I drove a top-end car the other day. It was just four years old, in excellent condition, low mileage and it was seemingly as quick as the current model.
But boy, did I notice how dated it looked.
And boy, did I notice how much fuel it chomped!
I noticed because I have driven the latest model of this prestige-marque 4×4 on many occasions. I am familiar with it; the fuel economy, the in-car technology and the comfort.
This got me to thinking – is running a used car actually saving anyone any money, particularly in the prestige car sector?
Used car economy
Although I can’t say what the car was, I can tell you that the manufacturer has changed the engine range in the line-up since the time that the four year old one was made. The new engine is bigger but it does at least 10 more miles to the gallon (I would say it’s more like 15 miles to the gallon).
In addition, it is 0.3 seconds quicker. OK, that’s not a lot – in fact hardly worth reporting – but it’s still faster.
So if you are looking at taking on a large 4×4 and you do a few miles, 10 miles per gallon combined saves you an awful lot of money over the course of the year.
Used car technology
Then there’s the in-car technology. This has come on leaps and bounds over the past few years; no longer do we listen to our MP3 player music via a radio transmitter or use a cable to plug it in to the socket in the car. We don’t have to fiddle with the phone or device to select our music choice.
No, we have automatic synchronisation of our Smartphones when we get in the car and we have a middle console. This console allows us to choose our song by touching the screen and performs a number of other functions that are obviously different depending on the make and model.
Even the non-premium marque cars are incorporating this sort of technology in; because this is how we live today and they have to keep up.
It was for this reason that when I got in to the older model and the MP3 was transmitted to the speakers via a cable, I really noticed. Because I had forgotten what it was like before.
New car affordability
Not everyone can afford a brand new car though, can they?
Well, this is a question that I get asked a lot and one that I ponder frequently. If you have £3k cash and your credit history is not the best then perhaps it’s best to buy.
But car sales are booming and this, in part, is because of how fuel-efficient new cars are.
New cars are becoming more affordable – competitive car leasing deals are plentiful and if you take into account running costs of a used car then a brand new car may well be within reach.
Used car running costs
You may be financing your used car, or you may be buying it cash. Whatever you are doing if you are buying used, you have to factor in:
- Maintenance costs
- Road Tax
- Fuel economy
You can do this easily and accurately with the help of CAP’s free online Total Cost of Motoring tool by clicking here.
How a new car can save you money
If you get the right leasing deal, from a reputable company like Compass Contract Hire limited, you may well find it makes more sense to go the new route.
You will have no big maintenance worries (particularly if you take out a cost-effective maintenance contract), no Road Tax, better fuel economy (this in itself can save you £100+ per month) and there are no depreciation worries.
In short, you have fixed your costs of motoring.
Next time you come to change, just do the mathematics – bookmark this page for easy reference. If you would like any advice then please don’t hesitate to ask @leasingadvice or call any of the team at Compass Contract Hire who will be able to give you a quotation on a car that is suitable for you.