It is possible to buy a new car on a limited budget

Want to buy a car but do not have the budget? Don’t worry, there are several solutions to help you finance this. Credit, leasing, state aid … We tell you everything.

Finance your car when you can not pay in cash

Buying a new car, or even a used one, represents a significant expense that many households can not afford. Fortunately, there are various financing options available.

– Car credit

When buying a new or used car, you can request a car loan. The amount is limited to € 75,000 over a repayment period of 84 months. Many companies offer car loans at different interest rates.

Note that you may be asked for a personal contribution to this type of loan, but it is not mandatory. You can claim a car loan even if you have no financial contribution, you just need to meet certain conditions.

To find the best deal on car loans, simply use an online comparator. In a few clicks you get the necessary loan to buy your new car.

– 0% car loan

Some manufacturers and retailers offer it from time to time in their offerings. It consists of repaying only the amount borrowed, without interest. This type of credit is often offered when a series is to be sold and generally applies only to certain new models.

The zero interest credit is spread over a repayment period of two to three years with a basic contribution of 10 to 30%. But beware, this credit is often linked to an additional insurance, and costs for monitoring your file may also be charged to you.

VIDEO – “With an average annual cost of between € 5,000 and € 10,000, a car is often a drain on your finances. But savings are possible “

– Leasing

It is a service that allows you to rent a new car, with the option or not to buy it. There are therefore two types of leasing:

Long Term Rent (LLD) makes a new car available to you that you can change regularly. This contract obliges you to pay monthly rent for a period not exceeding 5 years. Its amount is determined according to the model of the vehicle, its new value, its brand, the duration of the contract and in particular the estimated number of kilometers. Because you need to know that a lease commits you to respect a certain number of kilometers, and any overrun can generate additional costs on the final invoice. It is set at 15,000 km for a petrol car and 25,000 km for a diesel model.

Leasing with the possibility of purchase (LOA) applies to the same conditions in the LLD, but with the possibility of purchasing the vehicle. Advice: if you intend to buy the vehicle, it is better to accept higher rents, which will affect the expiration of the lease on the residual value of the car.

How to find a cheap car?

– “Low cost” cars

They usually cost 30% less than other cars in the same category. These are new cars sold for around € 10,000. These cars, although cheap, meet the necessary approvals to be sold on the European market and therefore meet the safety conditions.

The secret behind their price comes mainly from the place where they are made and their standard equipment.

– Buyer used

By asking the right questions and negotiating the price, you can find a nugget of gold in the used car market. If you are not an expert in the subject, buy from a retailer to benefit from the seller’s advice. Otherwise, you can do good business on the side of ads between individuals.

The important points to check before buying: The car’s mileage, its fuel consumption, its last technical inspection or its first registration date to know if it is a first, used or third hand car.

VIDEO – How to find a cheaper electric car?

– Auctions

If you want to save 20 to 50% on the purchase of a car, then you are interested in auctions, there is a wide selection of vehicles. Where do these vehicles come from? Mainly seizures, car rental companies or sales of company fleets.

Before they go on sale, these cars all benefit from a technical overhaul, which ensures that the vehicle is in good condition. Good to know: Auctions are open to both individuals and car professionals.

Purchasing aids to support you

There are several aids to buying a new vehicle, did you know?

– Conversion bonus

You can benefit from this if you want to replace your old vehicle (a diesel or petrol car that is being scrapped) with a less polluting car, namely an electric, plug-in hybrid or Crit’air 1 petrol car.

You can benefit from the conversion bonus no matter which financing method you choose: Purchase, credit or leasing. The size of this aid varies depending on your income, the type of vehicle to be destroyed and the type of new vehicle you want to acquire.

– The organic bonus

To receive this help, you need to buy a clean car, namely: a new or used electric or hydrogen vehicle or a new plug-in hybrid car.

You can also benefit from the ecological bonus if you rent an electric car for at least 2 years in LLD or LOA.

VIDEO – Why it’s a good idea to buy an electric car (fast).

– The tax deduction

There is a tax deduction for the installation of an electric charging station. If you buy an electric or plug-in hybrid car, the State offers assistance with installing your charging station at home. But note that it is limited to € 300.

How to save even more?

Whether it is during or after the purchase of your new car, you can always optimize your car budget. Just take the right reflexes:

  • Be careful with the options: you pay for all the options in your new vehicle, keeping only those that will really be useful to you. Removing certain options can lower the price significantly.

  • Think carefully about the different options for you: petrol, diesel, hybrid or electric car? The least polluting cars make it possible to benefit from state aid, which can be interesting.

  • Find the right addresses for the maintenance of your car. Comparators allow you to choose the best prices near you.

  • Save money on your car insurance: By comparing offers from several insurance companies, you can find a cheaper coverage while maintaining the same guarantees.

Leave a Comment