PRICE is what you write the cheque out for and COST is what you will pay to run the car in the years you own it. Not understanding this difference can be a fundamental mistake when buying a new car. 

 

Buying a vehicle on buy price alone can be misleading particularly if the resale value depreciates too quickly. Another factor to consider is new cars with low service intervals or high servicing costs. This is a red flag for inefficiency.

 

The two most important factors you need to know when buying a car is the true running cost and its likely resale value. In the car industry, this holistic approach is known as Total Cost of Ownership or ‘TCO’ for short. This is where we look at ALL factors involved in buying, running and selling a car across its ’life’.

 

We have a partnership with EECA whereby you can take advantage of their online calculator to help you work out the TCO on new cars in the New Zealand market. 

  

Check out the EECA TCO tool here.

ECCA has a free online tool that runs off our TCO engine that you can use yourself.