Call for "why you should buy a used car" links

Posted at 11:22 on Tuesday March 28, 2006 | Filed Under Miscellaneous

Coming up tomorrow, I'm going to write about why I completely disagree when personal-finance pundits say "Buying a used car is the smartest thing you can do!" In fact, I'll tell you exactly why I bought a new car.

But first, I want to collect a list of links where people say buying a used car is the best/only option. Add your comments and let's get a good list going.

I'll start. From "10 things you shouldn't buy new" (http://moneycentral.msn.com/content/savinganddebt/finddealsonline/p92985.asp):

Why not let someone else take that hit? Not only will you be able to save money (or buy more car), but you’ll pay less for insurance. Cars are better-built and last longer than ever before, which means you’re less likely to get a lemon.

Add your links here.

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Comments (19)

1.: http://www.edmunds.com/advice/buying/articles/47079/article.html

http://www.roadandtravel.com/buyingausedcar/newvsused.htm

http://cars.about.com/od/helpforcarbuyers/a/buyingused.htm

http://www.womentodaymagazine.com/money/newused.html

And more neutrally:
http://www.cars.com/go/advice/Story.jsp?section=buy&subject=new_used&story=nuIntro&referer=advice&aff=national

Posted by Rob Donoghue at March 28, 2006 11:47 AM

2.: http://www.msmoney.com/mm/life_purchases/auto/newvsusedfl.htm

Posted by Audrey at March 28, 2006 12:00 PM

3.: I am a major advocate of buying used and have written about this many times on my site. In fact, I just wrote about this topic today. I would love to hear your reasoning for why a new car is a smarter choice.

Posted by TADollar at March 28, 2006 12:29 PM

4.: Hey Ramit,

I just started reading your blog a few weeks ago. Coincidentally, my car needs some hefty (for my budget) work. My aunt wants me to get a "newer" car, while one of my friends gave me a point-by-point explaination on why I should repair instead of replace.

Anyway, this isn't a pro-Used Car site, but it is interesting: http://www.carbuyingtips.com/

Thanks!

Posted by jokermage at March 28, 2006 12:43 PM

5.: Here's something more in-depth, and both-sided:

http://www.cars.com/go/advice/Story.jsp?section=buy&subject=new_used&story=nuIntro&referer=advice

Posted by Leon at March 28, 2006 12:59 PM

6.: That's not what Suze says...
Link here
She advocates Certified Pre-Owned because they: are cheaper, have low mileage and they have factory warranties.

Posted by Matthew Vieke at March 28, 2006 01:29 PM

7.: Dangit.

I went searching for articles to support buying used cars because this is something that I have considered smart for a long while.

I ended up finding an article that actually supports NOT buying a new car: http://www.wired.com/news/business/0,1367,60703,00.html

It's about a guy who sells used cars, and then steals them back -- just so he can sell them again.

Posted by Dan Esparza at March 28, 2006 03:12 PM

8.: http://www.consumerreports.org/cro/cars/buyingleasing/pros-and-cons-of-buying-a-used-car-206.htm

http://auto.consumerguide.com/CPO/index.cfm/act/CPOprosandcons/

Be interesting to hear your thoughts on this.

Posted by kellie at March 28, 2006 03:16 PM

9.: My advice is at:
save money on used cars

I look forward to seeing what you say!

Posted by Nathan Whitehead at March 28, 2006 03:24 PM

10.: An unrelated question -- do you know of any resources for comparing Roth IRA funds? I'm looking to invest in one, but am sure there are some resources I'm missing.

Posted by J K at March 28, 2006 05:05 PM

11.: Ask Bankrate!

http://www.bankrate.com/brm/auto-advisers/br_newvused.asp

Posted by Carlin at March 28, 2006 05:31 PM

12.: Not everyone views a car as a tool to get from A to B. I realize cars are not smart places to put money, but for me, it's a passion and hobby, and I proudly admit it. I got my BMW new and have put thousands into it ... and it brings joy to every day of my life. My point? Respect that not everyone views a car the same way. Sure, I could have a decade-old Honda, but I'd be miserable. As enthusiasts say, it's not the destination we love, it's the journey. Take the long way home!

Posted by Marc at March 28, 2006 06:43 PM

13.: This isn't a link, but here are my reasons:

1) Can pay cash.
2) Cheap insurance.
3) Don't have to worry about dings and scratches so much.

Posted by Matt at March 28, 2006 09:02 PM

14.: Not exactly what you asked for, but this article describes the tradeoffs between new and used.

http://www.fool.com/car/car04.htm?source=PFinAg

I'm a Pundit (literally), so I'll be curious to hear what you have to say tomorrow. I had a good experience (in terms of personal finances and satisfaction) recently buying a slightly used car and planned to try repeating it in the next couple of years.

Posted by Milind at March 29, 2006 06:12 AM

15.: Used cars are great, but for the same money you can buy a really nice bike.

I went carless almost two years ago and have benefitted in ways I never imagined.

No car insurance, payment, gas, etc. I've lost lots of weight, my coffee habit is reduced since I get woken up by a ride.

Additionally my company pays less on my insurance, I don't spend time dealing with car repairs and maintenance, my grocery bill is reduced because I have to shop more often and can't load up the cart with tons of unnecessary items.

There countless other little things that made it a great move for me, and I think it is something that more people should consider, it really isn't that hard to pull off.

I live in the midwest in a small city that is by no means geared towards bikes. My daily roundtrip commute is eight miles and takes about the same amount of time as in a car.

Yeah, it takes more work and if I need to buy drywall I have to borrow a truck, but that is a small concession.

I am an IT Manager/programmer, I wear a tie at work, and ride there everyday on a track bike.

Posted by thom at March 29, 2006 08:42 AM

16.: Interesting topic. I probably also would buy new, mostly because I'm looking for fuel-efficiency and safety first, but I'm curious to hear Ramit's reasoning on this topic.

Posted by Michael G. Richard at March 29, 2006 09:30 AM

17.: http://www.daveramsey.com - Dave Ramsey says don't buy a new car unless you are filthy rich because they are too expensive.

Posted by Jeremy Bettis at March 29, 2006 01:09 PM

18.: I have purchased both used and new cars over the years, but I recently just purchased new. My point of view is if I can own the car for 10 years and average the depreciation over those 10 years, the difference between new and used isn't terribly high. I also like getting the first 5 years of ownership covered under a warranty so my risk for out of pocket expenses isn't too high.
I posted about my latest purchase at: EverybodyLovesYourMoney

Posted by Hazzard at March 30, 2006 01:55 PM

19.: I was about to write on this same topic on my Blog. What I can't imagine is how buying new can ever approach the cost of used. I target between $50 and $75/month in pure car costs (purchase price-residual value/months). I own two cars and both are withinn that range. Point me to a new car that is that cheap and I'll buy one.

Posted by Dave Adams at September 14, 2006 08:12 AM

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