It can be a very exciting time shopping around for a new set of wheels because your old car is letting you down on far too many occasions now. It is the luck of the draw when you put your key in the ignition of it whether it will start or not. This is no way to live your life and you can’t keep being late for work because you might lose your job. It makes a lot more sense to get yourself a new car and if you don’t have the necessary funds in place to pay for the vehicle in full then there is no need to worry because there is always car finance available to you.
Many Australians the length and breadth of the country take out car loans every single month with no regrets. It’s likely that your friends and family always tell you to stay away from finance because it is a bit of a minefield but if you do your homework and you read the fine print then there’s no reason why you can’t find a car loan that is perfect for your financial situation. The following are just some of the top reasons why many Australians would rather take out a car loan than pay for their new ride upfront.
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It can be tax deductible –
If you are self-employed or you own your own Australian business then it is entirely possible that you can put this new vehicle down as a company car and this will allow you to claim it as a tax-deductible expense. This means you can also claim for any insurance policy that you take out on the vehicle and any repairs and servicing that you might make.
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It helps with your credit score –
Taking out a car loan and sticking to the repayments and making them on time will help to boost your credit score. Your credit score is incredibly important when it comes to purchasing things like your first home and so you do not want to be standing in a lending institution and for the person behind the desk to tell you that you cannot get the loan because you don’t have a credit history.
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You can borrow all of the money –
Unlike a mortgage for a house, you don’t have to put down any deposit and in many cases, you can borrow the full amount of the price of the car that you want to buy. This means that you don’t have to save up a deposit before you can start shopping around for your new set of wheels. This will allow you to walk into any dealership and hopefully leave with a new car on the same day.
If you have saved a lump sum to buy a new vehicle then this is money that you can now spend on something else. Maybe you want to treat yourself and your family members to a memorable vacation or you want to do some renovations around your home.
