Is Buying a Loaner Car a Good Idea?

When shopping for a used car, be it a sedan, SUV, Truck, or something else, one constant is that we strive for lower mileage and as little wear & tear as possible.  In short, we are trying to get as close as possible to a new car. Certified Pre-Owned (CPO) vehicles recently became a significant step toward this like-new designation, competing with a warranty and other perks.  However, among CPO vehicles, a subset of vehicles occasionally comes even closer to “new.” These vehicles never had another owner besides the dealer or manufacturer but have accrued enough miles to be designated as a used vehicle. This Barry’s Chevrolet post explains more about these vehicles and whether you should consider them for your next car purchase. 

Loaner Cars, Demonstrators, and Program Cars

There are three types of these cars. The most plentiful are loaner cars, which are offered to service customers when their vehicle is in service for a few days. There are also demonstrators for test drives, and sometimes loaner cars, when not being used, serve this purpose.  Manufacturers also have program cars that their employees use for a short time before they get auctioned to a dealer. These might have an average amount of mileage for their age, while loaners and demonstrators usually have low mileage and are put up for sale before they reach 10,000 miles.  They may even have far less.  These vehicles are frequently of the current or recent model year. So, they are like-new and low mileage. So the question remains: should you consider buying one?

The most likely concern of a shopper regarding a loaner car is that it was primarily driven by people who don’t own it, as with a rental vehicle. If it was used for test drives, you can expect that full acceleration and brakes have been tested a few times. Service loaners carried out their temporary owner’s daily routine like other used cars, except that it was by multiple people. It is likely, though, that these cars have been well-maintained. The resources of our entire dealership are on hand to repair or maintain these vehicles because test cars must make a good impression on shoppers.  Service loaner cars are also intended to present service customers with a manufacturer’s latest features since they will likely be future customers. 

What is a Branded Title?

A loaner car may have what is known as a branded title. A branded title indicates anything other than an original transfer from the dealer to a private party for individual use. A branded title is not intended as a scarlet letter but is meant to inform the buyer that the car’s previous use was for something other than private owner use. 

Should you consider it?

A loaner car will likely be the closest means of purchasing a new vehicle at a used vehicle price. You have to be comfortable with the idea that multiple people have driven the car in the past and may not have cared for its welfare. On the other hand, its welfare was quite important to its owner, the dealer. 

A challenge in seeking a loaner car is that they usually aren’t designated as such. Because they are fairly new, have low mileage, and are well-maintained, you will likely find them as a certified Pre-Owned vehicle. For Chevrolet, a CPO vehicle is under 5-model years old, has under 75,000 miles (Loaner/demonstrators are likely to be much newer and have far less mileage), and has passed a 172-point inspection. They have a 6-year/100K mile warranty (from the original sale), come with a Roadside Assistance program, and have other benefits.  Our sales and service staff can also likely point you to a loaner car in inventory as they will likely be very familiar with it.

We invite you to look at the Barry’s Chevrolet online inventory to see all of our Pre-Owned vehicle choices. If you encounter one of our former loaner cars, hopefully, you will better understand what that means.