Wed. Mar 29th, 2023

We don’t support this browser version anymore. Using an updated version will help protect your accounts and provide a better experience. 
Update your browser
Please update your browser.
We don’t support this browser version anymore. Using an updated version will help protect your accounts and provide a better experience.
Update your browser
Sign in
Free credit score
Financial Education
Customer Service
Give feedback
Schedule a meeting
Find ATM & branch
It appears your web browser is not using JavaScript. Without it, some pages won’t work properly. Please adjust the settings in your browser to make sure JavaScript is turned on.

Today’s car buyer has a lot of options when it comes to where they get their cars. For buying used cars, some shoppers might feel that private sales are their only option, but most dealerships sell used cars as well as new. In fact, some of these dealers sell used cars almost exclusively! Buying from a used car dealership offers several advantages that private sellers don’t typically offer. Let’s examine a few.
Dealerships have a wide variety of vehicles on their lot and sometimes have access to additional inventory from other dealerships they’re partnered with. That means you may have a far greater chance of finding the specific car you wanted compared to scouring "for sale" ads by individual private sellers.
With a private seller, you’ll typically need to be able to pay for the car entirely in cash or an equivalent form of payment like a check or money order. Used car dealerships, however, can potentially connect used car buyers to financing sources. Note that not all financial institutions offer financing for used cars, but some do. Additionally, used car dealerships sometimes offer their own, in-house financing as well. In this case, the dealer would act as your lender which sometimes allows them greater flexibility when it comes to what credit scores they accept and what interest rates they offer. You may also have the option to use your credit card for some or all of the payment, freeing you from having to worry about saving up for the full price all at once. Just be sure to keep an eye on interest rates charged for “dealership financing” and credit card purchase.
Unlike private sellers, who are largely one-and-done transactions, dealerships often operate on reputation. Customer satisfaction helps them ensure new business keeps walking through the door. As such, it may be in a dealer’s own best interest to make sure they’re selling quality, reliable cars that’ll keep customers happy. Some used car dealerships may even provide a warranty on their vehicles. While it’s usually somewhat limited in scope, it may still be more assurance than you’d get from a private seller.
One of the biggest concerns buyers have when it comes to buying a used car may be the uncertainty about its past. Private sellers have no specific obligation to be forthcoming about a car’s history. Some owners may decline to disclose this information because they feel their car is “perfectly fine” which leaves you with the task of ordering and paying for the car’s history report, or you could just roll the dice and buy the car without any background information. Dealers, on the other hand, are typically happy to provide you with the vehicle’s history report, so you can see the car’s details without chasing them down.
Dealerships are subject to a lot more regulation than a private seller would be. Private sales tend to be categorized “as is,” meaning any undetected defect in the car is solely your liability. At a used car dealership, you’ll have the advantage of seeing a “Buyer’s Guide” sticker. This indicates if the car is being sold "as is" or if it has any additional warranties on it. Dealers are legally mandated to display this sticker on every used car sold. They’re also mandated to honor any warranty agreements they’ve made with you.
One major advantage of working with a dealership is the possibility of trading in your old car when you get your next one. You can use your trade-in to potentially offset some of the cost of your next car, using the trade-in value to make a bigger down payment.
Whether you’re buying new or used, getting a car involves a fair amount of paperwork. The title must be filled out properly, the vehicle must be registered with your state’s Department of Motor Vehicles (DMV) and a bill of sale must be drafted, just to name a few. This can get complicated and matching your schedules could be a hassle if you end up needing some information and cooperation from a private seller. Dealerships streamline this process by doing a lot of it for you. In fact, dealers may have entire departments of people dedicated to filling out and filing the necessary forms on your behalf.
Buying from a used car dealership can provide several advantages that private sellers can rarely offer. Dealers rely on happy customers and word-of-mouth, so they may be diligent about ensuring that every car sold is reliable. You’ll be able to get a vehicle history report in most cases, and possibly a warranty of some sort. Used car dealerships can also offer a wider variety of cars than a private seller, plus financing and other financial assistance options to help ensure a smooth transaction.
This article is for educational purposes only and provides general auto information.  The material is not intended to provide legal, tax, or financial advice or to indicate the availability or suitability of any JPMorgan Chase Bank, N.A. product or service.  Outlooks and past performance are not guarantees of future results. Chase is not responsible for, and does not provide or endorse third party products, services or other content. For specific advice about your circumstances, you may wish to consult a qualified professional.
Choose the checking account that works best for you. See our Chase Total Checking® offer for new customers. Make purchases with your debit card, and bank from almost anywhere by phone, tablet or computer and more than 16,000 ATMs and more than 4,700 branches.
It’s never too early to begin saving. Open a savings account or open a Certificate of Deposit (see interest rates) and start saving your money.
Choose from our Chase credit cards to help you buy what you need. Many offer rewards that can be redeemed for cash back, or for rewards at companies like Disney, Marriott, Hyatt, United or Southwest Airlines. We can help you find the credit card that matches your lifestyle. Plus, get your free credit score!
Get a mortgage or refinance your home with Chase. See today’s mortgage rates, figure out what you can afford with our mortgage calculator before applying for a mortgage.
You might be able to use a portion of your home’s value to spruce it up or pay other bills with a Home Equity Line of Credit. To find out if you may be eligible for a HELOC, use our HELOC calculator and other resources before you apply.
Chase Auto is here to help you get the right car. Apply for auto financing on a new or used car with Chase. Use the payment calculator to estimate monthly payments.

“Chase,” “JPMorgan,” “JPMorgan Chase,” the JPMorgan Chase logo and the Octagon Symbol are trademarks of JPMorgan Chase Bank, N.A.  JPMorgan Chase Bank, N.A. is a wholly-owned subsidiary of JPMorgan Chase & Co.
"Chase Private Client" is the brand name for a banking and investment product and service offering, requiring a Chase Private Client Checking℠ account.
Investing involves market risk, including possible loss of principal, and there is no guarantee that investment objectives will be achieved. Past performance is not a guarantee of future results.
J.P. Morgan Wealth Management is a business of JPMorgan Chase & Co., which offers investment products and services through J.P. Morgan Securities LLC (JPMS), a registered broker-dealer and investment adviser, member FINRA and SIPC. Insurance products are made available through Chase Insurance Agency, Inc. (CIA), a licensed insurance agency, doing business as Chase Insurance Agency Services, Inc. in Florida. Certain custody and other services are provided by JPMorgan Chase Bank, N.A. (JPMCB). JPMS, CIA and JPMCB are affiliated companies under the common control of JPMorgan Chase & Co. Products not available in all states.

© 2023 JPMorgan Chase & Co.
Chase’s website and/or mobile terms, privacy and security policies don’t apply to the site or app you’re about to visit. Please review its terms, privacy and security policies to see how they apply to you. Chase isn’t responsible for (and doesn’t provide) any products, services or content at this third-party site or app, except for products and services that explicitly carry the Chase name.


By admin

Leave a Reply

Your email address will not be published. Required fields are marked *