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7 Tips to think about when buying a used car

7 Tips to Think About When Buying a Used Car!

If you are buying a used car you will need to do your homework. Consider these tips to help you in making the correct decision.

South Africa has many well priced used cars to choose from where you may find to easier to obtain finance and more affordable car insurance rates. In addition, many of them are still under manufacturer warranty or are sold with an extended motor plan.  With that in mind take note of the following before you decide which car you would like to invest in.

Consider your monthly budget:  Ensure you start looking for a car that you can afford, and which will fit into your monthly budget. Consider also the deposit, monthly insurance fees, tyres and maintenance.

Research the market:  Assess your requirements – look at the number of people you will be lifting, how much comfort you require, what roads you will be travelling on, etc.  Keep an open mind and consider all manufacturers.  Read customer reviews and any literature pertaining to the car.

Make sure you are aware of current vehicle retail values:  Take time to investigate the true retail value of the vehicle. The book value of a vehicle is a price guideline that various industries – automotive, insurance, car finance – use in order to arrive at an estimated value. The retail value is however the price that can actually be obtained by selling your vehicle on a competitive or open market. In other words – it is the price you will be able to sell your vehicle for!  Currently VehicleFacts provides a “Light” and “Comprehensive” Report that calculates the market value for vehicles using market information obtained from various sources. The information is not older than six months and relates to the market values at which vehicles are traded.  The “Light” Report costs as little as R15.

Test Drive the vehicle:  Once you have found a car you are interested in approach a reputable dealer for a test drive. South Africa and its motorists are not only victims of vehicle theft but also vehicle cloning which affects you in the used vehicle market. Although a growing concern in our country, not many people know what it is and how to avoid becoming a victim.

Compile a checklist:

  • Check the service history of the car to see if the car has been maintained regularly and its handbook has been stamped by an authorised workshop.
  • Check the mileage of the vehicle.
  • Check the vehicle is not stolen or cloned by asking for the microdot status of the car – you can get this from the VehicleFacts report or contact us directly on 044-874-0836
  • Request a Mechanical Inspection Certificate and Vehicle History Report.
  • Avoid paying in cash:  Cash payments leave no financial trail.
  • Make sure you have all your documents:  Following the purchase of your vehicle you should have the following documentation –
  • A detailed invoice
  • Proof of Payment
  • All certificates that you have requested i.e. Mechanical Inspection, Vehicle History, Microdot Status
  • A delivery note
  • Licensing papers
  • Proof of insurance

Good luck!

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