Lifestyle Articles & Finance Tips | 1800Approved - Finance & Loans

How To Know You're Getting Bang For Your Buck

Written by David Burke | 1 August, 2018

It’s hard not to feel excited when buying a car, especially if you’re getting your first set of wheels. Of course, if you’re buying a used car, it does add quite a bit of stress to the process. You don’t want to end up with a vehicle that will wind up costing you more than a new one once you factor in all the repair costs over the years.

 


 

If you want to avoid getting ripped off by the Harry Wormwoods of the world (yes, that is a reference to Matilda) then read our guide on how to tell if you’re getting bang for your buck.

 

First, know your budget

Before you even start shopping for cars, you need to figure out what your budget is. Don’t forget, we’re not just talking about upfront costs here. You will also need to think about how much it will cost to run a car, how much you will have to pay in tax and car insurance, along with servicing and any other spending that can eat into your budget.

There may come a point further down the line when you will be tempted to buy something you can’t really afford, so setting a budget (and sticking with it!) is important.

What are you looking for?

The next step is to figure out what’s important to you in a car. Do you need a Mad Max-style car to drive through the desert? Do your long commutes mean you need something with excellent mileage? 

Knowing what your must-haves and nice-to-haves are will help you narrow down your options. Also, knowing what’s not important will help you to avoid spending too much money on a bunch of features you don’t really need.

Do your research

Now that you know what you’re looking for, you can start looking at cars. If you’ve got a make and model in mind, read the reviews and keep an eye out for common problems or possible defects.

Take your time to research used car prices and get an idea of what you can expect to pay for the type of car you’re looking for. Knowing the market price is the easiest way to avoid getting ripped off.

Inspect the interior and exterior

So, you’ve found a car you like, now what?

Well, when trying to work out whether or not you’re getting a good deal, the most important thing to do is to check the condition of the car. You want to be sure to inspect the exterior, as well as the interior of the vehicle.

Look at the overall condition, keeping an eye out for dents and scratches, check the car’s mileage, look for signs of poor repair, check the engine and surrounding parts for rust and signs of leaks, and test the lights, radio, and other features.

Go for a test drive

Taking the car for a test drive goes without saying. You shouldn’t ever buy a car without taking it for at least one test drive, whether or not it’s new. Even if it’s got all the features you’re looking for, if it’s not a comfortable drive, then it’s not for you.

Take the opportunity to test out the different features to make sure they’re all in working order, and keep your eyes and ears open for any unusual sights or sounds. Try doing things such as performing an emergency stop to check the brakes, trying the handbrake on a hill, checking if the car veers to one side, and monitoring the suspension.

Ideally, you’ll get a chance to test it out in different environments, so you get a good idea of what it’s like to drive it whether that’s on local roads or on the freeway.

Review the vehicle’s history

Find out what you can about the car’s history. You should ask questions such as whether or not the vehicle has been involved in any crashes, how many owners it’s had, what kind of safety features it has, and how much it costs to fill the tank. The more questions you have, the better.

Don’t be afraid to haggle

This is where doing your research can come in handy. If they’re asking above the market price, then it’s a bit easier to try and haggle for a better deal. You can also point to any flaws in the car to try and get them to reduce their price further, or even just see if you can convince them to chuck something in for free.

Lastly, take your time

The worst thing you could do when buying a used car is to rush into it. Take your time, do your research, and be sure to inspect the vehicle and its history properly before handing over any money. Doing so will help you make an informed decision and ensure you’re getting a good deal on your new car.

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