Thread by @ChristoThurston

Things to keep in mind when buying a car - a thread

1. Never buy a car on a balloon payment. It is a repayment method designed to keep you trapped in debt. By the time you paid up the car you need to take out another loan to pay that balloon payment.

2. Do not merely accept the interest rate that the first bank gives you when you buy a car. Negotiate! If bank A gives you a better rate, go to bank B, C, D, E, in fact all the rest, and tell them that bank A gives a better rate.

3. Do not accept all sorts of extras/add-ons when you buy a car. All sorts of windscreen, tyre, scratch insurances increase your repayment amount but will you really get value out of all those what-what extras?

4. Get quotes from all insurance companies. Not just 1! Look at the reputation of the insurance company. They might seem to give you the cheapest insurance but you will cry when you want to claim.

Oh...be 100% truthful when taking out insurance!

If you are part of a lift-club, your insurance must know! If you fail to disclose, the insurance company might repudiate your claim on the grounds that you are using the car for 'business purposes'

Check the delivery/admin fee charged by the dealer where you buy a car. Ask the salesperson to break it down. You will be shocked to learn how some dealers charge you exorbitant fees to merely handle the sale of your vehicle. Demand a better admin fee.

Buy a car that you can afford. Don't buy a car to impress friends and family. They will not be there when you will face empty plates for the next 72 months!

Don't lend your car to friends and family. They do not value it as much as you do.