10 Steps to Take After Buying a Used Car

This is step one for a reason. In South Dakota, you are required to have liability insurance before you legally operate a vehicle on public roads. If you're driving your new purchase home, you need active insurance coverage before you leave.

If you're financing the vehicle, your lender will require full coverage (comprehensive and collision) for the entire life of the loan. Liability-only won't cut it. Most lenders verify this at closing, so have your insurance set up or at least have your agent on standby before you go to the dealership.

If you already have a policy on another vehicle, call your insurance company and add the new vehicle. In most cases, you can do this over the phone in minutes. If you're buying your first car, you'll need to set up a new policy.

• Call your insurance agent before or during your purchase
• Confirm whether you need liability-only or full coverage
• If financing, full coverage (comprehensive + collision) is required
• Get your proof of insurance (digital or paper) before driving
• Buying a classic? Ask about specialty providers like BerkleyOne for agreed-value coverage

In South Dakota, you typically have 30 days from the date of purchase to register the vehicle and transfer the title into your name. If you purchased from a dealership, the dealer will usually handle much of this process for you and provide temporary tags so you can legally drive the vehicle in the meantime.

If you purchased from a private seller, the responsibility falls on you. You'll need to visit your local county treasurer's office with the required documents.

Documents you'll typically need:

• Signed title from the seller (with odometer disclosure if applicable)
• Bill of sale
• Proof of insurance
• Valid photo ID
• Payment for title transfer fees, registration, and applicable taxes

If you only received one key with your vehicle, getting a spare made should be high on your priority list. Modern key fobs with transponder chips and push-button start systems are expensive to replace. Depending on the make and model, a single key fob replacement can cost $300 to $500 or more at a dealership.

Getting a spare now, while you still have a working key to program from, is significantly cheaper than having to replace one after you've lost your only copy. Locksmiths that specialize in automotive keys can sometimes offer better pricing than franchise dealerships, but make sure they can program your specific vehicle.

If you purchased any protection products during the finance process, now is the time to actually read through them and understand what's covered. Don't just file the paperwork and forget about it.

Products you may have purchased:

• Vehicle Service Contract (VSC) — covers mechanical repairs. Know your coverage level (powertrain, stated component, or comprehensive factory-type), your deductible, and your term/mileage limits
• ElevateCare — covers tire and wheel damage, key replacement, paintless dent repair, windshield repair and replacement, and 24/7 roadside assistance
• Gap Insurance — covers the difference between what your vehicle is worth and what you owe on your loan if the vehicle is totaled or stolen

Know where to find these documents quickly. If a situation comes up, you want to be able to reference your coverage and file a claim without scrambling to locate your paperwork.

Regular maintenance is the single most important thing you can do to protect the longevity and value of your vehicle. It also protects any warranty or service contract coverage you may have. Most Vehicle Service Contracts require that you follow the manufacturer's recommended maintenance schedule as a condition of coverage.

Key maintenance items to track:

• Oil and filter changes — typically every 5,000 to 7,500 miles depending on your vehicle and oil type (check your owner's manual)
• Tire rotation — every 5,000 to 7,500 miles to promote even wear
• Brake inspection — at every tire rotation or at least annually
• Fluid checks — transmission fluid, coolant, brake fluid, power steering fluid
• Air filter replacement — typically every 15,000 to 30,000 miles
• Battery check — especially important if the vehicle is more than 3 years old

Look up your vehicle's recommended maintenance schedule in the owner's manual or on the manufacturer's website. Set calendar reminders or use a mileage-based tracking app to stay on top of it.

Having a reliable mechanic or service center you trust makes everything easier — from routine maintenance to unexpected repairs. Find your go-to shop now, before you need one urgently.

What to look for:

• ASE-certified technicians
• Experience with your vehicle's make and model
• Transparent pricing and willingness to explain repairs
• Good reviews and a solid reputation in the community
• Ability to process warranty or service contract claims if applicable

Before you put the first real miles on your vehicle, take 10 minutes to thoroughly document its current condition. Walk around the entire vehicle and capture photos or video of every panel, the interior, the dashboard, the odometer reading, and the underside of the vehicle if possible.

Why this matters:

• Creates a baseline record of the vehicle's condition at the time of purchase
• Useful for insurance claims if the vehicle is damaged later
• Protects you in disputes over pre-existing damage
• Helpful if you later notice something that may have been overlooked

Save these photos in a dedicated folder on your phone or in cloud storage so they're easy to find. Date-stamp them if possible. This takes almost no effort but can be extremely valuable down the road.

If you financed your vehicle, set up automatic payments as soon as you receive your first statement or online account login from your lender. This is one of the easiest things you can do to protect your credit score.

A single missed or late car payment can negatively impact your credit. Auto-pay eliminates that risk. Most lenders allow you to set up automatic withdrawals directly from your bank account through their website or app.

• Set auto-pay for the full minimum payment amount
• Choose a payment date that aligns with your pay schedule
• Make sure the linked bank account always has sufficient funds
• Some lenders offer a small interest rate discount for enrolling in auto-pay

Take a few minutes to review the details of your auto loan so you understand exactly where you stand financially. Knowing your numbers gives you control.

Key numbers to know:

• Total loan amount — the full amount financed including any products rolled into the loan
• Interest rate (APR) — the annual percentage rate you're paying on the loan
• Monthly payment amount — exactly what's due each month
• Payment due date — and whether there's a grace period
• Loan term length — how many months until the loan is paid off
• Current payoff amount — what you'd owe if you paid the loan off today
• Early payoff options — check whether your loan has prepayment penalties (most auto loans don't, but verify)

If your financial situation improves, making extra principal payments can save you significant money in interest over the life of the loan. Even one extra payment per year makes a difference.

You're going to accumulate a lot of documents between the purchase, financing, insurance, registration, and ongoing maintenance. Set up a system now and stick with it.

Documents to keep together:

• Vehicle title (or lender information if the title is held by the lienholder)
• Registration card
• Loan agreement and payment schedule
• Insurance policy declarations page
• Vehicle Service Contract or extended warranty documents
• ElevateCare or other protection product documentation
• Gap insurance policy
• All maintenance and repair receipts
• Vehicle history report (Carfax, AutoCheck) if provided

A simple folder at home works. A scanned digital backup is even better. The key is knowing where everything is when you need it — whether that's for an insurance claim, a warranty repair, a trade-in, or selling the vehicle down the road.