When We Should Buy a New Car?

I have notice that keep on changing new car has become a trend of todayís life in city. People keep on switching to new car for no reason. It seems like car has become a way for people to express and show their status. Every year there are so many new car models coming up. So they keep on changing the car whenever they saw some new models that they like.

I had even heard people saying this: Since I need to pay for my installment every month, then why don’t I switch to a better new car?í It seems like paying car installment has become part of people’s routine life where if they donít pay for the installment, they donít know what to do with the money. Maybe people have forgot that they donít have to pay for car installment if they donít want to.

I know that I may offend a lot of people by saying that buying a new car is not necessary. However what I am saying is not that you cannot buy a new car. But when you wanted to buy a new car, think about why do you want to buy it. Is it neccesary? Do you want to buy it because you need it? Or you want to buy it simply because you wanted to show off to people that you are rich. Do you buy the car to boost up your ego?

For me, I only buy a car when it is needed. When I say needed, I mean that I really need the car. Not for no reason, not for showing off purpose. If my house is located at an area where I have no access to public transports, then I will consider to buy a car. If my old car has too many problems, then I will consider to switch to a new car.

Currently I have a car of 17+ years old. I have no intention to change a new car right now as my current car is still in good condition. I plan to use the car for at least 10 years if the conditions are ok. Actually the car is currently used on the weekend only. I am actually taking public transport (LRT) to work as my office and my home were just beside the LRT line. I have no intention to buy a second car although there is no problem in getting one financially.

With this I can save at least RM1000 per month. I would rather leverage this RM1000 per month for other purpose as investment. Why do I want to increase my expense to somewhere that I don’t really need. I can even use the extra money to do some investment.