After buying a house the second biggest investment most people make is buying car, so it’s no surprise that there is money to be made from buying and selling cars online and using your financial nous to generate funds. The recession has had an impact on most people to a degree, and in recent years, fewer people have been able to afford to buy a car outright. This has lead to an increase in the popularity of car loans and finance.
If you already own a car
Car ownership is particularly expensive, but there are ways of making your car work for you. If you use the Internet on a regular basis, you will have noticed that you can rent almost anything out these days, so why not considering going without your car for a bit and hiring it out? Rental schemes may work well if you only use your car at the weekend or use it infrequently. There are various websites designed to connect people with cars for those who are looking to rent a car on a casual, short-term basis. It goes without saying that you will need to be careful when agreeing to rent your car out and make sure the relative legalities are in place. You will also need to declare any extra income to the tax man.
If you have spare parking at home, you can also rent this out to earn some extra cash. If you live near a sporting or concert venue or you live within walking distance of a town or city centre, you could make a lot of money.
Use your car as an advertising space
If you’re not precious about looking cool in your car, why not use the external façade to earn some extra cash and advertise a company, restaurant or club? All you have to do is drive around as normal and your car will be doing the work for you. There are companies out there that pay between £100 and £250 per month for advertising, and this will more than cover the running costs of the car.
Making money out of an old banger
If you have an old banger and you are thinking that it will retire gracefully without making you a penny, think again. If your car is rusty or old but still in good working order, you could sell individual parts and this is likely to raise more money than selling the car as an individual item. Parts dealers buy and sell or you could use auction sites or car forums. It may also be worth checking out how much you would get from a scrap metal yard, but you may need to take costs, such as recovery or towing, into account.
Buy and sell
If you are able to buy at low cost or if you can spot a good buy from a garage or private owner or buy at auction, you could potentially make a lot of money. Auctions are a good place to start because they are unpredictable and the guide price is not guaranteed, but you will need some knowledge of cars and the car industry to be successful.
If you have a business brain or entrepreneurial flair there is money to be made buying and selling cars, especially in the current economic times when people are likely to accept lower offers for their car. Finance companies, especially those that deal with vulnerable customers who have poor credit for car finance, make a huge amount of money in interest alone.