10 ways to screech motoring costs to a halt (From Daily Echo)

Martin Lewis: ten ways to screech motoring costs to a halt

12:28pm Friday 14th October 2011 in Money Saving Expert By Martin Lewis

10 ways to screech motoring costs to a halt

It's hard for motorists not to feel under siege. With huge hikes in petrol and insurance, the average cost of running a (new) car has zoomed ahead to £5,500 a year according to the AA.

So it's time to put your foot down and not take it anymore. Many people can slash £1,000s of the annual cost of cars, bikes and vans. Here are my top 10 ways to screech motoring costs to a halt:

DON'T assume third-party insurance is cheapest

While it’s the lowest level of cover, counter logically, third-party isn't always cheapest. This perverse result occurs as the mere act of choosing comprehensive cover (which covers damage you cause to your own car) can make some insurers assess you as a lower risk.

While there are no hard and fast rules, if you were planning on third-party, do also try comprehensive quotes too, just in case. For more help slashing car insurance costs, go to moneysavingexpert.com/carinsurance

Haggle down breakdown

If your breakdown cover renewal quote is too costly, politely ask them if they can cut it or you'll consider leaving. The success rates from haggling this way are huge; a poll on my site found 73% of AA hagglers succeed and 59% of RAC.

Alternatively, if you time it right you can sign up via specialist cashback websites like Topcashback.co.uk or Quidco.com and sometimes get cashback, often bringing prices down below £10/year for basic cover.

Hidden council MOT centres prevent fails

The annual car check-up once your vehicle's three years old can come at a hefty price. For most, the problem's not the test's cost, but the potential £100s in repairs. Some mechanics can be overzealous at fault-spotting, as it gains them lucrative repair business.

Council-run MOT centres are set up to do their own vehicles (eg, buses), but must also open to the public. As they don't offer repairs, they've no vested interest in failing you.

I've had countless feedback on how well this works, such as "My garage said repairs would cost almost £1,000 - the council test centre passed it without any work needed." For a full list of council MOT centres, see moneysavingexpert.com/mots

Your car doesn't need to drink premium fuel

Many forecourts sell 'high performance' fuels, yet unless you've a sports car, there's little difference – don't waste your cash.

Get £100s back on petrol and diesel spend

The Santander.co.uk 123 credit card pays 3% cashback on fuel spends up to £300 per month, plus 2% back at department stores and 1% in supermarkets. Yet you'll need to pass a credit check and ONLY do this if you set up a direct debit to repay in full each month to avoid any interest, or you'll be hit by 18.9% representative APR.

Done right many will gain large, though there's a £24 annual fee, so it only adds up for regular drivers who do all their spending on the card. A family filling up for £60 a week and £150 supermarket shop would be £150 a year up, incorporating the fee – just for using different plastic.

Make cash from your driveway

If you live in a city, near an airport or footie stadium (anywhere where parking's pricey), your driveway may be paved with gold. Renting out a parking space can make you up to £200 a month; check out sites like parkatmyhouse.com and parklet.co.uk

57% who fight unfair council parking tickets win

If you get an official Penalty Charge Notice from a council, and you think it's unfair, whether due to unclear signage, or just you didn't do it, don't despair! Most people who fight it all the way win.

If you parked on private land (such as a supermarket car park), tickets may look official and use similar initials, but they are NOT fines, they're just invoices. If you think they're unfair, don't pay up. Gather evidence, eg, mobile photos of the scene, unclear signs and murky road markings, then write back disputing it. Full info on how to fight unfair tickets of any kind at moneysavingexpert.com/parking

1.7 million PHOTO driving licences out of date - avoid £1,000 fines

Photocard driving licences started in 1998; the photo needs renewing every 10 years. Those driving on expired cards risk a £1,000 fine – the update costs £20. Urgently check the end date (section 4b) and if expired, sort it.

Check your light bulbs pre-MOT - not as obvious as it sounds

35% of MOTs fail first time. The most frequent reasons are things that are frankly obvious – over 20% of tests fail due to bust light bulbs, then there are also easily checked suspension problems, handbrake tension, worn tyres and windscreen damage. So do a quick walk around and play with your car first and, where possible, fix before the test.

Less pedal to the metal saves 30% on fuel

This is the biggie. How you drive has huge impact on cost, and I don't just mean ‘boy racers slow down!’ Think of the accelerator as a money pump: the harder you press, the higher your fuel spend. This isn’t about max speed, but not revving so hard to get to it.

Accelerate gradually, stay under 3,000 revs and drive in the highest comfortable gear. Remember that braking burns fuel - it converts the speed you’ve paid for into heat. I'm not saying never stop, but that good road positioning with lots of space in front lets you slow naturally without braking to eke out your fuel.

These are just the start. For over 40 more ways to slash costs, including halving hire car costs in minutes, fuel discount vouchers and finding the cheapest petrol station, see moneysavingexpert.com/motoringtips