Your car is probably one of the most valuable assets that you have, assuming you’ve paid it off. Why would I say that? Well, your vehicle is valuable because it is an asset that you could resell to generate cash if you need it. It is also valuable because it makes it possible for you to get to work and to fulfill family obligations.
When you own a vehicle, it is important to do everything you can to take care of it. This means getting regular oil changes to keep your vehicle running well. This also means taking care of maintenance issues, driving within the speed limit and otherwise taking steps to make your car last as long as possible. There are a lot of important reasons why it makes sense to keep your vehicle in good shape.
Let’s have a look, shall we?
You can keep your car for longer if you maintain it well. As the Washington Post points out, many Americans are serial auto-loan consumers. This essentially means that as soon as they get a car loan paid off, they need to buy another car. When you constantly have a car payment, you cannot use this money for other things like saving or meeting other bills. You are always vulnerable to a job loss that could make your car loan bill hard to pay. And you are always going to be wasting money on a vehicle. If you can keep your car for longer after it is paid off, you escape from this burden. This means you get an extra couple hundred dollars per month to put towards other money goals. The longer you can keep your vehicle running and in good shape, the more money you can set aside for other things. This financial freedom is one of the big reasons why financial expert Dave Ramsey urges people to be sensible about their vehicles; to shop smart for a car; and to pay cash when possible–or at least avoid car loan after car loan.
You can avoid costly repairs on your vehicle. Car repairs can be really expensive and can take a major bite out of your budget. You do not want to end up spending a fortune on car repairs just because you did not take care of your car. Instead, by maintaining the vehicle, you reduce the risk of major problems and costly breakdowns.
A breakdown can be dangerous. A breakdown of your vehicle is not just expensive but it could be dangerous. If your car doesn’t work properly, you could experience problems with the brakes or the vehicle could shut off when you are driving it. The result of this could be an accident that endangers you or that endangers others. Your car could also break down late at night or when you are in an unsafe location, again putting you at risk of getting hurt. If your vehicle is well maintained, you should not have any surprise unexpected breakdowns as you drive or when you are far away from your home. Problems can be identified during inspection or maintenance and you can find solutions to little issues before they become big issues.
A well-maintained car can be a source of income. You can obviously sell your car if you get into financial trouble. However, you don’t have to sell your vehicle to tap into the money that the car is worth. A car title loan from TitleMax can make it possible for you to borrow against the value of your car. You will be able to continue to drive the vehicle even when you have taken a car title loan. This means that you essentially free up some of the money you spent on the car when you get into financial trouble. If your car is in good shape and well-maintained, then the vehicle is going to be worth more and you could potentially take a larger title loan if you need to.