Thursday, October 17, 2013

Myths in Car-Buying: Not All Used Vehicles are Certified Pre-Owned…and it Matters



The more we recover from the recession, the more used car prices are dropping. Since used vehicles are a commodity, the fact that people are now more able to avoid new cars means that the demand for used cars has dropped. As a result, now is an attractive time to buy used.

That being said, buying a used vehicle requires being a bit more savvy than buying a new one. You have to know what you're looking for, you have to trust your dealer, and you have to shop around more since the market is so inconsistent.

One myth that a lot of prospective used car buyers seem to believe is that "used" and "certified pre-owned" are synonymous, and it's important to recognize that this is not the case. "Certified pre-owned" isn't just an embellished term that car dealerships use to make used cars sound fancier. In order to be certified, a vehicle must adhere to a fairly strict list of standards and pass a number of tests run by the manufacturer. Only after meeting these standards and passing these tests can it gain the exclusive title of "certified pre-owned."



The Benefits of Buying CPO
You can probably already infer that buying CPO is much more advantageous than buying a vehicle that hasn't been certified. It helps to take the risk out of buying a vehicle that has a previous owner, and therefore, you get peace of mind with your purchase since it has been thoroughly inspected.

Every manufacturer has its own set of standards, but they are all quite similar. For example, if you find a Ford vehicle, you know that the vehicle has travelled back to the manufacturer to ensure that it has passed 172 points of inspection; has a clean title and vehicle history report; has been equipped with a full tank of gas, new oil, a new filter, and new wiper blades; and comes with a warranty. Ford also offers flexible financing with Ford Credit when buyers purchase a Ford CPO vehicle.

Ford, like many other manufacturers, also offers a 12-month/12,000-mile Comprehensive Limited Warranty – which covers most potential issues that could possibly be discovered -,  roadside assistance, and a free vehicle history report. 

Where to Buy
When buying a certified pre-owned vehicle, check to see if dealerships near you offer specials on them. For example, NJ Ford dealers frequently offer special sales and financing rates on CPO vehicles around holidays and toward the end of the model year. Most importantly, go with a dealership you trust.