Tips For Buying A Used Car

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Buying a used car can be scary – especially if you worry about being scammed. There’s nothing worse than seeing a car you like online,  checking it out in person and making the purchase – only to realize the  previous owner ‘forgot’ to mention some serious mechanical issues.  Pretty discouraging to say the least. I have only ever purchased used  cars, so I’ve learned a thing or two about getting the right bang for  your buck and lucky for you, I’m going to share it!  

  1. The first step when buying a used vehicle is to determine your budget.  It will narrow down your choices while searching the local area for  deals, and you’ll be able to calculate your monthly payment if you  decide to finance it. If you do plan on financing the vehicle, research  your options! You may find that a loan from your bank will have a lower  interest rate compared to the dealership or manufacturer.
  2. Next, decide if you want to purchase a used vehicle from a dealership or a private owner.  If you’re leaning towards a dealer, expect a bigger price tag. Used  vehicles in their lot may include an extended warranty or service  program, meaning these cars must be refurbished in order to meet  warranty standards. Wondering where these cars came from? They’re  usually acquired from auctions or trade-ins.
  3. If you prefer buying from a private party, expect to do all the leg work. When you meet with the owner, be prepared with a list of questions  regarding ownership history, maintenance upkeep and the current  condition of the car. Do a walk-around and take note of any bumps or  scratches on the car, as well as any leaks. Remember, as the buyer, you  are in control of the sale! Feel free to ask as many questions as you  want about the vehicle you are interested in buying – especially if you don’t know much about the make of the car. It will save you financial  headache in the long run. Want to investigate the car’s history  yourself? Write down the VIN number (usually located on the driver’s  side door) and you can run a report online for a small price.
  4. Whether you are purchasing from a dealer or private owner, ALWAYS take the car for a test drive!  During the drive, it’s a good idea to drive on hills, highways and in  stop-and-go traffic. You’ll get a better feel for how it drives and  decide if you feel comfortable driving it.
  5. Finally, after negotiating a price, it’s time to close the deal!  Before you negotiate, make sure the car is priced fairly (you can find  out it’s worth on a vehicle valuation website). After a price is set,  you should never pay a private seller with cash. If something goes wrong  and there’s no paper trail, it may be tough to get your money back.  Along with the car, the previous owner should provide the title, a dated  receipt for the sale signed by you and the seller and a spare key if  available. Also make sure to research the rules in your state regarding  how the seller should transfer the title for the vehicle to you. Call  your insurance agent prior to taking possession of the car for information on the process to insure the new vehicle. If you are closing the deal at a dealership, it’s a similar process unless you are paying with a car loan or trading in your old car. Also, ask about getting an extended warranty for the vehicle at a fair price.  This is usually negotiated separately from the car purchase.
     

SJ Insurance Services

Direct: 310-220-1019 

Email: Sam@SJInsuranceServices.com

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