Funding Your Future: Pro’s and con’s of buying a new or used car

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Apart from your home, buying a car is one of the biggest investments you will make in your life. One of the first decisions you will need to make is whether to buy a new or used vehicle. Check out some of the pros to both sides of the debate.

NEW
SPEND LESS ON MAINTENANCE
Newer vehicles are less likely to break down on you. Some new cars also include the option of free maintenance through the initial years of your ownership. With a new vehicle, there`s no wear and tear and it has a clean title. Newer vehicles can go about 10,000 miles in between oil changes, saving you cash and trips to the mechanic.

WARRANTY COVERAGE
The best warranty out there comes along with a new vehicle. Most vehicles offer, on average, three years or 60,000 miles warranties. It`s also common practice for new vehicles to have powertrain warranties that can last up to ten years or 100,000 miles.

NEWER TECHNOLOGY
If you`re one of the people who want the latest and greatest in technology, buying new may be the best route for you. Vehicle technology is constantly changing with multimedia and navigation being added seemingly every month. If you don`t want to take the time or money to add these in later, buy new.

MORE FINANCING OPTIONS
Loans for new vehicles usually feature a lower interest rate, potentially saving hundreds over the term of the vehicle. Combine this with the incentives automakers usually offer on new vehicles and you could save thousands.

USED
BIGGER SAVINGS
On average, car payments for a new vehicle are about $400 a month while used vehicles come in at about $300. Buying used could allow you to buy a nicer used model as opposed to a brand new one.

IMPROVED RELIABILITY
Cars are becoming more and more reliable making a used vehicle a safer investment. Due to the amount of competition in the car market, automakers have improved the quality & reliability of their products.

LOWER INSURANCE RATES
Insurance premiums are based on several factors, one of which is the age of the vehicle. Whether you choose full coverage or liability, the newer a vehicle is, the higher the premium will be.

LESS DEPRECIATION
Every month and mile you drive, your vehicle loses its value. However, the most depreciation takes place within the first year of ownership.

No matter what choice you make, be sure to shop around and find the option that works best for you. Remember to ask for Cyprus financing at the dealership. We have partnered with hundreds of dealerships across the state of Utah to make sure you are getting a great deal. Find out more about our auto loans at our website.