A used car can be a brilliant buy — often a fraction of the price of buying new, and just as reliable if you know what to look for. Here's everything you need to check before you commit.
Before you start browsing, it's worth getting clear on what you can actually afford — not just the purchase price, but the full cost of owning the car. Running costs add up quickly and are easy to underestimate.
Think about insurance, fuel, road tax, and servicing. MOTs are required every year for any car over three years old, and older cars can need more maintenance than newer ones.
It's also worth being aware that cars with an original list price of over £40,000 can be subject to an additional road tax surcharge — sometimes called the Luxury Car Tax. This applies even if you're buying the car used and paying well under that amount now. It's worth checking the original list price of any car you're considering so you're not caught out when the tax bill arrives.
Factor all of this in before you set your upper limit, not after.
If you're planning to use car finance, compare your monthly income and outgoings to see what's comfortable as a monthly repayment.
Used cars are available from dealerships, private sellers, and online platforms. Each comes with different levels of protection.
Buying from a dealer generally offers more consumer rights — if the car turns out to be not as described or develops a fault shortly after purchase, you have stronger grounds to claim a repair or refund. Buying privately can get you a better price, but your rights are more limited, so the checks you do beforehand matter even more.
Whichever route you go down, never buy a car without seeing it in person first.
The checks you do before you even set eyes on the car in person can save you a wasted journey — or worse, a costly mistake.
Ask the seller for the registration number and use it to check the car's MOT history. Look for any gaps, recurring advisories, or a history that doesn't match the mileage you’ve been quoted.
It's also worth running an HPI check on any car you're seriously considering. You can get one through providers like HPI, the RAC, or the AA, and prices typically start from around £10 for a basic check. It will tell you whether the car has outstanding finance against it, has been written off, reported stolen, or had its mileage tampered with. It's one of the most important steps used car buyers skip — and one of the most useful.
It might not be the most exciting part of buying a car, but getting the paperwork right is one of the most important things you can do. When you go to view the car, ask to see the V5C logbook — this is the car's registration document, and any legitimate seller will have it ready.
Take a moment to check that the details on it match the car in front of you — make, model, colour, and VIN number should all line up. The seller should also be listed as the registered keeper. If anything feels off, it's absolutely fine to walk away.
While you're at it, ask for the full service history if there is one, and check when the current MOT runs out. Any advisory notes from previous MOTs are worth a look too — they won't necessarily be deal-breakers, but they'll give you a clearer picture of what the car might need further down the road.
You don't need to be a mechanic to spot the warning signs. Here's what to look over when you're viewing the car:
Outside:
Under the bonnet:
Inside:
Different models may be more prone to certain issues, so it’s always a good idea to do some research on the specific car you’re purchasing beforehand. You may want to check forums, or long-term tests from credible car publications for this extra info.
Always test drive a used car before you buy. Make sure you're insured to do so — your existing car insurance may cover you to drive another vehicle but check first. If you don't have insurance, ask whether the seller's policy covers a test driver.
On the drive, pay attention to how the car starts, how it pulls away, and whether the brakes feel responsive and even. Listen for any unusual noises from the engine or suspension. Check that the steering feels direct and that the car doesn't pull to one side.
If anything feels or sounds wrong, trust your instincts.
Whether you're buying from a dealer or a private seller, it's worth asking:
A seller who's reluctant to answer straightforwardly is worth being cautious about. If anything feels off, there are plenty of other cars out there.
There are a few different ways to finance a used car purchase, each with its own pros and cons. Here's a quick rundown of the most common options:
Paying with savings is the most straightforward option — you own the car outright from day one and pay no interest. If you have the funds available, it's usually the cheapest route overall.
A personal loan lets you buy the car outright using borrowed money, and repay the lender in monthly instalments. It's flexible — you can use it for any car regardless of age or mileage — and you own the vehicle from the start. It's worth shopping around to compare rates before you commit.
HP is arranged through a dealer or broker. You pay a deposit and spread the remaining cost over a set term. The loan is secured against the car, which means the lender could repossess it if you miss payments — but it also means HP can be more accessible if your credit score isn't perfect. You won't own the car until you've made a final purchase payment at the end of the agreement.
PCP works similarly to HP but with lower monthly payments. At the end of the term, you can make a larger balloon payment to buy the car, use it as a deposit on a new deal, or simply hand it back. It's worth checking whether mileage limits apply, as exceeding them can incur charges.
Whatever route you choose, make sure the monthly repayments are affordable alongside your other outgoings. Missed payments can affect your credit score and your ability to borrow in the future.
Timing your purchase well can help you negotiate a better price. Car dealers often work to monthly or quarterly targets, so the end of March, June, September and December can be good times to buy — salespeople are more motivated to close deals. Similarly, shopping in the second half of the month can work in your favour.
New number plates are released twice a year in March and September. In the weeks beforehand, dealers tend to want to shift older stock to make room, which can mean more room to negotiate on price.
And finally — don't be afraid to haggle. Especially if you've spotted minor issues during your checks, these can give you a reasonable basis to ask for a reduction. Stay polite, do your research on the market value beforehand, and be prepared to walk away if the price isn't right.
Buying a used car takes a bit of time and patience, but doing the groundwork upfront means fewer surprises later. Stick to the checks, ask the questions, and you'll be in a much stronger position to find a car you're happy with.
Disclaimer: We make every effort to ensure content is correct when published. Information on this website doesn't constitute financial advice, and we aren't responsible for the content of any external sites.
Fiona is a personal finance writer with over 7 years’ experience writing for a broad range of industries before joining Ocean in 2021. She uses her wealth of experience to turn the overwhelming aspects of finance into articles that are easy to understand.
