Buying a used car is the easiest way to save money with auto purchases. But you have to do it right so that you’re not stuck with something that drains your savings. Here’s an easy guide.
Set an Affordable Budget
This means you have to consider the cost to buy and to own. Ensure that you can afford your monthly payments, the car’s repairs, fuel, parking, and insurance. Understand the total before moving forward.
Find the Right Car
Look up used car rankings and reviews. Consider reliability, safety, performance, fuel economy, comfort, and feature scores for each vehicle. Check the trim levels and option packages too. You also need to be sure it has a good service history and has never crashed.
Consider CPO
Certified Pre-Owned cars offer used-car affordability and a manufacturer-backed warranty. These are low-mileage cars with clean service records and no accident history. They’ve passed comprehensive inspections and have received a refurbishment process that meets the manufacturer’s guidelines. They’re reliable used cars.
Find Affordable Used-Car Financing
If you’re paying cash, you’re fine. Otherwise, shop with credit unions, banks, and online lenders for used car loans. Get preapproved before you head to the dealership, and you’ll have better negotiating power for the price of the car.
Decide Where to Buy
Check out used car dealerships and private sellers. Check dealerships with BBB or consumer protection agencies to know its track record. Look at the complaints and how they respond to those. If you’re not sure, leave.
Find a Used Car
Scour the ad pages in the paper and online for used car listings. Check out all online marketplaces and use the filters available to look for used cars. Check CPO sites run by manufacturers to check their available stock too.
Research, Test and Inspect
When you find a car, check its vehicle history report with its VIN and study it for issues. Take it out for a test drive and check every single nook and cranny. Hire a mechanic and have them conduct a thorough investigation and submit a written report about the car’s condition.
Deal and Paperwork
Once you have the green light, negotiate a fair price, sort out the financing, complete the paperwork and celebrate.
