Those with bad credit auto loans would do well to look for a Certified Pre-Owned (CPO) vehicle, as their warranties are manufacturer-guaranteed and they are often as good as newer models. However, some cars are not all they're cracked up to be, and MSN Autos recently highlighted the top CPOs to avoid.
One thing to watch out for is the cost of a vehicle from year to year. If the latest model costs less than it has in previous years, take it as a warning sign. For example, the source named the Toyota Venza as the worst value in CPOs, as the 2011 edition retails for $755 less than its 2009 counterpart. The five-year cost of ownership also went down by 24 percent – while that may seem like an attractive deal, it is more a sign of depreciating value.
It also costs more to purchase the 2009 Audi Q5 3.2, as this year's model retails for $620 less. Audis are nice cars in general, but there is something to be said for a brand new set of wheels that can be purchased for up to $2,210 less than a previous model, if you include a dealer's incentive.
Other CPOs to avoid include the Toyota Tacoma and Tundra, Nissan Cube and Versa, Volkswagen Jetta and Dodge Challenger.