5 Things to Avoid When Buying a Used Car

Whether it’s to drive to work, bring and fetch children to and from school, go on vacation nearby with friends or family; there are now ample reasons why one would buy a car. However, only a number of people can afford to have one, let alone buy a brand new vehicle. 

Because of its modern necessity, most people would rather buy a used car for more practical reasons. But regardless of the benefits buying a secondhand car presents, there are still things you need to consider in order to get the most out of your purchase.

A used car, after all, has many aspects not found in a brand new vehicle. Although it will give you a chance to make a more economical decision, you can’t avoid the wear and tear a used car has accumulated through the time it’s been in the hands of its previous owner.

Therefore, it’s very important to consider and avoid the following mistakes that might cause you more than buying a new car.

1. Not securing financing prior to shopping

So, you think you’ve saved enough to pay at least the minimum downpayment for your dream car. But no matter how you try, you still can’t afford to pay it in full, even if it’s a used one. You’d still rely on financing, then. Knowing your budget makes negotiating expenses much easier. Financing allows you to choose the maximum limit of your pricing range.

Various lenders have varying interest rates. Thus, It would be best to determine the best loan term and interest rate for your needs first. Then, you can go shopping around for the right vehicle that helps you stay on track and within your budget. If you are looking for a financing firm to help you decide, check our GDFI Car Financing Service.

2. Choosing the lowest monthly payment

After choosing your financing service and getting approved, it could really be tempting to choose a term that allows you to pay the least every month. However, you have to remember that while a smaller monthly payment is better for your monthly budget, a lengthier payment period means you will end up paying back more money over time. 

Because of compounding interest, it may be more cost-effective to make a greater monthly payment in order to pay off the principal in a shorter period of time. This will also keep you from hidden charges that may accumulate over time. Make sure to talk to your used car dealership or financing institution to give you the best deal possible.

3. Skipping the test drive

You just have to realize that it is common sense for someone who is trying to buy a car to test it. This goes especially for a used car. Although the current owner or car dealer says that the vehicle certainly is in good condition with only a few years of use and proper maintenance, you will never know that for sure.

If you don’t test the asset you’re buying, you run the risk of having the buyer’s regret. When it comes to secondhand vehicles, it’s critical to test drive a few before committing to a purchase. This guarantees that the vehicle is in good working order and minimizes third- and fourth-owner-used cars on the road.

4. Foregoing a mechanic inspection and history run

Aside from doing the necessary test drive, there’s one more step you wouldn’t want to miss when buying a secondhand car. While many individuals test drive automobiles before buying them, few have had them inspected by mechanics before completing the transaction. The car may run very well, but it’s best to have the insides checked as well.

It’s also crucial to run a vehicle history check in addition to taking a test drive and having the automobile examined by a technician. Check for prior accidents, car faults, and the number of previous owners with a vehicle history report. Trust us, it’s always a good idea to look into the car’s history and the stories of its previous owners.

5. Buying a car based on looks

Last but not definitely not least, here is one of the most common mistakes most car buyers do that you actually shouldn’t. It’s very easy to get distracted by the shiny and sleek appearance of certain vehicles. Even a lot of used cars are being well-maintained by their owners to sell later. This is all good but you have to think, is this even what you need?

It’s very important to determine exactly what you need from your car before you start shopping for one, whether online or in person. If you’re looking for a commuter car, don’t spend your time looking at trucks. If you need a vehicle that can tow a trailer, don’t bother looking at sports cars. Anyway, you’ve got a budget to keep.

Whatever your reason is for buying a car, opting for a used car might be a wise investment. While new car sales tend to rise in tandem with the economy, secondhand cars may be a terrific option if you know where to look. A secondhand automobile will give you the most bang for your cash.

Once again, if you need help regarding your used car purchase, GDFI Car Financing is always here for you.