by : Mike Hamel

The average used car sold for about $13,900 last year; half of what a new car cost according to Edmunds.com. One reason for the sharp drop in used car pricing, as Edmunds points out, is depreciation.

“. . . there is a steep decline in the car’s value in just the first year of the car’s life—from 20 to 30 percent. In other words, that car that was worth $21,800 when it was new can be purchased only a year later for as little as $15,260."

Buying a Used Car from a DealerThe FTC Used Car Rule requires dealers to post a Buyers Guide on used cars. (Buyers Guides do not have to be posted on motorcycles and most recreational vehicles.) The Buyers Guide must tell you:

?> whether the vehicle is being sold "as is" or with a warranty;??> what percentage of the repair costs a dealer will pay under the warranty;??> that spoken promises are difficult to enforce;??> to get all promises in writing;??> to keep the Buyers Guide for reference after the sale;

Buying a Used Car from a Private PartyPrivate sales are not covered by the Used Car Rule and don't require , so be sure to review the documentation before you buy.

Used Car Loan QuoteYou can get a free quote on a used car loan simply by using the express request form at . The site also has more information on .