After a few years of use, your car will eventually need some maintenance and repairs. Once your local mechanic tells you that you will need to pay a considerable amount for the repairs, you will begin to wonder if repairing or replacing your car makes more sense. While some people have no problem getting rid of an old car, you can be stuck in making the decision.
There are times when replacing your old worn-out car becomes a better choice. But if you have already become emotionally attached to your vehicle, it can be hard to say goodbye to your car. But when is it more reasonable for you to hold on to your old car?
Ask how much the repair will cost
Sometimes, you need to pay only a few hundred dollars for a car repair. Of course, this will depend on the severity of the problem. For instance, your car requires a transmission service in Salt Lake City. Ask your trusty old mechanic how much this costs and what future repairs and replacements are imminent. Ask for an estimate of the entire costs. It is also a good idea to ask for a second or third opinion just to check which reliable shop can give you a more detailed report and a better rate.
Do a financial check
It is not enough that you know you can afford a new car purchase or accommodate only the costs of repairs. There are other factors you also need to consider, including all your bills, debts, and expenses due for this month and the following months. If you can live comfortably for the next few months after an expensive car repair, then you can consider the repair as a good investment. But if you can afford a new car purchase, there is no point in paying for the repairs.
Check the current value of your car
Now that you know how much the car repair will cost, it is time to check how much your car costs. Of course, as time passes by, its value will depreciate. You can use a used car value appraisal tool calculator to check how much the current value of your car is.
Compare the car’s value and the estimate costs
How much do your car repair costs compare to your car’s current market value? You can use a fix or trade calculator to check the cost of buying and keeping your car. If it is less than half of the car’s value, then paying for repairs can be a worthwhile investment. But if the repair costs reach half of it, then you’d better replace your old car.
Sometimes, the very reason your car’s repair costs ballooned to hundreds or more than a thousand is your negligence in maintaining your car. If you don’t want to end up paying for a considerable amount of money just for repairs, then keep up with your car’s maintenance. You can always consider this list as your guide if you need help deciding between repairing or replacing your car.