Each year, we're encouraged to buy new technology. Smartphones, TVs, laptops, and other gadgets are released annually. However, you may be worried about the financial or environmental cost of regularly upgrading.

If you do find yourself in the market for an item of technology, you could opt to purchase non-new devices. These items should be assumed to be pre-owned in some form. Many terms are thrown around: pre-owned, refurbished, used, and even certified pre-owned.

But what's the difference between them all?

Refurbished Tech Hardware

People checking refurbished hardware
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A refurbished item is likely to have been used, and either returned as used or returned as faulty. The device will then undergo diagnostic testing and any necessary repairs completed. The item gets a thorough clean and is repackaged for sale.

To encourage you to buy a refurbished item, a new warranty will often be added. The warranty often won't be as comprehensive as for a new item but gives peace of mind should anything go wrong. However, you should check the length and terms of the warranty as it will differ between retailers.

eBay has two categories of refurbished devices: manufacturer refurbished, and seller refurbished. Both styles should have restored the device to almost-new specifications, but the manufacturer has not approved a seller refurbished item. If this all sounds confusing, they do provide an Item Condition Look-Up Table to help you identify a product's condition.

How to Shop Refurbished

Before committing to a refurbished device on eBay, it's worth researching the seller. You'll want to be looking at their ratings, how many products they have listed, and their refurbishment process. If you can't find the answers you're looking for, then ask the seller.

Many manufacturers have their own certified refurbished devices for sale too, often at a significant discount. There are a handful of places where you can buy a used or refurbished iPhone, for example, including Apple's own website. Amazon even has a Certified Refurbished storefront for you to browse all available devices.

Amazon allows both manufacturer and seller refurbishment. However, the company can revoke the Certified Refurbished label if a seller is found to have an imperfect refurbishment process. These items are covered by the Amazon Renewed Guarantee, which provides a 90-day warranty in the US, and 12 months in the EU.

Smaller retailers may also offer refurbished items, but these often come with less protection should something be amiss. If you choose to purchase a refurbished item outside of a major store, then make sure that the terms of sale are laid out in writing before you pay, and that there is a warranty or return process.

Used Devices

A woman holding a broken smartphone
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Depending on where you purchase the item from, there will be different definitions of used. eBay defines it as "[an] item [which] may have some signs of cosmetic wear, but is fully operational and functions as intended." By that definition, the item should work as expected but could be scratched or have a damaged screen.

Outside of a regulated site like eBay or Amazon, the term can take on any number of meanings. While sites like Craigslist are a great way to buy and sell used stuff online, there is no regulation of how items are described. Any sale is between you and the seller only, making complaints challenging to manage.

Some people are happy to accept the risks of buying a used device, especially since they offer far more substantial discounts than pre-owned or refurbished devices. However, if you don't want the hassle of attempting to fix a broken item, or being out of pocket, then you may want to pass over used items.

Pre-Owned Hardware

An iPad covered in fingerprints
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Pre-owned is generally a bit of a gray area. While it technically refers to any second-hand product, in most cases it usually refers to a well-taken-care-of item. This category of device sits between Refurbished and Used, where it is in good, but not exactly new, condition.

In this sense, it's similar to the vintage label being applied to clothing. Another term you tend to see intermingled with pre-owned is pre-loved. Those terms imply that they are in generally good condition even though they've been used. You would expect there to be nothing explicitly wrong with them outside some minor cosmetic damage.

However, it's always best to be skeptical of terms like pre-owned, pre-loved, and vintage. They are words designed to evoke a feeling in you that the items have been taken care of, but this isn't guaranteed. As there is no agreed-upon definition, it varies across stores, sites, and sellers.

As with other second-hand items, understand the risks of purchasing a used item, especially when it comes to electronics or high-value purchases. Before committing, make sure you know the seller's return policy and any warranties offered.

Certified Pre-Owned

While pre-owned is primarily marketing speak for used, Certified Pre-Owned (CPO) actually has an entirely different meaning. CPO is a term in the used car industry that describes a vehicle that has been inspected by the automaker or dealer and returned to the original specifications. In this sense, it is very similar to a certified refurbished item.

The used car is inspected and, if found, faults are repaired, and parts replaced. The warranty is typically extended either based on mileage, the months of the original warranty, or a parts warranty. However, just as with Certified Refurbished, there is no hard-and-fast rule and the details will often vary between dealers and automakers.

Which Second-Hand Device Is Right for You?

In the majority of cases when buying a second-hand product, refurbished is the way to go. The device will have been returned to a close-to-original condition and will be cheaper than a new model too. Certified Refurbished products go a step further, adding a manufacturer's warranty into the mix. There are even significant benefits to buying a second-hand computer instead of a new one.

However, you may well decide that a second-hand product isn't right for you. That doesn't mean you need to break the bank next time you choose to invest. If you're prepared to shop at these online shopping sites for cheap electronics, there are deals to be found.