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Buying a car in Korea
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ucfvgirl



Joined: 28 Sep 2005
Location: Bundang

PostPosted: Wed Jun 14, 2006 1:50 am    Post subject: Buying a car in Korea Reply with quote

For your information:

I was in the process of buying a car when I was confronted with some information I wasn't too happy to hear. Here's what I was told it would cost me for my car: 900,000 for the car, 150,000 for inspection, 300,000 to 500,000 for insurance (however, because of the year and size of the car, I was told the insurance would be in the lower end). So let's just say the total is 1.45 million won.

Well, today after finding out all of the REAL information: 900,000 for the car, 100-150,000 for inspection, 80,000 for registration, 500,000 for insurance (and that's after a discount), and about a 70-125,000 service fee (to pay a middleman who is Korean to help me register the car). REAL Total: about 1.7 million won.

So for all of you out there, please do your research BEFORE you decide to get a car. And if you can help it, do it on your own, with the help of a Korean friend/coworker. Avoid using middlemen or dealers. It will prevent any surprises like I was faced with today. Oh yeah, I decided not to buy the car because I didn't like the fact that I was informed of all of the extra costs the DAY BEFORE I was supposed to purchase the vehicle.
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VanIslander



Joined: 18 Aug 2003
Location: Geoje, Hadong, Tongyeong,... now in a small coastal island town outside Gyeongsangnamdo!

PostPosted: Wed Jun 14, 2006 2:11 am    Post subject: Reply with quote

ucfvgirl wrote:
For your information:

I was in the process of buying a car when I was confronted with some information I wasn't too happy to hear. Here's what I was told it would cost me for my car: 900,000 for the car, 150,000 for inspection, 300,000 to 500,000 for insurance (however, because of the year and size of the car, I was told the insurance would be in the lower end). So let's just say the total is 1.45 million won.

Well, today after finding out all of the REAL information: 900,000 for the car, 100-150,000 for inspection, 80,000 for registration, 500,000 for insurance (and that's after a discount), and about a 70-125,000 service fee (to pay a middleman who is Korean to help me register the car). REAL Total: about 1.7 million won.

So for all of you out there, please do your research BEFORE you decide to get a car. And if you can help it, do it on your own, with the help of a Korean friend/coworker. Avoid using middlemen or dealers. It will prevent any surprises like I was faced with today. Oh yeah, I decided not to buy the car because I didn't like the fact that I was informed of all of the extra costs the DAY BEFORE I was supposed to purchase the vehicle.

You should have known about the costs, true.

The moral of the story: Use the "search" command here at Dave's to find all such information. It's at the top of the screen near where one logs in.

For example, type in search words "buy car insurance" and some of the many related threads that surface are:

"Question to car owners"
http://www.eslcafe.com/forums/korea/viewtopic.php?t=46991&start=0

"Car insurance?"
http://www.eslcafe.com/forums/korea/viewtopic.php?t=14741&highlight=buy+car+insurance

"Getting a car. Help please"
http://www.eslcafe.com/forums/korea/viewtopic.php?t=13952&highlight=buy+car+insurance

"Is getting a car worth it?"
http://www.eslcafe.com/forums/korea/viewtopic.php?t=6772&highlight=buy+car+insurance

And there are also links through the FAQ forum, if one wanted to check for info that way.

Perhaps you were also unaware of how many accidents happen on Korean roads, a fact in itself that often signals to many that the insurance rates wouldn't be very low.

You're not the first to find out the hard way. Too bad it caught you unaware. Hopefully you won't harbour much bad feeling over it. Shake your head, consider it a lesson learned, and take the excellent and cheap public transit.
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peppermint



Joined: 13 May 2003
Location: traversing the minefields of caddishness.

PostPosted: Wed Jun 14, 2006 2:44 am    Post subject: Reply with quote

DAMN insurance is cheap there! I bought a car last week, and have to pay $1200.00
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JongnoGuru



Joined: 25 May 2004
Location: peeing on your doorstep

PostPosted: Wed Jun 14, 2006 2:58 am    Post subject: Re: Buying a car in Korea Reply with quote

ucfvgirl wrote:
[...] So let's just say the total is 1.45 million won.

[...] REAL Total: about 1.7 million won.

[...] Oh yeah, I decided not to buy the car because I didn't like the fact that I was informed of all of the extra costs the DAY BEFORE I was supposed to purchase the vehicle.

ucfvgirl, what you've posted will be of practical value to other people considering buying a car.

Now I don't mean for this to sound churlish, and it's clear that you were upset by the suprise add-on fees, and I don't want to upset you further. However a few things come to mind here.

First, the difference you're looking at is 350,000 won. That's not a small sum if you hadn't budgeted for it, but then again small enough I think in the overall context of what you're saving by not buying a new car, no?

I'm curious, have you now decided not to buy any car in Korea because of that additional amount you'd be required to pay? It's not wildly more than what many Koreans spend each & every month to maintain and operate their car. Or, are you prepared to swallow that extra 350,000 won and buy a car here, but just not_that_car because... I dunno... because it's somehow become inextricably bound up with your anger over this situation?

Second, you're upset that the extra incidentals (not incidental in your estimation, but perhaps in others') were sprung on you so late in the negotiation. (Count yourself lucky they told you even a day ahead!) Fair enough. We're all foreigners here, we all live and learn, and the learning process is full of painful & costly surprises. And it's good that you & others on Dave's take the time to post about it and give each other a "heads up" about such things.

But the way you've describe it, it almost sounds like you consider it a crooked ploy, a scam, some wool being pulled over your eyes. Goodness knows, that sort of chicanery happens here often enough to foreigners. But is that your sense of what happened in this situation? Or was it just more garden-variety, seen-it-every-day sort of Korean assumptions and vagueness and lack of details & clarity?


Last edited by JongnoGuru on Wed Jun 14, 2006 4:04 am; edited 3 times in total
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Gideon



Joined: 24 Feb 2004
Location: Seoul

PostPosted: Wed Jun 14, 2006 3:01 am    Post subject: Reply with quote

INSURANCE??

I own a 2001 Hyundai Tuscani GTS Super.. And the insurance on this car is very expensive by korean standards. I pay 1.4 mil / yr for coverage. Sure its a 2 dr sports car but damn thats fairly high for car insurance in korea.

BUT..

Back home the insurance would almost double for the same model and year, so i cant really complain except for the gas prices!!

Before, i owned a Hyundai Scoupe 2dr, first generation sports car and the insurance ran me 700,000.. not bad at all.. Now Hyundai's 3rd gen model costs a lot more, not only in terms of insurance but gas (80,000 fill tank) up from my scoupe (40,000).

Anyone looking to purchase a new model vehicle in korea should reconsider unless your on the long term plan. Although the upside to having a vehicle, at least for me is all about personal space. I enjoy commuting in my car where i dont have to put up with crowded subways trains, smells of kimchi and soju the night before, buses, taxis, ajumas constantly bumping into you as if you dont exist, people running for the subway every morning ( why run when they come every 2 minutes - makes no sense to me).. ect.... i could turn this into a rant but i'll stop now.
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JongnoGuru



Joined: 25 May 2004
Location: peeing on your doorstep

PostPosted: Wed Jun 14, 2006 3:08 am    Post subject: Reply with quote

Gideon wrote:
I enjoy commuting in my car where i dont have to put up with crowded subways trains, smells of kimchi and soju the night before, buses, taxis, ajumas constantly bumping into you as if you dont exist, people running for the subway every morning

Just wait till the average Chinese sees things your way. "Pass the oxygen mask, brother."
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SuperHero



Joined: 10 Dec 2003
Location: Superhero Hideout

PostPosted: Wed Jun 14, 2006 4:01 am    Post subject: Reply with quote

Gideon wrote:
I enjoy commuting in my car where i dont have to put up with crowded subways trains, smells of kimchi and soju the night before, buses, taxis, ajumas constantly bumping into you as if you dont exist, people running for the subway every morning ( why run when they come every 2 minutes - makes no sense to me).. ect.... i could turn this into a rant but i'll stop now.

Well I have a car and I was happy to stop driving daily when I got a new job right next to a subway stop. Driving bites because it's just dead time - can't read while your driving and I save a hell of a lot of money taking the subway. When I was driving I would spend close to 200,000 per month now I spend about 35,000 on subway and 40,000 on gas for my weedend driving.

Best of all - no STRESS when taking the subway, driving is all stress.
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Gideon



Joined: 24 Feb 2004
Location: Seoul

PostPosted: Wed Jun 14, 2006 4:22 am    Post subject: Reply with quote

Yes i must agree that at times driving can be stressful, which is one of the reasons why i shouldnt have bought the my car.. for example the other day..

It was a nice sunny afternoon, just before rush hour.. I'm stopped at the traffic lights waiting for the green left turn arrow, got the tunes on and the sunroof open, windows down to let in a breeze. My day is going pretty good up UNTIL the light changed to green arrow..

NOTE: There are 2 lanes for left turning. Next to me is a Sorento (SUV)

I proceeded to make the left turn at a prudent speed when this %#%$HOLE!! of a driver in the Sorento decides half way threw the turn to move into my lane without even looking.. He cuts me off and forces me into the oncomming traffic lane. I lay on the horn and he doesnt even acknowledge my presence.

So what do i do?? Hes got me really pissed!!

I decide its time to light up the GTS SUPER and tach it to 7000 Rpms pull out in front of him, which by no choice um in the oncomming traffic lane for about 3 seconds.. enough time to lay smoke and let him know what hes done..

Btw.. it was an male, because at the next set of lights i get out of the car and yell at him.. course he thinks um a total lunatic.. oh well .. um sure he #%$# himself when he saw me comming..

Ok ok ok... i know i have road rage.. its a bad thing especially in this place..
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I-am-me



Joined: 21 Feb 2006
Location: Hermit Kingdom

PostPosted: Wed Jun 14, 2006 6:43 am    Post subject: Reply with quote

I got a car a few months ago. Cost me $900 plus registration fee. Insurace runs about $600 yr. for old 91 kia. I didnt pay any middle man a cent. Got mine from car dealer outside of air force base.. korean guy lived in american and knows we dont like to be screwed over. I too didnt really want to have a car. Everyday is a nightmare to park around my apartment. Yes....the koreans will make a left hand turn from two lanes over and not even notice you are there. Best thing though is to follow the taxis and buses and just go through the red lights. Gets me to work a minute faster. Shocked
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Hyeon Een



Joined: 24 Jun 2005

PostPosted: Wed Jun 14, 2006 11:53 am    Post subject: Reply with quote

Gideon wrote:

I own a 2001 Hyundai Tuscani GTS Super.. Sure its a 2 dr sports car but...


YATA!

The End.
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ucfvgirl



Joined: 28 Sep 2005
Location: Bundang

PostPosted: Wed Jun 14, 2006 2:29 pm    Post subject: Just to warn others Reply with quote

All I wanted to do with my post was to ensure that others don't end up with the same situation that I had.

I live on a VERY tight budget here because I have student loans to pay. So, yes, the amount could be considered NOT THAT BIG OF DEAL and if I didn't have my loans to pay, then I would probably feel the same way. But when you are expecting one thing and are completely prepared for that and all of a sudden you are told something else, it is a little hard to swallow.

I am not trying to rant and rave. I am just trying to spread the word to other foreigners to become FULLY aware of all the obsticles that might come when you try to buy a car. I have decided to wait until I return from my vacation in Canada to buy a vehicle. I am lucky in that I don't have to commute very far to my work. I just wanted a vehicle for weekend exploration/camping trips, trips to COSTCO, other grocery shopping and to visit other parks in my area. I now have a dog and it would be nice to take him out to places that are not accessible without a car.

I appreciate everyone's comments and suggestions. I realize I should have looked into everything further and like I said, a lesson was learned.
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randomwhiteman



Joined: 09 May 2006

PostPosted: Wed Jun 14, 2006 2:42 pm    Post subject: Reply with quote

Gideon, kind of off topic, but what do you think of the Tuscani. I'm moving over in about a week, and I'm getting a Tuscani while I'm over there. Not exactly the compact I'm used to in the US, but figured it would be a better option then the SUVs guys at work over there were trying to sell me on (I pretty much get my choice of just about any car over there, but pay the same flat fee regardless of the model I get.)
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milf



Joined: 29 Mar 2006

PostPosted: Wed Jun 14, 2006 4:16 pm    Post subject: Reply with quote

900,000 for a car? What kind of car is that? That's way too cheap.

Isn't the average like 20 million to 50 million?
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I-am-me



Joined: 21 Feb 2006
Location: Hermit Kingdom

PostPosted: Wed Jun 14, 2006 5:40 pm    Post subject: Reply with quote

Let me get this straight....she is in korea paying off stucent loans...she takes a vacation to canada...then she complains about car expenses. What am I missing here? I really hope thhis girl is saving for her future somewhere along the line. Shocked
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JongnoGuru



Joined: 25 May 2004
Location: peeing on your doorstep

PostPosted: Wed Jun 14, 2006 5:57 pm    Post subject: Reply with quote

I-am-me wrote:
Let me get this straight....she is in korea paying off stucent loans...she takes a vacation to canada...then she complains about car expenses. What am I missing here? I really hope thhis girl is saving for her future somewhere along the line. Shocked

I dunno, I was caught in the same bind as the OP one year. It came down to either a car or a vacation. One or the other, I couldn't afford to do both. The vacation won out because, realistically, the car was a luxury that could be put off a while longer, whereas vacation time comes once a year -- I use it to see my parents & friends, or I'll regret that I hadn't. As it happens, I returned to Korea to discover my girlfriend had been involved in two costly auto accidents (neither were her fault) over the span of a single month, and for that and other reasons, my all-consuming passion to buy a car had waned. I've never once regretted all the money I've saved from that decision.
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