Several factors, however, aid the growth in the popularity of the used car concept in the country, the first and foremost being the changing preferences of the people. Switching cars is not merely a fashionable in-thing, but has become so common like changing dresses.

Yet, buying a used car is not an easy deal. It requires considerable knowledge and experience, lest you repent for taking the decision afterwards. In their eagerness to make the most of the price-comfort ration that make a used car attractive, buyers should not throw to the winds the popular saying that looks may be deceptive. In their joy of making a transition from a two-wheeler to a four-wheeler, the buyer should also not forget to finger out the real from the made-up real vehicle.
 

Where to look

Identifying a car that fits into your bill and budget is a time-consuming task. But, there are methods to make the process simple.
 

To begin with, always approach your friends and personal contacts. Pass on the information that you are on the look out for a vehicle with particular specification.
 

The next best path is to go to authorised new car dealers, many of whom also deal with used cars.
 

The second-hand car dealer figures next in the track-list and going through them has its own pros and cons. With professionalism slowly creeping into the trade, thousands of customers are contended with the deal. Anyway, make doubly sure that the vehicle’s papers are authentic.
 

There is yet another option and a quite popular one too-classifieds advertisement column in the newspapers. People selling cars place the advertisements, not only to avoid the hassles of going through a broker, but in the hope of finding genuine buyers too. One major advantage of opting for the classified advertisement route is that the prices are likely to be lower than the quotes of the dealers. But, it is important for you to properly inspect the vehicle as these are sold on ‘as id where future. Most of the advertisers don’t prefer to sell cars through dealers because they feel that the vehicle is worth more than the value put by the dealers.
 

Difference between petrol and diesel-driven cars

Deposits all the talks about alternative fuel, the country continues to depend heavily on two types of cars-the petrol-driven ones and the diesel-powdered ones. It is the differential in the pricing of the fuels that makes people opt for diesel vehicles. But, what basically sets the two forms of the vehicle apart is the difference in the maintenance cost and comfort level of the ride.

A diesel car generates more noise than a petrol car and has less pick-up capability. The petrol-driven car, on the other hand, is equipped with either a carburettor or a fuel injector engine. Though comparatively simpler to operate and relatively indifferent to the fuel quality, carburettor engines consume more fuel than injector engines. The injector engines are not only powerful but have good pick-up under all weather only quality petrol, the fuel consumption of the engine is less.
 

Take a friend along
 

You may be an expert in automobile engineering. There are chances that you may tend to overlook certain vital aspects of the vehicle in your excitement of buying a car. To avoid this, always take either your fried or someone with a fairly good knowledge about cars along with you on the inspection.
 

Equally important is a restraint on your feelings. Do not ever get elated in front of the seller, as it would only make him from on the price.
 

Never hesitate to ask the owner questions connected to the vehicle, even if they may sound a bit uncomfortable.
 

When going through a dealer, the best thing is to keep quite on the upper limit that you have in mind for a car.
 

The chances of negotiating the price would become bleak if the dealer comes to know about your maximum limit.
 

Before moving ahead with your plans, answer these basic questions. The replies would make the search much easier for you.
 

Why is the car necessary and how will use it?
 

How many kilometres would it ply daily, on an average?
 

Should it be a petrol-driven or a diesel-powdered car?
 

What is my budget?
 

What will be the maintenance cost?
 

What to look

Irrespective of the method you prefer to identify a used vehicle, there are a set of guidelines that is applied to scan all used cars.
 

Firstly, get all details about the legal aspect of the vehicle.
 

A glance at the documents would provide information on the original registration of the vehicle and number of owners.
 

You would get to know about the insurance details of the car.
 

The best-used cars are owner-driven vehicles. Even in this category, cars belonging to the salaried class and professionals like doctors are comparatively in better health, as the maintenance is good.
 

once convinced about the background of the car and its owner/s, look for any concealed damage, particularly in the boot and doorsills. This is a way to ascertain whether the vehicle was used as a taxi.
 

Engine

People with some idea about the mechanism of the vehicle would get to know much about the health of the vehicle from the rhythmic sound of its engine and the resultant vibrations.

During acceleration or idling, the engine should not make noises that are extreme, it should not knock and whistle during this period. A steam in the exhaust after the engine achieves normal operating temperature indicates some cooling system defect like blown-off head gasket. Of course, in several of the latest cars, there are indicators on the dash board panel that highlight the engine defect.

Similarly, the engine sounds recounts the car’s history and its upkeep. Once the car gets warmed up, listen for engine noise during the drive. Unusual sounds could mean signs of major trouble. You should drive over the rough road surfaces and watch for any unusual vibrations or noises. Several stops and starts at carrying speeds help in knowing more about the engine.

On the road, the automobile should not only accelerate smoothly but brake without grabbing vibrating, or pulling to one side. On your stepping on to it, the brake-pedal should be firm and not spongy.

Also do try to turn the car at various speeds as to much sway or stiffness could mean bad shocks along with front and rear problems.

While turning the wheel all the way from one side to other the power steering should make you feel smooth, with little or no squealing at all. A humming sound is heard in case of worn out wheel bearings would cause excessive steering column vibration.

Similarly, a look at the odometer is an indicator enough for many to choose or reject a car. A year old car showing 25,000 km. On the panel is worse than a three-year-old with only 15,000km. Cars with a low mileage, but with a lot of wear and tear on the driver’s seat or on the brake and accelerator pedal indicates that the odometer has been tampered.
 

Exhaust

Start the engine. Allow it to idle for about three to five minutes. Press halfway down the accelerator pedal for about three seconds before checking the smoke from the exhaust pipe. In the event of a defect in the fuel system, the engine gets flooded with petrol and lets out strong black smoke. This also means that the spark plugs may not be working properly.

Likewise, burning of oil because of internal engine defects including broken pistons and piston rings leads to the release of blur or white-blue smoke-like steam it could be because of the coolant penetrating into the cylinders. It also means gasket defect.

Other aspects of the car that requires close examinations include its chassis, suspension, and shock absorbers. The stance of a car and the condition of its tyres reveal details that are otherwise not easy to obtain. An ideal car should not appear to sag or lean in any direction from a distance of about 20 feet. It should look upright, high and straight. Several vehicles tend to droop to a side, which shoes the overuse or misuse of the automobile.

Battery

This component is the lifeline of the car. A defective battery means repairs to the vehicle frequently. Check the battery connections for cleanliness.

Brake and pedal wear

This gives a clear picture of how the car has been driven so far. However, do not compare the condition of the brake and the clutch pedal with the odometer reading, since the latter could be easily manipulated.

Tyres

The wear and tear of the tyres is enough to tell a car from a distance. If the tyre brands vary, the car might have done more mileage than what the odometer shows. Through the tyre, a prospective owner could find out about the condition of other components of the car, especially the shock absorbers and the suspension.

Doors and windshield

Devote time for the doors and windshield to know whether the vehicle was involved in any accident.

Improper locking and problem in closing them could mean that the vehicle was involved in an accident. The doors and windshield should be easy to operate and there should be no gaps between them and the body.

Take note of the condition of the doors and check its interior for any rust. Likewise, the trunk, boot and bonnet show the levels of maintenance of the car. Make sure to check all the gaps between the fenders, doors, bonnet and trunk. Every gap should be even along all its length. Try to inspect all the gaps in the same way. Also check for any cracks in the rubber beading adjoining the windshield, outside of glass windows, inside trims, along the roof linings.

Dashboard

It is not enough if the car looks attractive from outside. On taking control of the steering wheel, have a close at all the devices in the instrument panel. With all windows rolled up and no gaps anywhere, you should feel warm within a minute. If everything is fine, try sounding the horn, the lights, signals and other electrical items.

Switch on the air-conditioner and feel the difference in the speed and its impact on the vehicle. Also, do play the radio or the music system to get a feel of the sound system.

Lights and mechanical parts are the eyes and ears of the car. So, make sure that all the headlight, tail lights, brake lights, back-up lights, and direction indicators function correctly. All the warning lights like the low oil pressure, low oil level and overheating should go off once the engine gets revved up.

Steering Wheel

Check the steering wheel. When unlocked, with the engine of, it should have no more than two inches of ‘play’.

Upholstery

Check for major wear and tear in the upholstery, which otherwise may mar the show of the vehicle. Examine the floor mats and seat covers. Since, safety is of utmost importance, examine and fasten the seat belts and feel the comfort.

A comprehensive check of the vehicle also involves a check on the oil level. Likewise, the cooling system is a crucial part of the vehicle. So, unscrew the radiator cap and take a peek inside. The coolant level should be almost full. There should be no oil or foreign material floating inside. The coolant should be clear light green in colour but do not panic if it appears a little cloudy as it may just need to be replaced.

Don’t forget to check the oil pressure on the cold engine (at least an hour after the engine is switched off). Start the engine and look at the low oil pressure warning lamp or oil pressure gauge on the instrument panel. The time between the engine start and the oil pressure indication on the two seconds. The longer the time it takes for the indication to disappear, the worse the engine condition.

With all the focus on environment, inspection of the air filter is quite important. Take off the air filter lid and peep inside. The presence of heavy dirt is a pointer to show that the vehicle was not maintained properly by the previous owner.

Paint

Getting the car painted is a costly affair. But, more difficult is to paint parts that are either replaced or damaged like the fender, door, and hood, in the same colour as the rest of the automobile.

Rust spots

A rusted metal is of little use. Rusts are a horror to the buyer. So, check all the spots that are susceptible to rusts like the floor under the carpet, door bottoms, trunk and wheel arch. Take a magnet along and try to make it cling to the door bottoms and fenders and other places where you suspect defects or rust spots. If there is to much filling under the paint, the magnet will not cling.

Tailpipe

Dark coloured gummy soot in the tailpiece means expenditure for the buyer. This condition refers to worn-out piston rings or bad valves.

Never hurry up things

since it involves a substantial investment, never hurry up on inspection and always records your observations on a piece of paper. If you are familiar with the prevailing prices of the spare parts, you could mentally estimate the cost of the repairs to the used car.

Once you are through with the inspection, the concentration must be on the paperwork of the vehicle. There are several documents that are associated with the car such as the registration certificate, popularly known as the RC Book, insurance certificate, pollution under control (PUC) certificate and the service book. All of these must be in order. Take care to examine whether the previous owner has paid the one-time RTO tax.

RC Book

This documents is a must for all vehicle owners. It establishes the legal authority that allows you to drive the vehicle in a particular state. It contains information about the engine number, chassis number and the manufacturing date. From this, you would get to know whether the car is a cancelled taxi or not.

Insurance certificate

This piece of paper is worth a million. In this you should check whether the car is covered under the third party insurance or comprehensive insurance schemes.

See whether the premium has been paid at regular intervals. Before purchasing the car, get the insurance certificate transferred in your name.

Road tax

The road tax papers should be converted to your name.

Service book

Entries in the book would provide information on the frequency with which the car has undergone servicing. It would give an indication of the condition of the vehicle. Always inform the Regional Transport Office (RTO) and the insurance company all the details about the vehicle such as its registration number, engine and chassis numbers as well as the name and address of its previous owner. This would help avoid the purchase of a stolen car or one involved in any illegal wrangle.
 

Don’t forget to test drive

The next and the best step to assess the car is to take a test drive. During the trial, keep your eyes and ears open and feel the performance of the engine, gearbox and any loose hanging parts inside the vehicle. It is also the time when you should check out the vehicle’s performance in different gears. Once out of the car, devote enough time to the undersides including the suspension system, fuel tank, and engine sump. Some of the old models need to be examined for crevices in the floorboard.
 

Dealers

Since the choice available while scouting for a car through personal contacts or classified advertisements are limited to a large extent, the preferred path is the used car dealer.

Unlike in the past, when the trade was looked upon with suspicion, the dealers are now adopting more customer friendly and transparent policies in their transactions.

Heading the list in Chennai is T.S. Mahalingam and Sons, which has dealt with more than one lakh used cars in the last 60 years, spanning three generations. According to the company officials, as "our dealings are mostly with big corporates, we handle all brands of cars from Mercedes Benz to Maruti, to Ford and Opel Astra. A day after its launch all new models are available with us as used cars".

The used car market, they say, which recently came out of recession is doing pretty good. Prices of used cars are bound to come down as the constraint on the supply has gone. Still purchasing a used car could be fraught with problems unless buyers follow a set of precautionary measures.

Estimating that the used car market record 500deals every month in Chennai alone, G.K Reddy, proprietor of G.K. Reddy Cars says, "We have a system of ascertaining and cross-verifying the background of the car that is brought to our showroom. By this, we weed out the possibility of stolen cars, getting into the system." Here, he points out that it is not easy to get details about the owner and the car in a deal to get only the buyer and the seller. The firm guarantees the authenticity of the documents.

In addition, many used car dealers also allow the customers to check the car, with the assistance of a technician of their choice.

However, as the trade continues to thrive in the unorganised sector, the chances of the black sheep’s taking a prospective buyer for a ride are imminent. Says Mohan Raj, Secretary, Tamilnadu Automobile Consultants Association, a body representing the used car dealers, "There were only a handful of dealers in second hand cars a decade ago, but now everyone looks at the trade as a way of making easy money."

Persons who once used to work in automobile garages are opening used car shops.

A good dealer should have a pleasing personality and a thorough knowledge about the vehicle that he deals with. More importantly, they must be conversant with the documentation procedures.

These qualities were virtually unheard of in the used car dealers a decade ago, when their main job was to avoid a meeting between the seller and the buyer, by which they made money manifold their commission rates.

Now, none of the reputed dealers deal with cars registered outside the State of their operation. In the past, there have been instances of people buying cars registered in other states only to be seized by the police for its alleged involvement in a crime.

Going through the dealers not only requires patience, but you should be familiar with the art of negotiation.
 

Art of negotiation
 

Information is the key to negotiation and you initial attempts should be to figure out the bottom price, fixed by the seller.
 

Do not fix your sight on a car before comparing it with other models.
 

Gather information about the seller and his motivation for selling. You may end up with a good deal, if the seller is in financial distress or going abroad.
 

As a buyer, you are in the driving seat, so involve the seller for a longer period. The more you involve him, lesser the chances of the seller turning down your offer.
 

Never reveal your maximum limit at the beginning of the negotiation.
 

Notwithstanding all the talk about improved customer service and transparency in the operations, creditability of the used car market dealers still remains a suspect. The business continues to strive mostly on information obtained by word-of-mouth.

Finding a car that suits your preferences at some point appears to be a matter of sheer luck instead of being a choice. There are people who tend to postpone their decision because of the uncertainties associated with a used car in terms of its quality, reliability and the financing options.

Ford Assured

Bridging this gap, however, is Ford Assure, a venture of global automobile major Ford. It is a novel concept aimed at making life easy for those buying and selling used cars by providing specialised services under a single roof. Instead of merely allowing the purchase or sale of any car of your choice, Ford Assured certifies the vehicle and gives guarantee for a stipulated period.

Says Balaji Reddy, Branch Manager of Ford Assured in Chennai, "A used car at our showroom undergoes rigorous quality testes, including the 116- point Inspection. It is then refurbished to attain new car standards. Since, buying a used car requires more introspection compared to a new vehicle, the 116 Point Inspection routine relieves the buyer of the tension of decision or not. Cars scoring below 600 (60 per cent) in the vehicle inspection are rejected."

But, Ford Assured has its own standards for accepting a vehicle. Each and every part of the car is tested from the front bumper, to the transmission to air-conditioner to the brakes up to the dickey and the tyres. Virtually not a single part misses the test, since every car brought from Ford Assured comes with a comprehensive 12-months/15,000 km. Warranty. In providing three free services, the company extends a privilege normally associated with new cars only.

The transactions through the company are "zero-worry deals" as everything is transparent and clear. The company also appoints a Ford Assured personnel who will serve as a one-point contact to answer all the queries of the customer.

Ford Assured also enables the customer to trade in their used car for a new Ford Ikon.

Simultaneously, the company has a benchmark of its own for purchasing a car. No vehicle exceeding 50,000 km. Is purchased. In the event of tampering of the odometer, the vehicle runs the risk of getting rejected.

Similarly, cars lacking a clean set of ownership paperwork (including the Form-B, issued by the road transport authorities) are not handled. In fact, the company lays emphasis on all the points that strikes a buyer who is fairly acquainted with the process like the number of prior owners. More importantly, a car registered outside the state in which the dealership is located is not dealt-in. there are also specific vehicles and model types that the company does not deal in.

Yet another stumbling block that is taken care of by the company is getting finance for the used car, from Ford Credit. Easy instalments are available as shown in the table.

Unipro

Yet another leading name in the business of used Maruti cars is the Unipro Used Cars Division. A part of the Unipro group, the company is famous as the distributor of Maruti cars. The company specialises in servicing of automobiles and is an important and garage equipment.

The company now has come up with its unique Gold Plus trade-in-offer. Under this scheme, you can exchange your old Maruti for any Maruti model of your choice with a car loan from Citicorp Maruti Finance Ltd.

Besides the advantages of choosing a Maruti and Unipro, the other benefits of the scheme are a thirty-minute loan approval for Citibank Card holders, ready Delivery of all Maruti Models.

Advances in information technology have touched the used car market too. It has brought in new concepts. The key word is online-purchase and sale of used cars. Several portals have launched the facility while others are involved in online auction of used cars. With a complete set of cyberlaws in the offing, online transaction might become popular shortly. For the while, the most popular thing appears to be the trade-in concept offered by several used car dealers. The modus operandi of the offer is simple, come with your old car and exchange it for another used car by paying the differential.
 

Before you buy, ask the owner
 

Why is he selling the car?
 

Is he its first owner?
 

What is the mileage of the vehicle?
 

What was the car used for (did it ply within the city or on the highways)?
 

What is the present condition of the car?
 

Was it ever involved in an accident?
 

Does the car possess all the necessary legal documents?
 

What are the snags in the car?
 

Finance

One of the driving forces behind the rapid growth of the used car market is the easy availability of finance, at affordable rates of interest. Several companies, big and small, give loans to buy used cars. This is a major shift from the earlier perception that was considered a not-so lucrative business proposition, considering the risks involved.

Earlier, a prospective buyer of a used car had little option other than to approach private financiers. Depending on the standing of the customer, the private financiers used to peg their charges anywhere from 24 to 36 per cent, industry observers say.

In contrast, a host of finance companies today specialise in extending loans for used cars. Most of the companies employ established and transparent means of calculations to arrive at the value of the vehicle and the interest charges.

One such company is GMAC-20th Century Finance corporation. It extends loans to all brands of four-wheelers that are less than two years old. The tenure (in years) of the repayment by the customer and the age of the vehicle should not exceed five years.

The company has its own valuer who fixes a price on the vehicles by the customer. The company gives about 65 per cent of the valued amounts as loan. It levies a service charge of five per cent plus a 19 per cent diminishing interest on the loan. The entire process of obtaining a loan for buying a vehicle on an average would take three to four days.

Another popular name in car financing, both for new and used car, is The Associates. It offers loans to buy all cars (up to 1990 model). Every customers is treated equally and loans are extended based on their repayment capacity.

To make it more convenient for the customers, the company has designated a few of the car dealers as their associates. This enables the customer to have the choice of selling or buying his car through the dealer. It takes about three days for the entire documentation work to be completed and "there is nothing like service charge attached to the cost," company officials say.

The interest charges are anywhere between 19 to 21 per cent on the diminishing value of the principle. A major condition followed by the company is that the total tenure of the loan including the age of the car should not exceed seven years. The associates has started conducting car meals in which anyone keen on valuing their car can do so free of cost.

There are also private finance firms that fulfil the aspirations of the middle-class by providing loans for used cars. To such category belong firms like the Navas Group. The maximum limit for funding the vehicle is up to 70 per cent loan of the market value of the car. The entire process of getting a loan from the firm is completed within two days.

The interest charges, claimed to be among the lowest, range between 14 per cent for a loan of one-year duration and 15 per cent for a loan of two years duration. For a loan of three years duration, the firm the loan sum as documentation charges.
 

Select a car that is comfortable for your wallet
 

YEAR CAR SPECTIFICATIPONS

Budget Rs-50,000-75,000
 

1985-88 Maruti Omni 35,000-75,000 km.

1985-88 Maruti 800 20,000-75,000 km.

1995-96 Premier Padmini 25,000-75,000 km.

1990-94 Premier 118 NE 30,000-80,000 km.

1988-95 Ambassador 60,000-80,000 km.
 

YEAR CAR SPECIFICATIONS

Budget Rs.75,000-100,000

1988-91 Maruti Gypsy 50,000-70,000 km.

1992-94 Maruti Omni 50,000-70,000 km.

1991-92 Maruti 800 50,000-70,000 km.

1985-93 Contessa (Petrol) 50,000-70,000 km.

1985-90 Ambassador (diesel) 50,000-70,000 km.
 

YEAR CAR SPECIFICATIONS

Budget Rs.100,000-150,000

1991-94 Maruti Gypsy 20,000-30,000 km.

1992-96 Maruti 800 40,000 km.

1994-97 Contessa (Petrol) 20,000-30,000 km.

1991-96 Ambassador (Diesel) 20,000-30,000 km.
 

YEAR CAR SPECIFICATIONS

Budget Rs.150,000-200,000

1994-96 Mahindra Armada 15,000-25,000 km.

1990-95 Mahindra range except Armada 15,000-30,000 km.

1997-98 Maruti 800 DX 12,000-15,000 km.

1994-95 Maruti Zen 15,000-25,000 km.

1996-97 Maruti 1000 15,000-25,000 km.

1994-96 Tata Sierra 20,000-25,000 km.

1994-96 Tata Sumo 15,000-20,000 km.

1997-98 Contessa (diesel) 12,000-20,000 km.

1997-98 Ambassador (Petrol) 12,000-20,000 km.

1996-97 Fiat Uno 15,000-30,000 km.
 

YEAR CAR SPECIFICATIONS

Budget Rs.200,000-250,000

1999 Maruti 800

1996-97 Maruti Zen

1998 Maruti 1000
 

YEAR CAR SPECIFICATIONS

1995-97 Maruti Esteem 15,000-20,000 km.

1997-99 Tata Sierra

1997-99 Tata Estate

1997-98 Tata Sumo

1996-97 Cielo
 

YEAR CAR SPECIFICATIONS

Budget Rs.250,000-300,000

1996-97 Mahindra Armada

1995-98 Mahindra range except Armada

1998-99 Maruti Zen

1997-98 Cielo

1996 Opel Astra (old engine)

1996 Ford 1.3

1996 Peugot
 

YEAR CAR SPECIFICATIONS

Budget Rs.300,000-500,000

1998 Mahindra Armada Grand

1996-98 Ford Zetec

1996-97 Opel Astra 10,000-15,000 km.

1998-99 Maruti Esteem

1997 Ford Orion (diesal)
 
 
 

The deal

And, finally after identification, examination test driving of the car and verification of all the necessary legal documents, it is time to ink the deal. For most transactions, bargaining is still a part of the process. Though the seller or the dealer might impress upon you that the car is the best available within the limits, never go by all these statements. Always remain from on your quote and do not alter it frequently. Never finish a deal under pressure. If not one used car, there are several others waiting for you.

Go ahead, pick up the car your choice and remain tension-free. There is nothing beyond your reach. If you have patience and a plan, a good deal could be yours.