Basic Tips to Simplify New Truck Buying
Published On Feb 10, 2017
Buying a new product is certainly not an easy task. And the difficulties involved transform into perilous mountains if the new product that you seek is a truck. You can’t just rely on word of mouth publicity or a few friends’ advice and finalise a truck. After all, it would be lakhs of rupees that you would be investing, and it is quite obvious that you will be looking for returns as well.
Unlike cars, which are mostly bought as driving pleasure machines, trucks are meant for fulfilling business needs. Also, a truck purchased as a result of uncalculated and hasty decisions can lead to more problems than profits. Then how is it that one should approach new truck buying? Is the new truck buying process really that complex?
Here is a list of tips that can simplify the process and maximise the chances of buying new truck(s) that suit your business the best.
Pen down Your Requirements
It is of utmost importance that you understand exactly what you want to buy. Though most of us know what we need, only a few, pen down the exact requirements. Grab a notepad, a pen, and jot down all that you want in the new truck.
Start with the nature of business you are into or the application you will use the truck for. For eg. if you are searching for a truck capable of delivering couriers and small packages, there is a strong possibility that a pickup truck is all you need, but if you end up buying a bigger truck just because of unclear requirements, the decision will not be a profitable one at all. The same amount could have been easily used to buy two pickup trucks instead.
Secondly, make sure you take in consideration the types of roads the new truck will be used on. Important figures like maintenance, operational life and fuel economy depend a lot on the kind of roads the truck is driven on. On the side lines, don’t forget to mention the amount of hours or distance the truck will be used for every day.
*Other requirements to note– Fuel type (CNG or Diesel), Operational Hours, Mileage, Payload, On Road Assistance Service during Truck Breakdown, Power and Torque.
The taller the building you want to construct, the deeper the foundation you will have to lay. Similarly, the more you research about truck models falling under your requirement’s criteria, the better truck you will end up buying.
Scrutinise as much truck brands as possible. Write down the strengths and weaknesses of all the models you are looking at. Match them with the requirement list you had prepared initially. Nothing beats the real time experience, hence if possible, talk to drivers and truck owners. Ask them about the challenges they faced with particular models. Also, check the vicinity of authorised truck service centres from your office. Inquiring about the cost of spares before buying a truck will also help. Check whether the truck models are available with a sleeper cabin or not.
Fix a Budget
Now that you have the exact requirements in front of you, browse through a few truck models, check their prices and finalize a budget. The budget must comprise of the maximum down payment amount you can afford, RTO taxes and insurance prices. Don’t forget to keep extra cash in hand in case you plan to get the truck body built yourself. Getting the loading deck built independently can cost anything starting from one lakh rupees.
Apply for a Pre-Approved Truck Loan
The majority of trucks purchased in India are bought through vehicle financing agencies. And getting a truck loan approved is not easy at all. Actually, a large number of people give up on decisions of buying new truck just because of the unapproved loans.
Apply for a pre-approved truck loan well in advance. Doing so will also help you negotiate on final truck prices as well. Talk to different banks and make sure you have a good credit history. Don’t forget to mention about loans you have taken in the past. A good payment history will help you fetch lower interest rates. Moreover, once you have the pre-approved truck loan with you, other finance agencies will try their best to offer the same loan amount with better deals.
Check Resale Value
Researching about a truck’s resale value may sound a little surprising to a lot of people, but the practice can save you a lot of that hard earned money. Resale values are generally decided on basis of mileage, truck’s operational life, spares availability and their cost.
Handsome resale value defines a particular truck model’s good abilities, whereas poor resale value may denote the opposite. The practice would also enable you to gauge the amount you would be able to garner if you decide to sell the truck in the longer run.
Going through the lists prepared and research done, again and again, will give you the final idea about the exact requirements that you are seeking. The practice will help you finalise a few models as well. Now is the time to visit truck dealerships and have a hands on feeling on the truck models you have finalized.
Check all the models thoroughly. Probe if you are not clear about anything pertaining to the truck brand or model. Ask for a long test drive and note any shortcomings you encounter during the drive. Refer to the initial requirement list all the time. Ask as many questions as you want; remember it’s you who’s spending the money and not the dealer.
Bargain Bargain and Bargain
You have finally reached the truck buying stage and have that pre-approved loan in your arsenal. Ask if the truck brand has a truck financing option available (as many CV brands in India offer truck financing). Tell them the exact rate of interest that will be charged if you opt for the pre-approved loan and enquire about rates they will offer in case you get the truck financed through them. Ask for better discounts if you have brought commercial vehicles from the same dealership previously.
Visit different dealerships of the same truck brand in your city or nearby cities. Dealers usually compete against each other and offer good discounts to good prospects. They would even throw in freebees like free insurance in order to make you buy trucks from them. All in all, make sure it’s you who is getting the better part of the deal.
Inspect at the Time of Delivery
Make sure you check the truck thoroughly for any faults in the body, tyres, hood and cabin before taking the delivery. Inspect the truck carefully for even the smallest of scratches. Though a small scratch won’t matter, but it still can get you discounts on the day of delivery as well.
Simply refuse the delivery if you find a big problem in the truck, and ask for a new product citing the delivery period promised by the dealer.