Buying a Used Car
What are the advantages?
Used cars can offer great value for money As the price of new cars has dropped 14% over the past three years following a damning Competition Commission inquiry in 2000 and competition from Internet sales sites, the relative price of used cars has fallen even further. The good news is a used car's value will not plummet as rapidly as a new one's. Buy second-hand and the person who bought it new will have suffered the biggest chunk of its depreciation. Second-hand can make luxury affordable. For the price of a very small new car, you can buy a much bigger second-hand model with extra-plush features.
… And the disadvantages?
You could be sold a pile of junk. Even experienced used car dealers can get caught out buying second-hand and end up with a dud. There's the danger of 'clocking' - the scam whereby dealers wipe miles off the car's odometer to increase its value. Unfortunately the practice is rife - up to one in 12 cars have been clocked, according to HPI, an independent vehicle check firm. Added to that, there's always a chance that your bargain is stolen, crash-damaged, has finance owing on it or is an insurance write-off that should have been scrapped. You may not be able to recover your money and you may end up losing the car as well. Legal protection is very limited when buying a car privately from a member of the public. Unless you are very knowledgeable and don't mind haggling, there is always the possibility you will pay too much for the car. If you're buying used, play it safe and pay for a professional to check the car out and for an independent warranty.
What paperwork should I look at?
If the seller does not have the car's V5 registration document, walk away. Accept no excuses about the V5 being 'in the post' or 'lying around somewhere'. If it is not present the car may be stolen. Examine the V5. Hold it up to see it has a watermark. Is the car registered to the person selling the car, and at the address you and the car are standing in front of? If not, why not? The car's number plate must match the document's registration number. The Vehicle Identification Number (VIN) on the V5 should match the vehicle's. You will find the VIN stamped on a metal plate in the engine bay, under the carpet stamped on the doorsill, or sometimes etched on a window. If the numbers look scratched, or an old plate's screws and rivets are brand new, call the deal off immediately. Cars more than three years old must have a MoT certificate. If the car's mileage is lower than the MoT's it has been 'clocked'. Check previous garage bills and look through any service history. Gaps in servicing should ring alarm bells. Mileages in the service history should increase gradually and not be higher than the mileage on the car odometer.
What am I looking at?
Don’t go alone to view a car. If you are not an expert, take along a friend who is. Always go in daylight. Viewing a car at night or under artificial light means you are certain to miss defects. Try to view in good weather. Checking out a car in the rain or cold means you will rush the inspection. With a private sale, view the car at the owner's home. This increases the chances of dealing with a genuine private vendor and not a rogue trader. Don’t arrange to see a car at a pub, a service station, or other public place. Remember, there is no hurry. Take your time. Be ready to visit lots of cars when it suits you - your ideal car is out there somewhere.
Has the car been clocked?
If the gear lever knob is shiny and the steering wheel worn smooth and polished, the car has done very high mileages - whatever the clock says. Sagging seats, especially the driver's seat, bent sun visors and a drooping roof lining indicate wear. Worn, smooth pedal rubbers also indicate heavy wear, while three brand new pedal rubbers show the vendor has just replaced heavily-worn ones. Look at the carpets under the pedals. They should reflect the car's age. Examine the boot. It is amazing how many 'clockers' leave the car immaculate but the boot in a mess, thus indicating the car's true age. Scrutinise the odometer. It the digits are out of line or there are scratches around the screws, the instruments have been tampered with. If you are worried use a car check firm such as carfax.com
How do I strike a bargain?
You do not have to be a kasbah carpet trader to haggle effectively. Do a bit of research and find out how much cars similar to the used one you want are selling for. Check car magazine prices and take the magazine with you to show the vendor you know what you are talking about. Hard cash can be your best bargaining tool when buying privately. Few sellers will resist £6,700 in cash for a car they are asking £7,200 for - but make sure the car is theirs to sell. Take a pen and pad and jot down the car's faults - each one is a money-saver. For example, bald tyres will cost at least £330 to replace, which should come off the asking price. Used car dealers come to a point where they cannot cut any more cash off the price - but they might 'throw in' extras such as a new MoT, full service or tank of fuel, that costs them a lot less than it would you. Don't let the dealer know your top limit or you'll find every car you are shown will start at your top price. And do not offer more after being told 'I've got two other buyers interested.' If they were that keen the car would be sold. Chatting helps. Finding out that a private vendor has had the car on sale for weeks, or has already bought his new car, is information that could bring the price down. If all else fails just ask: 'How low will you go?'
