How to Save Money when Shopping for a Used Car

Buying a used car can be a great way to save money. Used cars can often be purchased for huge discounts and in conditions similar to new cars. Prepare ahead and practice these tips when shopping for a reliable used car.

Instructions

Difficulty: Moderately Easy

Things You’ll Need:

• Used car inspection checklist

1. Determine what is affordable to spend, car features, gas mileage and regular maintenance fees. Work out a budget detailing how much you are able to spend monthly in the upkeep of your car.
2. Used cars bought from dealerships and financial institutes are regulated by The Federal Trade Commission. A buyer's guide is included for every car. Know the total purchase price for the car, length of warranty and any problems with the car before signing off on the deal.
3. Used cars are often offered for sale by individuals online, and in classified ads. These cars can offer huge savings over cars purchased at a dealer.
4. Check out the car yourself. Obtain a used car inspection checklist. Look for signs of previous accidents, water damage and oil leakage. Test drive the car to see how it handles under different road conditions.
5. Hire a mechanic. A qualified mechanic should be able to complete a full inspection of the vehicle. Ask about any repairs the car may need and the estimated price.
6. Paying in cash is usually cheaper than financing a used car. Financing however allows for payment of the car over time and is manageable for many buyers. Compare offers and negotiate to find the best deals.

Tips & Warnings

• If you're looking for a used car that is still under warranty then check with a new car dealership. Many sell certified used vehicles that they have taken as trade ins.
• Vehicle History Reports can be purchased online using the VIN (Vehicle Identification Number). For a small fee you can find out if your car has had any accidents, major damage, or title and registration problems.
• When purchasing from a private owner the condition of the car is not guaranteed. If the seller didn't keep maintenance records the quality of the care can be hard to determine.
• Do not buy a car from a private seller without verifying their ownership of the vehicle. Ask to see the title.
• Use caution when buying a car at an online auction. There is no way to test drive the car and once you pay for it you're stuck with it.