Trust Your Dealer MISSISSAUGA : (888) 902-1852
LONDON : (888) 903-4526
Filed under: Blog

Why new cars are such poor value

by Paul on Jun 7th, 2011

Tags
  • No Tags
 Share Comments (0)

If new cars weren’t bought of course there would be no used cars so someone has to buy them, why people do choose to buy new cars is often not clear though. For many a new car is a status symbol, a way to show they can afford to waste money on a car that will lose value as soon as it leaves the showroom. New cars are not completely without advantages, they have no hidden history and a long warranty, often three years. With a second hand car though you can easily pay for an extended warranty and a check of the cars past and still get a car just a few years old for much less than it would have been new. Much older used cars of course start causing more problems, many parts have a set life and then start to fail: performance can also go down. A car a few years old may have slightly less time until it starts having problems but you can buy a new used car at that point and still be better off.

The finance deals on offer from new car dealers may for some people be what convinces them, they are often available even with poor credit ratings. With used cars you can still get great finance deals though if you shop around and even if you put zero down. Used car finance generally works out cheaper long term as well. Many new car finance interest rates are higher because the financing company is taking more of a risk, the car will lose value straight away so the collateral instantly has less value than the amount owed.

Related Articles
  • Getting a car loan when you have bad credit Bad credit ratings affect you in many ways but of course most of all when you need money for a big investment such as a car. Your choices of funding are of course limited but
  • If you have poor credit ratings in Toronto… how do you get a car? So, you have poor credit ratings due to a history of not paying your financial obligations on time. Is there a way to get rid of this bad reputation and move on to bigger and
  • The advantages of a warranty on a second hand vehicle When buying a second hand car there is no way of knowing exactly what condition it is in just by looking at it: apart from rust most problems are hidden away. Even with a tes
  • Financing a used car A car used or new is a big investment and you may want to use finance at least in part to pay for it. Of course the less finance you use the better, putting some cash down wi
  • Buying a car outright or financing If you are considering buying a car you may have the choice of buying it outright or using finance. Of course it may be that you can currently only afford to finance in which
No comments currently exist for this post.

Why don't you make one?

Get a GravatarLeave a Reply

Name: « Required

Email Address: « Required

Website URL: « Optional
  • AutoPrice Canada offers a simple and transparent car finance process. Whether you have good credit or bad credit for your used car loan, we can help. Start by filling out our Online Credit Application and in just a few easy steps, you could be on your way to driving your new car.

    Read More


    		•  



    • Autoprice TV

    Loading...

    Latest Article
  • Follow Us!
    Weekly Specials
    		•

    Our Brands

    Our Brands

    Pages

    Hours

    • Sunday Closed
    • Monday 9:00 am - 9:00 pm
    • Tuesday 9:00 am - 9:00 pm
    • Wednesday 9:00 am - 9:00 pm
    • Thursday 9:00 am - 9:00 pm
    • Friday 9:00 am - 7:00 pm
    • Saturday 9:00 am - 6:00 pm

    Social Site

    Subscribe to YouTube

    Contact Us

    • AutoPrice London Ontario
      980 Wharncliffe Rd S
      London, ON N6L 1K3, Canada
    • (888) 903-4526
    • AutoPrice Canada
      1630 Matheson Blvd.
      Mississauga, ON L4W 1Y4, Canada
    • (888) 902-1852