Where to buy a new car – Money Advice Service, buying a new car.#Buying #a #new #car


Where to buy a new car

When buying a new car, you can choose between using a car dealership or a car broker. Both have different advantages and drawbacks, so here are the facts you need to know before deciding.

Buying a new car from a dealer

Dealers are many people’s first choice when buying a new car, even though they don’t normally offer the kind of bargains possible through a car broker.

Here are the reasons for their popularity, along with a few drawbacks you need to consider.

Pros of buying from a dealer

Did you know?

A pre-registered or ‘nearly new’ car is a brand new car is heavily discounted because it has already had one owner – the dealer.

Dealers register new cars to themselves to get bonuses from manufacturers for hitting monthly sales targets, then sell the cars at reduced prices to shift stock.

  • Your consumer rights are stronger when you buy from a dealer.
  • Face-to-face customer service.
  • You can part-exchange your current car.
  • You can test drive and check the car.
  • Dealers can offer the widest choice of cars, and your exact specification.
  • If you have any problems with your new car, your dealer is likely to be local and so available to talk to in person.

Cons of buying from a dealer

  • You’ll have to negotiate to get the best deal.
  • You might not get the best part-exchange deal – you’ll get more selling your car privately.
  • If you buy a pre-registered car, you are unlikely to get “new car replacement” cover from your car insurer in case your car is written off in the first year you own it.

Buying a new car from a broker

Top tip

If you buy a pre-registered car, make sure this hasn’t affected the manufacturer’s warranty in any way.

Car brokers claim they can offer savings of up to £5,000 off a car’s list price.

This is because of the discounts manufacturers give them for selling a target volume of cars and because there’s no salesman’s commission involved.

Most are online, though some have premises as well. Brokers tend to offer cars they’ve pre-registered after delivery by the manufacturer, or to source new cars from dealers.

Pros of buying from a broker

  • Savings of thousands of pounds are available.
  • Most will have the model and options you require.
  • Your new car will be delivered to your door.
  • No haggling because you’re unlikely to be able to negotiate and will usually have to pay the advertised price.

Cons of buying from a broker

  • Most brokers operate online, so you can’t just pop round to talk to them if you have problems with your new car.
  • You probably won’t be able to part-exchange when selling your old car opens in new window .
  • Some brokers might not be able to offer as wide a choice of cars as a dealership, or the full list of optional extras.
  • If you buy a pre-registered car you’re in effect its second owner, which can affect the car’s value when you come to sell it.
  • Brokers can’t offer the face-to-face service a dealer provides.
  • You can’t test drive the car, so would need to go to a main dealer to do this.

Your next step

Did you find this guide helpful?

Care to share?

  • Share this article on Facebook

Share this article on Facebook

  • Share this article on Twitter

    Share this article on Twitter

  • Share this article by Email

    Share this article by Email

  • Thank you for your feedback

    Share this article

    • Share this article on Facebook

    Share this article on Facebook

  • Share this article on Twitter

    Share this article on Twitter

  • Share this article by Email

    Share this article by Email


  • Leave a Reply

    Your email address will not be published. Required fields are marked *

    *
    *