Used Car Loan

Ten Tips to Buying a Used Car

Pre-owned cars come with a lot of advantages but also has its drawbacks. There are a number of things to look out for when you opt to buy a pre-owned vehicle. The biggest advantage is they a relatively cheaper and more affordable for many people. These cars are also put to good use to teach someone how to drive or for practice. Whether you buy from a trusted dealership or directly from a seller, you need to be careful about what you’re getting yourself into. To get a good deal on a used car loan, here are some tips.

1. Ask questions - You’re paying for the car, it’s not free. Don’t be shy to ask questions even if they might seem dumb. Question the history of the car, when it was bought, prior accidents and repairs. You can also ask about the service history of the car.
2. Get the information - Find out important information as to the age of the car, the year of manufacture, the model, and features of the car. Also find out how many hands it has passed, meaning how many owners the vehicle has had. Check on the number of kilometers run, power steering, power windows, central locking, autocop, cupholders, music system, glove box, cabin space, boot space and other such features.
3. Get the numbers - You must get these three numbers: the vehicle Identification number, the registration number, and the engine number. These three numbers should match the numbers given in the car papers. You can also note down the driver’s licence number of the previous owner to be on the safe side of any prior violations.
4. Check on loans against car - If there is a loan pending that has been taken against the car as security, it’s not smart to buy the car. If the borrower defaults on the payments, the bank has the right to seize your car. If the car was bought on a loan by hypothecating the vehicle, ensure the car has been fully paid for and owned by the person selling it to you.
5. Get a mechanic to assess the car - Find a trustworthy mechanic. Don’t be fooled into an estimate by a mechanic that might be hand in glove with the seller. Get the car fully assessed and an exact value of the car. Check on prior repair work and fixes to the car.
6. Do your own research - Use the Internet to find out the current price of the car you have in mind, the ex-showroom price, the on-road price, insurance and road tax. This will give you a clearer estimate of how much the car cost the owner originally. Do your research on used cars as well to see how much similar cars are going for.
7. Bargain - Once you have all this information, you can put yourself in a good position to bargain for a better price. Don’t bargain downwards of what the seller has quoted, rather bargain upwards of the value of the car.
8. Ignore the word “sale” - Just because there are big “Sale” signs posted all over the dealership or the car, it does not mean that the price is lower. Avoid marketing gimmicks and get the best deal for yourself.
9. Watch out for repaired write-offs - Sometimes a car is deemed unusable but is repaired and sold. These cars will not be covered by any insurance and it is best to avoid buying these vehicles.
10. Get your finances right - If you are borrowing money to buy the car, make sure you get the best loan and interest rate. Use websites like BankBazaar.com to compare different used car loan offers

A used car is a good option for many people and works out great. Use these tips to ensure that you get the best deal on a used car loan. It’s easy to be naive and get cheated by unscrupulous sellers. But if you do your research and are well-educated on what you are getting into, you should be able to avoid fraudsters and bad situations. Never jump into buying a car thinking it’s a good deal. Also don’t settle on a car you see at the first dealership you visit. Be sure to get all the details right and you’ll be set to drive home a great deal.