5 Used Car Checks That Could Save Thousands.

1. Clean car title

When a car has been in a major crash, flood, fire, or badly damaged in some other way, an insurance company may give the car a salvaged title. This salvage title stays with the car even after it has been repaired. The title tells you about the history of the car - it may be repaired to almost new condition, or it may have mechanical issues lurking.

Some sellers may not tell you about this as cars with salvaged titles are

• Difficult to sell or trade. Buyers and dealers prefer cars without a salvage title.

• Difficult to finance. Banks don’t want to give loans for cars that might not be durable.

• May come with mechanical issues from substandard repairs

Transport for NSW can confirm that a car has a clean title, if you provide the number plate. This information is included in Service NSW’s Vehicle History Report.

2. Stolen car check

Some cars are stolen and then re-registered under a different registration. The owner of a stolen car is ultimately the original owner (or their insurance company). If you purchase a stolen car, the police are required to seize and impound the car and you will lose both the car and your money.

Service NSW’s Vehicle History Report can show you if the vehicle has been stolen. During the inspection, you need to match the VIN and engine number of the car to the registration.

3. Hidden financing check

Financing is when an owner still have money owing on their car. If you buy a car with financing, then you’ll also be responsible for the debt. If you don’t pay, the financing company can repossess the car. It’s made even worse as sellers are not legally obligated to disclose when the car they sell has financing. 

The PPSR register can show the amount of money owing on the car using the car’s VIN or chassis number.

4. Odometer check

odometer reading gives a good indication of the wear and tear of the car. Cars with lower mileage are generally more expensive than cars with higher mileage. Some sellers will rewind the odometer to read less mileage to sell the car for a higher price - this is odometer fraud.

In cars with high mileage, many components of the car may begin to fail, not work as intended, or are less effective as when they were new. Some problems than can occur in these cars are:

• Stiff or cracked rubber seals that leaks during rain

• Weak or broken air-conditioning

• General wiring issues (warning lamps, power windows)

• Higher chance of mechanical faults

The last three odometer readings are available in Service NSW’s Vehicle History Report.

5. Vehicle recalls

Sometimes, a car manufacturer may miss a possibly dangerous problem with a car. In these situations, they will issue a safety recall. Anyone with that car model can take it back to the dealership to get it fixed free of charge. Without getting the problem fixed, you may end up driving a potentially dangerous car without your knowledge. A seller of a car does not need to tell you whether the car was recalled or if they had it fixed.

You can search Vehicle Recalls for any recalls related to your car model.

Bonus. Maintenance history

Car manufactures recommend periodic servicing (changing oil, oil filter, air filter and so on) of their cars so things work optimally. Due to cost or effort, unfortunately some owners do not service their cars as required. When service has not been completed as often as required:

• The engine oil may begin to be contaminated with metal which can cause serious engine damage over a long time.

• Worn break pads, bald tires or old suspension systems increase the braking distance and making it potentially dangerous to drive in wet weather.

• The backlock of servicing needs to be conducted (usually at a high cost) to stop these issues getting worse.

Be wary when the seller dodges your questions or isn’t able to provide evidence. These signs may point to the servicing not been completed regularly

Wrapping it up

So there you have it! While it’s important to keep these potential problems in mind, sellers who are honest and are selling solid cars are the majority. There are many cars that have been well taken care of and there are great bargains to be had.

If you don’t have mechanical knowledge, buying a car from a private seller can seem like roulette. I hope this guide helped you understand the most common things that may go wrong when buying a second hand car. It is a lot to check, but driving the car that you want without the fear of a breakdown is well worth the effort.