The Financial Benefits of Buying a Used Car
Going used is an age-old option for saving when you need to buy a car, but there are actually a number of advantages to taking this route that you might not have thought of. Here’s why buying a car used is definitely worth considering.
Get More for Your Money
First there’s the obvious: cars cost less used than new. In fact, cars can depreciate in value by up to 40% in the first year. This means a couple of things. First of all, if you’re on a tight budget you can still be sure that there’s somewhere that will have a reliable car for the right price. It also means that if you’re willing to pay a little more you can get prestige brands and extra features that you wouldn’t be able to even consider buying new.
Save on Running Costs
The biggest running cost for many drivers is insurance. While prices vary from insurer to insurer, one thing they all pay attention to is a car’s insurance group. This is a number from 1 to 50 that determines how costly a car is to cover, determined by the independent testing organisation Thatcham. All insurers respect this figure, and older cars tend to belong to much lower (and therefor much cheaper) groups.
There’s also tax to consider. Changes to Vehicle Excise Duty coming in next year will be raising road tax across the board, but car registered before the first of March will be subject to the current rules which means in the near future almost all used vehicles will be considerably cheaper from this standpoint.
Have Peace of Mind
People tend to point to additional benefits like warranties and breakdown cover as reasons to only buy new cars, but these days many dealers such as RRG Group offer the same guarantees with full manufacturer certification. The days of unreliable used cars are behind us so long as you go through reputable sellers, meaning that you’ll never find yourself faced with an unexpected bill for repair or recovery if you happen to have a stroke of bad luck.
There are plenty of upsides to buying our next car used if you’re looking to save money, so next time you need a fresh set of wheels consider a veteran over something new and flashy—you might be pleasantly surprised.