Before you go and decide on buying a new car, you should run an estimate to evaluate whether you can afford to buy one. There are several things to consider, which include the price of insurance, fuel, and maintenance that can add up over the years. Of course, you can use your savings, but it will only cause a financial burden on your finances because of the increased cost of living. However, with the use of a car loan, you will no longer have a problem in managing your cash flow.