don't buy new.

You can save at least $9,000 in the first five years after buying a used car instead of a comparable new one, according to car-buying site Edmunds.com. The longer you keep your car, the more you save money.

"Many people are very much into their cars. It becomes a major part of their identities," says Lars Perner, assistant professor of clinical marketing at the University of Southern California's Marshall School of Business. "They end up spending a great deal of money."


 

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
MORTGAGE HOME EQUITY AUTO CDs CREDIT CARDS
Product Rate Change Last week
30 year fixed, 0 point 4.32%  0.06 4.26%
15 year fixed, 0 point 3.36%  0.09 3.27%
5/1 ARM 3.37%  0.10 3.27%
 
View Rates in your area Search
Product Rate Change Last week
30K FICO-based HELOC 4.74%  0.01 4.75%
50K FICO-based HELOC 4.51%  0.01 4.50%
100K FICO-based HELOC 4.24% --0.00 4.24%
 
View Rates in your area Search
Product Rate Change Last week
60 month used car loan 2.86%  0.20 3.06%
48 month used car loan 2.79%  0.40 3.19%
60 month new car loan 2.94%  0.10 2.84%
 
View Rates in your area Search
Product Rate Change Last week
1 Year CD 0.90%  0.02 0.88%
2 Year CD 1.02%  0.01 1.03%
5 Year CD 1.59%  0.01 1.60%
 
View Rates in your area Search
Product Rate Change Last week
Balance Transfer Cards 15.71%  0.01 15.70%
Cash Back Cards 16.36% --0.00 16.36%
Low Interest Cards 10.91% --0.00 10.91%
 
Search
advertisement
FRUGAL NEWSLETTER

Discover new ways to cut costs and save more every day. Reduce your spending, not life’s pleasures. Delivered weekly.

advertisement
Partner Center
advertisement

Connect with us