Buying a used car is a complicated process. So far, our market isn’t organised and this makes it difficult for the buyers to pick up the correct car. There has been no authority to state anything on the used car valuation. Here we share with you, seven simple steps to purchase a used car which will help you get a good deal on used cars.
- Fix your budget: Ground rule no 1. Always make up your mind on the kind of car you need. Fix a budget. Tell yourself, ‘I will not be spending more than Rs x or y’, if you don’t then this confusion will haunt you every now and then. Is this car worth it or something else is worth the buck? All these questions are secondary. If you want things to move smoothly, fix a budget first. Do I need a car within Rs 5 lakhs or Rs 6 lakhs? Take your call now. If you can’t, then prepare to be stuck with this question in the second step. The confusion will be a lot more than anticipated.
- Shortlist the car you want: Considering the vast number of options available in the market, just shortlist the car model or type of car as soon as possible and save yourself from getting confused. Most of the efforts are wasted here. Once you have clarity on what needs to be purchased, things will move smoothly. There are many buyers— confused to pick a sparingly used hatchback or an older model sedan as they are at a similar price. Always work on the model you need, if not at least the body style you want. For instance, you can finalize a Maruti Baleno or a Hyundai Elite i20 or a Honda Jazz as your top considerations. No second thoughts, if I get a used Honda City or a VW Vento in the same price, then I will look at that also? This cannot happen. Pick one segment clearly and then start hunting for the car/cars. Clarity in thoughts and on the segment is needed.
- Car Loan: Normally you pay a higher interest on a used car than a new car. One needs to find the correct bank that will offer the best interest rate. Make an effort first, to make this simpler for yourself. These are one of the most neglected aspects when buying a new or a used car. Later, we end up paying a higher amount than what should be the price. This affects the overall value of the car.
- Check out the OBV Report: Orange Book Value report helps you get the fair market price of your car. The entire process takes 10 seconds and save you from getting fooled while pricing of your desired used car. This will help you with the correct pricing with the information of the car. It should be your bible for the model you want to purchase.
- Understand what problems are in your desired used car: Used cars generally have some minor service work to be done. Is the battery fine? Will the tyres be alright for the next two years? Is there any problem in the engine? All these questions always come in one’s mind while going ahead with a used car. Save some money in reserve to find the answers to these questions. Get a mechanic to inspect your car and give you a detailed report.
- Take a Test Drive: A test drive will get you all the solutions. It is always a must to drive the car. You will get complete clarity. The car’s acceleration, braking, steering feel, if there is any rattle in the car. Get hands-on experience of the car before finalising. This will turn your grey into white or black.
- Strike a deal: Instant sale for a used car dealer or an individual is the best bet. He/she will be willing to reduce the price by some extent if offered instant cash or payment. Always insist on that and avail immediate benefit.