Understanding Certified Pre-Owned Vehicles: Essential Facts to Know
Explore the essentials of certified pre-owned vehicles, including their standards, pricing, warranties, and what to consider before buying. Learn how manufacturer-backed programs ensure quality and value when purchasing used cars from reputable dealers.
You've likely encountered the term 'certified pre-owned' (CPO) while browsing online or visiting dealerships for used cars. But what exactly defines a certified pre-owned vehicle?
Certified pre-owned cars differ from privately sold or independent used vehicles because they undergo thorough inspections aligned with the manufacturer's standards and are backed by official warranties. They are sold through authorized dealerships, often with mileage restrictions.
Before purchasing a CPO vehicle, here are some key points to consider.
Lower prices are common among certified pre-owned cars
Many believe CPO cars are more expensive than regular used cars. However, studies show that typical used cars cost approximately $700 more than CPO models. Popular brands like Jeep, Dodge, Subaru, Honda, and Chevrolet often offer reasonably priced certified options.
Research thoroughly when considering a CPO vehicle
Some dealers may simply clean up used cars and label them as certified, which doesn't meet the strict standards of manufacturer-backed programs. Verify that the vehicle is certified through an official manufacturer program to ensure warranty support and quality standards.
Manufacturer certification programs vary in coverage
Different automakers offer diverse warranty packages. Some provide a 12-month, 12,000-mile new-car-style warranty plus a five-year, 100,000-mile powertrain guarantee from the initial sale date. Others might only offer three months or 3,000 miles of coverage.
The age of the vehicle isn't a barrier
Certified pre-owned vehicles are often viewed as alternatives to new cars. Many are two or three years old, typically returned after lease agreements. Some brands also offer CPO sales for vehicles that are six or seven years old with over 50,000 miles.
Being certified doesn't guarantee flawlessness
Despite inspections, there's always a chance that some problems may go unnoticed or that issues originate from previous quality concerns when the car was new.
