Steps for Buying a Used Car
Choosing the Right Used Car
It’s important to balance quality and affordability when considering a used car. You’ll want to consider your budget first and what you can afford to pay, then consider quality of the car. Remember that you will be required to pay the sales tax and licensing fee when you register the car and apply for the new title and plates. See the MO Department of Revenue for information on forms and fees.
Where to Look for a Used Car
The most common places to buy a used car are:
Private parties (classifieds, ads, etc.)
Craigslist, eBay, Facebook Marketplace, amileofcars.com
The used car section of new car dealerships
Best to avoid any car lot that advertises Guaranteed Approval, No Credit Checks, No Money Down. They usually charge very high interest rates as they are often just loan shark companies.
Research Your Prospective Used Car
A few websites to visit for information on your car include: cargurus.com. Edmunds.com, Carfax.com, kbb.com, cars.com, ebaymotos.com, autotrader.com, and autocheck.com. These websites allow you to check vehicle history, compare prices and determine overall quality of the car by researching the car’s Vehicle Identification Number (VIN). There may be a fee to use these sites.
Check the Kelly Blue book to make sure the asking price is reasonable.
You want to avoid buying cars which have had extensive damage from previous accidents or flooding, and these websites are a good place to research that.
Test-driving the Prospective Car
Test-driving a used car helps you decide if this car is in good condition. Try to arrange your test-drive so that you start the engine when it is completely cold. Some cars are harder to start when they are dead cold and might reveal chronic problems. Turn off the radio before you begin driving so that you can hear the engine and be able to listen for any noises.
On the test-drive, evaluate these points:
Acceleration from a stop
Visibility (check for blind spots)
Engine noise
Passing acceleration (does it downshift quickly and smoothly?)
Hill-climbing power
Braking (do the brakes squeal; does the car pull left or right when braking)
Cornering
Suspension (how does it ride? Does the steering vibrate noticeably if you rest your palm against it?)
Rattles and squeaks
Cargo space
Take your time and be sure to simulate the conditions of your normal driving patterns. If you do a lot of highway driving, be sure to go on the highway and take the car up to 65 mph. You do not want to find out too late that it does not perform as needed.
If you like the way the car drives, you should still take it to a mechanic for a thorough inspection. A private party will probably allow you to do this without much resistance. But at a dealership, it might be more difficult. If it is a certified used car, there is no reason to take it to a mechanic.
Closing the Deal
If you are at a dealership, you must go through the Finance and Insurance (F&I) process. The F&I person may seem like a financial advisor, but they are actually experienced salespeople. The F&I person will probably try to sell you a few additional items: an extended warranty, alarms or anti-theft services, prepaid service plans, fabric protection, rustproofing and emergency roadside kits. Typically, these items are expensive and hold little value for you. You can refuse any or all of these options. Be firm and check the final bill to make sure none were added without your approval. Once the contract is ready, review it thoroughly. In most states, it will contain the cost of the vehicle, a documentation fee, a smog fee, a small charge for a smog certificate. Make sure you understand the charges and question the appearance of any sudden additions or changes to the contract. Finally, if any repair work is required and has been promised by the dealer, get it in writing in a "Due Bill." Make sure the temporary registration has been put in the proper place and then, you are finally on your way.
If you are buying a car from a private party, make sure that payment is made, and the title and registration are properly transferred. IT is also a good idea to ask for a bill of sale which can be handwritten or a printed form. Before driving away, make sure the the seller removes their plates and you attach your own. You may drive a newly purchases car to your home without plates if you have the bill of sale and title with you.
Insurance
Regardless of where you purchase the car you will need to contact your insurance agent about the car you are buying and see if you need to add it to your policy before you drive it home or if you have a few days to add it. Then make sure you get it covered.