As well as driving down the cost of young drivers insurance by buying a policy from Hoot, another great way to keep down motoring costs is to buy a cheap car.
While not risk-free, it is now quite easy to pick up some relatively low mileage vehicles at car auctions around the country. And given the economic slump, prices are lower than ever.
To help young motorists thinking about how to get a decent motor as well as afford the insurance, tax and fuel, Hoot decided to put together a quick guide to car auctions.
1. Pick a decent auction company
Auctions that list cars going under the hammer on their website can help you choose specific vehicles. British Car Auctions is a reputable firm that auctions vehicles from familiar sounding car hire firms.
2. Research auctions
To land a motoring bargain, it's worth spending time to understand auctions. Consider watching the auction process a few times before making a successful bid.
Be aware that winning a car at auction means the vehicle is bought as seen. Some vehicles will have warranties against major defects, although you may have only about an hour after winning a lot to detect any faults.
3. Test drive
It is important to take any car won at auction for an immediate test drive to check for any faults. It is helpful to remember that cars bought at auction tend to be newer. Knowing this may help persuade you to buy because faults are less likely in newer cars.
4. Payment
Deposits of, say, 10% are common once you are confirmed as the highest bid. Debit and credit cards are now acceptable at auctions - but check costs for all payment methods. Handling charges of 2% on cars costing thousands of pounds would be significant. Paying by cash, banker's draft or debit card means the money must be available in a bank account.
5. 'Surprise' costs
When the auction is over, hidden costs can be payable such as a buyers fee of a few hundred pounds. This is used to cover any problems should the car be found to have falsified mileage, be written off, stolen or part of a hire arrangement.
6. Take ownership asap
Storage fees - often more than £15 a day - to keep your won car at the auction location soon mount up. Also, it is stored there at your risk. Theft of or from the vehicle could cost you big time.
7. Practice
Go along and see how an auction really works. It is mostly a fast process with cars driven in front of auctioneers for less than a few minutes. Try to get comfortable with the bidding process. Use a retail guide to second hand car prices to get a feel for the right vehicle value.
8. Get bidding
Set an upper limit and aim to always keep to it. Consider bringing along a mechanic-type friend who may help spot problems. It is a risk but picking up a reliable motor at a knockdown price would make it all worth while.
No need to bid for young drivers insurance
Hoot is a specialist in cheap car insurance for young motorists. Once you've bought a car at auction, you'll need some motor cover - but you won't have to bid to pick up a great deal from our website.
For a quote in minutes, apply online now. It's easy - simply click on the 'get quote now' button below or call free phone . Our quotes for young driver insurance are among the lowest around.