Is it cheaper to use Uber and Bolt or own a car in South Africa?


Should emailing be considered an option over owning a car? Bolt, the online calling service, notes that it offers different categories of journeys, including an economy category to help passengers reduce costs further. A 15 km ride on Bolt costs only R131 – and if you got to work and came back only twice a week, your monthly round-trip travel costs would be R2096, he says.

Bolt said he calculated the numbers on the electronic call versus owning a car.

“Over the past few months, the price of oil has gone up, but your wages haven’t… and making ends meet at the end of each month is harder than ever. It’s time to think things differently – and taking a close look at your fixed costs is a good place to start.

“Take your car, for example. No matter how much – or how little – you drive, you’re still responsible for fixed costs like monthly payments and insurance, ”Bolt said.

For example, if you drive a sedan with a cost price of Rand 335,000, your payments over five years would be just over Rand 7,100 per month. Insurance would probably be around R1200 per month, depending on your profile.

ALSO READ  5 things to watch out for on the rand movement right now

That’s 8,300 rand per month – before you even put a drop of gasoline in your tank, which is probably at least an additional 1,500 rand or more per month – bringing the basic ownership costs of a car worth at least R10,000, the group said. .

“That’s before you put money aside for upkeep and other maintenance costs that may not be covered by an auto insurance plan – if your car has one.

“Add the stress of navigating traffic, the mission of finding parking, and then the burden of paying for parking too, and it’s easy to see why so many people are looking for different ways to get around – and ways to get around. to save money . “

When many office workers are still working from home most or all of the time as a Covid-19 precaution, it may be a good idea to consider other means of getting around, Bolt said.

A 20-minute, 15-kilometer ride on Bolt costs as little as R131 – and if you drove to work and came back only twice a week, your monthly round-trip travel costs would be R2096. “Add in a couple of weekends for shopping and entertainment – around R 2,000 to cover all the basics – and you’re still sitting under R 5,000 a month, for all your travel expenses.”

ALSO READ  Competition Tribunal approves Burger King takeover - with a trap

Bolt noted that the “Female only” category means you can travel with the added assurance of being carried by a female – and if you’re traveling in a group, you can all share the costs of a van or truck. other extra large vehicle.

“Bolt is supported by an independent security company who can help you urgently in an emergency. With every trip tracked (under legislative privacy laws), you have the same assurance as an insurer’s tracking device. Someone will always know where you are in the unlikely event that something goes wrong, ”he said.

Make your decision to own a car or a VTC

Earlier this year, insurer 1Life analyzed the numbers to find out whether it makes financial sense to own a car.

  • What he compared: The cost of owning a car and the cost of public transportation. “We used a VW Polo in our comparison because it is one of the best sellers in South Africa. We priced the UberX, Uber Go and Bolt services because they are the most readily available, ”the insurer said.
  • What he found: Travel around 650 km per month and you can save money if you ride a bicycle. Travel 1,850 miles per month and you’re probably better off owning the car, 1Life said.
  • Fixed fee: R 5,868 per month.
  • Variable cost: Gasoline, which we calculated the price using the average urban fuel consumption per liter for the Polo and the April 2021 gasoline price of R 17.10 per liter (this has since climbed to R 18, 34 R per liter).
ALSO READ  Eskom extends stage 2 load shedding - here is the new schedule

Car ownership or carpooling

“Distance is an important factor to consider when deciding to cycle or own a car and will account for the bulk of the cost of a road trip,” 1Life said.

Read: These 12 popular cars in South Africa are priced under Rand 250,000