Keep Your Old Car, Or Trade It In?

You've decided to buy a new car (or a "new"- Alternator, 125,000 miles
used car) and you're wondering what to do with- Brake rotors, 80,000 miles
your old one. Should you trade it in? Sell it? Keep- Brake drums, 150,000 miles
it?- Brake calipers, 150,000 miles
Chances are your old vehicle is either paid off or- Clutch, 75,000 miles
close to being paid off, so the monthly budget- Headlamp, 100,000 miles
issue may be advantageous for keeping it.- Sealed front bearings, 125,000 miles
Insurance costs should also be less on an older- Shock absorbers, 75,000 miles
car. And you could raise the deductibles to get it- Starter, 100,000 miles
even lower.- Timing belt, 100,000 miles
Depreciation is also less of an issue with an older- Timing chain, 100,000 miles
vehicle. The big losses in car value take placeCars are now built to last longer than ever before.
during the first five or six years.And you can see from the above list that the
You can even use your old car for commutingmore expensive repairs tend to occur at around
and around town errands. This will save wear,the 100,000 mile mark.
tear and resale value on your new car.Keep in mind that as you approach 150,000 miles
The big issue, however, is potential maintenanceor so, a vehicle often has paint and rust issues.
costs. Will you get clobbered by expensive repairsInterior upholstery also tends to have more
down the road? Savings from the above factorssevere problems at this time. And repairs made
may be more than offset by future repair costs.at 75,000 miles are coming around again.
Well, you don't really know for sure. It's typically aFrom a purely economic point of view, trading in
hard call to make because without a crystal ball,or selling a relatively young vehicle because it
there's no doubt it's a bit of a gamble.needs a few hundred dollars of repairs would not
However, here's some component examples withbe wise. On the other hand, the prospect of
the mileages when they typically need to bespending thousands of dollars on a vehicle on its
replaced. This can help you weigh the odds a littlelast legs should be carefully considered.
more in or out of your favor.