Buying a Used Vehicle the Right Way

The used car market. It’s a jungle full of all kinds of people. There are honest sellers, and others who aren’t quite so, like scammers who make cars seem newer by rolling back the odometer or hiding defects that will surface a few months later. So, how do you navigate this market? And most importantly: how can you be sure that the car you’re buying doesn’t have a shady past?

Obviously, this column isn’t meant to steer you toward one model over another. The choice of a vehicle is up to you, even if some models are more highly recommended. That said, there are indeed a few tips for tracing a vehicle’s history and making sure it hasn’t fallen into the hands of malicious or, let’s say, opportunistic individuals.

Checking the vehicle’s history gives you insight

Please understand that I am in no way condemning a dealer who wants to make a profit from selling a vehicle. This is a perfectly normal process, as long as it doesn’t cross the line into abuse and the seller acts with complete transparency. However, it’s often the case that when a vehicle changes hands several times in a short period, there’s something fishy going on. This makes it harder to trace a tampered odometer, a poorly performed repair, or a temporary cover-up.

That’s why, right from the start, whether or not the vehicle is being sold by a dealer, it’s strongly recommended that you visit the Société de l’assurance automobile du Québec (SAAQ) website to obtain the vehicle’s ownership history. That way, you’ll know, for example, whether it was previously a short-term rental car, has been in a serious accident, or was once used as a taxi.

Next, get the CARFAX report, which a dealer should be able to provide. It is not a foolproof document, since some information may sometimes be missing. However, it can give you the number of previous owners, maintenance records, insurance claims and the amounts paid, and even a mileage history. You will also find out whether certain recalls have been completed and, most importantly, whether the vehicle was sold or came from another province. This last point is important, since it has been shown that a vehicle from Ontario, for example, that went through auction is more likely to have had its odometer “rolled back.”

You can also contact the automaker’s customer service department to obtain, using the vehicle identification number, the in-service date as well as the name of the dealership that sold it new. They may also be able to inform you about completed recalls or whether the warranty was cancelled following an accident. You can then contact the dealer that sold the vehicle to try to obtain, with its approval, the maintenance history, whether the work was performed at the dealership or not. This would allow you to track the mileage more closely and, by the same token, determine whether the vehicle was maintained properly.

Buying from a dealer protects you

A dealer must comply with various rules surrounding the sale of a vehicle. For example, they may offer you a warranty based on the vehicle’s age and mileage, or even a warranty of fitness for a reasonable period of time. This gives you more protection than buying from a private seller, against whom you will not have as many remedies in the event of a problem. It is true that buying a vehicle from a private seller saves you part of the sales tax and may also allow you to obtain the complete vehicle history, which a dealer rarely has. However, the private seller could have a financial lien on the vehicle and, without telling you, transfer responsibility for a debt that is not yours. Unfortunately, there are far too many cases where buyers have had to pay for their vehicle twice. That is why it is recommended that you check the Registre des droits personnels et réels mobiliers (Registry of Personal and Real Property Rights), which will tell you whether the vehicle is subject to any financial lien.

Obtaining the SAAQ ownership history, the CARFAX report, and a check with the RDPRM will cost you less than $100, which is well worth it. But it’s also recommended to have the vehicle inspected by a trusted mechanic, a step that often irritates the dealer or seller but gives you the full picture of the vehicle’s mechanical condition and any potential hidden defects. Of course, you’ll have to pay for the inspection and invest some time to have it done, but this will give you peace of mind and allow you to negotiate with the seller if you find out that urgent repairs are needed. And if the vehicle is in too poor of a condition, you’ll simply have to walk away. Of course, it’s disappointing to invest time and money in a deal that falls through, but it’s better to be cautious than to be caught off guard and faced with astronomical repair costs.

Remember that vehicle maintenance is becoming increasingly expensive and that motorists are neglecting it increasingly, particularly when it comes to a leased vehicle that is returned to the dealer after 36, 48 or even 60 months. Consumers often do only the minimum required, which means you could end up with a host of problems sooner than expected. A dealer would, of course, be able to provide you with an inspection report to keep carefully, but it must be said that some dealers sometimes embellish the truth or cut corners when reselling a lease return, a vehicle purchased at auction or one acquired from a third party.

So do not take any risks and make the necessary checks. It is the best way to get a good deal.

This article was written by an external contributor. The opinions expressed are those of the author and do not necessarily reflect those of Promutuel Insurance.