A second-hand car described as Category D, or Cat D, will often be on sale for thousands of pounds less than its contemporaries, so it can be tempting. However, that Cat D classification indicates that the car has been written off by an insurance company after being damaged, because repairing it would cost more than the car's value. That doesn’t mean you shouldn’t buy one, but there are some essential rules to follow to ensure you don’t end up losing money or buying a dangerous car.
For now, the rate of VED depends on the CO2 emissions of a car – the higher the CO2, the more you’ll pay. There’s also a different amount payable in the first year of a new car’s life on the road, and that also relates to its emissions. Our guide explains what the current rates are and how they’ll change from April 2017.
An average car loses around 60% of its original value in the first three years, but there are ways to reduce your losses. The rate at which a new car sheds value depends of a number of factors, including its price, running costs and whether it’s a desirable make and model. Our guide gives you top tips on how to minimise the cost of depreciation on your next new car.
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