PERSONAL FINANCE
Our guide will help you save on the steep costs of owning a car
Secrets of saving cash on cars
away without shaking hands and visit a competitor. It forces the seller to do the chasing. Playing one dealership off against another can also strengthen your hand.
The face-to-face appeal of a local trader is not to be underestimated, but online brokers such as Carfile, DriveTheDeal and Broadspeed are also worth looking at as they might undercut prices.
If you are getting rid of your old car at the same time, you usually get more money by selling it privately – using websites such as Autotrader and PistonHeads – than in a part-exchange at the garage.
PAY FOR A SECOND-HAND INSPECTION
WHEN you consider that a brand new motor costing £20,000 depreciates the moment it is driven off the forecourt – and might be worth just £12,000 after only one year – buying second-hand can make sense.
As buying an older vehicle is fraught with danger for those who are not a car expert, it is worth paying a professional to check a prospective purchase.
Local garages will often offer their assistance for a private sale and charge between £100 and £250 for a full check of a motor.
You can also pay motoring organisations such as the RAC or AA for an inspection, which will charge a similar fee. Checks to be made include a thorough look at the bodywork, including signs of any crash damage repair, oil and engine leaks, electrics and that the mileage is genuine using tell-tale signs of wear.
Take it for a spin to make sure the gearbox, brakes, steering and handling all feel good. Listen out for knocking noises from the engine as this could mean a repair bill of hundreds of pounds.
It is also important to check the paperwork. This includes reading the V5C registration certificate. Ask for details of previous owners and any work done on the car. Ensure the person selling is the one named. You can contact the DVLA on 0300 790 6802 to check that the colour of the car, engine size and registration all match up if you are concerned.
Ideally, you will also have a service history with copies of receipts for maintenance work. Make sure to check the current MOT certificate and any advisory note, such as if the tyres are getting worn.
If you have a specific model of car in mind, then websites such as Parkers can provide a guide on prices. It even has a ‘free car valuation by number plate’ facility to give you a rough idea if you have a specific car in mind. Buying blind off an auction website such as eBay is a gamble. You expect to pay more with a dealership but if it includes a guarantee against faults for the first few months it is excellent value.
Purchasing through a dealership should also give you protection under The Consumer Rights Act 2015 that what you purchased was as described, of satisfactory quality and fit for purpose.
You have 30 days after purchase to make a claim for a refund and after this period you can ask for a repair if it can be proved the fault was there when it was bought – and you should make the claim of fault within six months.