I bought a Mitsubishi Mirage Hatchback GLS back in 2018 on an installment basis, and the only thing I considered was whether or not I had the financial capacity to pay the monthly fee. Little did I know that there were other equally important things to consider. If you’re thinking about buying your first car, here are some things I wish I knew.
Here are some things I wish I knew before buying my first car
Disclaimer: This may or may not apply to you. This list is based on my personal experience.
Monthly & Annual Expenses
Don’t make the mistake of thinking that the only items to think about are the downpayment, full or installment payment, and gas prices. Back in 2018, when I was computing whether or not I could afford to get a brand new car, I only considered the monthly amortization of PhP 12,000+ and a gas budget of PHP 3,000/month. Making my monthly budget of PHP 15,000 exclusively allotted for transportation costs. I didn’t realize that I had to think about car insurance, maintenance, and annual car registration.
Why is it important to have car insurance?
Having car insurance will make sure you are prepared for the worst. Whether that’s from a car collision accident, your own damage, or acts of God or nature, car insurance will help you save thousands of pesos.
Back in 2021, when I was driving to Batangas, my window on the passenger side suddenly shattered! I didn’t see how exactly it happened; it looked as if someone threw a rock straight at my window. It’s a good thing I had comprehensive car insurance, which helped cover the damages.
A participation Fee is required when you file a claim.
I thought that car insurance would cover ALL fees when you file a claim. But they have this thing called a ‘participation fee’ that you need to pay whenever you file a claim. For my car window, I still had to pay around PHP 3,000.00 as a participation fee. But this is still better than paying around PHP 12,000.00 which was the estimated cost to replace my window.
Annual Car Registration Fees
Depending on your vehicle, the annual car registration fees can cost from PHP 3,000.00 to PHP 5,000.00. LTO will also charge an extra P100 per week for late registration. So make sure you always renew on time!
Car Battery Replacement
If your car is more than 2 years old, then you should expect that you will need to replace the battery soon. In 2021, I got mine from Motolite, which costs around PHP 6,000.00.
Car Maintenance
Car maintenance fees can be very expensive. My usual Preventive Maintenance Schedule or PMS at Mitsubishi normally costs around PhP 7,000.00 for my Mirage Hatchback. Nowadays, I book my PMS via MechaniGo, which is a home service Car Maintenance Provider.
You might need a checking account for installment payments.
This was my experience under Mitsubishi, but I know some car brands now allow bank deposits. But in general, they require you to provide postdated checks immediately.
Read: How to renew your LTO Driver’s License: 2023 Guide
Below are some things to consider from my TikTok followers that might help you!
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