For many students, one of the most exciting things about heading towards your late teens and early twenties is saving up to buy a car. In the short guide below, Richard Laycock, proud car owner and Macquarie alumni with a Bachelor of Media degree, outlines what you need to do to get your motor road-ready.

It’s probably the first major financial milestone for many millennials. In fact, many people work for months – even years – to save up for a car. And the truth is, even after you’ve paid for the vehicle itself, there are many additional expenses that come with car ownership.

Registration
If this is the first time you’ve bought a vehicle or registered one under your name, you’ll need to head to your local road services office in your state and provide identification in order to get yourself added to the system. In some cases, that might be a passport, birth certificate or other forms of ID. You’ll also need to prove when you purchased the car.

If you’re buying a second-hand car, there might be some registration left over from the vehicle’s previous owner. This means that you can drive it under its current registration until it expires, but you’ll need to get it transferred so that it’s listed under your name. Luckily, you don’t need to do this on the spot. In NSW, you have 14 days to transfer the registration – after that you will incur a fee (but this can vary between states).

Insurance
In Australia, it’s legally mandatory to have Compulsory Third Party (CTP) insurance for your car. This means that if you’re driving and you get into an accident, your insurance will cover the medical costs of anyone who is injured in the crash. However, CTP won’t cover any damage to your car or someone else’s, so the incident could still end up being extremely expensive.

As well as CTP insurance, it’s worth looking into a comprehensive car insurance policy, however, this can cost a lot. Car insurance policies with more coverage are more expensive. If you don’t want to fork out too much, consider third party fire and theft cover, which, as the name suggests, covers your car for fire or theft.

Petrol
While many people focus on the larger costs of a car, such as the insurance and registration, petrol is a cost that sits quietly in the background. While $50 here and there may not seem like much, if you drive a lot, this cost can really add up. To save money, check petrol prices every day. If you’re driving past a petrol station and the price is under a $1.50 per litre, it’s a great idea to refill then. That way you’re being savvy and can cut costs over time.

General safety and upkeep
Cleaning, repairs and general maintenance are other elements that can rack up quite a cost. Luckily, however, you don’t necessarily have to spend money on them all. You can wash your car by hand if you have everything you need, and this is free.

Regular services by a mechanic may cost you, but you should be able to pay under Capped Price Servicing. This means that if you own a Honda and you take it to be serviced at the Honda service centre, the price you pay will be capped at a certain amount and there won’t be any additional costs. If you’re feeling savvy, you can also do it yourself using a service like Sparesbox.

Buying a car is a massive milestone and it’s a huge achievement for those who are able to do it. It’s great having the freedom that comes with owning a car, especially as a uni student. It’s just important to remember that it’s also a big responsibility and costs can add up, so it pays to be savvy and organised.

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We asked some of the University’s leadership about their first car.

Professor S. Bruce Dowton
Vice-Chancellor and President

What was your first car? A (very well) used, yellow Datsun 120Y.

What did you love or hate about it? I loved that it was cheap.

Advice to new owners? Don’t expect too much!

Nicole Saunders
Manager, Campus Engagement

What was your first car? My first car was a Datsun Sunny.

What did you love or hate about it? I loved the freedom my car gave me. I could go anywhere. Two key things I loved about my car include the tape deck and the acceleration!

Advice to new owners? Get insurance and don’t let your partner drive your car (my partner totalled my first car 😢).

 

Professor David Wilkinson
Deputy Vice-Chancellor, Corporate Engagement and Advancement

What was your first car? Ford Escort Mk 1 with Mexico badges to pretend it was the sport version! It had lots of fiberglass to try and hold it together, and a driver’s seat with no bottom!

What did you love or hate about it? Loved it because it made me mobile and independent. Hated it because it kept trying to fall apart.

Advice to new-car owners? Don’t buy one. It’s cheaper to use Uber, public transport and friends’ cars.

 

Professor Sherman Young
Pro Vice-Chancellor, Learning and Teaching

What was your first car? It was a 1976 Passat wagon with a dodgy clutch.

What did you love or hate about it? It carried everything needed for a mechanical engineering student’s barbecue, copped a lot of rough treatment and just kept going. Surprisingly (not!) the front shock absorbers went pretty early.

Advice to new owners? Eleven people in a car at one time is probably not a good idea. And, yes it was a different time back then.

 

Ms Gail White
Executive Director, Student Engagement

What was your first car? The first car I drove was my father’s old grey Ford Zephyr work utility. It was probably 20 years old in the late ‘70s when I learned to drive. As a learner and new driver, I wasn’t allowed to drive ‘the family car’, which was an orange Holden Kingswood.

What did you love or hate about it? I hated that it had a temperamental column gear shift, but loved the bench seat. It made it easy to transport several friends and the dog.

Advice to new owners? Keep your eyes on the road and your hands on the wheel. Better to be late than risk accident and injury through speeding.