I Need A Second Car. Now What?

I Need a Another Car. Now What?

The more life changes, the more a second car might become a growing need. And when planning for your newest set of keys, there are a few things you should keep in mind. Here are five key decisions you'll need to make.

1. Determine your budget.

   Before you start shopping for a second car, it's important to set a budget. Consider your monthly expenses, savings and other financial obligations to help you find a ride that fits within your means.
   
   Remember to factor in the other costs of having a second car, like fuel, insurance and maintenance, when determining how much car you can afford. You may want to use our auto finance calculators to develop an ideal budget as you begin car shopping.

2. Consider your needs and research different models.

   Do you need a car for commuting, running errands or for family trips? Will you be driving in inclement weather or on rough terrain?
   
   Research different car models that match why you need another car. Look at fuel efficiency, safety ratings and other features that are important to you. For example, while a gasoline-powered vehicle is suited for long or off-the-grid road trips, an electric vehicle (EV) is an eco-friendly and energy-saving option for daily commutes and in-city excursions. Maintenance costs tend to be lower on EVs as well.
   
   You can also read reviews from other car owners to get a sense of how the car performs over time. Understanding your needs will help you choose a car that fits your lifestyle, as well as an auto financing option that doesn't break your budget.

3. Lease or buy?

   The choice to lease or purchase a second vehicle is an important one. The good news? Both auto financing options have unique advantages that could make them work for you and your family.
   
   Leasing is the perfect choice for those wanting to drive a new vehicle with the possibility of having a lower monthly payment. And if you know how many miles you’ll be driving or want to experience the latest technology more often, leasing is a great option for you.
   
   When leasing a new vehicle, make sure you budget for additional items like excess wear coverage and additional mileage if those options sound like they’re right for you.
   
   Whether in the form of customization or not having mileage limits, purchasing is great for those who prefer a number of possibilities. Plus, buying a car gives you the option to trade in your vehicle when you’re ready to upgrade.
   
   If you fell in love with an EV during your research, read our EV financing guide to learn about financing designed specifically for certain GM EVs, such as The RightChoice by GM Financial.

4. New or Certified pre-owned?

   If going the new route isn’t necessarily your desired option, buying a certified pre-owned vehicle might be the best decision. You get the experience of having a car that’s new to you while still staying within your budget.
   
   A key to pre-owned shopping is knowing what you want before stepping into the dealership but also being aware of things you might be interested in for the right deal. The vehicle with more safety features might sound appealing if you’re buying for a teen driver, for instance.
   
   Ultimately, buying a certified pre-owned vehicle gives you budget-friendly options. Inventory varies from dealership to dealership, and you might find yourself pleasantly surprised at your options.

5. Final decision

   Everything considered, the choice to get another vehicle is a big one. But it doesn’t have to be something you stress about. Simply take a look at what you want and how much you can spend to ensure you’re in a great position to start looking, then apply to prequalify. You can look at our current offers to find the vehicle that’s right for your needs and your wallet.

By Allison (Scott) Rummage, GM Financial

Allison (Scott) Rummage stays plugged in to all things electric cars-related, and likes to balance it out by sharing a budgeting tip or two. When she's not working, you'll find her jamming out to John Mayer, cracking "dad jokes" or cheering on the Dallas Stars.