But if you are guided with the right principles and reasons for deciding to live a frugal life, you can never go wrong.

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You no longer have to pay top prizes dealer for labor, parts or accessories, or pay the standard price for a major service or minor.

Some do not depreciate that much and some might depreciate to 50% of its real price of 5 years, which is crazy! In the long run, the cost of car ownership could be more expensive than the actual price of the car itself.

If the car you buy is time, or if the warranty has little time or mileage left on it, you might also want to consider purchasing an extended warranty.