Buying a Used Car

Before getting your own car, it pays to do somebenefit from knowing that if there is a problem you
homework. Think about what you need, what thecan return to the dealer to complain. Many dealers
car will be used for, and your budget. Look in booksoffer warranties and guarantee the quality of the car.
and online and think about repair costs, safety tests,On the other hand, buying from an individual will offer
mileage etc.less security as the car will generally be sold as is,
All this research can save you some serious moneywhich means you must bare the cost of any
and help you avoid being ripped off.problems that later arise. You also cannot go back
Once you've chosen the car you want, you have toand complain to an individual if something they told
decide how you are going to pay for it. You can payyou turns out to be untrue. That said, buying from an
the whole amount upfront or you can finance theindividual can often offer very good value.
purchase over time. If you do use financing, youFirst of all, they will not add a mark up on the price,
should be aware that this increases the total cost ofwhich is what a dealer would do if he had bought it
the car as you must pay for the car plus the credit.first. Also, if you bring along your own mechanic, or
Once you have decided on how much you can putsomeone who knows about cars, you can have it
down, you can look at the annual percentage ratechecked out to make sure everything looks ok.
(APR) of the loan and the length of the loan and seeBefore you buy the car, make sure you examine it
how much your monthly payments will be.with an inspection checklist. Get a good test drive
Generally speaking, the shorter the term of the loan,over varied road conditions and be sure to get the
the higher the APR. If you are in your teens,car's maintenance record. It is also worth having the
cosigning with your parents will help you to get acar inspected by a mechanic if you have serious
better rate. You may also want to think about payingconcerns about it.
in cash for a less expensive car.Finally, before you buy, make sure you are ready to
Dealer or Private Sale?meet all the associated costs of having the car.
This is an important decision to make. If you buyThese include insurance, fuel, maintenance and repairs.
from a dealer you will generally pay more. But you will