Used Car CPO: Is It Worth the Extra Cost and How to Buy

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Used car CPO (Certified Pre-Owned) refers to vehicles that are returned to the dealer or manufacturer through the CPO program. Each company has its own set of rules and regulations for qualifying CPO vehicles, including Mileage and condition requirements.

But before we delve into the details of used car CPOs, let’s first explore what COP cars are.

What Is a Certified Pre-Owned Vehicle?

We all know that purchasing a used car can save you money and allow you to own a luxurious model you might not afford new. However, buying a used car comes with uncertainty—you can never be sure how well it was maintained or driven. To address these concerns, automakers introduced the “certified pre-owned” (CPO) program.

A CPO car is a used vehicle that has been thoroughly inspected and determined to be in superior operating condition compared to other traditional used cars. It combines many benefits of both new and used cars.

In other words, CPO vehicles are often cherry-picked, meaning they typically have lower mileage, a clean history, and are well-maintained. They also come with an extended manufacturer’s warranty, protecting against defects and costly repairs. Additionally, Auto CPOs go through a multi-point inspection to identify and fix any issues before being sold.

 

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Manufacturers often provide additional perks, such as free loaner cars, roadside assistance, limited-time satellite radio subscriptions, and discounted financing rates on loans. However, these added benefits come at a price. On average, used car CPOs cost about 1.8% higher than non-certified used cars, which can translate to hundreds or even thousands of dollars, depending on the model.

Now the question may arise: “Which should we choose, buying a CPO vehicle or a traditional used car?”

If saving money is your top priority, a traditional used car with a high reliability score may be the better option. However, based on our analysis of reliability and owner satisfaction surveys, investing in a certified pre-owned car could indeed be a wise decision.

Read More: Certified Used Cars

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Are CPO Cars As Good As Claimed?

Dealers believe Auto CPOs are a better option due to their extended warranty, like-new condition, and, most importantly, the potential to save you more money compared to buying new.

Our analysis shows that CPO cars have around 15% fewer problems than traditional used cars.

However, not all certified pre- owned programs are the same. A used vehicle may be advertised as a used certified car, but it might not be part of the manufacturer’s official certification program. Some dealers may “certify” care themselves or offer third-party certifications. All these certifications come with risks.

We advise that when buying a certified pre-owned car, you take the following notes into account:

Note 1: You need to understand the different programs and always request full, official documentation from the dealer to know exactly what type of warranty you’re purchasing.

Note 2: Not all certifications are transferable from the previous owner to a new one. This is a significant consideration if you’re buying a used car from a private seller.

Precautions When Buying a Used Car

Buying a used car can lead to significant savings, but it’s essential to take certain precautions. Ensure you purchase from a reliable source and have the car inspected by an independent mechanic who doesn’t profit from the sale.

Since most used cars don’t come with an extended warranty, it’s wise to set aside funds for potential emergency repairs. If a non-certified used car is still covered by its original warranty, buyers may have the option to purchase a factory-backed extended warranty at a negotiated price.

 

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Another critical precaution is to check the vehicle’s history before buying. Googling the full VIN (vehicle identification number) to see if any revealing information pops up. You can also enter the VIN at websites, like Carfax Canada to check for open recalls and purchase a vehicle history report from a trusted provider. However, while these tools are helpful, remember that a clean history report doesn’t always guarantee the vehicle has never been in an accident.

Note: If you’re considering a certified pre-owned car, keep in mind that its price is often negotiable.

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Our Goal at Car Rookie

At Car Rookie, we are dedicated to helping you get a fair deal and ensuring the safety of the vehicles you purchase. Over the years, our team has worked tirelessly to provide consumers with trusted, unbiased information. Our goal is to empower you with the knowledge you need to make confident decisions—not just the information dealers want you to hear.

We always stand with you, helping you find a car that’s not only a great deal but also safe for you and your family.

FAQ

What does "CPO warrantied" mean?

A certified pre-owned (CPO) car is a used vehicle that has undergone a thorough inspection and necessary repairs. It may also be backed by the manufacturer's or dealer's warranty, depending on their CPO program.

What Should I Check Before Buying a Certified Pre-Owned Car?

Before buying a CPO car, buyers should check the details of the CPO program, as warranties and inspections can differ by brand. It’s also important to review the vehicle’s history report to ensure it meets the program’s requirements. This helps avoid surprises and ensures a smart purchase.

Are Certified Pre-Owned Cars Worth the Extra Cost?

The higher price of a CPO car is usually worth it for many buyers. The extra cost covers benefits like a warranty, a thorough inspection, and assurance of quality. CPO cars are often more reliable and have fewer hidden problems, making them a good choice for buyers who want peace of mind and a safer investment.

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