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Is Your Used Car a Lemon or a Cherry?

    Buying a used car .can be a risky investment, .but it is an investment many people choose to make due to rising new car prices. The key, then, to buying a used car is eliminating as much of the risk as possible by learning everything you can about the vehicle you are interested in purchasing.

Finding A Reliable Dealer

    Be sure that the dealer you want to do business with is bonded and licensed by the state.

    The Better Business Bureau has a list of dealers participating in the BBB Care Program. Dealers in this program have agreed to use BBB arbitration & mediation services in the unlikely event that a customer complaint cannot be settled.

    You should ask the following questions before choosing a dealer:

• How long has the dealer been at the current location?
• How long has the dealer been in business?
• Do they have a service department?
• Do they belong to professional associations, such as the National Independent Automobile Dealers Association (NIADA) or the Houston Independent Automobile Dealers Association (HIADA)?
• Can they provide several references from satisfied customers?

What “As Is” Means

    Most used cars are sold “as is,” which means that the car comes with no guarantees or warranties, implied or otherwise. When you buy a used car “as is,” you are agreeing to take the car in its present condition, inheriting any problems that it may have.

    Since you will probably have no guarantee from the used car dealer, it is extremely important to learn as much as you can about the condition of the car before you make the purchase.

Inspecting The Car

    Before purchasing a used car, you should always have it inspected by a mechanic. However, there are many things you can check yourself before paying a mechanic to inspect the car, such as the following.

Exterior: Be sure the body appears even and has no irregular spacing between the body joints. Check for rust and for signs of brake fluid leakage on the inside of the tires.

Interior: Check for badly worn carpeting or upholstery, which may indicate abuse. If the car has seat covers, look underneath for damage. Turn on the ignition to check the warning lights, and check the brake pedal for free play.

Engine: Pull out the oil dipstick. If it is dark and dirty, the engine may not have been adequately maintained. Check the hoses and belts for cracks and wear. If the transmission is automatic, check the transmission fluid to see if it is dark or has a burned odor.

Electrical System: Check all the electrical accessories, such as the lights, wipers, and horn one at a time.

Springs and Shocks: Push down on the front and rear corners of the car. If the car bounces several times, the shock absorbers are worn.

    After going through these visual inspections, start the car and take it for a drive. Does the engine make any unusual noises? Does the car idle and accelerate smoothly, or does there seem to be some hesitation?

    Drive down a straight and level stretch of road while holding the steering wheel lightly. Does the car consistently pull in one direction?

    Be sure to pay attention to how the brakes are working. Does the car pull to the left or right while you are braking? Are the brakes responsive, or does the car seem to require an unusual amount of time to stop?

    If, after your inspection, you are pleased with the car, have a mechanic check the car thoroughly. The mechanic may be able to spot problems with the car that you could not detect.

Completing The Purchase

    Be sure you read thoroughly any contracts or documents you sign and be sure any promises the salesperson makes are in writing. If the car is not being sold “as is,” what kind of warranty or guarantee is available? Be sure to get the details in writing.

     If you are financing the car, be sure you understand the terms before you sign the contract. Shop around for the best deal on financing. Many banks and credit unions offer competitive financing.   

    Also, if you should have problems making payments later on, contact the dealer or lender holding the note.