As a student, you’re still working on your dreams and being able to save money as soon as possible is a great way to stay out of debt. Once you’ve graduated and entered the workforce, having a savings account can help you hold out for the job you really want or simply give you more options on where to live. Being able to save money means knowing where to get the best deals for all your needs, from buying groceries to buying cars and car insurance.
Money is a Tool
We live in a capitalistic society and money is the ultimate tool. It’s important to understand that spending money you don’t have for the sake of temporary social status is not only frivolous, but dangerous. Racking up credit card debt with impulse buys to keep up with those around you has long term consequences.
As a student with low or no income, cultivating good spending habits and knowing where/how to find good deals is one of the most important “hacks” you’ll ever learn.
Get the best Car Insurance
Once you’ve researched and found your car, it’s equally important to buy good insurance. Accidents are unpredictable and the cost of paying for repairs can put a serious dent in your bank account and savings.
Since there are so many options available and policies are generally priced higher for younger drivers, comparing car insurance plans helps you keep your monthly expenses down. Before you bought your car, you probably started your research online. You can do the same when looking to purchase car insurance.
By comparing insurance policies online, you can save money and the hassle of having to talk to multiple insurance agencies one at a time. MoneyExpert.com is a great place to start as it gives you a side by side comparison of all the different options available to you.
Stick To Your Budget
Owning a car is a sign of independence. You can get to other places easily, find work in locations that aren’t accessible by walking or public transportation. A car opens up your world. Unfortunately, cars are one of those purchases that not only depreciate in value but comes with added expenses such as gas, maintenance, and car insurance.
Even if a car is cheap, the insurance on it is the monthly expense that comes out of your paycheck, so it’s important to make sure that your plan is not only reliable, but affordable.
Since a new car loses its value the minute you drive it out of the lot, it’s best to purchase used if possible. There are many brands of vehicles (dominated by Hondas and Toyotas) that not only depreciate slowly, but are reliable and can be used for years to come. If you’re able to purchase a used car with cash, so as not to take on more debt, these same used cars can be found for less than $10k.
It’s also possible that you may already have an insurance plan, but not checking and comparing with other plans means that you may be overpaying. No matter what you purchase as a student, whether it is car insurance or a t-shirt, comparing prices is key to getting a good deal.