Warranties and pre-owned programs

When you choose a used car, you give up some of the benefits of owning a new one — but that doesn’t necessarily mean you won’t or can’t get a warranty on the vehicle.

New cars usually come with manufacturer’s warranties of at least three years and often longer, which means the dealer or manufacturer will pay to repair anything covered by the warranty that goes wrong in that period. On a used car, that original manufacturer’s warranty may still be in effect. If it is, the warranty can usually be transferred to a new owner at no extra expense, and it may be extended to cover more time and mileage.

Used-car warranties

Many used-car dealers sell vehicles with extended warranties, even on cars with more than 60,000 miles on their odometers. But be sure to check, since some don’t. Just like a new-car warranty, a used-car warranty should spell out exactly what is and isn’t covered, including which parts and labor, and the length of coverage in terms of days or mileage that you put on after purchase.

Instead of offering a warranty, a used-car dealer might offer you a service plan, which covers similar problems and repairs but which costs extra and is sold separately from the car itself. To avoid this extra cost, you’re often better off trying to negotiate a warranty.

Certified pre-owned programs

In recent years, more and more car manufacturers have offered certified pre-owned (CPO) programs, which guarantee car quality. CPO programs vary widely from manufacturer to manufacturer, but generally a CPO car attains certification by going through an inspection process examining anywhere from 100 to 500 “points,” or specific components, of the vehicle. In addition, a CPO car is sold with a vehicle history report, and is usually in excellent cosmetic condition. A dealer often bundles extras together such as free roadside assistance and low-cost financing. Typically, only cars less than five years old, with fewer than 50,000 miles and solid title histories are sold as CPO vehicles.