Merrimack Valley CU
Auto & Personal Credit Card Mortgage & Home Equity Undergraduate, Graduate, & Refi Commercial Loans & Lines

Online Banking

Forgot Username?

Forgot Password?

Register

Need Help?

Online Banking

Forgot Username?

Forgot Password?

Register

Need Help?

mvcu, auto insurance, auto
Home / News & Financial Education / New vs. Used: The Car Buying Debate
New vs. Used: The Car Buying Debate on 7/14/2021

New vs. Used: The Car Buying Debate

You’re ready for some new wheels, but should you buy new or used? There are passionate arguments on both sides, so you have to take your needs, wants, and budget into account while making this important decision. Below are the pros of buying a new car and buying a used car. We’ll leave it up to you to decide which is the best choice for you.  Remember - all cars can come with “new car smell,” not just the new ones!

Brand New

You’ve been eyeing that brand new model that your favorite automaker has just released. Should you buy it? New cars offer the following advantages:

  • You’re getting the latest and greatest technology and features that are on the market today.  Even though that technology is changing rapidly, you’ll at least be current for a bit.
     
  • Reliability. That new car is going to purr like a kitten (or whirr along, if you are in search of a hybrid!), and you’re not going to have to worry about maintenance or repairs for a few years.  Those expenses may be worth the higher sticker cost.  A bonus is if the car dealer offers free maintenance for a few years!
     
  • If you’re one of those people who keep their car until it dies, depreciation won’t be an issue.  You’ll get every last ounce of value out of that vehicle that you possibly can.
     
  • New cars often come with more financing options and better interest rates. If you have good credit and you can get good financing, you’ll pay less over the life of the car.  Having good credit may also mean a smaller down payment (or none at all)!
     
  • You know the car’s history– it doesn’t have any!  You won’t have to worry about prior collisions, incidents, or accidents.

Gently Used

You’re ready to get your next vehicle, but you don’t need all of the bells and whistles of a brand new car.  Why a used car is for you:

  • Depreciation won’t be a problem for you! New cars depreciate fast. A good part of the value (20 – 30%) of the car disappears the moment you drive off the lot. If you like to trade in your car for a newer model every few years, don’t buy new. You’ll throw a lot of money into lost value.
     
  • Lower costs. You’ll pay lower car insurance rates, lower fees to register your car, and your car payments will likely be much lower than on a new vehicle!
     
  • If you buy a car with low mileage, you’ll be able to defer repair and maintenance costs for nearly as long as a new car. You may also be able to inherit part of the free maintenance package that originally came with the car!

Ultimately, you need to know what you’re comfortable with.

Free Help From Auto Advisors

Once you find a car you like, text or call one of our Auto Advisors! They are here to help you (for FREE) and they can eliminate showroom and lot visits, high pressure sales tactics and an expensive trip to the dealership finance office.

Get Preapproved for your Auto Loan

It’s smart to know what price range fits best with your budget before you step on a car lot or talk to a salesperson.  Save time and know exactly where you stand by getting preapproved for your auto loan in advance! Merrimack Valley Credit Union and Bridgewater Credit Union, a division of Merrimack Valley Credit Union, are trusted lenders and can often compete with (or offer a better rate than) a dealership!

Apply Today

  • Share:

Category: Car Ownership



« Return to "Blog"

You may also like:

mvcu
8/27/2021

Car Shopping With Confidence

Here’s a big secret that could save you some money: auto financing is not just about the loan. When you control the financing, you control the deal! In this blog I’m going to share how you can walk into a car dealership with confidence and get the best deal without falling for any expensive tricks.

Read more

By merrimackCar Ownership
mvcu, auto insurance, auto
7/14/2021

New vs. Used: The Car Buying Debate

You’re ready for some new wheels, but should you buy new or used? There are passionate arguments on both sides, so you have to take your needs, wants, and budget into account while making this important decision.

Read more

Car Ownership
MVCU, new car, buying car
2/5/2022

The Scream-Free, Stress-Free Way to Buy a New Car

Are you excited about the possibility of getting a new car, but dreading the pressure-cooker car dealer shopping experience?  If you’ve EVER bought a car you probably remember how long, stressful, and confusing the process was. Nobody wants that, right? 

Read more

Car Ownership
MVCU, insurance, GAP
5/10/2022

GAP Insurance Might be Your Hero

If you’re ever in a car accident, GAP insurance could truly save the day when it comes to protecting your finances. This type of insurance covers the “gap” between how much you owe on your auto loan and how much the car is currently worth if your automobile gets totaled. Here’s what that might look like in real life…

Read more

Car Ownership
MVCU, car, buying, auto
5/27/2022

The Best Way to Buy a Car During the Vehicle Shortage

Buying a car can be a daunting process, even in the best of times. You have to navigate  confusing “asterisk” advertisements, where things like prices, trade values, interest rates, monthly payments, and availability are all disclaimed. And then there’s the long, stressful negotiation at dealerships (“Let me talk to my manager”).

Read more

Car Ownership
MVCU, car, buying, auto
1/18/2022

Getting Beyond the Hype of Car Commercials

Will you be watching the Super Bowl this year? Aside from the cheering and half-time show, you’ll also likely see a ton of car commercials if you tune in to watch the big game. Car commercials can be flashy and exciting, and may get you dreaming about getting into a new car. But with car commercials it’s super important to read between the lines; if an ad seems too good to be true… it is. Here are some things to look for:

Read more

Car Ownership
MVCU, auto loan, car, leasing
3/27/2021

Does Leasing a Car Make Sense?

If you’re in the market for some new wheels, you may be confused about leasing. Is it better to lease or buy your next car? There are passionate arguments on both sides, so you have to take your needs, wants, and budget into account while making this important decision. Below are some pros and cons of leasing– we’ll leave it up to you to decide which is best for you.

Read more

Car Ownership
MVCU, car loan, leasing, buying, car
2/1/2021

Tips & Tricks to Pay Less for Your New Car

February is a BIG month for car sales!  You’ll find many Presidents’ Day special deals from the auto makers, car dealerships and financial institutions.  Before you shop for your new car, here are some smart strategies to help you drive home with the right car and the best deal!

Read more

Car Ownership
MVCU, car, insurance, protection
10/8/2020

Car Insurance = Protection

Even if you’re a fantastic driver, you’re surrounded by other drivers every time you hit the road—and they may not be skilled, alert, focused, sober or even awake! Did you know that MILLIONS of car accidents happen in America each year?

Read more

Car Ownership
MVCU, GAP, insurance
10/1/2020

Why Consider GAP Insurance & How to Save Money on it

This type of insurance covers the “gap” between how much you owe on your auto loan and how much the car is currently worth if your automobile gets totaled.  For example*, imagine that you purchased a new car and took out a loan for $31,000. Unfortunately, after 2 years, your car is totaled in an accident. Based on your loan, this is how the math would work:

Read more

Car Ownership
MVCU, auto loan, car buying
2/5/2020

Smart Car Buying Strategies

Traditionally, February is a BIG month for car sales!  You’ll find many Presidents’ Day special deals from the auto makers, car dealerships and financial institutions.  Before you shop for your new car, here are some smart strategies to help you drive home with the right car and the best deal!

Read more

Car Ownership
MVCU, GPS, Navigating, Car Market, New Car, Used Car, Auto Advisor
7/11/2022

How to Navigate the New & Used Car Market

Car buying has never been for the faint of heart. Now, though, there’s a new challenge: inventory! On top of the usual wading through dense disclosures in ads, haggling at the dealership, and securing financing, you have to work a lot harder to find a car!

Read more

Car Ownership
MVCU, car, new car, buying car
6/30/2022

Buy a New Car…and Never Miss a Beach Day!

Life is busy. Not enough hours in the day, right? But even when you’re not busy, it would be nice to enjoy what little down time you have. So when shopping for a new car feels like ONE MORE THING on your to-do list, let the experts check it off for you!

Read more

Car Ownership
MVCU, auto insurance, auto
3/1/2024

How to Deal with Rising Auto Insurance Rates

Owning a car is becoming a costlier affair for drivers nationwide, with auto insurance costs seeing a surge of approximately 26%* from the previous year. In the face of continuously rising rates, RTN Insurance Agency is here to assist you in discovering the most competitive rates.

Read more

By merrimackCar Ownership