Getting a car is a major milestone, but for most South Africans it is also a debt trap waiting to happen. The worst mistake is to chase status or fall for marketing tricks, what matters is total cost, not monthly payment alone. Begin by working out your real needs. Do you drive long distances, need a family car, or just a runaround for short trips? The more honest you are, the more you will save.

Buying new is tempting, but the value plummets the moment you drive away from the dealership. Consider a demo model or a used car with a full-service history from a reputable dealer. Never sign up for the maximum finance you qualify for. Instead, save for a larger deposit, which lowers your repayments and total interest.

Compare finance offers, watching not just the interest rate but also fees and insurance add-ons. Always insist on a fixed rate, if possible, it shields you from future rate hikes. And remember, if you cannot afford comprehensive insurance and maintenance, you cannot afford the car.

Lastly, do not be swayed by fancy extras or “balloon payment” deals that leave you owing a lump sum at the end. The goal is to own the car outright as soon as possible, with minimal stress. In tough times, the most valuable car is the one you can afford to keep on the road.