Wherever you're buying it’s best not to sign anything or hand over any money until you're absolutely happy – there will be other, similar cars available so there's no need to take the risk if you feel uneasy.
- If you have any doubts about the car or its history then it's safer not to proceed.
- Even if the law is in your favour, recovering your money through the courts can be expensive and time consuming.
- Your rights will depend on where you buy. You’ll have less protection if you buy privately or from an auction compared to buying from a dealer.
- Dealers are generally the safest route to a new car – maximum legal protection with the least risk.
- Dealers are obliged to prepare the car before offering it for sale, including verifying the accuracy of the recorded mileage.
The Consumer rights Act
The Consumer Rights Act came into force on 1 October 2015 and covers the purchase of goods, digital content and services including new and used cars from official dealers (it doesn't apply to private sales) as well as servicing, repairs and maintenance work.
Products must be:
- Of satisfactory quality
- Fit for purpose, and
- As described
(For cars purchased before 1 October 2015 the Sale of Goods Act still applies.)
The dealer must have the right to sell the vehicle and is liable for faults with the vehicle – that mean it was not of satisfactory quality – that were present at the time it was sold even though they may only become apparent later on.
Satisfactory quality means that the vehicle should be of a standard a reasonable person would expect, taking into account things like its age, value, history, mileage, make and description.
- An old car with high mileage wouldn’t be expected to be as good as a younger car with low mileage
- Each should still be roadworthy, reliable, and in a condition consistent with its age/price.
- If a vehicle turns out not to be of satisfactory quality, the remedy will depend on the time that has passed and the nature of the fault – it's best to seek legal advice or visit http://www.adviceguide.org.uk.
Wear and tear
The dealer’s not liable for fair wear and tear, where the vehicle broke down or the fault emerged through normal use, nor are they liable if they drew your attention to the full extent of any fault or defect before you bought the car.
Fit for purpose
You must be able to use the vehicle for the purposes that you would normally expect from a vehicle including any particular purpose that you tell the dealer about before you buy, or which the dealer has advertised or gleaned from your conversation – towing or short journey use for example.
Faults, repairs and refunds
Under the new act, if a fault renders the product not of satisfactory quality, not fit for purpose or not as described, then the buyer is entitled to reject it within the first 30 days.
Between 30 days and 6 months
If a fault comes to light after 30 days but before 6 months you’re entitled to a repair, replacement or refund.
- It’s assumed in law that the fault was present at the time of purchase unless the seller can prove otherwise.
- Unless you’ve agreed otherwise, the seller (dealer) has only one opportunity to repair (or replace) the faulty vehicle after which, if they fail to repair it, you’re entitled to a refund.
- In the event of a refund following a failed attempt at repair during the first six months the seller may make a 'reasonable' adjustment to the amount refunded to take account of the use that you’ve had of the vehicle.
After 6 months
The burden is on you to prove that the product was faulty at the time of delivery if you want to pursue a claim for repair or replacement.
Consumer Protection from Unfair Trading Regulations
Dealers must also comply with the Consumer Protection from Unfair Trading Regulations (2008), which prohibit them from engaging in unfair business practices:
- Giving false information – either verbally, visually or in writing, for example misrepresenting the vehicle's specification or history at any time before, during or after the transaction.
- Giving insufficient information – leaving out or hiding important information for example not disclosing the existence and results of all checks carried out on the vehicle's mechanical condition, history and mileage or failing to draw your attention to the key elements of any warranty, eg what's covered, claim limits and conditions to be followed.
- Acting aggressively for example using high pressure selling techniques to sell a vehicle or associated finance or warranty.
- Failing to act in accordance with reasonable expectations of what's acceptable.
- 31 specific practices are banned outright including: falsely claiming to be a signatory to a Code of Practice; falsely claiming to be approved, endorsed or authorised by a public or private body; falsely stating that a vehicle will only be available for a very limited time in order to elicit an immediate decision to buy.
Buying a used car online
If you buy online, your rights will depend on who the seller is.
- Buying online from a dealer you have the same rights as you would if you walked into the dealership and bought face to face.
- The Distance Selling Regulations give you the additional right to cancel your order within seven working days and receive a full refund within 30 days.
- The same applies if you buy from a dealer on a 'buy it now' basis using an online auction site.
Distance Selling Regulations require that:
- You’re given clear information about the 'product' you are about to buy – this should include accurate details, delivery arrangements, supplier details and the full price including taxes and charges to cover extras such as delivery.
- You should also be given written information about how to cancel your contract and a postal address.
If you're buying online from a private seller you have the same rights as if buying face-to-face from a private seller. This also applies if you're buying online from an auction site where you bid to buy from a private seller.
Buying a used car privately
- You won't have the same legal protection as you would if buying from a dealer
- It's up to you to ask the right questions and inspect the car thoroughly before you buy.
- It's a good idea to get a thorough car check to make sure there's no shady past.
Because your legal rights are more limited, unscrupulous dealers may masquerade as private sellers:
- Be very wary if a private seller wants to meet you somewhere other than at their home, or if their name is not on the V5C registration document.
- A dealer pretending to be a private seller is committing a criminal offence.
The only legal terms that cover a private sale contract are:
- The seller must have the right to sell the car.
- The vehicle should match the description given by the seller.
- The car must be roadworthy – it is a criminal offence to sell an unroadworthy car and an MOT certificate from a test several months ago is no guarantee that the car is roadworthy today.
Buying a used car at a live auction
At a live auction you’ll have very little legal protection:
- Check the specific terms and conditions of the auction before bidding – if your rights under the sale of goods act are excluded then you're buying 'sold as seen' and should check the car over thoroughly before bidding.
- Generally the auctioneer won't be liable if the seller doesn't have the right to sell the car in the first place – if it is stolen for example. Any comeback you may have will be against the seller himself, if you can find him.
- Some auctions offer 'guarantees' or 'insurance' for an extra sum, but any rights are limited, so check the wording on any paperwork carefully.
- There may be a cooling off period too but this is likely to be very short.
(3 May 2017)