Money Monday Tip #16

For the past several months I’ve been contemplating purchasing a new MP3 player to use during my exercise workouts. I decided to upgrade because my last MP3 player could not hold more than 20 songs without purchasing a memory card. In the past that was fine because I didn’t use it much, but since I have been exercising on a regular (cough cough) and use it more often, I wanted something that would accommodate my workouts.

Whenever I plan to make a purchase for something I want, I always do research to make sure I’m getting the best possible price. I compare the product new, next I look for it used or refurbished, then I buy. With my last electronic purchase I decided to buy a refurbished item. If you are looking to save some money on your purchase, buying refurbished goods might be for you.

What does refurbished mean?
It’s a product that has been returned by a consumer and sent back to the manufacturer to be inspected, tested, repackaged and then resold. Some refurbished items may have cosmetic blemishes, scratches, may have been slightly used or not used at all. Once something is opened it can no longer be sold as a new but as factory refurbished. Products are also returned because of being defective. In this case the manufacturer fixes the product, it’s repackaged and then resold.

If you do decide to buy refurbished products make sure it comes with the following:

1. a return policy just in case you don’t like it
2. a limited warranty, most reliable products come with at least a 30-90 day warranty.

Buying stuff doesn’t always mean paying full price. Last week I received my refurbished MP3 player and if you held it side by side to a new one, you could not tell the difference. It came with new packaging, a new manual, not one blemish, all at a great price.

Here’s my breakdown of new vs. refurbished:
New MP3 $69.99/armband $29.99 (manuf.): Total price $99.98
Refurbished MP3 $35.99/armband $.99 (manuf./ebay): Total price: $36.98
Total Savings: $63.00!
My satisfaction: Priceless.

Now don’t go out and buy something because you can get it at a lower price. Contemplate. Plan. Research. Buy. Just remember that sometimes a refurbished item may be all that you need. Here are three sites that sell refurbished goods.

CreativeLabs.com
Overstock.com
Woot

Have you ever purchased a refurbished product, if so what was your experience? Good or bad?