The car is a symbol of freedom, independence and convenience. While owning a car can bring many benefits, it also comes with a number of financial responsibilities that often go unnoticed until the moment of purchase. In this article, we'll look at the financial aspects of car ownership and reveal some of the hidden and unpredictable costs that can surprise anyone. You will also find out how Simpl offers an innovative solution that makes life easier for car owners.
Initial costs when buying a car
When it comes to buying a car, the initial price is just the beginning. In addition to the principal amount you will pay (or finance), you also need to consider additional fees such as taxes, insurance, registration fees, etc. Additionally, financing options and interest rates also play a key role in the total amount you'll pay back over time.
There are two options when buying a car:
New import from the EU or from a car dealership in Bulgaria. In this case, the car has no license plates. To register it with the traffic police, you will need to foresee the following costs once:
· Administrative fee for issuing new registration plates and coupons – BGN 54.
· Ecotax - determined according to the age of the car, the category and the engine, as for light cars with a total permissible mass of less than 3.5 tons, the amount due is between BGN 125 and BGN 308, depending on the age of the car.
· Emergency kit (first aid kit, fire extinguisher, triangle, vest) – BGN 40-60.
Purchase of a used car with a valid Bulgarian registration. The following notarial transfer costs apply here:
· Notary fee - determined by the value of the transaction (about 3%).
· Local tax/municipal tax (determined by the respective municipality, varying between 2% - 2.5% of the value of the car).
· Certificate of insurance assessment – BGN 30-40.
Traffic police fee for re-registration of a car at a permanent address - BGN 54.
Monthly and annual costs
Owning a car also comes with ongoing monthly and annual costs. This includes not only obvious costs such as fuel and insurance, but also regular maintenance, tires, and other repairs that may be required.
· Taxes - the tax is calculated based on the power of the car, the eco category and the year of production, and on average varies between BGN 100 and BGN 300.
· Annual vignette – BGN 87.
· Mandatory annual technical inspection at a price of BGN 40-50.
· Civil liability - depends on the type of car, the volume of the engine, the power, the age of the owner, etc., and for light cars the average varies between BGN 250-350.
· Annual service and tire change - usually when buying a used car this service should be done straight away. On average, you will be charged between BGN 200-250 for the service.
Tires are changed twice a year - in the spring and autumn and costs approximately BGN 50.
· "CASCO" insurance - the offers of different insurers vary, starting from BGN 250 for cars and may reach BGN 2,000 or more.
It's also important to be prepared for unexpected expenses that will inevitably arise along the way. Have you thought about how you can avoid or minimize these costs?
Tips for managing expenses and minimizing financial burden
Simpl provides a unique approach to car ownership, helping to reduce uncertainty and minimize hidden costs. With a car subscription service, everything from maintenance to insurance is included in one transparent monthly fee. You just add fuel and enjoy the ride.
Before taking the pivotal step of buying a car, it's important to look at all aspects of the financial picture. With the right planning and management, car ownership can be a pleasure, not a burden.
Discover the convenience and peace of mind that comes with our car subscription plans. Here you can view all available!