We live in challenging times. Amid the gloom of a financial crisis, for many of us, the current environment looks decidedly gloomy.

But no matter how bad things might appear, there are always opportunities and ways to weather the storm. As for big purchases, like houses and automobiles, now's the time to focus on paying the bills and skimping on luxuries, like vacations and that new flat screen TV.

The biggest expense for most households is accommodation, whether they have a mortgage or pay rent, and the next is transportation, specifically the automobiles.

In modern society, the car is perhaps viewed both as a blessing and a curse; it grants us unprecedented mobility and freedom, but on the downside, it can be expensive, either to buy, maintain, or both.

When times get tough, most of us are looking for ways to save money, and transportation is perhaps one that is often overlooked.

When the price of fuel spiked in 2008, some of the big, flashy SUVs weren't so appealing any more, and many were traded in for cars, which for many people meant additional debt, since the trade-in value was considerably less than the purchase price, and buying a new vehicle meant more money to pay back.

Today, with the threat of job uncertainty, a $400-600 monthly payment on a vehicle that's losing value every day doesn't sound very good.

There are ways to save money on motoring costs - some of which might actually surprise you.

1. SELL PRIVATELY

If you purchased a new car or truck within the last 18 months and are looking to get rid of it and into something less expensive, try selling it privately. Private buyers tend to pay more, to get the vehicle they want. And selling your used car this way means the buyer won't have to pay GST.

Advertise in both free and paid classifieds: the more avenues you can promote your vehicle and over a wider area, the better chance you have of selling it at a decent price (you never know what kind of interest you might get, even in a recession).

Service and clean your vehicle before putting it up for sale. You'll be amazed at how many buyers will be turned away if a vehicle is dirty, especially the interior. Invest in automotive cleaning products: shampoos for the carpet, interior and exterior trim cleaners, glass cleaners, and a good car-specific soap. Tire and wheel dressing also helps.

Paperwork can also make or break a deal. Service records and receipts for repairs will add peace of mind to potential buyers.

2. SHOP AROUND

When you're in the market for buying a vehicle, take your time. The Internet can be an invaluable source. Right now, cash is king. Given the current state of auto sales, many dealers are willing to go further to make a good deal. Incentives like 0 per cent financing are still out there, as are generous incentives like no-charge options and features. If you find a car you're interested in, get clarification on what the dealer is willing to throw in for the price, and be aware of any hidden costs.

3. STICK TO BUDGET

Right now, cash rules, so set a price you know you can realistically afford. Also factor in, if financing, how much you can afford monthly.

If you were able to spend $600 a month on car payments in good times, budget for $350.

Remember the cost of fuel, insurance, and maintenance (not everything is covered by the warranty - tire punctures, etc.).

4. TOP OPTIONS

Options often add to the price of used cars. Things like air conditioning, power windows, locks, premium sound system, adjustable pedals, telescopic steering, etc., add comfort and convenience, but also appeal to potential buyers when the time comes to sell.

5. BUY OLDER

You can save a lot of money buying a car that is 10 years or older - but it can be full of pitfalls.

It's difficult to find vehicles of that age in good condition, but they are out there. Look through classifieds or online ads.

Read the wording in the ad: look for things like "original owner, well maintained, service records, many upgrades, rust-proofed since new."

Smaller towns and communities are often good places to find the best deals, especially private sales.

You'll want to find an older car that's been well maintained - ask for a proof of maintenance. Best of all, old cars are not likely to depreciate much further - and because they are often less sophisticated mechanically, they cost a lot less to repair.

6. DRIVE HABITS

Most people think it's the purchase price of the car that's most important when motoring on a budget.

How you drive the car is just as important. Driving aggressively - sudden acceleration and braking, weaving in and out of traffic, etc. - costs fuel and wears out both you and your car.

Fast take-offs and aggressive stops are two of the biggest factors in excessive fuel consumption, and they will cause you to have to perform more frequent servicing of the car's drive-line, braking system, and suspension.

7. MAINTENANCE

We can't tell you the number of times we've heard somebody say, "I haven't put a cent into this car since I bought it." In fact, no vehicle is maintenance-free, and failing on preventative maintenance up front will cost you big time in the long run. Change fluids regularly, service the brakes, check hoses, belts, steering, exhaust, and of course, tire pressure and wear.

Check the owner's manual for service intervals and stick to them. This is only to saving you money, but also for your safety.

8. PARTS, SERVICE

Don't settle for the cheapest replacement parts. You get what you pay for. Quality name brand components cost a little more up front, but deliver superior performance and last longer.

One of the best ways of finding a good service outlet is word of mouth reference. Talk to people at work or to friends; ask them about their service experiences - if they've been treated well by a shop, they are likely to recommend it. Many repair shops today are warranty-approved by auto manufacturers for many different types of servicing; so there isn't always need to take your car to a dealer.

Also, when you find a good service centre and mechanics, treat them with respect. Good mechanics know how to do the job right, and if you take time to listen to them and be honest and proactive, it helps build a lasting relationship.