Old or New Car???

Depending on your financial situation, you may want to buy an new car or need to buy a certified used car.  Should you purchase a compact or a full-size? How much mileage can I get per gallon of gas?  There are so many things to consider when purchasing a vehicle.  Here are a few points to keep in mind when you pull up to the sales lot...

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Used Cars

Since dependable transportation is a necessity--do not despair; a two to four-year old used vehicle can be purchased at a savings of 25 to 50 percent, as compared to it's cost when new. Additionally, the number of well-built, dependable vehicles has increased during the past decade.

Check the car's history before you buy. CarFax.com sells a service that helps protect used car shoppers by allowing prospective buyers to get a report of a vehicle's repair history using the vehicle identification number.

"By taking the time to do a VIN check, they can see if the car is a lemon, a salvaged vehicle, if it has been in an accident and such," said Weekes.

But Internet research just isn't enough when purchasing a used car. Buyers should obtain a copy of the car's service record, which can help predict whether the car is likely to perform well for another few years. Used car shoppers should also be sure that the dealership they are purchasing from offers a certification of quality, which provides a warranty for the vehicle.

New Cars

For car shoppers who can afford to pay more, the methodology for purchasing a new vehicle doesn't differ much from that of finding a used car, says Ken Laba, Earnhardt Ford's sales manager in Tempe. "There are plenty of sources out there to help you find the right vehicle," he said. "A lot of manufacturers are the same, it just depends on the kind of car you like."

Laba [a new car salesman] believes that a new vehicle has advantages over a used car.

"[Students] can get some great college rebates," he said, adding that the rebates could range between $300 to $700. "You also get the warranties and for most first time buyers, they can barely make payments, so if the car breaks down, this prevents other costs."

Those extras add up; keep it simple. Keep in mind that new vehicles have fewer repair problems, so paying extra for an extended warranty is usually unnecessary.

Get the lowest interest rate you can. Laba added that first time buyers, even without significant amounts of credit, should be able to find low interest rates on a new car because of the current economic slowdown.

Car buying tips courtesy ofhttp://www.youngmoney.com/wheels/auto_shopping/030417_02