Used Car Buying Tips

Buying Used Cars

Buying a used car - It can be very hard to find the right used car. What do I mean by right? Well many people just get rid of their car because it has problems and you don't want to be the person that gets stuck with someone else's problem!

With FREE new car quote sites like Stoneage, AutoMob,  Car Buying Tips, AutoBuyingUSA  Cars Direct,    Ford Direct , and CarPrices.com  maybe you can get such a good deal on a new car and you won't have to take a chance on used cars  at all.  Give them a try before you buy used.

We are so lucky today that there are companies like Car Fax that will check out the car's history. Car Fax will even guarantee that if the report  says a vehicle has a clean title but a Branded Title actually exists they will pay you $5,000. A "Branded Title" is a passenger motor vehicle ownership document issued by any of the 50 states of the U.S. (or the District of Columbia) which bears words or symbols signifying that the vehicle was: junked or salvaged; rebuilt or reconstructed; flood damaged; disclosed as damaged; bought back by its manufacturer; odometer exceeds mechanical limits; odometer was not actual mileage; or any other symbol or word signifying a similar Brand.

A Warning about "BUY HERE PAY HERE" programs.

Many used car dealers use the financing program called "Buy here Pay here" were you make your payment usually weekly at the dealer themselves. They also keep the title and are listed as a lien holder just like a bank. Before you drive away also most will make copies of your keys in the case you miss a payment. These vehicles are bought at auction and are the low priced cars that they bid $500-$1000 on. They will make you pay a down payment of whatever the car cost them and then you make $50-$200 weekly payment until you end up paying $7000 for a $500 car. They also hope that the buyer cannot pay off the loan because they will just repossess the car and sell it again for the same high down payment and weekly payments. This is how they make tons of money from you. They like to take advantage of people with bad credit because they usually can't get regular financing and will take any car offered to them.  This is why we suggest you buy new using Auto Credit Finders and     1-800-AUTO Car Loans for people with bad credit.

Car Fax  Vehicle History Reports reveal important background information and unearth hidden problems in a vehicle's past that may affect its safety and resale value. Our reports can reveal:

  • Totaled in an accident/Salvaged
  • Flood damage
  • Odometer rollbacks
  • Lemon histories
  • Junked Titles
  • State emissions inspection results
  • Lien activity, and/or
  • Vehicle use (taxi, rental, lease, etc.) 

 Car Fax  also has a Free  Lemon Checks  and Free Vehicle Record Checks  try them out to see what  Car Fax is all about.

 
Make sure you take any car to your mechanic before buying and also run a Car Fax. Never take the dealers word, nothing is guaranteed until you get a Car Fax Vehicle History Report and your mechanic tells you the car is mechanically sound. In Massachusetts any auto dealer must guarantee it will pass the state inspection or they must repair it or take the vehicle back. Check with your state for current used car buying laws.

 A great place to shop for a used car is with sites like Stoneage Used Cars,    Autobytel Used Cars,  AutoWeb Pre-Owned Vehicle, and  The Big Lot just like the new car buying sites you can get a free used car quote on your favorite used vehicle by using Stoneage Used Cars,   Autobytel Used Cars,  AutoWeb Pre-Owned Vehicle, and  The Big Lot. If your looking to finance it is important to understand that banks will only finance a used car no more then 4-6 years old. PeopleFirst.com even will overnight you the cashiers check to make the purchase with. You also should be aware that the banks APR is usually 2% more for a used car purchase. Another great site for used car financing is E-LOAN. I highly recommend these two site to get a loan with a much lower APR then a dealership would even consider giving you! So say no to high dealer interest rates and use PeopleFirst.com and E-LOAN.

 Click here to calculate your vehicle loan payment

After you get the Car Fax and it is found to be a good title you must take the car to your own mechanic to check out. If you are at a big dealership don't assume it has been checked out even if they claim it is certified. There is no set certification for a used car certified could mean the oil was changed and all fluids topped off.

 

SHOULD YOU BUY A LOW-MILEAGE "DEMONSTRATOR," "PROGRAM CAR" OR "EXECUTIVE MODEL"?

Some dealers promote used cars, often with relatively low mileage, as especially desirable because they have been used as demonstrators, or because they were driven by manufacturer representatives and therefore are "program cars" or "executive models." They may even claim these cars to be brand new cars with low mileage but any car with mileage over 100 miles is a used car and should be treated as such.

Carefully examine any such vehicle as you would any other for signs of accident damage, and learn what you can about its prior repair history, too. You must run a car fax vehicle history report  The dealer may claim the car is brand new and never been in an accident but with out a Car Fax vehicle you have no way of really knowing and if you take the dealers word and find out latter that it was a prior total loss or had body damage don't email me for help because I can't do anything for you at that point.

DEMONSTRATORS: "Demonstrators" are used to provide test drives to prospective new car customers. Chances are pretty good the car has been maintained as the factory recommends. However, people who take test drives in these cars, particularly drives unaccompanied by a salesman, may drive it hard to see how it does: how quickly does it accelerate, how quickly can it be stopped by slamming on the brakes? Repeatedly pushing a brand new car to its limits may not be an ideal method for breaking it in. You may want to check the Owner’s Manual to review break-in recommendations, and be cautious about buying a demonstrator where the factory urges gentle driving techniques for the first few thousand miles. Consider whether any price break is really worth it.

PROGRAM CARS AND EXECUTIVE MODELS: The terms "executive models" or "program cars" can mean different things to different people. Be sure you know exactly how the selling dealer is using them. Some dealers use the term "program car" to imply that it has been driven by a manufacturer’s representative for his or her personal use.

However, some vehicles called "program cars" are really cars that have come back into the market after use in the fleets of short-term rental companies. These cars may have received hard use or been damaged in accidents; they also may not have been well maintained. If you are interested in a car that comes from a rental company, be sure to ask for the full service and repair history on the car and don't buy until you do a Car Fax Vehicle History Report .

If you are interested in a demo, program or executive car, be sure you understand whether any of the original factory warranty comes with the car, and for what period of time and mileage. Consider purchasing an extended warranty direct from the warranty companies and avoiding the dealers high prices. We review the best auto extended warranties on the internet.

LEMON LAUNDERING: One further cautionary note about used cars with relatively low mileage: beware of "lemon laundering." A car bought back by a manufacturer under one state’s lemon law due to un-repaired defects can be resold in another state without disclosure that the car was a "lemon." Depending on state law, this may or may not be unlawful. Even when manufacturers provide appropriate disclosures, these may disappear (or be "laundered") as the car is wholesaled several times, or is processed through auctions. Recycled lemons often have relatively low mileage. Be cautious. If a dealer presents the car as a "reacquired car" or "program car," be especially inquisitive about its prior history don't buy until you do a Car Fax Vehicle History Report .

SAFETY: Before or after you buy a car, take it to a dealership that handles the same brand of new cars. For example, if you are considering or just bought a used Ford Taurus, take it to a dealership that sells and services new Ford automobiles. Ask the service manager to see whether any safety recalls have been issued for the car, and whether the recall work has been performed. Just give the service manager the car’s year, make, model and Vehicle Identification Number. Recall work generally is free, even if you are not the original owner. Dealerships are generally very cooperative in checking for safety recall information. If a dealer will not cooperate, call the manufacturer or importer with the same request and make a mental note never to do business with the dealership.

When you reach an agreement on the purchase price of a used car, you may be tempted to think you're home free. In fact, there are several crucial steps that need to be done correctly, or all your hard work up to this point could be for naught.

If you are at a dealership, you still have to go through the Finance and Insurance process. If you are buying a car from a private party, you have to make sure that payment is made and the title and registration are properly transferred.

In both cases, you also need to make sure you have insurance for the car you just bought before you drive it away.

At the Dealership: The Finance Room

The deal you made with the salesperson needs to be put into a contract for you to sign. Before that's done, the Finance Manager will need some information from you. For example, he will ask how you are paying for the car. If you say you are financing it through
PeopleFirst.com or E-LOAN, the Finance Manager  will probably offer to beat their interest rate. Why not see if they can? But make sure you are quoted not just the interest rate but the monthly payment and the length of the loan. Compare it to the rates you got from PeopleFirst.com and E-LOAN more then likely these rates will beat the dealer's hands down.

Also, the  Finance Manager  will probably try to sell you a number of additional items such as:
 
  • An extended warranty
  • Alarms and other anti-theft services such as Lo-Jack
  • Paint Sealant
  • Rust proofing
  • Emergency roadside assistance
     

Some people swear by extended warranties, so this is something you might want to consider. However you can purchase an extended warranty for much cheaper click here to find out  were.  Don't be misled by the offer that the extra expense will be wrapped into the monthly contract; it is still costing too much. For instance many car dealers will charge you $200 to $1000 for VIN Window Etching when the same window etching kit can be bought online for only $15.00 from Car Etch Even if the window etching is already on the car refuse to pay for it or go to another dealer!

The  Finance Manager may seem like a financial advisor, but he or she is really an experienced salesperson. Sometimes the finance office can be worst then a POW interrogation. Some  Finance Managers can become very persistent trying to sell these items. Be firm. Say, "I'm not interested in any Dealer extras, thank you. I just want the car."

Once the contract is ready, review it thoroughly. Make sure you understand the charges and question the appearance of any significant, sudden additions to the contract.

You will also be asked to provide proof of insurance before you drive away in your used car. That is why we say you should check all the insurance rates available from
INSWEB and also Netquote.com   to get the lowest auto insurance rate before you go car buying. All you need to provide is the VIN number to activate the policy. INSWEB and  Netquote.com   can fax a temporary policy to the dealership before you hit the road.

Finally, you should inspect the car before you take possession of it. If any work is required, and has been promised by the dealer, get it in writing! You must get it in writing never take a dealers word that the work will be done.

Private Party Sales

When you buy a car from a private party, you will probably be asked to pay with a cashier's check or in cash. But before money changes hands, make sure you will be able to register the car in your name.

But what if the seller still owes money on the car and the bank is holding the title? One way to deal with this is to conclude the sale at the bank where the title is held. Have the seller call ahead and make sure the title is ready. Once money has changed hands and the bank has been paid the balance of the loan, the seller can sign the title over to you. PeopleFirst.com will pay off the loan and overnight the difference to you in a cashiers check so you can pay the seller.

In some cases, however, an out-of-state bank might hold the title. If so, go to the DMV and get a temporary operating permit by showing your bill of sale  Then, after the seller pays off the balance of the loan with the proceeds of the sale, the title will be mailed to you.

Once all of the paperwork is complete, it is finally time to relax and begin enjoying your new purchase: a good used car.
 


Let's now visit places to get great automotive extended warranties and save thousands off what  dealers charge.

 

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