Likes Likes:  0
Results 1 to 10 of 10

Thread: Purchasing used vehicles versus brand new

  1. #1
    Diamond Member Corzhens's Avatar
    Join Date
    May 2015
    Location
    Philippines
    Posts
    1,618

    Default Purchasing used vehicles versus brand new

    A used delivery truck is for sale with a referral to a driver. That means that the truck is already operational if you buy it and hire its driver. The truck is 5 years old and the selling price is 20% of the original cost. There were actually several trucks for sale because the warehouse is closing down and moving to another location. My friend is thinking of buying one of the trucks to be used for the dressed chicken business that he distributes from the farm to the market vendors.

    The question is this - is it practical to buy that truck which can be used in the operation tomorrow but there is no warranty of any kind for a breakdown? Or is it better to buy a new truck and hire that old driver?

  2. #2
    Silver Member
    Join Date
    Jan 2016
    Location
    Cali Baby
    Posts
    195

    Default Re: Purchasing used vehicles versus brand new

    Used cars without warranties that are going to be used for work are a death sentence. Never, ever ever. It's like buying lotto tickets with a way worse payout when there's a guaranteed way to make money that's just a touch more expensive. Warranty is there for a reason, if there is no warranty or xferable warranty, the thing will pay itself off after the first repair, so just getting a 5 yr warranty is always going to be better, SOMETHING will need to be fixed

  3. #3
    Diamond Member Corzhens's Avatar
    Join Date
    May 2015
    Location
    Philippines
    Posts
    1,618

    Default Re: Purchasing used vehicles versus brand new

    Quote Originally Posted by TheFunneler View Post
    Used cars without warranties that are going to be used for work are a death sentence. Never, ever ever. It's like buying lotto tickets with a way worse payout when there's a guaranteed way to make money that's just a touch more expensive. Warranty is there for a reason, if there is no warranty or xferable warranty, the thing will pay itself off after the first repair, so just getting a 5 yr warranty is always going to be better, SOMETHING will need to be fixed
    You gave me a laugh with that death sentence for used cars without warranty. As one used car salesman would say, you can trust their shop because they give a warranty of at least 6 months. And without warranty it is a big gamble on your part. But sometimes some businesses on the edge would bite the bullet, so to speak, and they are willing to have a delivery vehicle of their own despite the risks involved. Maybe the dealers should be lenient with the downpayment so more businesses could afford to buy new vehicles in installment basis.

  4. #4
    Diamond Member
    Join Date
    Aug 2015
    Location
    Manila
    Posts
    1,349

    Default Re: Purchasing used vehicles versus brand new

    I don't think it's worth the risk unless your friend knows a good car shop where he can run to and get cheap service every time the car or truck starts having problems. In this case I think it would be much better to just buy a brand new vehicle and just go for the cheapest brand maybe because at least then you could have a bit more peace of mind than gambling with a used car with no warranties.

  5. #5
    Diamond Member Corzhens's Avatar
    Join Date
    May 2015
    Location
    Philippines
    Posts
    1,618

    Default Re: Purchasing used vehicles versus brand new

    Some years ago, our 15-year old Honda was always breaking down. But thanks to our neighbor who is a good mechanic. He would do the regular maintenance checkup so we wouldn't experience a breakdown. But doing a computation, it is just like bringing the car to the maintenance of the dealer for the expenses are almost the same. We had sold that car and bought a new one (now 3 years old) and hopefully we can sell it and buy another one before it turns 5 years old. Truly old cars would be giving you a problem.

  6. #6
    Forum Manager Starbucks Junkie's Avatar
    Join Date
    Nov 2006
    Location
    West Midlands, (Formally an Essex Barrow Boy)
    Posts
    1,144

    Default Re: Purchasing used vehicles versus brand new

    As long as the vehicle has been well maintained, and the Mileage is not too high for it's age, then it should be ok to purchase. Check for a full service History at a Brand Dealership.

    Starbucks Junkie
    Happy Coffee and Panini day.
    Roll on Christmas..mmmm.. Gingerbread Latte



    I am proud to work for Europe's leading Single Price Retailer

    Poundland Retail
    Dealz (Part of the Poundland Family)

    I am pleased to be associated with Himsworth Consultancy - The Supply Chain Performance Improvement Specialists
    Himsworth Consultancy

  7. #7
    Gold Member nytegeek's Avatar
    Join Date
    Sep 2015
    Location
    USA
    Posts
    246

    Default Re: Purchasing used vehicles versus brand new

    It's buyer beware in many cases with used vehicles. Just make sure to get something well maintained with the records to prove it and have it examined for safety at the very least. A warranty is a must, but look at the cost and the terms carefully. Not all warranties are worth the cost and some are just designed to cover specific things that may not be what you need coverage for to begin with. Some free or complimentary warranties are useless unless you pay for extra coverage. There is nothing honest about buying cars from a dealer new or used. It is a very shady industry. Their goal is to get as much money out of you as possible and they often do it by cutting corners and hiding the truth. They don't want to deal with you after the sale unless it brings them more money.

  8. #8
    Diamond Member Corzhens's Avatar
    Join Date
    May 2015
    Location
    Philippines
    Posts
    1,618

    Default Re: Purchasing used vehicles versus brand new

    Quote Originally Posted by nytegeek View Post
    It's buyer beware in many cases with used vehicles. Just make sure to get something well maintained with the records to prove it and have it examined for safety at the very least. A warranty is a must, but look at the cost and the terms carefully. Not all warranties are worth the cost and some are just designed to cover specific things that may not be what you need coverage for to begin with. Some free or complimentary warranties are useless unless you pay for extra coverage. There is nothing honest about buying cars from a dealer new or used. It is a very shady industry. Their goal is to get as much money out of you as possible and they often do it by cutting corners and hiding the truth. They don't want to deal with you after the sale unless it brings them more money.
    I was chatting with a warehouse manager last week. In terms of pesos, a brand new delivery truck costs 2 million and a used truck of the same size and model costs 500k, practically 1/4 of the cost of a new one. And the deal is the used truck is in good running condition and with a warranty of 6 months. However, the payment is cash compared to the installment basis of a new truck. But still, given those figures, the manager would still take the used truck because that would save the company from taking out a bank loan for the new truck.

  9. #9
    Gold Member nytegeek's Avatar
    Join Date
    Sep 2015
    Location
    USA
    Posts
    246

    Default Re: Purchasing used vehicles versus brand new

    Quote Originally Posted by Corzhens View Post
    I was chatting with a warehouse manager last week. In terms of pesos, a brand new delivery truck costs 2 million and a used truck of the same size and model costs 500k, practically 1/4 of the cost of a new one. And the deal is the used truck is in good running condition and with a warranty of 6 months. However, the payment is cash compared to the installment basis of a new truck. But still, given those figures, the manager would still take the used truck because that would save the company from taking out a bank loan for the new truck.

    Sounds fairly decent and cash payment up front for a used vehicle isn't all that uncommon, so that alone doesn't raise any red flags. At least not for me. I completely support buying used equipment of all types, not just vehicles. I just advocate being sensible and using caution when doing so.

  10. #10
    Regular Member
    Join Date
    Oct 2017
    Location
    Manila
    Posts
    11

    Default Re: Purchasing used vehicles versus brand new

    As long as the truck still in very good condition, then you can have it. But if you want to drive more comfortable, then you are going to have to go truck payment at some point. A lot of people don't really know what they're getting themselves into when going to a new truck shopping. Take the mystery out of looking for a new or used car or even truck over the reliable source.

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •