Mercedes Certified Pre Owned Program Explained

(This article Updated with May 2020 Special MB CPO APR Interest Rates… see below) The Mercedes Certified Pre Owned program offered through franchised Mercedes-Benz dealerships is one of the safest, most cost effective ways to buy a lightly used Mercedes while saving tens of thousands of dollars in the process.We’ve included CPO Warranty pricing  here as well!

As the buyer of a Mercedes Certified Pre Owned vehicle you get extended warranty, special interest rates and peace of mind knowing the car is in top mechanical condition with a clean history. Only the best of the best used Mercedes go through the ‘Certification’ process.

Over the years I’ve written a number of articles on the benefits of buying a ‘used’ car as opposed to a new car. After putting in my time at two different new Mercedes-Benz dealerships, I still think buying, what I call ‘slightly used’… and when I say that, I mean, taking advantage of the Mercedes Certified Pre Owned program is the best way to do it. Read on to find out the finer points of the MM CPO program and see a couple of examples of Mercedes ‘CPO’ cars on the market today.

Strict Guidelines from Mercedes-Benz USA

The Mercedes Certified Pre Owned program is only open to Mercedes that:

• Are less than 6 model years old
• Have under 75,000 miles on their odometer
• Pass a 165 point dealer shop inspection (includes structural, cosmetic, mechanical inspection and road test)
• Clean Carfax vehicles history report (no accidents, floods, repo, etc.)
• Must have Mercedes factory approved tires (no cheap ‘Nexen’ tires on a CPO Mercedes!)
• No outstanding recalls or service campaigns

And remember, only a franchised Mercedes dealership can sell a real, Mercedes Certified Pre Owned car. That means a dealership that sells new Mercedes. You do occasionally see an independent used car dealership selling a Mercedes they might call ‘Certified.’ You might even see a used Mercedes at a Toyota dealership with a ‘Certified’ sticker on it, but that’s all marketing and frankly, it’s misleading. You get no benefits from Mercedes with cars like those and Mercedes doesn’t stand behind it, it means nothing.

Extended Warranty from Mercedes-Benz is Included

To buy an extended warranty or not… is another question for another time. When you buy a Mercedes Certified Pre Owned vehicle an additional year of warranty with unlimited mileage (above and beyond whatever factory, new car warranty may still be in effect) is included with your purchase. What does that really mean?

A new Mercedes comes with a comprehensive warranty lasting 4 years or 50,000 miles. That warranty starts the day the car is purchased (or leased) when new. The additional 1 year of Certified Pre Owned warranty included in every CPO purchase begins the day that initial 4 years is up or as soon as the odometer hits 50,000 miles. When either of those things happen, you get the additional CPO year with unlimited mileage.

Buyers of CPO cars do have the option of adding an additional year or two in order to extend the CPO warranty when you buy the car. You do have to pay for it, but it’s a good thing to have. It’s good to have, not because Mercedes break a lot, or are unreliable, but because modern Mercedes are very complex machines with all kinds of electronic systems that can be costly to repair if somethings does go wrong.

The extended CPO warranty requires no deductible and is quite comprehensive covering the engine and powertrain, steering, suspension, brakes (excluding wear of discs and pads), electrical system, climate control system, and more. It’s a solid warranty that is honored at all 350+ Mercedes service facilities nationwide. And, if you happen sell your car before the warranty period is up, the warranty goes with the car. It’s attached to the VIN, no matter who owns the car or how many times it is bought or sold, the warranty stays with the car.

As of April 2020, extended warranty costs, beyond the one additional year included with a CPO purchase are as follows:

Mercedes Roadside Assistance is Included

The Mercedes Certified Pre Owned program also covers roadside assistance during the warranty period. For something as simple as a flat tire or dead battery that needs a jump, you’re eligible foe Mercedes 24 hour Roadside Assistance Program. If some other type of breakdown occurs or repair is necessary that is covered under the MB CPO warranty, you’re eligible for trip-interruption reimbursement. Trip interruption coverage is available when you are more than 100  miles from home. While the car is at the nearest Mercedes dealership, you’re eligible to be reimbursed up to $300 per day for three days of alternative travel, lodging and meal expenses.

Special APR Finance Rates for Mercedes Certified Pre Owned Vehicles

MB Financial always offers special finance rates for specific Certified Pre Owned vehicle classes. The CPO rates available through MB Financial will, in almost EVERY case, be the best rate available. They vary by specific Mercedes model and loan term, but they’re generally quite competitive. Rates change monthly. During the month of May 2020, here are the Mercedes Certified Pre Owned interest rates available through MB Financial.

Model Classes and Years:
C, E, CLA, GLA, GLC, GLE, S* (sedan) from Model Years 2016, 2017 and 2018
and… GL class from 2016, GLS Class from 2017 – 2018
*Excludes S600 Maybach

Rates and Terms (for classes and years listed above):
1% APR up to 36 months
3.99% APR up to 72 months
4.99% APR up to 72 months

So there are the ins and outs of the program… Let’s look at two examples of Certified Pre Owned Mercedes cars on the market today.

Market Snap-Shot: 2 Mercedes Certified Pre Owned Cars For Sale Today

2017 Mercedes C 300 4matic Sedan
Polar White w/ black MB Tex interior (read my article about MB tex if you’re not sure what it is)
22,780 miles
Options include: Sport Package, P1 Package, Panorama Sunroof
Selling Dealer: Sears Imports Mercedes-Benz – Minnetonka, MN (one of the dealerships where I used to work)
Price: $28,437

Sears Imports happens to include a list of the options on each of their cars with a photo of the original window sticker / option list so you can see exactly what options are on the car and what it cost when new. This is VERY helpful and allows customers to really compare apples to apples when sizing up similar used cars in their inventory. Cost of this car when new was $48,210.

2017 Mercedes C 300 4matic Sedan
Lunar Blue metallic w/ Silk Beige and Black MB Tex interior
25,050 miles
Options include: P1 Package, Panorama Sunroof, KEYLESS GO and Blind Spot Assist
Selling Dealer: Mercedes-Benz of Palm Beach – Florida
Price: $23,900

This example clearly shows the regional differences in used car prices. Minneapolis is a more expensive market than south Florida as you can see here. This car doesn’t have the ‘Sport Package’ and it has about 3,000 more miles than the white car above, but is otherwise, very similar… and it’s $4500+ less expensive!