If you asked someone how much it costs them to own their vehicle, what do you think they would say? In many cases, they would probably multiply the amount of their car payment and monthly fuel expenses by 12 and share the total. While that’s understandable, other factors also influence your ownership costs.
Here are some of other things you need to consider when you calculate your true cost of ownership:
- Finance charges: Car loans include finance charges, which are basically fees you’ll incur for the privilege of borrowing money. The charges included in your loan will depend on various things, such as the size of your down payment, the term of your loan, and your credit history.
- Depreciation: This is the rate at which your car will lose value during the time you own it. In general, cars depreciate faster in the first few years they’re owned compared to when they’re older. This is part of the reason why older cars are often less expensive to own.
- Insurance premiums and registration fees: Whether you buy one of our new Chevy cars or one of our used Chevrolet models, you’ll have to pay to insure and register your ride. For this reason, you have to factor the cost of your auto insurance and your registration fees into your actual cost of ownership.
- Maintenance: Every vehicle will require routine maintenance over the course of its lifetime, and some will need an occasional repair. Maintenance expenses are recurring and they can have a big influence on your cumulative ownership costs. To keep your overall service expenses as low as possible, it’s advisable to keep up with your routine maintenance schedule.
For help figuring out how much it will really cost to own one of our new or pre-owned vehicles, visit Lester Glenn Chevrolet of Freehold to talk to our team now.