DO USED CARS HAVE LOWER INSURANCE RATES?

At Brown and Wood Buick GMC, our team takes the time to match drivers with unique vehicles at excellent prices. One of the best ways to save on a vehicle for the family or next road trip is by purchasing used cars. Some pre-owned vehicles have lower insurance rates, but even if you can’t save on insurance coverage, we share the top ways pre-owned vehicles can help drivers save.

WHY YOUR INSURANCE MAY NOT BE LOWER

On one hand, you would expect to pay less to insure a vehicle that costs less than a new one. On the other, insurance companies sometimes assume that older cars have less advanced safety systems and may not be as reliable, especially if they have higher mileage. However, that doesn’t mean you won’t still save.

HOW YOU STILL BENEFIT

LOWER OVERALL COSTS

Pre-owned vehicles are simply less expensive than brand-new cars. As a result, you can finance less – often with a lower down payment – so you pay less month-to-month and over the life of the loan.

LOWER SALES TAX

Sales tax is calculated based on the cost of the vehicle, which is why trading in your current model for a pre-owned vehicle can help you save. Pre-owned vehicles, which have lower price tags, also come with smaller sales tax costs. While you’re still getting a safe, reliable model from Buick or GMC, you won’t have to contend with large additional fees to take it home.

LOWER LONG-TERM COSTS

Interest is the cost of borrowing money, which is why you want to pay your loans off quickly to accrue smaller interest fees. Because pre-owned vehicles are less expensive than new cars, you’ll be able to pay the loan off sooner, and that means less money goes toward accrued interest fees.

TEST-DRIVE USED CARS IN GREENVILLE, NC

No matter what your pre-owned vehicle purchasing needs may be, Brown and Wood Buick GMC is here to help. Learn about the ways you can save with pre-owned vehicles, and pick out the perfect model for the road ahead with support from our team.

Categories: Pre-Owned Inventory