Anonymous
Anonymous asked in Cars & TransportationBuying & Selling · 10 months ago

I really need some advice about the used car I just bought?

So I just bought my first car today. A 2018 used basic model Toyota Corolla certified car. My credit score is in the high 600. I really felt like I was getting a good deal on this car since it’s certified and has low mileage but my dad made me feel like an idiot. I was so happy and excited and I’m now feeling horrible. I like my car a lot but the total came out to almost $21,000. It came with a 100,000 mile 7 year warranty. But that warranty didn’t cover electronic issues like the Bluetooth so I added that warranty. And I got gap insurance. I’m on a 72 month lease but I want to try to pay it off sooner cause if I take the full 72 months it will come out to almost $26,000. So my dad said I should’ve got a brand new car never buy used cars from a dealership. But I didn’t want a new car cause I felt I’d be paying way more. I just wanted to take the step of really being independent and getting a good reliable car. But he’s making me feel I made the worst decision of my life and I’d like to hear what other people think.

Attachment image

14 Answers

Relevance
  • 10 months ago

    You got screwed big time on this purchase. The dealer had you for breakfast. However, to your credit, you did buy one of the most reliable cars on the road today and the resale value is really good on them. As long as you can make the payments (I highly recommend paying it off as quickly as possible), try enjoying the car. They are built to last a very long time without any issues.

    • Commenter avatarLogin to reply the answers
  • 10 months ago

    With proper maintenance and sensible driving it will last 200k miles.

    • Commenter avatarLogin to reply the answers
  • Anonymous
    10 months ago

    Advice you get BEFORE YOU DO THE DIRTY. Now it is critical analysis.

    (that is why it is Anal)

    Firstly, you bought it & you are happy with your purchase so nobody can change that FACT. It is your responsibility now, not mine. Hope you have a job for 6 years. You got what you got & at the moment you feel it is OK.

    *Also note: a Lease is a Rental agreement allowing you to make the full payment over an extended period of time...the car is not bought until the Lease is PAID IN FULL. meaning if you are even a dollar short, you did not "BUY" the car YET. They can take the car and say "you did not fullfil your end of the lease agreement"...if you are late with a payment they can take the car. Then all the money you put towards the purchase of the car is GONE. They start you at 0 paid and you owe the full amount. That is "why" you never miss(or are late) on a payment. They have your nuts in a vise.

    * Almost all cars have the 7 year power train warranty.(transmission and drive axles), so you got nothing out of the ordinary there. It is basically expected.

    * GAP insurance. You got the wrong impression what insurance does. Ask them. It has nothing to do with the damage to YOUR car. It covers the other people you hit. They have insurance in case they hit you...and they are found to be at fault. Ask the insurance company or read the back of the insurance papers and understand what it says.

    * At least you understand what compound interest means, so paying it off sooner saves YOU money you do not have to pay in interest.

    * I would not have worried about the electronics warranty. If it breaks, fix it. Or put in an 8 track tape player. It is just "BLING"

    This is not really a question, is it? I don't know you or your dad. This is just observations and an opinion.

    I will jump around because that is the way I think.

    *Certified pre owned car. Just analyze the wording. You can see where they are fooling you with words. There was a time when it said "Certified Demo"which means no one owns it and it was test driven.

    Example: You know what a "Certified check is" It is a check that is good for the amount written on it. That is certified to be good as money.

    *So, by the same example your purchase is a certified "car", it is also certified as a "used" car because there is proof someone else drove it(or used it). That was nothing to BRAG about before as many used car lots have cars driven by little old ladies who did not drive it far or hard.(that is what they all say about every car)...little use, little abuse. They cannot claim every car was driven by an old lady. Just not true.

    * But to say the car is certified as a car....true

    *To say it is certified as being used.....also true.

    The car dealer did not misrepresent his product with a Lie.You bought it as is. It does not matter he confused you with the description. You had a chance to check up the meaning of the words BEFORE YOU BOUGHT THE CAR. You did not do that. That is your problem because the car lot salesman is not an English teacher.

    A certified "never" sold car or certified "Demo" would still mean it is new, as it has not been used by anyone else(so no worn parts). New means new just a year old...by the date stamp. It would be worth more than a certified used car.Used is used.

    *Did you compare the odometer clock with other 2018 CARS(any make) and see what their clocks read. If the mileage is the same or lower than the other 2018 cars, then you got one with low mileage. If the clock reads higher (such as in the photograph from Valley Hi) then that mileage is high IMO. Me, I work every day except weekends. My job is about 20 miles away so I would put on 40 miles /day going to work and back. or 9600 miles per year(not including driving around on weekends)just to work.

    So that is the Low average use is 10,000miles per year. We have let's say 1 1/2 years on this car as it is still 2019. 10,000x1.5= 15,000miles at the low end. If your car is the one in the picture then it has 4 years worth of driving on it in 1 year....or 72 miles per day every day.

    * Some of my jobs were only 3 miles away(construction is everywhere).so 6 instead of 40. Factory work on average was 5 miles away...or 10 instead of 40/day. You would have seen that had you checked out the average of other cars that were 2018 models.

    * $21,000 seems like a lot of money for a 2018 Toy. Did you at least price compare with private car sales in your local newspaper under classifieds to see what private owners were asking for their car. They are going to ask close to Car Lot prices but they don't finance so they generally ask less.

    "But he’s making me feel I made the worst decision of my life"

    Nah, not yet.

    *Wait until you buy a house in Tornado Alley then you find out you did a whole lot worse.

    *Or invest in some stocks and the gold mine proves to be a lie.So the stocks you bought are worthless(a bad decision)

    *I am not even talking about the girls you go out with. You are going to find some real winners there...that know how to rob you blind and give you the "gift" you never needed. (another bad decision)

    * Don't forget about prison.(another bad decision)

    You ain't seen nothing yet. Being informed shouldn't make you feel worse. You are just more informed now. That is all. Age gives you experience. Dad has been there and done them foolish things too.

    *You took the gamble, you live with the results. There was a better way. Now you know.

    It is a learning process.

    *There is no use comparing NOW. YOU DID THE DIRTY. It is yours. Live with it. Just remember for you will buy another car again...someday.

    Next week..."how to make "FIRE"

    You can experiment or ask the old guys how they did it...to prevent getting your nuts frosted. (so learn the hard way or the easy way through others mistakes)

    • Commenter avatarLogin to reply the answers
  • 10 months ago

    You know what's great? To buy this car, you had to be at least 18. That makes you an adult, so daddy's opinion on your purchase is completely and totally irrelevant. You made an adult decision, so be an adult and stand by it. Your extended warranty is worthless, and you definitely paid too much for it. Think about it, when is the last time you ever saw a car with a broken Bluetooth? Because you financed for 6 years (on a purchase, NOT a lease), you'll be upside down for at least 48-54 months, so Gap is good, as long as you didn't overpay.

    This is a good vehicle, which will last a long time as long as you take care of it. Though you overpaid a little, it wasn't a bad deal at all. Congrats...

    In answer to STEPHEN: Toyota Certified vehicles come with a 12 month/12,000 mile comprehensive (bumper to bumper) warranty, a 7 year/100,000 powertrain warranty (from purchase date, so the OP has roughly 5 years/60,000 remaining), as well as 1 year of roadside assistance. If financing through Toyota Financial Services, you also qualify for new vehicle rates (standard rates, not incentive rates.

    Source(s): 20 years retail auto sales experience.
    • Commenter avatarLogin to reply the answers
  • How do you think about the answers? You can sign in to vote the answer.
  • 10 months ago

    I have no idea whether or not the net price was a good deal. Used car prices vary by the region, the mileage, the condition, the trim package and a variety of other factors.

    Numerous studies have been conducted on the total cost of owning and driving a vehicle. In pretty much all cases, the result comes out that the best way to own a car is to purchase one that's a few years old and still in good condition, then do maintenance and repairs as needed for as long as the car is reasonably reliable.

    Buying new cars is fine for people who can afford to pay more to have the latest & greatest features, but its a far more expensive method.

    • Commenter avatarLogin to reply the answers
  • Anonymous
    10 months ago

    I'm not a fan of "certified" because they tend to charge a premium and you already bought a reliable car.

    At this point, its "spilt milk" with no since crying over it.

    I am also not a fan of 7 years at all so I would certainly try to pay extra on that and look to refinance in a few years at a lower rate if your credit improves.

    I am also not a huge fan of gap since they tend to be huge profit centers for the dealer/salesman.

    • opinionated
      Lv 7
      10 months agoReport

      gap insurance is cheap , I know people that have collected from having it. with an extended loan like this, I think he was wise, he will be underwater for a long time

    • Commenter avatarLogin to reply the answers
  • Jay P
    Lv 7
    10 months ago

    I get that taxes are in there as well but with all the fees and extra insurance, you're paying $21K for a $15K vehicle. That is quite steep.

    Extended warranty plans are good for peace-of-mind driving but in reality, they are rarely worth it. Especially on Toyota models that tend to be reliable overall.

    You mentioned both buying and leasing. You also stated it's over 72 months so I'm assuming you meant financing, not leasing. Paying $5,000 in interest on $21K is steep. That's around 7% interest! I suggest you aggressively pay off that loan so the principal amount goes down faster and you pay less in interest.

    I think I know what happened here. You wanted to show that you are independent and you bought your first vehicle on your own. While you were looking at vehicles, your emotions and excitement got in the way of rational thinking and a slick sales person came along and threw a whole bunch of numbers at you ( including focusing on the low monthly payments rather than the total cost ) and made it seem like you were getting a great deal. In reality, this is not the case... In the future, I suggest you bring along someone else, like your dad, or another trusted family member or friend that can keep you grounded and in a better position to negotiate more effectively.

    • ...Show all comments
    • Jay P
      Lv 7
      10 months agoReport

      Read the rest of the story. The $21K price tag becomes $26K if this person takes the full 6 years to pay it off... That's the 5 grand in interest.

    • Commenter avatarLogin to reply the answers
  • 10 months ago

    Gap insurance is a rip off.

    Leasing a vehicle with out having a business write off is foolish. You end up not owning the car after the lease is up. Just enjoy the car now that you've made the deal. If I were in your position I would have bought a $5000 used car and moved out of you parents house before leasing a newer vehicle.

    Source(s): Mitsubishi Master Tech
    • A Hunch
      Lv 7
      10 months agoReport

      The aren't leasing the car; she misspoke. Gap insurance is cheap and well worth the price.

    • Commenter avatarLogin to reply the answers
  • 10 months ago

    Your dad has a point. Buying a brand new cars does mean you will have a better warranty because everything is still new. Best part is you will not have to worry about repairs. Last thing you want to do is have to pay for repairs while paying a monthly bill for the car. So buying brand new does give you ease about having problems with your vehicle.

    Now with all of this being said. I personally feel like buying a car used no more than 2 years, with low Mileage (20k or less) Is probably the smarter choice. Especially considering you’ll save a few thousand. I bought my Honda Accord lx 2017 last year in March. The total price $23,000 but if I had bought a brand new accord at the time the total would have been $28,000 So I felt it was worth it. My car is almost like new only had 7000 miles and 1 owner. So far nothing has given me problems.

    You have a 2018 so yours is more than likely still in great condition. I think you made a good choice. It’s just s car don’t sweat it too much.

    • Jojo10 months agoReport

      Thank you I really appreciate your feedback

    • Commenter avatarLogin to reply the answers
  • Ron
    Lv 7
    10 months ago

    Crappy credit score and you'll only be paying 5k interest? I wouldn't have paid extra for the electronics warranty. That's not really a used car. The factory warranty is in effect for some time.

    • ...Show all comments
    • TheReal
      Lv 6
      10 months agoReport

      A 688 almost good. It's decent, though it won't qualify you for a prime rate with most lenders, and you won't qualify for an incentive rate (0%) with any manufacturer.

    • Commenter avatarLogin to reply the answers
Still have questions? Get your answers by asking now.