These cars were 20-odd years old with heaps of history, service issues and rust.
All of them were bought privately and we took many road trips to the far corners of Sydney to source them.
These days it’s easier to buy a car via the many online sales sites available. But how do you know you’re getting what you pay for? Who can you trust, how do you know the car’s history and how do you not get caught out with a lemon or someone else’s debt? Ultimately, how do you ensure you don’t get ripped off?
Fortunately, it’s not as difficult as it sounds — just follow my top 5 tips before finalising the sale.
1. Do the background checks
The best comprehensive car history check on the market is revs.com.au. For $37 you’ll receive a full background check including:
- Any current finance
- Whether it’s been stolen or reported in an accident
- Market value
- Current and valid registration
- Potential odometer rollbacks
The other cool thing is it shows you how the car compares in price and kilometres to similar cars on the market.
If the report reveals anything dodgy, such as an accident history or a higher-than-market value, you can discuss this with the owner prior to wasting your time organising an inspection, or you may decide to avoid it altogether.
The report is also valid if visiting a used car sales yard. The reputable ones have done all the checks and will be able to provide you a copy during the inspection, so ask before you visit what checks they can show you. If you’re not satisfied they have enough information, then it’s worth the $37 to get all the possible background information and save yourself potential headaches down the track.
2. Take someone with you
Four eyes are better than two and there’s also more power and safety in numbers. This is especially true for private sales, women and younger car buyers. At the risk of playing on stereotypes, if you can, take an older male who preferably knows something about cars to give you at least an even negotiating position.
3. Inspect at the right time
Dark or wet conditions are misleading and make it easier to miss problems with the car, so be sure to book an inspection on a clear day.
4. Get a mechanical vehicle inspection
At this point you’ve done your background research and know what you’re willing to pay. But how do you know that the car is mechanically sound? And, for that matter, how do you know if it’s had any minor dings that have been touched up?
I definitely recommend booking in a vehicle inspection. Spending $200 to $300 for a qualified mechanic to inspect the car prior to purchase could save you thousands in the long run. Mobile vehicle inspections are readily available from reputable mobile mechanics and specialised vehicle inspection services, and you can usually arrange these within 24–48 hours.
5. Check for outstanding debt
Your REVS check should have revealed whether there is finance on the car or not. If there is finance on the car, you definitely don’t want to hand over all the cash to a private seller straight away. Instead, follow these steps to make sure you’re protected:
- Ask the seller to obtain a payout figure in writing from the financier.
- Make sure you hold on to your REVS check with the Personal Property Securities Register (PPSR) certificate. The PPSR is an Australian government registry that holds information on all vehicle finance. This will protect you from repossession due to financial interests that have not been registered with PPSR.
- Make two separate payments. One direct to the financier for the total payout figure, the other being the outstanding balance to the seller. Never pay the total amount to the seller as you have no way of guaranteeing that they’ll pay out the finance.
- Ask both the financier and the seller for a receipt. Make sure these are made out in your name. Also request a copy of the letter of discharge from the financier made out in your name, confirming that they no longer have interest in the vehicle. Keep this letter and your receipts with your PPSR certificate.
The Finish Line
With websites like Car Sales, Gumtree and even eBay all selling used cars, it’s easier than ever to find a used car online. But how do you know you’re getting a good deal, and how can you avoid nasty surprises?
The key is being prepared. Before you inspect, do the proper background checks, have finance ready to go, take someone with you, and inspect in broad daylight to ensure you can make an accurate assessment. Book a mechanical vehicle inspection and ensure you properly deal with any outstanding debt when you make your offer, and you’ll be well on your way to getting a good deal rather than a lemon.
You can also check out Janelle’s mobile mechanic business Blue Toro. Also, you can read excerpts from Janelle’s Book The Car Survival guide too.
