Buying Your First Car? 5 Costs Dealers May Not Tell You Upfront
Financial experts advise first-time car buyers to look beyond the ex-showroom price and account for hidden costs like comprehensive insurance and specific add-ons. Understanding these variables is crucial for avoiding unexpected financial burdens after the purchase.
Why it matters
Consumer education on vehicle ownership costs helps prevent financial strain and ensures better protection for new car owners.
For a first-time car buyer, the number displayed at the dealership is rarely the final amount that leaves the bank account. The jump from ex-showroom price to on-road price can be significant once registration, road tax, insurance, accessories and other charges are added.For someone buying their first car, there are also costs that can be easy to overlook during the excitement of booking the vehicle. According to Abhishek Bansal, CEO, Insurance Business at InsuranceDekho, here are five expenses buyers should check before signing the deal.1. Insurance Is More Than Just Another Line ItemInsurance is often treated as a mandatory expense that has to be paid before the car can leave the showroom. But buyers should first understand what they are actually paying for. Third-party motor insurance is mandatory. It covers the policyholder's legal liability towards third parties. However, it does not cover damage to the buyer's own vehicle.
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