1. Home
2. Blogs

7 Things to Avoid When Buying a Used Car!

• 
• 
• 
• 0
• 0

Published on February 3, 2022. EST READ TIME: 3 minutes

Used cars are not just cheaper than new cars in terms of invoice value, but also imply low second hand car insurance cost. New car insurance comes with one year of own-damage cover and three years of third-party cover. On the other hand, second hand car insurance can be purchased on an annual basis and thus works out a bit cheaper. Also, if you are new to the world of driving, buying a used car makes sense as scratches and dents will not hurt you as much as in case of a new car. However, remember that research is the key to getting the best deal on a second hand car. Here are 7 mistakes you should avoid.

1. Not talking about money:

Money always matters. So, don’t start looking for a car without looking at your budget first. The best approach is to save as much as possible and then buy a car. However, saving upfront might not be a possibility for everyone. So, you can either buy a car on a used car loan or take out a personal loan to buy the car. Used car loan might be available only if you are buying from a certified pre-owned car sales program and it does involve getting the hypothecation etc., like a new car. In case of personal loans, you won’t need to deal with vehicle RC & HP related paperwork. Weigh your options well and then pick.

2. There is more to car ownership than monthly EMIs:

This is a common mistake, especially among first time car buyers who are buying on a used car loan. Remember that owning a car also involves other costs like fuel costs, vehicle service costs, second hand car insurance costs etc. All these are supposed to come out of your monthly budget. Then of course there is the down payment part. Ensure that you have taken all these expenses into account and then added a 10% overhead extra on it for a smooth ride.

3. Settling for a short or no test drive:

Any person who has purchased a used car will tell you to test drive the car before closing the deal. In fact, many say that start with a short test drive. In case you like it, work out a deal for a long test drive. This should be around 40-50 kms. Take the car through different road and traffic conditions. It is considered courteous to take this test drive on weekends and put some fuel in the car before the drive or afterwards.

4. Not consulting a car mechanic:

It is very important to take along a car mechanic to examine the car you plan to buy before you make the payment. An experienced mechanic can even tell by the sound and vibration of the engine if the car is worth your money. Remember that the engine and transmission of a car are its two most critical components that are very expensive to repair. Neither new nor second hand car insurance will offer you cover for electrical or mechanical breakdowns, so let a trusted mechanic inspect the vehicle before you buy it.

5. Ignoring the service history:

Manufacturer authorised service centres always keep a rather accurate record of every vehicle that comes to them for service. So, ask the vehicle owner for service records. Alternatively, if you give the vehicle number and owner name to the service centre, they may give you an idea about the car’s service history.

6. Not talking first but simply showing up at the seller’s place:

This is another very basic thing many people tend to ignore. Once you spot an ad for the car you are looking for, it is best that you first call up the seller. Avoid showing too much enthusiasm or showing up at the seller’s place right away. Talk to them over the phone and get basic information about the car and ask for more photos. Only after a thorough check of all basic aspects should you consider meeting the seller in person.

7. Simply going for the looks:

A used car seller will keep their vehicle in perfectly good shape. However, you are buying the car to use it, not just park it, so keep aside how good the car looks and check how the car feels while driving. Remember that fixing the looks of the car is way cheaper than having to fix its engine or transmission.

To wrap up, remember that buying a used car is a matter of how much research you can do. It will help you seal the best deal possible.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

RELATED ARTICLES

Insurance tips for buying or selling a used car

Role of insurance in the purchase or sale of a used car

Second-hand car insurance is necessary for your second-hand car – Here’s why

---

• 
• 
• 
•