Howdy Carforumers. How do one purchase a car as a college student - dropout, undergraduate or a graduate.
This seems to be a burdening question to many college students out there and just like myself, I would love to share how I owned my first car as a student in the college.
Why You Need the Car
The thing I considered was why I so much needed the car. Since I wasn't boarding in the college, I had to use the public transport every day and the cost is high as you already know. Again, I had this petty job I use to make extra money for myself. SO, i thought to myself that I needed a car to drive to lectures and to the job I am earning from. Now, I have my reasons for getting the car and it's satisfactory. So, figure out your reason. And, if the reason isn't cool, do not attempt to buy a car while in college. Also, you've seen that I have a job and it is enough to care for maintenance expenses and all.
What Car Do You Need?
First off, understand that as a college student, you do not need a big car. I recommend a simple sedan or a hatchback. I own a hatchback because it's easier to maintain. Also, do not go for vintage cars or any muscle car. Trust me; the cost of maintenance would be very and you might be unable to catch up with other financial commitments in school.
Make Money 💰
Here is the main challenge; making money. How do you make money to buy a car as a college student? You would say "savings" but where do you pack the money for savings? Below are a few things to consider:
Pick up a mini job:
Like myself, get yourself a simple job to do. Some of such jobs would include babysitting, mowing the laun, dog walking, house cleaning, gardening, etc.
Get student loan:
Most colleges offer this. If your college provides lending programs, participate and make sure to repay or it will affect your credit score.
Take Paid online surveys:
If you live in developed regions like the US, UK, China, etc. you'll enjoy paid surveys online. Save them up and your savings will grow.
Saving alone is not enough. You must discipline yourself well enough not to use the money. In my case, I deposited my earnings in fixed accounts so as to deter me from earning. Guess what, I was able to save 30% more.
Also, disengage yourself from extra expenses. Like club fees, buying irrelevant things like gaming consoles, doing charity, etc.
Contact a Professional
You need a professional to explain how you will go about with buying the car. First off, if you're going to pay in full, you must be smart not to get cheated by the dealership - private or not.
Get accustomed with the processes of applying for a loan and do not ask for loan if your credit history is poor. The reason is that the lending company will charge high interest rate because you are not likely to pay back without defaulting. You will also need your parents or an adult to present their employment history on your behalf before the lender will approve.
Get the Car and Test Drive
Once you've sorted the whole thing, your car should be ready. Make sure to test drive and be sure to find out whether the insurance policy of the dealership covers for the dealership. If it doesn't, apply for temporary insurance online to cover the test drive.
There are a couple more things you like to find out on buying a car as college student. You may follow the link to learn a few more things or settle with this. Please, be very sure that you are ready to purchase and spend before you buy that car while in college.
I hope this helps someone out there