Win your car finance on us! Car Buyers Regret
Have you ever regretted a car purchase? Find out what causes car buyer’s regret and how you can avoid it in the future
What is buyer’s remorse?
No matter whether you’re choosing a new pair of trainers or a new home, financial decisions of any kind can stir up a wide range of emotions. Buying something new can be exciting but, once the money has been spent and reality has set in, it can also lead to regret. These post-purchase second thoughts are known as buyer’s remorse.
Typically, the more resource and time you’ve put into a purchase, the more likely it is that you’ll feel some remorse. This is especially true if you were the main decision maker. In some cases, buyer’s regret is almost inevitable. If you need to make a tough choice between two equally appealing alternatives, for example, then it’s not surprising that you’ll question whether you made the right choice.
Impulsive decisions can also spark regret. If we don’t have time to think through a purchase, go against our instincts, or compromise our values in the process then we’re more likely to wonder if we made a mistake.
What is car buyer’s regret?
Buying a car is probably one of the biggest purchases you’ll make in your lifetime. It’s only natural that you’ll question whether you made the right decision and, if you are feeling pangs of regret, you’re not alone. In fact, a recent survey by Autovolo found that 47% of people regret car purchases.
When it comes to buyer’s remorse, the bigger the commitment, the more likely it is that you’ll regret it. Cars are a big commitment, not only because they can be costly but also because you’ll likely end up owning it for a few years at least.
There are many reasons why you might get that sinking feeling in the pit of your stomach after you purchase a car. And it’s not always about the money. You could feel anxious about the choice you’ve made, whether you’ve made too many compromises, or ended up with a car that isn’t the one you really had your heart set on.
You’re probably asking yourself a lot of questions. Should you have waited? Did you get the best car finance deal? Is this car model really right for you?
If it’s the first car you’ve bought, those anxieties will be amplified. People with less experience of making large purchases are likely to worry whether it was the right thing to do. Younger drivers may also have less disposable income available so committing to a car finance payment could have an even more severe impact on their finances.
How to avoid regret when you purchase cars
When it comes to buying a car, whether it’s a used model or one that’s just rolled off the factory floor, you don’t have to regret your purchase.
Doing your homework can help. You might still feel anxious but taking time to research the options available and weigh up the pros and cons can increase your confidence.
Here are a few more steps you can take to avoid car buyer’s remorse:
Create a wish list
Don’t be afraid to get specific with your wish list. It doesn’t all have to be practical either; think about what you need from your new car but also consider what you want and the role you want it to play in your future life.
There’s no point investing in a two-seater sports car if you’re hoping to start a family in a year or two. But you also don’t want to end up stuck with a used car that ticks all the boxes in theory but makes your heart sink every time you get behind the wheel.
Take a test drive
A test drive should always be part of your used car buying process. It’s the best opportunity you’ll have to try before you buy, get a feel for the car, and find out if there are any issues.
Be sure to carry out checks inside and outside the car. Inspect the bodywork, look out for scratches on the wheels or scuffed trim. Inside, test the electrics before setting off. During the test drive, take note of the steering, gearbox, clutch, and suspension while also taking note on any strange sounds. It’s a good idea to take a route that includes different types of roads, including motorways and rough surfaces.
Ask questions
Never be afraid to ask questions. Ask questions while at the dealership, during your test drive, and to your account manager (if you’ve applied for finance with CarFinance 247). You could even lean on your petrol head friend if you have one.
The more you find out before you buy, the fewer unanswered questions you’ll be left with to keep you up at night post-purchase. Take some time to write down a list of what you’d like to ask before heading to the dealership and tick them off as you go.
Buy from a trusted dealership
Choosing a car from a dealership that you can trust can help to put your mind at ease, especially if you’re buying a used car that might develop a fault. Do your research ahead of time and read customer reviews. When you choose a car from the Marketplace sellers on our car search, you can rest assured that we’ve carried out checks on the dealership and they live up to our standards. But don’t just take our word for it, you can review the customer-generated ratings displayed next to every listing.
And if you’re worried about not getting a good deal, you can always try to negotiate. Have a fixed budget in mind and decide that you won’t go above that price, no matter how tempting it might be.
Consider affordability
When it comes to make a large financial decision that you won’t regret, make sure it’s affordable. Committing to a monthly finance repayment that wipes out almost all your disposable income or a large vehicle that burns through fuel is a sure-fire way to end up feeling buyer’s remorse.
Work out your budget first and be sure to include the cost of petrol, insurance, MOT, servicing, and ad-hoc repairs. That way, you’ll know exactly how much you can comfortably afford to spend on a new car. 39% of car buyers surveyed admitted that they wished they’d thought more about insurance, tax, fuel, and maintenance before committing to a purchase.
Get the best deal for your car finance
We all want to get the best deal, whether we’re buying a new car or picking up our favourite snacks from the supermarket. But how can you make sure you get the best rate for your circumstances when it comes to car finance?
That’s where a broker like CarFinance 247 can help. When you apply with us, we’ll look to find the best deal from our panel of lenders. The panel includes lenders that offer hire purchase car finance and personal contract purchase and there’s no need to make multiple applications; complete our online form and we’ll get to work to see if we can find you an approval in principle. Getting a quote will involve a soft credit search; a hard search will only take place if you choose to proceed.
And when you get your car finance first you can choose a car with confidence and a clear budget in mind.
How to deal with buyer’s regret
So, you’ve bought a new car, driven home, and started having second thoughts. In most cases, you can’t simply change your mind, walk away from your car finance agreement, or sell your new car straightaway.
One way of dealing with buyer’s regret is to wait it out. A new car – even one that you fell in love with at first sight – will always feel a bit strange as you’ll be missing the familiarity and comfort that you felt with your old car. Once you start driving the new car more regularly and taking advantage of the features that helped sway your decision, you might find your regret fades away.
But if your regret is strong and isn’t fading over time, you do still have options. If you bought the car outright or using a personal loan, then you’re free to sell or part-exchange it (assuming you keep up with your loan repayments). However, if you buy cars on hire purchase or personal contract purchase, you’ll need to settle any outstanding finance before you can sell. Contact your lender to request a settlement figure – the amount you need to pay off the finance early and own the car.
And no matter what, remember that buyer’s remorse can be a good learning experience and help you make more considered purchases in the future.
What is my right to repair with a faulty car?
One of the biggest reasons why you might regret a used car purchase is discovering a fault. Whether your car struggles to start on a cold winter morning, the air conditioning stops working, or you’ve found a torn seat cushion that you didn’t notice on your test drive, issues like this can tarnish the way you feel about it overall.
26% of car buyers with regrets said they were frustrated that their vehicle had suffered at least one mechanical fault. Luckily, if you’ve bought the car from a dealership, you’re protected by the Consumer Rights Act 2015. This means that if you find a fault within the first six months of ownership, it’s presumed that the fault was present when you bought it and so the dealer must try to repair or replace it. If it can’t be fixed, you can claim a refund or a price reduction if you still want to keep the car.
Can I swap my car finance agreement for something cheaper?
Here at CarFinance 247, we know that people’s circumstances can change over time. A car finance agreement that was right for you two or three years ago might not fit you so well now. The good news is that you don’t have to wait until the end of your loan term to find a new deal, you can refinance instead.
When you refinance, you’ll take out a new finance agreement to pay off the balance on your existing loan. You might be able to take out a new car hire purchase loan with cheaper monthly repayments and a longer repayment term. Or if your credit score has improved, you might be able to find a loan with a lower rate of interest, reducing your repayments or the total amount payable.
What if I’m stuck in negative equity?
All cars depreciate – or lose value – over time but negative equity happens when the amount you owe on a loan is more than your car is currently worth. 22% of car buyers with remorse said they were shocked by their vehicle’s depreciation. It can affect owners of hire purchase cars and personal contract purchase cars.
But don’t worry; you don’t have to be stuck in negative equity forever. At CarFinance 247, we work with a panel of lenders and some of them can provide finance that combines the cost of clearing the negative equity and the price of a new car into one monthly repayment.
