Before you start shopping for a used car, you should do some homework because it may save you serious money; you should consider your driving habits and what the car will be used for, and your budget. Research model options, costs; and repair, records; and safety tests, and mileage online and by the libraries and book stores.
Cash or credit?
Once you have decided on a car, you have two payment options: paying in full or financing over time. Financing increases the total cost of the car because you are also paying for the cost of tribute, including interest and other loan expenses. You also must consider how much money you can spend, the monthly payment, the loan term, and the Annual Percentage Rate (APR). Rates usually are higher and loan periods shorter on used cars than on new car. Dealers and lenders offer a variety of loan conditions. Shop around and help your teenager negotiate the best possible contract. Be cautious about financing offers for first-time buyers. They can require a big down sum. To get a lower rate, you may decide to cosign the loan for your kid. If money is tight, you might consider paying cash for a less expensive car than you first had in mind.
Dealer or private sale?
The Federal Trade Commission’s Used Car Rule requires dealers to post a Buyers Guide in every used car they offer for a deal. The Buyers Guide gives a great deal of information, including whether the vehicle is being sold or with a warranty; what percentage of the repair costs a dealer will pay under the warranty the fact that spoken promises are difficult to enforce; and the major mechanical and electrical systems of the car, including some of the major problems you should look out for.
Before You Buy...
Whether you buy a used car from a dealer or an individual examine the car using an examination checklist. You can find checklists in magazines and books and on Internet sites that deal with used cars; s test drive the car under varied road conditions on mounts highways, and in stop-and-go-traffic; ask for the cards maintenance record from the owner, dealer, or repair shop; and hire a mechanic to inspect the car.
Compare coverage and premiums with several insurance organizations. Buy from a low-price, licensed insurer, or add your teen to your terms and conditions. Some companies offer discounts to students with good scores. Remind your teenager that it pays to drive safely and observe speed limitations. Traffic violations can cost money in tickets and higher insurance rates. Pump your own gas and use the octane level your owner’s manual details. Keep your car in safe driving condition. Following the vehicle maintenance schedule can help forestall costly repairs. Look for a mechanic who is specialized, well established, and communicates well about realistic repair options and expenses. Find one who has done good work for someone you know.
All the above information will help you to make a strategy to buy a used car, all the best and enjoy with your car.
Will you purchase a used car from a dealer?