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Cars360 – Buying A Used Car In India – A Complete Guide

admin by admin
May 31, 2022
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Why are Used Cars Cheaper?

Used cars are cheaper because they have been through enough wear and tear to depreciate and bring down their value significantly. But with affordability comes the doubt of buying a vehicle that does not have any issues that will have to be endured in the near future. Those doubts can be cleared by buying certified pre-owned cars from trusted vendors. Take Cars360 for example. Cars360 Assured cars undergo a very stringent 200-point evaluation before they are offered to potential buyers.

Low Depreciation Rate

This is the main reason why used cars cost less. Let us first explain what is depreciation in brief. The depreciation rate is the loss of value of an asset, in this case a car. The rate of depreciation depends on many factors but the primary factor that reduces a car’s value is its breakdown, or its mileage. The higher the mileage, the higher the depreciation rate. And for a new car this means an average 15-30% loss of value after just one year. Older cars on the other hand have already gone through a high depreciation phase, which means there will be no significant loss of value once you try to sell it.

Low Insurance Premium

The insurance value is directly proportional to the age of the car, which means that a new person’s insurance premium will be higher than that of an old one. When a car is new its value is high hence the insurance is high but once it starts getting old its value starts coming down due to myriad of factors, that is why the insurance premium is also low goes.

They are Warranted

Like their newer counterparts, used cars from certified dealers like Cars360 come with limited warranties that can give a customer a sense of security when buying a used car.

Great Quality Cars

Nowadays, there is nothing ‘used’ about a used car. This is because certified dealers take great care in ensuring that the used car matches the appearance, durability and mechanical standards of a new car and gives ultimate satisfaction to the customer.

Certified Vs Non-Certified Used Cars

These are two powerful contenders who are battling in the used car market space. Certified used cars are a recent phenomenon, while non-certified players have been in the market for quite some time.

What is the Difference Between the Two?

A non-certified seller can be anyone. It could be a neighbor trying to sell his old car, an offline car dealer, your friends, relatives, etc. In short, non-certified sellers are private sellers who do not provide any certification for the vehicle they sell. No authentication means that there will be no one by which you will be able to tell what the car has been through, whether it has been an accident, whether the meter has been tampered with, and if the service details mentioned are correct. Or not. However, if you are buying directly from the seller, eliminating middlemen, you may be able to get the car at the best price, but this may not be the case with offline dealerships.

On the other hand certified used car dealers are very transparent and they only offer cars that pass their quality tests. A certified used car will have all the details from service history to physical quality. On the other hand, these may cost more than non-certified cars, but you also get peace of mind with the warranties and guarantees that come with them.

Buying a Used Car

made your decision? Let us tell you about the important steps that you should keep in mind while buying a used car.

Car to Choose

A very important aspect of buying a car. Buying a car that suits your lifestyle and needs would be wise and pocket-friendly. For example – if you are single then there is no point in buying a big SUV for your daily commute. If you are in a family of 6 people and want to take a car out for long drives then there would be no point in buying a compact sedan.

Just like buying a new car, when buying a used car your needs should be thoroughly studied well in advance.

 Explore All Buying Places

After narrowing down the car of your choice, it’s time to see it in the flesh. There are many options when it comes to buying used cars, be it direct owners, used car dealers and many others who provide the service of buying used cars. When you see a car you like, don’t hesitate, ask reasons for selling, how it was used, inquire if the vehicle was involved in an accident, and more. The more questions you have, the better your chances of getting a good used car.

Directly From the Owner

The chances of getting a good deal in this area are very high, as you eliminate the brokers and speak directly to the owner. But this is a very cumbersome method and requires a lot of time and patience and a mechanic. You cannot expect the owner to tell you everything about the car and that is where the mechanic comes in. You can ask for service book Find out the service history of the car. One more thing, there is no service warranty on buying the car directly from the owner.

Neighborhood Pre-Owned Dealer

OK, so these used car dealers are a convenience, no longer hunting parties, with your victim lined up in front of you and inviting you to taste them. However, this does not mean that these cars are risk-free, there is a possibility that the odometer may have been tampered with or the documents were forged. It is best to ask your mechanic to take a thorough look both inside and outside the car. Secondly, these cars will cost you more than you would go directly to the seller to buy one. Make sure the dealer is not the owner of the car otherwise it becomes a third-hand car, and this significantly affects the market value of the car.

Used Cars Owned by OEM Brands

With so many used car dealers on the market, how do you know which one is the most reliable? Without a doubt, OEMs, OEMs, or original equipment manufacturers are car brands that have their own used car dealerships. These are the most reliable of many and you can rest assured that any car you buy from here will be the best. In addition, they offer warranties, guarantees on the cars they sell, giving you peace of mind about the quality you get. Some of the renowned OEM used car dealers are – Maruti Suzuki True Value, Mahindra First Choice, Hyundai First Advantage, Premium Selection by BMW, Proven Exclusivity from Mercedes, and many more. However, the down side is that these cars will be much more expensive than other options in the market.

Online Classified

Sites like OLX, Quikr fall in this category. They save time and at the click of a button or a tap on the screen, you have a number of used car options in front of you. Portals make life easier but the information displayed cannot be completely trusted as it can also be wrong. You still have to get in the car, check it thoroughly and then make a decision.

Online Used Car Retailer

Like traditional e-commerce platforms, online used car retailers have an end-to-end managed system that requires negligible customer participation. The advantage of these retailers is that like OEMs, they are completely reliable, transparent and trustworthy, but unlike them, they do not cost as much. The cars you buy from these sources come with reliable quality checks, affordable prices, warranties and guarantees to keep you safe and peaceful should any issues arise. One such example is Cars360. Not only are Cars360 Cars reliable, but they also give you a full refund guarantee if you return the car within 5 days if you don’t like it. Also, their buyback feature guarantees a pre-determined value of your car for up to 18 months if you want to return or exchange the car. Online used car retailers have got everything under one roof, which means that even if you want to finance your car, it can be done there and you won’t have to look anywhere else for a loan. The downside of such places is that they are available only in a few places.

Car Test

Okay, so you’ve found a vintage car that you love and want to try it out. In all its reality, a test drive is not just a test of the engine or the way a car drives. Taking a test drive will blow your mind about what you need and what the car has to offer. Let us walk you through the finer points of taking a test drive.

A test drive should be long enough to give you an idea of the working condition of the vehicle, insist on driving at least 5 km through different types of roads to understand the car and your comfort.

  • The car should start immediately and there should be no strange sound other than the engine rumbling.
  • The gears should shift smoothly and the vehicle should move without jerking when the clutch is released.
  • The steering should not vibrate. If this happens then there is a big problem.

The brakes should also slow down in proportion to the force exerted on them and should be in a straight line, not moving the car sideways. If it does then the car has a major braking problem.

Lastly, check for oil leaks from the engine and gearbox. Park the vehicle on clear ground and check if there are any leaks. If so, there are issues that need to be addressed.

Car Pre-Purchase Inspection

OK, so now you know you like the car, it drives well and has exceeded your test drive expectations. The next step would be to do a brief inspection before buying the car. Here’s how you proceed.

  • Check relevant car documents. Such as registration, insurance, pollution certificate, road tax clearance and loan clearance.
  • Check meter reading, 5 year old car with 30,000 – 40,000 km run is the best car to own.
  • Check the body, there is no rust, if any, it would be wise to cancel the deal.

Start the engine and check the exhaust, there should be no blue or black smoke upon acceleration and no oil smudges on the exhaust.

The tires should be in top condition, if they aren’t then you have a deal.

The wheels must be properly aligned, at a speed of 10-20 km on the free part of the ground, release the steering wheel, the car must move in a straight line. If it goes sideways, the alignment is bad.

The suspension should provide a noise free and comfortable ride. Pay attention to the shockers, suspension spring and bushing, there should be no leakage.

Examine the battery and look for signs of acidic corrosion near it. If the battery is nearing expiration and not well maintained, you can end up with more bargains.

Check whether the AC is working properly or not. Cooling should be gradual and cooling should increase as the level increases. Drive the car uphill on a slope to check the efficiency of the cooling system.

Check all lights, dippers, hazards, indicators, brake lights, headlamps and reverse lights. They should all be in top working condition. Electrical components such as the OVRM, electric rearview mirror and music system must function properly.

Do a Thorough Document Check

Documents are what make the car yours, make sure you have all the relevant documents listed below before signing the deal.

Registration Certificate: This document proves that you are buying the car from a registered buyer and it is not a fake or bogus purchase. That being said, you should always inquire about the veracity of the RC. Engine and chassis no. Must match with the people aboard the RC vehicle.

Insurance: Insurance can tell a lot about a vehicle and you can look at it for past accident claims. This is a very important document for transferring ownership.

Pollution Certificate: PUC or Pollution Control Certificate is required to ascertain the fitness of the car and is required in the transfer of ownership.

Road Tax: Although road tax is allowed at the time of purchase, if in any case it is not cleared on a used car, you can bargain for the price.

No Objection Certificate: This certificate issued by the finance company states that all the payments for the loan have been cleared and the financier has no claim on the car.

Explore all Payment Options

  • Test drive taken
  • Vehicle Checked
  • Document Verified

So, you have checked everything and want to buy a car through loan. Let Us Help You.

With used cars you have to consider the higher interest rates offered by banks and NBFCs, but you can compare them and choose the one that best suits your budget. Good upfront payments can ensure lower interest rates which will be easier for you in the long run. Buying from an online dealership has its advantages as they help you in getting a loan for the purchase of your used car.

Transfer of Ownership Documents

Congrats! You have made the payment and you want to transfer the document in your name which will make you the sole and sole owner of the car. There is some documentation you will need to see.

Original Registration Certificate (RC) is required to be submitted to the RTO. If the car was purchased by loan then a NOC along with Form No 35 has to be submitted to the RTO to confirm that the financier has no claim on the car. NOCs are usually valid for 60 days from the date of issue.

Sales transfer form no. 29 and 30 from RTO needs to be signed in duplicate by both buyer and seller.

Vehicle Chassis Number Imprint.

Notarized insurance letter, with proof of identity and address of both seller and buyer. An affidavit may be required if the seller’s address does not match the proof of identity.

Notarized copy of your PAN card or Form 60.

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Akash PalAkash Pal
09:19 21 Nov 19
I think dealing with cash is an old way of selling a car. Cars360 transfers payment in my bank within an hour. That’s why I loved their services.
deepsraj1deepsraj1
16:10 31 Aug 19
They gave me an averagely good 2nd hand car but i wont recommend rc transfer to be done by them..coz they said i wud get RC after 15 days which i got after 45 days n yet they give some faulty details in RC n now they r refusing to correct it by their own..
Mr PrintingMr Printing
13:03 11 Jun 19
The best cars dealing company, I sold out my used car on cars360. They gave me a much price and save my precious time by providing me with doorstep facilities.
Chhotu KumarChhotu Kumar
09:12 27 May 19
I loved cars360 services they gave the best price for my old car; they avail instant transfer of money on your account and will save your time.
Mohd Azam KhanMohd Azam Khan
15:08 18 Oct 18
Absolutely fraud person, he sells you pathetic cars at sky high prices by externally washing and polishing it, from inside the car has numerous problems. He also promises to do RC transfer but denies afterwards.Overall he is cheating people and looting their hardly earned money by selling defective cars. Horrible experience, beware of MSD Auto
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