How to Buy a Used Car

by Donna Hruska

Last year, Americans bought eleven and a half million used cars–double the number of vehicles sold from new car showrooms. Most of these buyers were interested primarily in economy, preferring to let someone else swallow the rapid depreciation of Detroit’s newest models, from 25% to 30% in the first year alone. Unfortunately, many gained only headaches and repair bills, emerging from the experience with a liberal education in the “let the buyer beware” school of economics.

Connie Schoen is an example of what can happen to the unwary. Lured by a used car dealer’s newspaper ad which declared “We Undersell Them All!” she was delighted to find a three-year-old station wagon at $200 less than any comparable model she had seen elsewhere. She took it on a test drive around five or six city blocks, noticed nothing wrong except for an inoperable emergency brake and purchased the car, with the provision that the dealer repair the brake.

Since she traveled primarily around town, Connie did not run her new wagon at high speeds until five weeks after she bought it. Once on the expressway she almost lost control of the car. It was all over the road, nearly impossible to guide. Too late, she discovered that someone–the former owner or the dealer–had put the wrong sized tires on the front, the front end was out of alignment and the ball joints were bad. For good measure, the emergency brake failed again.

The dealer refused to pay for corrections, reminding her that the thirty day warranty period was past, and Connie saw more than the $200 she had saved on the purchase price disappear into repair bills. Like many unprepared buyers, Connie had ventured into the used car market without a plan or a guide.

Does this mean that there are no bargains to be had, no safe used cars on the market? Must you be a mechanical marvel to buy a pre-owned automobile?

Not at all. There are good deals and honest dealers. Any buyer can save money and get good transportation by buying a used car, but she must know and follow a few simple rules. The following suggestions are compiled from advice given by dealers, mechanics and financial experts.

First, choose your dealer carefully. Connie Schoen made her first mistake when she fell for the low price come-on. No one can get more than 100 cents out of a dollar. While individual bargains are to be found, a dealer who consistently undercuts the competition by a large margin has to be cutting his expenses, too, frequently by not making needed repairs.

Connie would have done better to shop the used car lots of new car dealers. They customarily keep only the best trade-ins for resale. The remainder are sold at wholesale auctions, generally to owners of independent lots.

Second, do enough homework to give you confidence in your own judgement. Studying the newspaper ads for a week or two will tell you the asking price for the kind of transportation you desire. The guides used by the dealers themselves are available to you, too. Banks and libraries have copies of the Official Used Car Guide and Kelly’s Blue Book which list current wholesale and retail prices of virtually every make and model, including major optional equipment.

One of the best preparations is to drive a car that you know is in good condition, giving it the same road test you plan to give prospective purchases. Let your whole body become an antenna tuned to the rhythm of the machine. Feel the vibrations through your hands on the wheel and your feet on the pedals. Listen to the smooth purr of a well-tuned engine so that any wrong note in the car you are buying will instantly register.

It also helps to study some of the tricks of the used car trade before you venture onto the lot. Some of these old pitches hail from the time of the original Henry Ford, but updated versions surface every day. Most buyers would recognize “It belonged to four old nuns who only drove it to the convent and back” and “The former owner was an old maid schoolteacher who kept it up on blocks.” (Even if that last one were true, it would be no recommendation. A machine that is used runs better than one that sits.)

But others sound more plausible. Watch out for “We had to repossess it and don’t need to ask too much,” and “An engaged couple started to make payments on it, but now the wedding is off. You can just take over their payments.” A prepared buyer will recognize a “low ball” (a ridiculously low offer that will be changed at the last minute after you’ve fallen in love with the car) and a “high ball” (an extremely high offer for your trade-in that the manager will fail to authorize just as you’re ready to sign the papers).

A woman shopping for an auto should have confidence in her own abilities and not let the salesman bluff her. She may very well know more than he does, for mechanical knowledge is not a requisite of his job. He only needs to know how to sell.

She might also try a few bluffs of her own. One young Illinois couple always makes a point of learning the first name of the owner of the dealership, casually dropping it into the conversation.

“It’s amazing,” the husband says, “how often a salesman will immediately steer us away from a vehicle he had previously been pushing. He isn’t about to unload a bad deal on a personal acquaintance of the boss.”

Third, and most important, choose the car carefully. What is the actual mileage? Has it been in a wreck? Is it in good running condition? Even if just tightening a screw taxes your mechanical ability, the answers to these questions are within your grasp. Master them and you’ll be a match for even the most unscrupulous pitchman.

WHAT IS THE ACTUAL MILEAGE? A dismayed reader wrote into a consumer advice column not long ago, complaining that he had bought a 1965 sedan a month before, paying more than that year and model were worth because of its low mileage. Now he had discovered that the odometer (speedometer) had been turned back. Was there anything he could do to get his money back?

Probably not, the columnist answered. In the past, turning the odometer back was an almost accepted practice in the used car business. A new federal law aimed at correcting this sneaky practice went into effect on January 20, 1973. It requires that the seller guarantee the odometer reading of his car and provides fines of up to $1,500 for dishonesty. For vehicles whose odometer may have been altered before January 20, here are a few tricks for figuring mileage.

A look at the odometer itself can be revealing. Certain brands have a tamper device that shows a little blue line on the two numerals to the left if they have been reversed. In others, the numerals may not line up evenly at the bottom.

The service stickers near the front door hinges should show the mileage at the last oil change. If they’ve been removed, it’s natural to wonder why. Wear is an indicator of mileage. The original battery should last at least 20,000 miles, original tires (they’ll have the same brand name with serial numbers close together) usually last no more than 15,000, although there have been some improvements in original tire quality in the last two years. If the brake pedal has a distinct wobble, figure 40,000 miles. For a pedal that is worn through or recently replaced, count on at least 25,000 miles. Frayed upholstery and floor mats are further indications of age.

Why not ask the person who knows that car best, the former owner? A reliable dealer won’t hesitate to provide his name, address and telephone number. In all fairness, we must mention that the dealer may not know the odometer has been changed. People sometimes reverse the mileage on their trade-in to get a better price.

HAS IT BEEN IN A WRECK? No one wants an automobile that has been damaged in an accident because a mended frame never regains its original strength. To find crash damage, first look for wrinkles in the body by examining it from different angles. Be suspicious of new paint or mismatched decals. Open and close every door. If they bind or stick, there’s a good chance the body’s had a hard bump. Use a flashlight to check the front and back of the radiator for any damage or repair work.

The next two suggestions from a Chicago financial advisor will really make a believer out of your salesman. She carries a tape measure to the auto lot and calculates the distance between the front and back tires on either side. Any difference indicates the frame is bent. Then she has a friend drive the car away from her. If it seems to move crabwise or if the front and rear tires don’t line up, skip it, she advises. It’s been in an accident.

IS IT IN GOOD RUNNING CONDITION? A used car buyer’s best friend is a mechanic she can trust. If you don’t know one who will go over the vehicle you are seriously considering, invest $10 to $20 and run it through a good diagnostic center. This electronic examination should include inspection of the engine for cylinder compression, a look at the brake linings, frame, cooling system, exhaust system, front end and a driving test to rate the transmission and drive shaft.

If you haven’t a friendly mechanic at hand and a diagnostic center isn’t convenient, don’t lose heart. Even the most fragile girl or absent-minded professor type can still learn a lot on her own.

Hop up and down on the bumper and jump off. If the body sways more than once, it needs new shock absorbers. See if the dealer will replace them or make an allowance on the purchase price. Sit in the car and try all the buttons–windshield wipers and washers, power accessories, radio. Push the brake pedal down hard. If it sinks to the floor slowly instead of stopping, brake work is in the offing.

Stick your head under the hood and examine the radiator and hoses for leaks. Pull out the dip stick and see if there is oil in the crankcase. Shady dealers have been known to drain the oil on oilburners. Start the engine when cold and accelerate while a friend watches for the blue smoke that identifies heavy oil use.

While the motor is running, get back under the hood and listen for any unusual hissing, squealing, grinding or grating noises. That motor should purr along smoothly without laboring. A sparkling clean engine should neither amaze nor influence you. Most dealers at least steam clean the engine and many repaint it.

If you can get someone to put the car up on a rack, grab the wheels and shake. If they are loose or noisy, you may have the same front end problems our “We Undersell Them All” ad victim, Connie Shoen found. Insist that the faults be corrected before you buy.

Now you’re ready for a test drive. If the dealer objects or wants a down payment first, go elsewhere. He’s hiding something. The jalopy probably won’t make it around the block.

This is where your homework pays off. Remember how that well-tuned automobile sounded and felt–no whistles, clicking or other odd noises, nothing but smooth power under hand and foot? Shift several times to check the transmission. It should respond swiftly and smoothly with no delayed thumps from the rear. Get onto an open road and accelerate rapidly. The car should gain speed without sputtering and shaking. Brake at 50 miles per hour. You should stop quickly without the brakes grabbing on one side or the other. Now find a rough road to travel and check for loose steering. The wheel should not jump around in your hands. Park on a hill and set the emergency brake. Does it work?

If you have doubts on any of these points after your test drive, get someone with more knowledge to investigate or forget about this car, even if the color matches your eyes. Your dream boat will become a nightmare if it’s in constant need of repair.

There are a few other points that the experts consider to be the difference between getting an automobile that is adequate and getting an outstanding buy. Few of the extras cost more so it pays to look for a well equipped machine. You can save by taking an unpopular color and sedan styling. If you buy a make that avoids radical style changes, you’ll find yourself satisfied with it for a longer time. Get as many repairs as possible done before you buy, or get the purchase price reduced sufficiently. The warranty on a used car is usually for only thirty days with the cost of repairs split 50-50 with the buyer. Occasionally a dealer will offer a better warranty with a newer machine.

And now to money. Two areas that many buyers fail to consider beforehand are insurance and financing, yet both should be investigated before making any purchase offer.

A young bachelor in Gary, Indiana, became enamored of a red sports car that had more sex appeal than many of his girlfriends. In a rush of emotion he bought it and drove it home, stretching his budget near the breaking point in the process. When he called to change his insurance coverage he was shocked to find that the high performance engine raised his premium 30% over the cost of coverage for a standard engine. Since being male and under 25 already put him in an exorbitant premium class, he ended by selling his dream machine–at a loss.

There are other ways to save money on car insurance and the time to find them is before you make your selection. Generally, the smaller the car and engine, the lower the premium will be. Shop around for coverage, since costs vary widely.

Choose financing as carefully as you chose the car. The least expensive financing method is cash. If you haven’t quite enough, pay as much down as possible and finance over a short period of time. Sources of money vary in interest charged, with dealer finance companies being the most expensive, followed by commercial bank loans and credit unions. Steer away from those “no down payment” ads. They usually involve two loans–a small one from a loan company for the down payment and a larger one from the bank, both at high rates of interest.

If all this sounds like a lot of work, remember, transportation is a major item in your budget, probably second only to shelter. A little time and effort will see you drive away in an automobile that suits you like a custom made coat with some left-over cash jingling in your purse. Whether you are a girl buying her first car or a businesswoman looking for prestige at standard prices, the look of respect on that salesman’s face alone will make it worth the bother.

---

USED CAR CHECKLIST

(Clip and save to take along next time you’re shopping for a used car.)

ACTUAL MILEAGE?

1. odometer ___________
2. service stickers ___________
3. battery (20,000 original) ___________
4. tires (15,000 original) ___________
5. brake pedal, worn or replaced (25,000) ___________
6. brake pedal wobbles (40,000) ___________
7. former owner comments ___________

ACCIDENTS?

1. body wrinkles ___________
2. new paint or decals ___________
3. doors that bind ___________
4. radiator damage or repair ___________
5. distance between front and back tires: left ______ right ______
6. crabwise movement ___________
7. line up of front and rear tires ___________

RUNNING CONDITION?

1. shock absorbers ___________
2. brakes (regular) ________ (emergency) ___________
3. loose or noisy wheels ___________
4. under hood: leaks ______ noises ________ oil in crankcase ______ burning oil ________
5. test drive: noises ____ acceleration _______ transmission _______ steering _______ brakes _________