Car Buying Mistakes

SHOPSMART AUTOS – CUSTOMER INFORMATION – JULY 10, 2021 (PT.2)


Certified Pre-Owned Cars vs. Non-Certified Used Cars

Warranty Coverage
The biggest perk you’ll get when you buy a CPO model over a non-certified vehicle is a manufacturer-backed warranty baked into the price. While different CPO programs offer varying coverage levels, all of them provide at least some coverage buyers would not typically receive with non-CPO used cars. You can opt to buy extended warranty coverage for a non-CPO model, but it will likely add thousands of dollars to the transaction price. Unlike the bumper-to-bumper new car warranty buyers receive, CPO warranties tend to be more limited in the components they cover. Some require payment of a deductible, while others don’t. The number of miles or months covered also differs by automakers. Some are based on the car’s original in-service date, while others are attached to the date you purchased the CPO car or its odometer reading at that time. Buyers should look closely at the length of the warranty they will receive and what the warranty covers before they commit to a purchase. If you want to learn more about the best CPO programs and which ones offer the most comprehensive coverage, come see who won our Best CPO Programs award.
Who Backs CPO Warranties?
Genuine factory-certified used cars are backed by their original manufacturers. Vehicles purchased through a factory program can receive warranty service at any of the brand’s franchised new car dealerships. That’s a great benefit if you move to another city or want to change dealerships after you make your purchase.
Non-CPO Used Car Warranties
When you buy a used car that is not certified, any problems you encounter after you leave the dealership are your problem. That is, unless there is bumper-to-bumper or powertrain limited warranty coverage left in the vehicle’s original limited warranty or you purchase an extended warranty. In a few cases, a dealer will provide an extended warranty on a non-CPO vehicle as an incentive to sell the car, but it’s not common. Some car dealers offer certified used cars that are not backed by automakers. They can be backed by the individual dealer or simply sold with an extended warranty from a third party and advertised as “certified.” Whichever the case, a non-factory-certified used car does not typically offer the same benefits as a factory-backed program, such as warranty coverage from the brand’s dealerships. A tip-off that a certified used car is not backed by the automaker is if it is a different brand from the selling dealer. True CPO cars are only available from franchised dealers of the vehicle’s brand.

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