MANY PEOPLE ADMIT BUYING a new car is something that makes them very nervous. So buying a used car, with the increased risks, is even scarier.
While there will always be risks involved when buying a used car, knowing your rights and being aware of the potential risks minimises your chances of being disappointed or, even worse, facing expensive repairs.
Buying a used car can mean you’ll make a saving over the cost of buying a new car, but the recent shortage of stock has seen the cost of some popular used models not far short of the price of the same car new (although there is the advantage of not having to wait months for your new car to be delivered).
Problem is, used cars can hide previous damage or the need for repairs that may not be immediately obvious. And with the recent widespread flooding across Australia, you could be looking at a flood-damaged vehicle without knowing it, and facing repairs down the line that can be very costly.
The test drive
Even buyers with little mechanical knowledge can learn a lot from a test drive. Listen out for odd noises or any behaviour that doesn’t feel or sound right.
Once you’ve satisfied yourself that there is nothing blatantly wrong with the car you are looking at, it’s a good idea to ask a qualified mechanic to inspect the car. A professional mechanic will know what to look for, and conduct a much more thorough inspection than even the most skilled amateur. Sure, it will cost you a few dollars, but it could save you a far greater expense at a later date.
Check that the car is what it purports to be
If you’re buying from a private seller, you’ll want to be certain that there isn’t money owing on it, or, even worse, that it’s a stolen car. In either case, you could find the car being repossessed after you’ve bought it.
You can check the car’s credentials through the government’s Personal Property Securities Register. You can also check that the car hasn’t been flood damaged or written off. Go to www.ppsr.com.au
Take your time
Buying a car is exciting but also stressful. Don’t be rushed into a decision. In most cases (unless you’re buying something unique), if you miss out on this car, there will be another one later on. Don’t sign anything until you are completely satisfied that the car is in good condition and that you want to buy it.
Buying from a dealer
Buying a used car from a licensed dealer gives you more protection.
A dealer is obligated to sell you a car free from defects. You will get a warranty in most cases and consumer guarantees, covering you should something go wrong and need repairs. You also get a two day cooling off period in case you change your mind. And you are guaranteed ownership.
But you still need to be aware of your rights and the dealer’s obligations. A white sheet will be displayed somewhere on the car. This gives you important information about the car, including how many kilometres it has travelled, the year of manufacture and the price. Where a warranty is provided, make sure you understand what it covered and what isn’t.