Certified Pre-owned(CPO) Vehicles VS. Used cars
It’s a known fact that buying Certified Preowned Vehicle(CPO) is a smart move.
To some, buying new vehicles may be out of the budget so used vehicles make a much better financial sense. To others, used vehicles are a much better investment, we all know that new vehicles depreciate once you drive them off the lot, but a used vehicle will not depreciate as much as a new vehicle, so savvy car buyers tend to lean towards used vehicles.
A Factory Certified Pre-owned vehicle makes even more of better economic sense, because they come with an extensive factory checklist which is performed by a factory trained technician, extended factory warranty, and many Factory Certified programs come with special low APR financing.
So, let’s break it down and explain what you get with a CPO vehicle:
- Vehicle Checklist – All Factory Certified Programs mandate that a multipoint checklist is performed on all vehicles before that can be considered certified pre-owned. Some checklist inspect well over 150 points on a vehicle, from Drivetrain (Engine and Transmission), Breaks, Tires, Suspension, lights, and much much more, so a consumer is assured that they are getting a vehicle in top performing condition
- Extended Warranty – An extended warranty is a product that is typically sold at a dealership to protect your vehicles when it goes outside the manufacturer’s warranty period, some manufactures warranties are 3 years or 36,000 miles or whatever comes first. So, an extended warranty goes beyond the manufactures warranty period. This will set your mind at ease if something does go wrong you will be covered and you do not have to pay for it. Some factory CPO programs go up to 3 years, so it’s like getting another bumper to bumper warranty.
- Special low-interest rate – so one of the drawbacks of buying a used vehicle is that you have to pay a higher interest rate, but with CPO vehicles some factory programs offer low APR for three to five years, so in some cases you are getting New Vehicle APR rates on used vehicles and that is a Win-Win situation.
Some of the benefits of buying a CPO vs a Used vehicle
- You get to drive a newer vehicle sometime a year or two old for a lot less money, so you are helping your pocketbook!
- Hassel free warranty on a used vehicle – No out of pocket expenses for major repairs
- A low APR offer that will help you save money in the long run