Tips For Investing in Personalized Number Plates

Personalized number plates, also known as vanity plates or custom license plates, are specialized license plates that bear a personalized message or combination of letters and numbers chosen by the owner of the vehicle. Some people consider personalized number plates to be a form of investment because they can be resold at a later date for a profit. However, it’s important to keep in mind that the value of personalized number plates can vary widely and is often subjective.

There are several factors that can affect the value of personalized number plates, including:

Rarity: Plates that are rare or unique are typically more valuable than more common plates.

Age: Older plates are often considered more valuable than newer plates.

Desirability: Plates that spell out a particular word or phrase that is deemed desirable or fashionable by some people may be more valuable.

Condition: The condition of the plate can also affect its value. A plate in good condition is likely to be more valuable than a plate that is damaged or faded.

It’s worth noting that the value of personalized number plates can fluctuate over time, so it’s important to do your research and consider all of the above factors before making an investment in this area. Additionally, it’s important to keep in mind that the value of personalized number plates is not guaranteed and may not always appreciate over time. As with any investment, there are always risks involved, and it’s important to do your due diligence and carefully consider all of the potential risks and rewards before making a decision.

Here are a few things to keep in mind before investing in personalized number plates:

1. Set a budget

If you’ve done your research, then you probably already know that private number plates can command a very high price. It is therefore crucial that you establish a budget and stick to it to ensure that you don’t overspend. Back in 2008, Afzal Khan set the record for the most expensive number plate when he forked out £440,000 for his ‘F1’ custom plate. If it makes you happy and you can afford it, you too can go all out on your personalized plate.

However, if you are like most of us who can only dream of spending hundreds of thousands of pounds on a personalized number plate, it is imperative that you set yourself a clear limit on how much you can afford to spend before commencing the hunt. When searching Newreg, set a filter to help you only find suitable private number plates within your price range.

2. Be flexible with plate options

One important thing to note before commencing your search is that it is not always guaranteed that you will find the exact combination you desire. Given the ever-increasing popularity and demand for private plates, you may eventually have to settle for something close or even different from what you initially had in mind.

Keeping your options open helps to avoid frustration and even the urge to go over the budget to get exactly what you want. Being flexible will help make the process a lot easier for you.

3. Know the different styles

When it comes to private number plates, there are a number of different plate styles to choose from. Having an understanding of the various styles will help you to determine the best style for your new registration as far as the combination and your budget are concerned.  The dateless style is among the most popular styles among drivers since one is no longer limited based on the original registration year of the car. However, it is important to note that it is also the most costly option to go for. Private plates in the UK are available in four different styles: current, dateless, prefix and suffix.

As the name suggests, the dateless style doesn’t have a date displayed on the number plate. The current style has a layout similar to a regular number plate; however, you have the option to choose the number and letter combinations to be displayed. For instance, you can use your lucky number, year of birth, name, or initials to add a personal touch. The current style is the most cost-effective option.

4. Choose a personally appealing plate

It should go without saying that you should choose a private plate number that personally appeals to you. After all, it is something that will be displayed both at the front and back of your car and hopefully for many years to come. While a section of buyers will go for the most expensive plates only as a status symbol, it is always better and more meaningful to choose an option that suits your personality or the car. Rushing to get trending plate options can leave you disappointed as they can easily lose their appeal after a while as with most trends.

5. Be aware of hidden fees

One of the most important things to note before you commit to any purchase of a private number plate is that the price advertised is often lower than the final total amount you’ll have to fork out. Besides the fact that most dealers include VAT charges, you are also required to settle a fee with the DVLA for plate registration.

The DVLA charges an assignment fee as well as a fee to change the registration details on all custom licensed plates. This is a mandatory fee that you will need to pay to acquire your new plates. Thus, you will need to take this additional cost into account when setting up your budget. Some dealers will take the step to make you aware of these extra fees. However, if no fees have been displayed, it is always smart to reach out and find out. This will help you avoid unexpected costs and frustrations.

6. Don’t attempt to make your car look newer

It might seem like a good idea to try and make your car look newer than it is using personalized number plates; however, this isn’t usually allowed. You are typically not allowed to use a plate displaying a newer registration date than the original date. Your best option is to use a dateless number plate to hide the actual age of the car.

For instance, if the registration number of your car is ‘SL56CXN’, you can only use ’56’, ’06’, or lower in the prefix of your new private plate. It will not be possible to make your car look newer, for example, by using ’18’. Ensure that you clearly understand the rules before making a purchase.