For many Australian households, a car is often the biggest expense after the home loan or rent. And with ongoing costs such as insurance, fuel and maintenance eating into to the weekly budget, finding ways to reduce car expenses and save money has become more important than ever. From regular maintenance and tyre checks to fuel discounts and sensible driving, these cost saving tips for cars could help you reduce your car expenses.

Perform regular servicing and maintenance

Car services may be pricey but avoiding a service for too long will only make the situation more costly. Most car troubles can be avoided with regular servicing and maintenance, while simple DIY checks – like oil and fluid levels, tyre tread and pressure – help prolong the lifespan of your car and keep you and your passengers safe on the roads.

Car services should be done every six months to a year, or every 10,000 – 15,000 kilometres, depending on your car’s service intervals. And any time you’re planning a long road trip, it’s worth having a mechanic go over your car beforehand to ensure it runs efficiently and that any issues are fixed ahead of your trip.

Check tyre pressure and tread

Regularly checking your tyres – including the spare wheel – for alignment, tread and pressure could help you save on fuel consumption and general wear and tear. Under or over inflated tyres can cause drag on your car which means you use more fuel, while not having the right tyre pressure could mean your tyres wear out faster. What’s more, incorrect tyre pressure may compromise your safety on the roads as it impacts your car’s cornering, stability and braking ability.

Save on fuel costs

With oil prices fluctuating on almost a daily basis, fuel costs easily chew up a large portion of the household budget. Which is why finding ways to save on fuel is such a necessity. Here are some ways to cut down on fuel costs:

• Drive responsibly. Aggressive driving including speeding, rapid acceleration and hard braking wastes fuel and reduces your fuel mileage.
• Use discounts and rewards. Shopping at certain supermarkets earns you fuel rewards. And every little bit helps when it comes to saving on fuel costs!
• Shop around and compare. Fuel prices can fluctuate daily and vary depending on where in Australia you are, so it helps to know where’s cheapest to fill up. Shop around or use an online app to find the lowest fuel prices.
• Avoid weekends and public holidays. Buying fuel earlier in the week could save you money, as fuel prices tend to sneak up on weekends and public holidays.

Review your car insurance policy

Another significant expense that can eat into the household budget is car insurance. A review of your existing car insurance policy could help you determine if you’re paying too much for your insurance or if you don’t have the right cover. Shopping around for the best deals and comparing policies, inclusions and exclusions and switching car insurance providers for a better deal could save you money.

Refinance your car loan

Different lenders offer varying rates, fees, and terms which is why refinancing to a lender for a better deal could make sense when it comes to saving on car expenses. Refinancing could help reduce your car loan repayments so you’re left with more to go into your savings. But before refinancing, it’s best to get financial advice to determine if this option is right for you.

To find out more about refinancing your car loan - or to book an insurance review - contact a Mortgage Express broker who can help you weigh up the pros and cons to determine if refinancing would put you in a better financial position. For more saving tips this festive season, be sure to read, “How to reduce your holiday season spending”.

While all care has been taken in the preparation of this publication, no warranty is given as to the accuracy of the information and no responsibility is taken by Finservice Pty Ltd (Mortgage Express) for any errors or omissions. This publication does not constitute personalised financial advice. It may not be relevant to individual circumstances. Nothing in this publication is, or should be taken as, an offer, invitation, or recommendation to buy, sell, or retain any investment in or make any deposit with any person. You should seek professional advice before taking any action in relation to the matters dealt within this publication. A Disclosure Statement is available on request and free of charge.

Finservice Pty Ltd (Mortgage Express) is authorised as a corporate credit representative (Corporate Credit Representative Number 397386) to engage in credit activities on behalf of BLSSA Pty Ltd (Australian Credit Licence number 391237) ACN 123 600 000 | Full member of MFAA | Member of Australian Financial Complaints Authority (AFCA) | Member of Choice Aggregation Services.