FIDIM Again

Redundancy is often boring, and many regard it as repetitious minutia. However, when it comes to buying automobiles, the frequent changing of vehicle needs and purchases serves to merit the repeating of fundamentals. Of which, the writer repeats FIDIM.

For those first exposed, there is much more to purchasing a vehicle than the initial price. Of course there are the normal dealer fees, taxes, title and license fees, but in addition there are costs to vehicle ownership that should be considered upon purchasing. They are best remembered buy the acronym “FIDIM” described below:

F = Fuel Costs

I = Interest Costs

D= Depreciation Costs

I = Insurance Costs

M = Maintenance Costs

The wise purchaser of an automobile or truck looks into these additional expenses before he or she buys a vehicle. The associated costs for ownership may increase or decrease one's monetary outgo depending upon the vehicle. Some vehicles cost more per month for fuel, others with a higher price cost more in interest. Still others may have greater depreciation expense, and insurance and maintenance may be greater on one type of vehicle rather than another. The key is to do a little research and factor in the total monthly amount per vehicle. Some vehicles whose price is a little higher may be the better value in the long run.

So, there it is. FIDIM again, and those who take heed will save, save save when they purchase their next vehicle. Until tomorrow...Why Pay More?