In the first place it is important that you get the Car-Pass in the hands of the second-hand car that you want to buy. This pass can tell you a lot about the mileage history of the car. The data on the pass can therefore both support and knock down the sales story. This also applies to a number of other points that certainly require your attention if you want to buy a second-hand car
1. What should you look for when buying a second-hand car?
- bring a car expert yourself to assess the condition of a used car,
- check for signs of damage, an accident or hidden defects, for example spots with rust, a difference in the width of the seams and different paint colors. You also need to pay attention to the correct closing of the doors and windows and the wear on the top layer of the pedals,
- Always start the car once with a cold engine. This way, defects in the engine block or the battery come to light faster.
A test drive with the second-hand car will also provide you with a lot of information about the condition of the car. Along the way you should certainly pay attention to abnormal noises, a regular engine noise and the method of shifting to all gears. Checking the road holding is no superfluous luxury, just like checking the operation of the brakes, the lights, the direction indicators and the windscreen wipers.
A check of the car documents of the second-hand car is also necessary. But the maintenance book is also necessary to find out whether all planned maintenance has been carried out properly.
When checking car documents you view:
- the certificate with the test results,
- the Car-Pass with the mileage history,
- the new registration certificate to bring the car back into circulation.
The documents may not be older than two months.
2. Do you have to borrow money for a second-hand car?
Sometimes you really need a different car, but you lack sufficient resources to purchase it. Even if you are planning to buy a second-hand car, your finances may not be favorable (temporarily), so you will have to borrow money for this. In certain cases you just need a car, for example because you have to go to work or education at times when you cannot use public transport.
In other cases it is best to postpone the purchase of a second-hand car, for example if it is a second car, or because you have been bored with your current car. You could then pay more attention to your expenses and thus create additional financial leeway. By saving this money you will also receive a (albeit small) financial compensation which is of course at odds with the costs you have to make if you are going to borrow money for the purchase of a second-hand car.
3. How much money can you borrow?
Before you take out a loan, for the purchase of a second-hand car, it is good to know exactly how much money you can borrow. For example, if you already have one or more debts, a new loan can mean a considerable extra burden on your finances. After all, you can only spend the money that comes in every month once and you will also have to take into account the fixed costs that you incur again and again.
It can therefore vary from case to case how much money you can borrow to finance a second-hand car. Someone who has a good income and has no further outstanding debts will be able to take out a larger loan than a person whose finances look a bit less rosy and who also have one or more substantial loans. So you don’t have to get the loan that the same lender has also provided to your neighbor. After all, the personal and financial situation of your neighbors can be completely different from yours.
4. Assessment at the CKP
All loans and credits taken out in our country of at least a thousand euros and / or a term of three months or more are kept in a CKP database. The CKP also has a database of borrowers with an accrued payment arrears, or who have even entered the books as defaulters. By the way, these databases are not easily accessible to everyone and only certain governmental and financial institutions (with legal authority have access.) However, a check at the CKP can in all cases be considered time-consuming and usually takes several weeks.
Every loan and loan provider, including the loan provider for your second-hand car, is required by law to check with the CKP before any loan can be provided. Such a check is not only a protection for the lender, but also for all borrowers. After all, if you have built up too many debts, the chance of financial problems and non-payment increases. After a check at the CKP, a lender can therefore also refuse you a loan for the purchase of a second-hand car. In certain cases you will be offered a smaller loan, but often you can only borrow money again if your outstanding debts have been (partially) paid off again.
5. No more borrowing that is really necessary
The moment you decide to take out a loan to finance a second-hand car, you can easily be tempted to borrow more than is strictly necessary. For example, you could spend the extra money borrowed during a day of carefree shopping or on that hip phone that you would otherwise have to save for months for.
Borrowing more money than you need, you do indeed give more room for maneuver, but you will also incur additional borrowing costs. Furthermore, the periodic repayment terms are likely to be higher and / or the term of the loan will become longer. After all, you have committed to a larger loan and will therefore have to pay more interest. It may even be that if you borrow more than you need, to buy a second-hand car, you will end up tighter for a certain amount of time, you have to start living very economically or even deny yourself a number of things, like a night out.