If you're in the market for a used car, you've probably come across the term "certified pre-owned." But what does that actually mean?
A certified pre-owned (CPO) vehicle is a used car traded into a dealership through a rigorous inspection process. If it meets the criteria, it is backed by an extended warranty from the manufacturer.
What to Know About Certified Pre-Owned Cars
CPO vehicles are typically late-model cars still under the original factory warranty. They must also have a clean title and a history of regular maintenance. To be certified, each vehicle must pass a detailed inspection checklist that covers more than 100 points, inside and out.
The inspection process is different for each manufacturer, but it generally includes thoroughly examining the engine, transmission, brakes, suspension, electrical system, and more. Once it passes the inspection, the car is reconditioned to meet the manufacturers' standards. This can include replacing worn tires to fixing minor scratches and dents.
The biggest benefit of buying a certified pre-owned car is that you know it has been thoroughly inspected and is backed by an extended warranty. Knowing that you're not inheriting someone else's problems can give you peace of mind when purchasing a used car.
CPO vs. a New Car
There are some things to remember when considering a certified pre-owned car. First, they can be more expensive than a non-certified used car. Second, the extended warranty may not cover everything and could come with a deductible. Be sure to read the fine print before making your purchase.
If you're looking for a quality used car and want peace of mind with an extended warranty, then a certified pre-owned vehicle may be the right choice.
If you decide on a brand-new car rather than a certified pre-owned one, it's important to consider the pros and cons. Buying new means you'll pay more for the vehicle, but it will likely have a more extended warranty and no previous owners. You also don't have to worry about the shape of the car since it's brand new.
On the other hand, certified pre-owned cars offer many of the same benefits as a new car but at a lower price. You'll also have the peace of mind knowing that it has been through a rigorous inspection process and comes with an extended warranty.
The Bottom Line
It's important to do your research before making a decision. Consider your budget, needs, and preferences before choosing between a certified pre-owned car and a new car. Whichever you decide, be sure to read the fine print and ask any questions you may have before making your purchase.