Here are ten (10) things you should check for:
- Cracks and other physical imperfections - Breaks or noticeable nicks in the casing of the laptop are indications of it having been dropped. This can very well mean there are other internal parts that might not be as good as they should be. There is a difference between normal wear and tear and damage from abuse or falls. You should also check and make sure that all screws are present and that the laptop casing fits together properly.
- Input/output ports - Check the external video port, LAN, USB ports and whatever other connections the laptop comes with. The ports should be firm and fully functional. You should also check the web camera, WIFI and BlueTooth features where applicable.
- Screen and hinge - A screen is an expensive component to replace so make sure the screen is in great condition with as few scratches as possible and no "dead-pixels" problem. The hinge should be firm yet smooth in terms of feel.
- Optical drive - Insert a disc into the drive and see how long it takes to read it. You may want to try more than one type of disc. Listen for any excessive noise or vibrations coming from the drive.
- Hard drive - Most importantly here is ensuring that the hard drive does not have any disk error or bad sectors. See here. You may also want to ensure that the storage capacity of the hard drive is sufficient for your stuff - music, pics, documents etc..
- Specs including RAM, CPU, GPU and Rating - 512 MB RAM for Windows XP is acceptable, but for Windows Vista and 7 you need at least 2GB if you're to avoid pulling your hair out. A 64-bit CPU/Processor is also a good idea. Pay attention to the graphics processor too, especially if you're going to be playing a few games and watching HD videos. For information on the system rating you can check out this article.
- Keyboard and touchpad - Ensure that the keyboard works and that the keys feel sturdy. Pay attention to faded keys and/or missing keys. The touchpad should be responsive and it's buttons sturdy and fully functional.
- Battery life - For a device to be termed portable it has to have a functional battery. Keep in mind though that a used laptop WILL NOT have the same kind of battery life you would get from a new one. You do want a battery that keeps some sort of charge - the more the better.
- Software checks - Ensure that the operating systems boots properly, that you're not missing any system/hardware drivers and that programs launch with a certain level of ease and urgency. If productivity and protection software are already installed it will save you having to "buy" them later. Be mindful of software piracy.
- Old vs new item's price - If it is cheaper to buy a new laptop then there is no point in going for a used one. Compare the asking price of the used laptop against the going price for a new, better equipped one - spending a bit more up front can save you a "pretty penny" down the road.
Update: I should have also mentioned (under looking for physical imperfections) the importance of paying attention to the condition of the power adapter. You do not want to buy a device with a faulty adapter, especially not one with a broken earth pin or with its wire having been joined.
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