Recently a customer stated they had put a lot of money in their vehicle lately and were thinking a trade was in order.
They requested that I check to see what has been spent with us repairing and servicing their vehicle. After investigating the repair history I discovered we had performed about $3300.00 worth of repairs over the last year, WOW!! Thirty-three hundred dollars!!
Well, then the customer states it is time to trade this vehicle in for a newer one. I defended the knee jerk reaction by stating that not only did we repair things that had broken we also performed all the regular maintenance service items that were 30K miles overdue.
So I divided the $3300 by 12 months and that work out to be $275 per month and if the services were performed when they were supposed to be done would have made the duration of these repairs at the very least 24 months now that would be $137.50 per month.
I asked what kind of car they could get with a $275 per month for only a year? Now, I will admit that the statement was made that they had put some money into this vehicle before using our shop. But the point was made that it was still cheaper to keep it than to trade if the increase in ad valorem tax and insurance is added to the equation you can quickly figure out what is actually cheaper.
To really make the best decision about what to do, I usually ask some basic questions:
1. Do you like the vehicle?
2. Are there any other major issues like transmission slipping or is the engine using oil?
3. Does fuel mileage matter - is it a gas guzzler?
4. Are you spending as much on repairs as a payment would be for a newer vehicle?
5. Is this vehicle being used locally or long distances?
6. Who will be driving this vehicle?
I know every situation is different, but take a close look at the facts so you don’t get caught up in new car fever and a financial disaster.
May God bless you and your family every day.
Visit https://www.eddiesautomotiveservice.com for more information or call 770-381-7574.