Introduced several decades ago, car sharing has gained more popularity in North America in the last few years. As many people require the use of a car on a daily basis, some only require a car from time to time and the ability to have access to a vehicle as needed can be achieved through this process.
Whether car sharing is a viable option for you will depend on a number of factors. First of all, car-sharing enables individuals living primarily in cities to use a car on occasion, while the majority of the time they typically rely on public transportation or other means to get around. In this instance, they are able to save money on the cost of leasing or purchasing a car.
Using a car-sharing service can provide convenience, flexibility, cost-effective rates, and energy conservation benefits, not to mention being a good option for post-secondary students who need a car for short-term use. While there are also many advantages associated with car sharing, there are still many situations where owning a vehicle can make more sense. Some might even consider relying on car sharing from time to time, while still being a car owner and this depends on personal needs and lifestyle.
The benefits of owning a vehicle
The reality is that car-sharing may not be an option for everyone. Individuals who do not live in a city, for example, might not have access to this service. Therefore being a car owner, in order to make the daily drive to and from work (as well as other destinations), is likely to be a more suitable choice for rural drivers.
Flexibility & convenience
Owning your own car means you have the freedom to go where you want and when you want. You can simply walk outside and get in the car and drive. While car-sharing does allow for many advantages -it is typical that with this service you will have to go to pick up and drop off the car at a specific location. If you live outside the city limits, this might be quite far and pose some difficulty.
If you require the car to drive on a long-term basis, it also makes more sense to have access to your own vehicle. With a daily work or travel commute, it is feasible that you will accumulate several thousands of kilometres per year. With car sharing, this is not always an option as these services are meant to be more short-term and may require less mileage to be put on the cars each time. Having your own car at your disposal not only means that you can keep track of your mileage, you also have the ultimate control and say over your car usage.
As long as you have a valid driver’s license and vehicle insurance, you can operate your own vehicle. Some companies, such as EVO, don’t even require that you have your own car insurance and you only need to demonstrate a clean driving record with a valid Canadian license. Many car share companies restrict the driving age to at least 21-25 years of age. For individuals who require a car and are under the age limit – this prevents them from taking part in this car-sharing opportunity. In this case, for any younger drivers who require the use of a car more regularly, being a vehicle owner can be a more viable choice.
Credit score
Lastly, purchasing a car with a loan can help you develop a good credit history. Making monthly vehicle payments will work in your favour and significantly impact your credit score. Up to 35% of your credit score is determined by your credit payments and continuing to pay on time and keep up with your loan will help strengthen your credit score. Having a diverse set of loans (including credit card and car loan) also looks favourably towards borrowers when they seek out loan providers and if all loans are being effectively managed – your credit score will be in an even better position.
Renting a car from a car-sharing company can certainly be a valuable service for many. If you decide that owning a car is a better fit for your lifestyle – there are credit source companies that specialize in helping you obtain financing for your vehicle.
Canada Drives has reputation for working successfully with all credit scores. Our service enables drivers to find the car loans they require. Owning a car can provide drivers with many exciting advantages and we can assist you as you take steps towards this desired outcome. Whether you are already a car owner or looking to purchase your first vehicle, contact us to ask how we can help you embrace the freedom that comes along with owning your own car.
