What Does Certified Pre-owned Mean?

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A certified pre-owned vehicle is a used vehicle that has been factory-certified and is available for purchase at a branded dealership.
This typically means the car is accident-free, has low mileage, is gently used, and is only a few years old.
Even though they’re not brand-new, some pre-owned vehicles can be quite pricey, so you’ll want to find as many ways possible to save money.
If you want to save money on car insurance, the Jerry app is a good place to start. As a licensed broker, Jerry does all the hard work of finding cheap quotes from the top name-brand insurance companies and helping you switch providers. 
Here, Jerry has gathered everything you need to know about pre-owned vehicles—continue reading to get informed.

What is a certified pre-owned vehicle?

Certified pre-owned means that the vehicle has been inspected, reconditioned, and certified by a dealership, manufacturer, or retailer before being resold.
These cars are typically younger than five years old and have fewer than 60,000 miles on them—but the standards for these certifications will vary between manufacturers.
Certified pre-owned vehicles (CPO, for short) are slightly different from cars that are considered “dealer certified.” 
CPO vehicles go through a rigorous inspection program administered by a factory-certified mechanic to ensure that they are up-to-par and reliable to hit the road.
On the other hand, many dealer certified vehicles have only gone through a more rudimentary inspection by the dealership.

The pros of a certified pre-owned vehicle

There are a few benefits of purchasing a certified pre-owned vehicle.
  • In comparison to new cars of similar quality, a CPO vehicle will be less expensive.
  • You can buy a current production model at a reduced price.
  • It’s a low-risk purchase thanks to the inspection it goes through.
  • They usually come with low mileage.
  • Some programs and manufacturers offer trip-interruption insurance to help with rental payment or breakdown assistance.
  • Some CPO programs offer buyback protection.

The cons of a certified pre-owned vehicle

While there are a number of benefits to purchasing a certified pre-owned car, there are some setbacks you should also keep in mind.
  • There are no industry standards for pricing when it comes to CPO vehicles, so the deals will vary depending on where you go.
  • Compared to non-certified used vehicles, a CPO tends to be a little pricier.
  • There is less choice due to the high standards of the inspections and mileage.
  • There’s a potential for expensive repairs in the future—be sure to get a copy of the inspection list beforehand.
  • Usually, purchasing a CPO vehicle has additional costs for transfer fees and fresh inspections.

Saving money on your pre-owned vehicle

Whether you decide to purchase a certified pre-owned vehicle or buy new, there are a number of ways you can save money overall—and finding an affordable car insurance policy is a great place to start.
It’s super easy: just download Jerry, your ultra-talented insurance broker for life. 
In less than a minute, Jerry collects all of your information from your existing insurer. Then, choose from quotes from 50+ top insurance companies and Jerry takes care of the rest—securing your new policy and helping you cancel your old one. 
No long forms. No calling around. No hard work. Just savings.
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FAQs about certified pre-owned cars

You can lease a certified pre-owned vehicle.
Some authorized dealerships offer leases almost exclusively when it comes to certified pre-owned vehicles. 
Be sure to contact your dealership ahead of time or discuss in-person to figure out if leasing is available for the specific car you’re interested in.
If you’re debating buying a new or used vehicle with poor credit, then a certified pre-owned vehicle might be your best bet.
CPO vehicles are usually only a few years old and have less than 60,000 miles on them. This means you are more likely to be approved for one with a lower credit score.
Some manufacturers even have special interest rates for CPO vehicles, so it’s definitely an option worth considering if you have a low credit score.

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