NEWS    RECALLS    COMPLAINT FORM    SCAM ALERTS   RESOURCES  
Small Claims Guide   Class Actions   Lemon Laws   FAQ   Newsletters  
Share


Complain about a product or service

Automotive    Education    Employment    Electronics    Family    Finance    Health    Homeowners    Insurance    Pets    Shopping    Travel     Print This     Email This    



NEWS   Latest |  Archives |  Auto |  Cells, etc. |  Computers |  Financial |  Health |  Homeowners |  Parents |  Privacy |  Scams |  Seniors |  Travel

Vehicle History Reports Becoming Essential for Used Car Buyers

More Consumers Looking at Used Hybrids




Advertisement

May 14, 2006


Saab Story: Swedish Carmaker Walks Away from GM Deal
GM, Chrysler Hope Incentives Will Boost Sagging Sales
Auto Bailout Chief: GM's CEO Had To Go
Taxpayers Unlikely To Recover Full Auto Industry Investment
---
More about Auto Sales ...

As last year's hurricanes cause concern about flood-damaged vehicles potentially appearing on the market, vehicle history reports are becoming an increasingly important tool among used-vehicle buyers, according to the J.D. Power and Associates 2006 Used Vehicle Sales and Certification (UVSC) Study.

The study, now in its fifth year, finds that 34 percent of used-vehicle buyers report getting a vehicle history report (VHR) before buying their vehicle -- up from 30 percent in 2005.

Additionally, 57 percent of respondents say they would refuse to purchase a used vehicle without a history -- up from 53 percent in 2005.

"Vehicle history reports are an inexpensive way to ease the concerns of consumers about potentially buying a vehicle that may have been heavily damaged in a hurricane or other natural disaster," said Jane Crane, director of automotive retail research at J.D. Power and Associates.

"Approximately 30 percent of manufacturer franchise dealers are opting to provide vehicle history reports to potential buyers at no charge. This gesture of goodwill can go far in earning the buyer's trust by showing that the dealer has nothing to hide," Crane added.

Another way consumers often alleviate the fears associated with buying a used vehicle is by purchasing a manufacturer-sponsored certified pre-owned (CPO) vehicle. Consumers typically pay an average premium of $1,680 for CPO vehicles, which have passed through extensive inspections and often include extended warranties.

However, the study finds that certified used-vehicle buyers are less satisfied compared to 2005 with the price paid for the vehicle.

"In light of the large incentives many manufacturers were offering buyers of new vehicles in 2005, it may have been harder to convince used-vehicle buyers that this premium was worth it," said Crane.

"Dealerships have to work hard to communicate the value of certification to their customers and have strong policies in place to follow through on CPO warranties. This can go far in keeping customers satisfied, which increases the likelihood of the customer recommending the dealer to others and returning to the dealership for future vehicle service," noted Crane.

Used Hybrids

With fuel prices continuing to rise and sales of new hybrid-electric vehicles increasing every year, many consumers are turning their attention to used hybrid vehicles. The study finds that 44 percent of late-model used-vehicle buyers are willing to consider a used hybrid-electric vehicle rather than a traditional gasoline-powered vehicle, even at an additional cost.

Major concerns that used-vehicle buyers have with considering used hybrid-electric vehicles are the estimated higher maintenance costs, reliability, and the life span of the vehicle's battery pack.

"Previously owned hybrids are perfect candidates for certification programs, where in-depth inspections and longer warranties help alleviate the concerns of buyers about purchasing used hybrids," said Crane.



Report Your Experience
If you've had a bad experience -- or a good one -- with a consumer product or service, we'd like to hear about it. All complaints are reviewed by class action attorneys and are considered for publication on our site. Knowledge is power! Help spread the word. File your consumer report now.

Share

Follow us on Twitter.

FREE CONSUMER NEWSLETTERS

The Daily Consumer
Afternoons M-F

Sign up now!


Consumer News & Alerts
Every Sunday

Sign up now!





CONSUMER NEWS

SAFETY RECALLS



Back to the top |

Advertisement


Custom Search
AUTOMOTIVE
• Dealers
• Manufacturers
• Service
• Extended Warranties
• Lemon Laws
• Recalls
• Tires
• Transporters

FAMILY
• Aging
• Children, Parenting
• Recalls
• Dating
• Education
• Entertainment
• Pets
• Weddings
FINANCE
• Annuities
• Banks
• Credit Cards
• Debt Collection
• Debt Counseling
• Insurance
• Investing
• Loans
• Mortgages
• Payday Loans
• Student Loans
• Tax Prep

HEALTH
• Doctors
• Drugs, Pharmacies
• Health Clubs
• Hearing Care
• Hospitals
• Nursing Homes
• Nutrition, Diets
• Vision Care
• Weight Loss
HOUSE & HOME
• Appliances
• Cookware
• Furniture
• Home Improvements
• Lawn & Garden
• Movers
• Pools & Spas
• Realtors, Rental Agents
• Recalls
• Utilities

ELECTRONICS
• Cable TV/DBS
• Cameras
• Cell Phones
• Computers
• Home Electronics
• Internet Access
• Local Phone Service
• Long Distance
• VoIP
SHOPPING
• In-Home
• Online
• Retail Stores
• Sporting Goods
• Supermarkets
• Telemarketers

TRAVEL
• Airlines
• Bus Lines
• Car Rental
• Cruises
• Hotels
• Travel Agents
• Trains

RESOURCES
• Class Actions
• Complaint Form
• Small Claims Guide
• Lemon Laws
CONSUMER NEWS
• Latest News
• Automotive
• Telecom
• Financial
• Health
• Homeowners
• Scams
• Seniors
• Travel
• More ...

RECALLS
• Automotive
• Children's Products
• Drugs
• Food
• Household Products
• Sporting Goods

ABOUT US
• FAQ
• Privacy Policy
• Advertise With Us
• Newsroom
• Syndication
• Terms of Use

Terms of Use Your use of this site constitutes acceptance of the Terms of Use

Advertisements on this site are placed and controlled by outside advertising networks. ConsumerAffairs.com does not evaluate or endorse the products and services advertised. See the FAQ for more information.

Company Response Welcome If complaints about your company appear on our site, we welcome your response. Please see the Response Form for more information.

For more information, see the FAQ and privacy policy. The information on this Web site is general in nature and is not intended as a substitute for competent legal advice.  ConsumerAffairs.com Inc. makes no representation as to the accuracy of the information herein provided and assumes no liability for any damages or loss arising from the use thereof. 

Copyright © 2003-2009 ConsumerAffairs.com Inc.  All Rights Reserved.    The contents of this site may not be republished, reprinted, rewritten or recirculated without written permission.