Buying a used car when the seller still owes money on it
Consumer Alert: Tens of thousands of flooded and totaled used cars from Hurricane Katrina and Hurricane Rita
When Hurricane Katrina struck Florida, Louisiana, Mississippi and Alabama in August, 2005, and Hurricane Rita hit Florida, Louisiana and Texas in September 2005,
it was one of the worst natural disasters to hit the United States. Aside from death and destruction, few people know what happened to the tens of thousands of
cars that were totaled, most of them flooded by Katrina’s storm surge and the flooding all of New Orleans. Many car dealer lots had hundreds of cars completely
submerged under water. After insurance claims, these cars will have their titles branded as totaled or flooded, then they’ll be shipped to other states so their
titles can be laundered back to normal status, while latent water damage corrodes the electronics. It is more important than ever for you to run a
CARFAX Vehicle History Report
on every used car you look at, because you can’t afford to be stuck with a previously flooded or totaled vehicle.
In September, 2005 CARFAX added the Flood Alert Advisory to their reports to alert you to check the vehicle out prior to making
the purchase. This vital intelligence allows you to spot vehicles registered in the areas impacted by hurricane damage such as Hurricanes Katrina and Rita. The
alert tells you if the vehicle was registered in a county declared a flood disaster area by the Federal Emergency Management Agency (FEMA).
Used Car Pricing Does Not Use Invoice Price
We often get asked if "Invoice Price" and "MSRP" apply to used cars, or if you
should try to calculate an offer for used cars based on invoice price. No, the
Invoice Price and MSRP only apply to new cars, not used cars. For used
cars, there is no invoice price because car dealers acquire used cars from
people at a "trade in" price, then mark it up on the lot. The best way to
determine used car prices is to check how your car has sold on eBay the last few
weeks, and bring printouts with you to the dealer to support your offers on used
cars.
Finding out what's wrong with that used car before you buy Everyone buying a used car should get
CARFAX Vehicle History Reports,
they get data from a substantial number of dealers and aftermarket repair shops, nearly 5,000 sources. A mechanic can put the car on a lift and
instantly spot previous crash damage, hidden frame damage, corrosion, and fluid leaks, but not if the title is rebuilt, or if it's stolen,
or passed through a salvage auction. Most mechanics ignore airbags. You can only tell how many owners that car had or where it's
been with a history repot, not just by looking at the car. This is not the time to 2nd guess. Unfortunately there are no clear laws if you sign
an "As Is" paper. Any used car can have a bad past, Mercedes, Lexus, Honda or Toyota. My friend
ran a CARFAX Vehicle History Report on a used
Mercedes and found it failed inspection. Some municipalities don't supply accident report info, that's why you still need to have a mechanic look at it.
If the police never made a report, it won't show up in the CARFAX report.
Top Sites To Buy & Sell Used Cars
The main benefit of these sites is there are many more cars to choose from than your local newspaper. Try them all.
cars.com
is the place to search for your next car, truck or SUV, with over 1.5 million used car listings. Compare used vehicles, locate certified pre-owned cars, quotes from
used car dealers, private sellers. You can also Sell Your Car Fast at cars.com,
Place your online ad to reach millions of car buyers.
How it works: Use form above to search their inventory of new and used vehicles.
How It Works: Choose make, model or browse by category and price. Model & Make searches show you detailed price listings for the past several model
years of that vehicle.
When you browse by category and price, you'll see a list of models and model years that fit your
search criteria. Local used car listings are updated daily.
Car.com
is good for buying new cars, used cars, or selling used cars.
How It Works: Search by zip, or click map to find a used car. The results show options, photo, VIN#.
Tip: Use state map search, fewer options you check, more results you see.
Save money financing your used car
You can save money when you buy a used car by using Capital One Auto Finance instead of paying a higher rate from the dealer. The process is simple, apply online, approval takes minutes and they mail you a
check to take to the dealer. If you got railroaded into a high APR car loan from a dealer, you can refinance after 3 months with
Capital One Auto Finance. Lower your current car payments with their
Auto Refinancing Loans. A few of my friends have used them with my help. They have a low APR, it's fast, easy and awesome.
How do I finance if a buy a used car from a private person?
A lot of people ask me how to finance a used car when you buy it from a private person. Use the
Capital One Auto Finance person-to-person loan
for used cars. Apply online, approval takes minutes, they mail you a Blank Check® so you can buy any used car from a private party without paperwork hassles.
Get An Extended Warranty for your used Car
Get an extended warranty for your used car. The best car warranty site we have researched so far who are known to pay claims is
Warranty Direct. Read our chapter on
Extended Warranty Scams & Tips, or you'll be out several hundred dollars. If you buy a 3 or 4
year old used car, that's when the manufacturer's warranty expires and all hell breaks loose. Unless you have an extended warranty, you are exposed to potentially
large losses.
FRAUD ALERT: Read our fraud article before buying or selling a used car. There are tons of
scammers roaming the Internet looking on eBay and other online classifieds web sites for victims. If you know anyone about to list their car online for sale,
or buy a used car from any online site, forward this to them. Don't accept a cashier's check from anyone until you read it. They are not good as cash.
Don't agree to escrow of any kind without reading it! Don't send anyone other than family Western Union ever! Read our
Guide To Check Fraud, Escrow Internet Fraud, Auto Fraud, and Nigerian Scams.
Shop auto insurance costs for your used car
Before you shop for a used car, get auto insurance quotes to find out how much it will cost to insure it. Auto insurance sites Comparison Market,
GEICO and Progressive Auto Insurance give you free online auto
insurance quotes, so be sure to get pricing from them too.
Protect Your Used Car Purchase With An Extended Auto Warranty
When you buy a used car, you should get an extended warranty to cover your repairs and minimize your
losses. I would not recommend buying a used car without one, you can't afford expensive repairs. Read our online guide
How To Buy A Warranty And Avoid Scams.Warranty Direct has one of the best used car warranties.
Most used vehicle warranties begin 30 days or 1,000 miles from the date on the contract, so be careful about timing your first claim. You can buy a
Warranty Direct contract for vehicles as old as 8 years and
up to 60,000 miles.
Haggling Tip Of The Century
My friend Jerry, when buying his used Lexus RX300, the dealer quoted $26,999. He showed up with a bank draft for $400 less. The dealer accepted, as he was not about to
let it slip away. Jerry's mom bought a used Mercedes CLK320, the dealer said $49,600 was their "rock bottom price". She showed up with $48,500 and the dealer took it.
Know your credit score. Get your online credit report.
Read our Auto Finance Help Section for tips on getting your credit report, credit score, and
repairing bad marks in your credit report. You can get your credit report online from
Equifax,
Consumerinfo
or TrueCredit.
Be sure to do that first, most people don't know what's on their credit report, or have never seen it, yet the car dealers and banks have!
Jeff, why do you keep stressing the CARFAX Vehicle History Report and
mechanic checking out the used car?
It's because I get several emails weekly (see below) from people who bought a used car at a dealer and signed an "As Is" paper, meaning they have no
recourse. I'm sick and tired of seeing preventable losses.
Jeff, We just bought a van from a very well known and respected Dodge dealer. The van had been wrecked before we bought it and we were never told and now our warranty
will not cover the problems we are having. We have only had this van a month. Dodge company is not being understanding. Is there a law against this? If so what is it
called?
There's over 2 million wrecks a year. Chances are that you are buying one of them. It happens every day to people who email
me. Don't think it won't happen to you! Almost everyone I know has bought a used car that they later found out was in a wreck.
Buying used cars from car rental agencies
A rental car is just like any used car, but probably maintained better than privately owned cars, as they are kept in constant care and maintenance during use.
When you rent a car from the top companies, they are clean, and I have never had a rental car break down. The companies tend to take them out of service by one to
two years of age, so you are getting a decent car which the rental company has already absorbed the largest portion of the depreciation. If you want full coverage,
read our article on Extended Warranty Scams & Tips.
How can I sell my used car to a private party if I don't have the title?
If your bank or other lien holder has the title, ask them how to transfer the title to the person who buys your car.
If you are selling your used car that you owe money on, you must call the bank
for a payoff figure, and that is how much you pay the bank, shown on the title
as the lien holder. Typically the lien holder sends the title only to the seller
about 2 weeks after the lien has been satisfied. The seller then should FedEx
the title to the buyer. The seller can make things easier for themselves
by paying off the car loan before selling the car, then they will already have
the title in hand.
Disaster Damaged Cars
Cars damaged in disasters will be salvaged, rebuilt, sold at car auctions and have their titles rebuilt, most likely out of state. Even if you live in another state,
run a CARFAX Record Check on every used car before you buy.
Major vehicle disasters:
Hurricane Katrina in 2005 totaled and flooded tens of thousands of vehicles in Florida, Louisiana, Mississippi and Alabama
4 Hurricanes, Charley, Frances, Ivan and Jeanne battered the Southeast in 2004
WTC attack on September 11, 2001
Tropical Storm Allison Flooded 20,000 Houston homes and cars in 2001
In 1999 Hurricane Floyd flooded or totaled 15,000 cars in the Carolinas
In 1999 Hurricane Irene flooded hundreds of cars in South Florida
What a vehicle title search gives you
A vehicle title history on a used car can be your only friend to prevent you from getting ripped off on a used car. A car title history
reveals a lot more about that used car than the seller is willing to tell you. Here's the dirt you can dig up when you when you run a car title search:
Odometer actual mileage check, alerts if the odometer was rolled back
If the used car was in an accident, it may show up in the auto title search
If the used car was flooded, totaled by insurance, whether it was sold at an auction, if it has a salvage title
Number of owners, dates when each owner bought the used car, if it was leased, a rental car, or a fleet car, or government vehicle
Any auctions such as salvage or normal off lease wholesale auctions it may have been sold at
When the dealer took delivery. Use this to haggle a lower price if the used car has been sitting on the lot for months
I ran the title check on a 4 year old used Honda Accord and discovered it had 3 owners in 3 years. That should send up a
big red flag. Why would 3 different people buy the same used car and dump it a year later? Could be hidden problems that you don't want.
Buying A Used Car In New York?
When buying a used car from a private party in New York State, along with the Bill of Sale, be sure to have the seller sign the
DTF-802 tax affidavit. Otherwise, the DMV will charge you sales tax
based on the 'average wholesale value of your car. Get the tax form here:
http://www.tax.state.ny.us/Forms/sales_cur_forms.htm
Texas cars have too many miles
Looking for a used Toyota Camry and Honda Accord for my mother in Houston, I noticed many used cars in Texas have high mileage. The standard is 12,000
miles per year. If you go over that, it reduces the used car's value. High mileage reduces the used car value by thousands, no just a few
hundred. Avoid high mileage used cars, unless you get a good price.
Every single person who tells me they signed an AS IS paper got ripped off!
If you sign an "As Is" paper at a used car dealership, the state attorney won't even want to talk to you, and legally there is nothing you can do. Try a
news station, every market has some consumer reporter at a TV station who eats this stuff up. A TV station is more powerful than the state because negative publicity
hits a dealer's bottom line.
Subject: verygoodppc.com Question
Jeff, I've printed out everything you have mentioned on your site. I think it's a
terrific site. My question concerns a van my daughter bought in Alabama this week. It is a used 1995 van and in all the paperwork,
there was a paper buried in the middle saying it was "as is". It blew an engine 2 days after she bought it. She paid cash - $2000 - plus put 4 new tires
and had it serviced since she was heading west to come home. The dealer said it was HER problem and hung up on her. Does she have any recourse?
Common problems with used cars
You should be wary of prior car accidents with any used car, but don't just focus on that or you'll get blind sided by problems that your mechanic might not spot
on commonly overlooked items, such as odometer rollback, missing airbags (you can't tell without removing the airbag covers), flooded cars, mismatched VINs, auto
salvage yard auction sales, Gross Polluter, or stolen cars. Your mechanic does not run a vehicle title history, you must do it. Car dealers run a vehicle title
history report when you trade in your car to make sure you're not ripping them off, and so should you so you don't get ripped off.
In Miami summer thundershowers flood the streets of Miami, stranding motorists, and flooding hundreds of cars. This happens in all big cities like Houston, where
drainage is a problem. You see these floods on the 6 o'clock news and think nothing of it, but these flooded cars will be up for sale soon.
Used Car Dealer Myth: "I bought my used car from a big dealer, it's got to be ok!" You must always perform due diligence no matter who you buy from. Unless you're buying a certified Lexus, BMW, or Mercedes,
there is nothing certified about it. Most dealers don't do a lot to recondition a used car but they claim 300 point NASA checklists. There could be intermittent
problems. If the dealer did not run a CARFAX Report,
they may have taken in that trade not knowing of previously floods, wrecks, or title issues.
Myth about odometer rollback
Many people think digital odometers cannot be rolled back. With digital odometers, the current mileage reading is stored in a flash chip or an EEPROM. It's
easy to remove the EEPROM and reprogram it with a lower mileage, leaving no signs of tampering, so you must perform a title check. When a car is
inspected the mileage is recorded, and whenever the title changes hands or it is traded in at car dealers, or turned in after a lease. On your vehicle
history report, if a mileage event shows less than the last recorded mileage event, you know that odometer fraud has taken place.
Run A Vehicle History Report Before You Buy That Used Car
You would not believe how many emails I get from people who bought a used car then later found out it was previously wrecked, now they are stuck. Think
of a CARFAX Vehicle History Report as a credit report for
used cars. You MUST run this vehicle title search if you buy a used car so you don't get scammed. There are many dishonest people who will not
tell you where that used car came from or that that it was salvaged.
Extended Warranty companies will not cover a salvaged car with a rebuilt title.
Even the manufacturer's warranty is voided on a rebuilt or salvaged title.
Banks will not finance a salvaged car with a rebuilt title.
I love receiving email from our visitors when they find out the used car they almost bought was a rebuilt wreck. One visitor told
me he saved $7500. You can find the VIN# on a small metal dashboard plate looking through the windshield. Some cars also have the 17 digit VIN# printed on
stickers on the drivers side door, trunk, other doors. My friend showed me a
CARFAX
report on a used Lexus RX300 that had been wrecked, another one showed me a
CARFAX
report on a Honda Odyssey minivan showing it was sold at a salvage auction.
Most states have no used car lemon law!
Lemon laws apply mostly to new cars sold to private people. Many fools think there is a used car lemon law, but in most states there
is none, except for states like New York. Check with your state attorney general for information on lemon laws. Used car lemon laws only cover non leased cars bought
from dealers. Help yourself proactively by determining if that car was ever wrecked, or flooded, salvaged, or totaled. However, New Jersey has a used car lemon
law, NJ used car dealers are required to provide warranties on every used car that is sold for more than $3,000, that is less than eight (8) years old, has
not been declared a total loss by an insurance company and has an odometer reading of 100,000 miles or less. Only used cars purchased after 1996 are
covered. Check the NJ Division Of Consumer Affairs web site.
All about Kelley Blue Book
People ask "What's the
Blue Book value of my trade-in?" The
Blue Book value of your
car is the market value listed in the Kelley Blue Book. Many people spell it wrong as
Kelly Blue Book or
Kelly's Blue Book or
Kellys Blue Book or even NADA Blue Book
or KBB. KBB started
from a family owned used car business that bought trade-ins from auto dealers and used their internally generated list of used car prices to inform dealers
how much the car was worth. They became trusted industry insiders and appraisers of car values. This led to Kelley Blue Book, named after
the social register, called a blue book. The rest is history. KBB
supplies used car prices to most car pricing sites. Dealers laugh when you tell them you know the Kelley Blue Book Value of your trade in. I think blue book car
prices show trade-in values lower than other sources, which falsely leads you to accept less for your car then it is worth. Use other
sites in addition to Kelly Blue Book to price cars. Most car dealers use the
yellow NADA book to price used cars.
All About Edmunds Edmunds.com has new car reviews, holdback listed by manufacturer, and photos
for most new and used cars. Like Fighting Chance, it lists current factory to consumer rebates.
Edmunds also has a useful Town Hall feature, where you can post a car related question and it will be answered by either a moderator or other car buyers in the
Town Hall. Edmunds might not always have all the info, but hey it's free. You should price out a used car on Edmunds, and Kelley Blue Book to get a consensus on
price. Then check all the used car classifieds that we mention here, and see how much sellers are asking for the car you want to buy. No one ever gets their
asking price, so take the selling prices with a grain of salt.
Auto Black Book Used Car Values
This is one of the most debated and confusing areas of car buying and trading in used cars. Black Book is used by car dealers at the wholesale
auto auctions. You'll see dealers walking around with their "Black Books", a pocket sized subscription based mini car pricing book updated
at least monthly with regional selling prices from wholesale auto auctions. You can't get a black book; you have to be a car dealer to get your hands on
one. It lists most vehicle makes, and models, and what they should sell for if the vehicle is in bad, fair or good condition.
Click Here to read our Guide To Used Car Auto Auctions.
You need to do more than run Free Record Checks!
Don't just run free record checks and think your job is done. That's just a teaser showing you how many records exist for that car and few cars are returned as
lemons, so run the full
CARFAX 30 Day Unlimited Vehicle History Reports option. One in 10 cars in the
CARFAX database has a costly hidden problem.
CARFAX also has an excellent buyback guarantee. If for some reason
a problem title is later found on a vehicle that shows a "Clean Title" in their system,
CARFAX will buy back the vehicle from you.
The
CARFAX 30 Day Unlimited Vehicle History Reports option gives you the chance to check the history of every used car you are shopping for.
This line item from a report below revealed for my friend Jerry a Mercedes that had been salvaged and rebuilt after a flood:
-------------------------------------------------------------------------------- 06/14/2001 13,400 Florida Motor Vehicle Dept.
Boca Raton, FL
SALVAGE TITLE/CERTIFICATE ISSUED REBUILT TITLE ISSUED
Odometer reading recorded on 06/14/2001
--------------------------------------------------------------------------------
What about CarMax used car dealers?
CarMax, owned by Circuit City, has high prices according to critics, and they don't deny it. CarMax, like any other, is in business to make money, so while they
are accepted as honest, when dealing with any used car dealer, you must know the market value of the car, get all claims in writing, don't buy any car without at
least a 30 day guarantee, and never sign an "As Is" paper! When selling them a used car, we found them to be fair. They cut you a check on the spot too.
Stolen car scam alert
The thief buys a Mercedes E Class at a junked salvage auction for $5,000. He launders the title back to a legit "Rebuilt" status, then steals the exact same model
Mercedes E Class car. He files down the VIN on the stolen car, transfers the VIN plate from the rebuilt junked car, and sells you the stolen Mercedes E Class as a
used car. The only way to uncover this scam is to check the VINs on all panels of the car to make sure they match.
6 Steps To Used Car Buying Success
Step #1) Search online used car classifieds and your local newspaper
Try sites such ascars.com,
or
CarsDirect.com
to find used cars in your area, and look up used car prices.
Step #2) Get a
30 day unlimited Vehicle History Report From CARFAX
As you shop different used cars, get the VIN#, and run it to see if it's for totaled, flooded, odometer rolled back, stolen, recalled, etc.
Step #3) If buying privately, get a person-to-person used car loan
Using Capital One Auto Finance buyer and seller can complete the paperwork. Buyer can drive away with the car.
Step #4) Negotiate tough with the seller or used car dealer
We have all the tips you need on this page for negotiating with the toughest of sellers, and saving the most amount of money.
Step #5) Use our free Bill Of Sale Form
You can download our world class Bill Of Sale form free of charge from our free download area.
Step #6) Complete the sale and get an extended warranty for your used car
Read our chapter How To Buy An Extended Warranty and learn about what to look for and scams to avoid.
Step #1) Search online used car classifieds and papers
Online used car classifieds and used car prices
Newspaper automotive classifieds are narrowly focused with limited market area. You want used car sites such as
Cars.com,
CarsDirect.com and Car.com. With thousands of cars listed. Savvy consumers sell used cars
online on cheaper and heavily traveled auto classified web sites. Many services keep your ad online until your car sells, which newspapers don't do. This is an
advantage of used car classified sites, many have 200,000 or more cars listed. Many cars list the VIN numbers online so you can run a VIN search. I've found many
VINs to be false, and you have no recourse as you are buying the car "As Is", so find out problems before you buy, not after.
Step #2) Get a 30 day unlimited CARFAX Vehicle History Report.
Best Advice On This Entire Page: DO NOT buy a used car without running a used car history search like the
CARFAX 30 Day Unlimited Vehicle History Reports option on the VIN# first. The
CARFAX Report on a used car verifies that
there was no previous branding of the title, flooding of the car, odometer rollback, salvaged title, or that it was reported stolen, and gives a good VIN decode.
Sign up with them now before you forget, get the
CARFAX 30 Day Unlimited Vehicle History Reports option instead of the single report. Don't have a VIN to run yet? Yes you do, run your own
car first. It's instantaneous, then run your parents' car to get a feel for reading the reports. Get the VIN off used cars you look at and it's an all you can eat
CARFAX 30 day buffet. You'll look at 10 used cars before you buy.
Clever use of your vehicle history report to get a lower price on the car:
One nice feature of the CARFAX Report that our visitors have made
clever use of is the leasing and ownership history of the car. You'll find the car was sitting on the lot for 6 months. Use this ammunition
to knock the price of the car down. If it's been on their lot for 6 months, no one wants it, name your price.
Most people tell us they liked that it shows the state it was driven in, and when it was bought. This is useful data, a 2004 car
could have been bought in 2003, so it's really older than the other 2002 models you are looking at.
My friend's CARFAX
report for the used Lexus RX300 he just bought has a VIN decode showing the car was an 4 wheel drive. The dealer did not know it because you cannot tell from the
outside and charged him for the standard 2WD, so he made out quite well.
If the car went through an auction, it shows up in the used car history report. This is a great way for you to catch insurance companies who skirt the law. They
resell a totaled car through a salvage auction, evading your state's minimum threshold of damage disclosure laws on the title. They are only required to brand the
title if the damage exceeds a percentage of the value of the car. If they can get enough for the car at an auction, they won't have to brand the title even though
the car should be totaled. In many states the
CARFAX Report lists the police case number for car accidents it was
in, and a description of the accident.
My friend wanted to buy a used Lexus RX300 listed on Auto Trader's web site. He ran a
CARFAX Report on the listed VIN# and found the car was in a
wreck. I scanned in his section of the CARFAX report to show you
a trend you might see on accident cars:
First they wreck the car, then it gets sold at an auction. The seller sure didn't advertise that!
No VINs for cars made before 1981...
No one has car title reports for cars before 1981, when the 17 digit VIN became. Every car maker had their own format, and each
state had unique formats, so you're out of luck Why the heck are you buying a car that old anyway?
Every VIN# Tells A Story
The 17 digit VIN# (Vehicle Identification Number) appears on all cars, in the dashboard on a metal strip. You can find the VIN# inside the driver side door on a
factory sticker, the passenger door, the trunk, the hood, and sometimes the engine and other major parts have one, or it's engraved. My Lexus SC300 has stickers on
most of the major panels. Car makers place VIN stickers on the major accident parts like doors, engines, and quarter panels, which are broken down from a car when it's
stolen. If they show up on another car, something is wrong, the car was stolen, or junked and rebuilt. Check, doors and panels make sure all VIN#s match.
Where to get a VIN decoder
Many people ask this. The VIN decoder software is expensive. Some car fan pages decode a VIN only on one particular car. But one benefit
of the CARFAX Report
is it includes a VIN decode including the model, options, year, engine size and type, drive train info, country of manufacture, gas mileage, etc.
Watch out for used car airbag fraud! They can be over $800 to replace them yourself
Each year 2.5 million cars are wrecked, and 1 million end up back on the road. Airbag fraud is a huge scam. When cars are wrecked, the insurance companies pay for
damages including airbag replacement. But unscrupulous repair people keep the money without replacing the $800 airbag, often stuffing the space with everything from
crushed beer cans to peanut bags. Many companies sell fake airbag covers so that you think you have an airbag but you really don't. Many people, maybe even you, are
driving around in a used car with no airbag, even though you think there is one there. You can't see through the airbag cover. That's why you need to know if the car
was wrecked. In some states, CARFAX can tell you if the airbag was
deployed in an accident, if police investigators check it off in the accident report.
Where CARFAX gets the data for your vehicle history reports
Enter the VIN# of the car and they search over 550 million vehicle records for rolled back odometers, junked cars, and accidents.
CARFAX gets data from auctions, police car accident reports, DMV
records, car rental agencies, leases, & inspection stations where odometer readings are collected. It can tell if the car was totaled in a wreck, returned as a
lemon, flooded, or if the title was laundered from "junk" back to "used" status. Credit unions and dealers use these reports religiously, so should you and I. Enter
the VIN#, the report appears online, with title and registration data, certified odometer readings, liens and more.
Don't ever say "It can't happen to me". You are the ideal target market for the schemers, who sneak right past
your arrogance and into your wallet.
Smart buyers like you and me say "yes that can happen to me". This is true with exotic cars too. Read about one Ferrari buyer's used
car dilemma in the New Times: If God Gives You Lemons, Make Millions. Too bad he did
not visit us here before buying his used car, he would not have been taken.
The DMV processes and approves 350 "rebuilt" or "laundered" titles every month Chances are good that
you'll buy a car that was wrecked or stolen, and had the title "branded" as totaled, but it was laundered back to "used car" status by making a few minor repairs
in a highly unsupervised and non regulated industry. You cannot guarantee your safety in a wreck. How do you know if the airbag still works, or the ABS? There is
no safety data on rebuilt cars, don't risk the lives of your kids on a rebuilt car. Always run the car title.
How To Tell If A Used Car Has Been Flooded
Tropical storms and Hurricanes flood thousands of cars annually. Where
do these cars end up? In your state. This is a big complaint of buying used cars. Thousands of cars get flooded each year from hurricanes and summer rainstorms.
Many were totaled and have their titles branded as "Flooded". Here's some tell tale signs to check for flood damage.
Look for water lines on the engine, radiator, wheel wells, inside the car. Examine the underisde on a lift.
New carpeting or upholstery. No one re-carpets their car for no reason. Lift the carpet and look for a mess underneath. They don't always do a good job cleaning.
Look for mold, or a damp musty smell. Check for rust by the door hinges, and look in the trunk under the mats. Check the spare tire and crow bar, make sure they are
not rusted.
Use a mirror to check under the seat. If the metal has been contact with moisture, the metal rusts quickly.
Check the air intake filter. Some people are such losers that they don't even bother to replace the soaked air filter, so you'll
see debris like grass, twigs, and papers on the filter or inside the air intake opening.
Step #3) Get a used car loan (from dealer or person to person).
Most banks will NOT lend you money for a used car that is older than 4 or 5 years old. Banks charge at least 2% higher APR on used car loans, than they do for new
car loans. But online lenders are much cheaper, and used car loan rates are closer to new car loan rates.
Used car loans and used car financing
If you are buying a car from a private person, use the Capital One Auto Finance person-to-person loan
They are the only company who finances person to person used car loans. They also provide used car loans for buying from a car dealer as well. Apply online, and get
a response in 15 minutes during business hours. They FedEx you a Blank Check® so you can buy any used car from a private party without paperwork hassles. In 2004 I
used Capital One Auto Finance for my Lexus GX470 car loan, and got my check the next day by FedEx. Make sure
your credit score is at least 680, then as a prime borrower, and you can choose the lowest APR.
Never pay cash for a deposit on a car. If the deal goes falls through, you'll never get your cash back, but you can always dispute a credit transaction. If your
credit is so bad and If you're in too deep, maybe now is not the time to buy a car. But don't take on more debt with a consolidation loan, try a
debt reduction program instead like the non-profit
American Consumer Credit Counseling.
You get an interest rate reduction payment, which pays off your balances much quicker than you ever could on your own.
How Much Used Car Loan Can You Afford?
Before looking for a used car, you better know how much you can afford. Banks will only lend you money to buy a used car up to 5 years old. This
is why you are at a disadvantage when you trade in a used car over 4 years old at a dealer, because the car is worthless to them. The banks won't lend money to buy
these older used cars, so they are harder to resell. Read ourAuto Finance Help Section
for tips on getting your credit report, credit score and repairing bad marks in your credit report.
Step #4) Negotiate tough with a used car dealer or private seller.
Negotiating tips on a used car for sale at a dealership:
"Certified Used Cars" at Car Dealers
The word "certified" is over used marketing for "reconditioning" tasks that some car dealers do to a trade in before
they resell it. Some dealers lie and don't do a thing, some spray black paint on engine wires to make them look newer.
For others it's a hot air excuse charge you more money. In fact, my friend Jerry ran the
CARFAX Report on a "Certified Lexus RX300" from a Lexus
dealer and found it had been in a prior accident. Not what you would expect from a certified Lexus. If you can get a 90 day warranty, then you're somewhat protected.
Ignore verbal promises and read the exclusions list. But if you get a 90 warranty, it does not mean you're covered for everything.
Don't let "certified used car" make you complacent and fail to perform due diligence on that used car!
Many 90 day dealer warranties only cover the power train, and nothing else.
If the engine blows next week, does the warranty cover it, or will the dealer blame you and tell you to go fly a
kite? Tell them to put all verbal promises in writing.
Federal Law Requires the "Buyers Guide" On All Dealer Used Cars
Dealers MUST attach a federal "Buyer's Guide" sticker on the window of each used car,
that tells you if the car is sold "As Is", or has a warranty and what obligations the dealer has. If the salesperson says the car has a
warranty but the Buyers Guide sticker says "As Is", the sticker overrides the salesperson's lie. Unless there is time left on the 3 year
manufacturer's warranty, you truly have no warranty if "As Is" is checked. Our number one complaint from consumers buying used cars
from dealers, is the salesperson lied and told them the dealer will repair any failures, all the while the "As Is" box was checked. The dealers
then refused the repairs. The Buyers Guide tells you to have the car inspected by an independent mechanic before you buy, and to get all promises in writing. If
the deal was conducted in Spanish, you are entitled to a Spanish language version of the Buyer's Guide. Look for weasel clauses in their warranty, don't just glance
at the warranty form. If a used car dealer does not have Buyers Guide stickers on their cars, leave immediately!
When negotiating the used car selling price at the dealer, remind them that they paid $3000-$4000 less than market
value for the car so they can afford to charge less than market value. True market value is not just a price in a book, it's whatever the market will bear.
Tell them the market's not bearing, that car will sit there costing them money, and they are passing up their chance to unload it, and pay the bills and feed
their family. They'll say you're crazy, the internet sites for car pricing are wrong. If they try to justify their price by bringing up the warranty, tell them
you should not have to pay extra for the car to be reliable for 90 days. It does not matter how much they "claimed" they paid for the car or how long
it's been sitting there, the car is worth only what it's worth, what you are willing to spend, not what they write on the sticker. If you tell the dealer you have
Kelley Blue Book pricing, they will laugh and say they use NADA pricing. NADA pricing is higher because it shows dealer cost to recondition the cars, and NADA is
based on retail pricing at dealers, not so much on market pricing. Typical dealer prices on a used car can be $2,000 over market value.
We all buy stocks and when the price drops, we have to take less than what we paid for it, and cars are the same way, like an
hourglass of value that keeps dropping. They should have dumped that car like a bad stock. Use this analogy when you haggle. They need to cut their losses now.
The point is that it does not matter how much money was dumped into the car, it's only worth what the buyer is willing to pay for it.
Negotiating a used car purchase with a private seller
How To Transfer A Title From Seller To Buyer If The Seller Owes Money To The Bank Capital One Auto Finance can provide you with a used car loan just for this scenario. This is probably the best
solution for you, as they take care of paying off the existing loan, and paying the seller. A "liened vehicle" has an outstanding loan obligation. The Certificate of
Title for the vehicle lists the registered owner with the lender listed as the lien holder. The lender will not release the title until you pay off the loan, so they
might act as a title agent, or they may work with a title agent. Sometimes they might mail out the title to the buyer a few weeks after you pay off the car. You
must contact the seller's lender, NOT ME, and find what they need so you'll be ready. This is why I recommend the
Capital One Auto Finance solution to complete the sale.
Don't shop for a used car hoping to hammer them down from the asking price, negotiating on the fly, and not knowing the true value of the car. That shotgun approach
is unsuccessful. When you finish reading this section, you'll know more about the seller's car than the seller does, giving you the upper hand in negotiations. You
must know every option that is on the car, then check the used car pricing sites to determine what the car is worth. When you call a seller to look at their car, ask
for all the options, mileage, etc., then look up the prices before you go. Get the 17 digit VIN# from them and run the car title search using
CARFAX Vehicle History Reports on it before you visit the seller. Then
when you get there, you'll already know the value of the car, as well as if the odometer was reset, or if the title was ever negatively branded. Expect sellers
to advertise grossly inflated "Hail Mary" asking prices, to "allow for negotiations". This is why you show up with the used car value printouts to instantly let the
air out of their balloon and catch them off guard. They are unprepared as they are relying on that higher price to provide them margin to negotiate down in price
with you, and you just took that away from them. Things like mileage, bad tires, cracked dash, faded paint, rust, seat stains, missing mats, and torn ceiling will
greatly reduce the value of the car. You must use that to your advantage in negotiating the price down.
Call the seller, ask lots of questions
There's a lot of data you need before you can properly negotiate the price of the car, so when you call the seller, ask these basic questions if you don't
want to print out our full list of questions mentioned above:
1) Why are you selling the car? Put them in a defensive position and they must answer quick. If they hesitate, they have something to hide.
Why do most people sell their car? Maybe they lost their job, or there's too many things wrong with it and they don't want to fix it, they'd rather
sell it to you. Maybe they bought a better new car and are selling it themselves. If you have a car that you love, you're not going to sell it.
2) How many miles are on it? The moment of truth for most sellers. This can really reduce the selling price if there's too much mileage. The standard is
12000 miles per year. If they have more than that, the pricing sites shown above have charts that deduct off the market value of the car.
3) Do they have all the maintenance records, proof of tune ups, and oil change receipts? You just nailed them with 3 defensive questions in a row. I'll bet
no one will have this. I preach it to no end that everyone should. I had it for my Trans Am, and I sold it to the first person that came to look at it. The seller
might say "No one keeps that stuff". Your reply will be "I do, everyone I know does", and without it, I have no validation that you properly maintained the your car,
and now you want me to pay all this money for it?" Tell them no one does their oil changes on time. How many people change the oil every 3-6 months?
4) Have them describe the condition of the interior, the seats, make sure the dash is not cracked,
find out about the paint, tires, A/C compressor, ask if the A/C runs cool. Is there any other known issues or needed repairs that you should know about?
Go check out the seller's used car
Make an appointment to see the car during the day. At night you can't see all that's wrong with it. If you make an appointment with a seller, show up 15 minutes
after the agreed time. Once the agreed time has passed, the seller is now going through total hell, thinking you are not going to show. He's had a few no shows,
believe me, I can personally testify to that. By time you show up, his confidence has been knocked down a notch. You are using psychological
tactics and, legitimate methods of pricing a car. Always show up with at least one other person, and make sure you have your license with
you, most sellers won't allow anyone without a valid license to drive their car. It's harder for a seller to say no and challenge 2 or more people
than just one person, so always show up with an aggressive companion.
Scam Alert: If you visit a seller to test drive the car and they don't let you drive it, leave
immediately. There's no reason to stay because you are not buying that car. I cannot believe how many morons pay a deposit or write a check for the entire amount
without even driving it, or worse, without any receipt! The seller may tell you someone has a deposit on it so they can't let you drive it. Then they'll call you
back later and say "the deal fell through". Here's where Darwinism or the natural selection process hits high gear, because many people foolishly return
to see the seller and buy the car without driving it first! Once you sign, your rights are gone. The police or the state
attorney's office don't give a damn about you because you signed an "as is" form, or more foolishly, a power of attorney form, or even more foolishly, have
no paperwork signed by the seller at all stating that you bought a car from them. Lawyers won't help, your $5000 lawsuit is not worth their time.
Check the driveway or garage floor for signs of fluid leaks. Rust colored stains indicate a leaking radiator. Black or Brown puddles
and stains indicate an oil or transmission fluid leak, and purple puddles indicate transmission fluid leaks. The seller will lie about his car not having leaks, but
a driveway never lies. Make sure the seller sees you bending over to scrutinize the driveway and garage for signs of leaks.
Evidence of a previous accident or rebuilt Junkers
Check the tires and windows carefully for evidence of paint over spray. Sellers put a cheap paint job on the car and lie about it being in a wreck. The cheaper the
paint job, the sloppier the body shop gets. They get over spray all over the place, and that's your singing telegram that the car was in a wreck or rebuilt.
Start Working On The Seller
Have your partner be negative, pointing out every little item that erodes away at the seller's asking price, and confidence. A great tactic with huge psychological
impact is to rub your finger over every major scratch or dimple, and shake your head no in disappointment. The car dealers use this all the time, so learn from the
best. You don't have to say a word, the seller reads it right off your face, and you've set him up for the low ball offer. Have your partner write down all damage.
Ask for the maintenance records. Bet he'll have nothing at all. This is why I tell you to save every record,
and oil change receipt in a notebook. Just add each new one to the end, and you have a nice history record. Now buyers of your car years later
can't say you did not take good care of your car. Ask if the car has been in a wreck, staring them right in the eyes waiting for their answer. If the
answer is yes, inspect the area that was repaired, and point out every tiny little flaw in that repair.
Test Drive The Seller's Used Car
Take the seller with you and ask questions when noises pop up. Listen for noises, rattles, or grinding sounds. If you hear rattling in the quarter panels,
the car may have been in a wreck. If the car is a manual transmission, see if the shifting is smooth. Ask the seller if the clutch has been replaced, clutches
fail after 4-5 years. This sets up the seller for a low ball offer. Most people are unaware that manual transmission vehicles have lower market values than
automatic. Check the heater and the A/C, drive it in the daylight when the sun is hottest, to see how the A/C performs. Listen
for grinding noises when the A/C kicks in, the bearings in the compressor are worn.
If the car has a voltmeter, make sure the voltage stays at 13.6 volts when the A/C is on. Bring a portable volt meter with you.
Not everyone has one, many people do. You can get them for $20. Measure the voltage across the battery terminals with the engine running, and the meter set to
DC Voltage. The voltage should be at least 13.6 Volts with the engine running, and no more than 14.8 volts. If it's not, there is a problem with the charging
circuit, most likely the alternator, which is a costly component, usually about $150 rebuilt. If the battery is not at least 13.6V
with the engine on, the 12V battery will not remain charged, and will die soon.
Drive with the radio on and off. Test the speakers to see if they are cracked. Make sure the CD player works. Take the car on
a highway, main streets, and side streets, see if the car loses alignment, or bears to the left or right. See how good the car brakes, drive sharply around some
corners, and your companion is writing everything down. Make sure all the seat belts work, that electric seats work, look for missing or burned out bulbs inside
and out. If the car has retractable headlights, make sure they pop up and turn on. Make sure the brake lights, reverse lights and directional lights work. Ask the
seller when the brake pads were last replaced.
Tip: Check for leaks in the car!
Spend $4.00 to $5.00 and get a automatic high pressure car wash BEFORE buying the car. After one of our visitors bought their car they did just that and
discovered that the new windshield leaked.
Check All The Fluids
Check under the hood to see how clean the engine is. Is the radiator fluid green? If not, it's been a while since the radiator was maintained and the fluid
has turned brown. Is there any windshield fluid? If it's low, you should be getting bad vibes, a sign that you're dealing with a lazy owner, who couldn't spare
a few seconds to add a few ounces of windshield fluid when he's about to sell. Think he did his oil changes on time? Check the transmission fluid, it should be
purple if it's fresh, slightly brown if it's older. It should NOT be black. Check the air pressure in the tires and check for uneven wear on the tread.
Ask the seller when the tires were replaced last.
Ask the seller to point out all known defects, problems, issues, etc. with the car. If there are any subsystems, alarms, or
computer indicators that are not functioning, have them point it out to you. Ask if there is an extended warranty with the vehicle, and if it is transferable to
you. Verify this with the warranty company. Ask to bring the car to your mechanic to check it out. If they say no, you have to wonder what they are hiding.
Negotiating the Price With The Seller
You can start negotiating price, or go home, study all the data you collected, then when you have all your ducks in a row, go back to the seller to negotiate.
Don't just try to chisel down their price, that's old school negotiating. Your offer will be based on sound research yielding the fairest price possible, ignoring
the asking price altogether. Offer what the car is worth based on market values given by car pricing sites. They will all have varying values, so get an average
figure, and print out from all the sites. Don't forget to subtract for over mileage, and add for options. Many used car pricing sites have three categories of
condition of the car which they report the market value of. The condition will be listed as bad, fair, good, and each has it's own dollar value listed, similar to
the blue books in the stores.
Research selling prices at sites such as Cars.com,
CarsDirect.com and
Car.com.
Choose ads that are lower priced than the seller's car, to prove he is asking more than others. This will burst their bubble, when you can show them several cars of
the same model and year as his, that are far cheaper. The seller might tell you "OK, so you found a cheaper price, maybe they have problems with their cars". You'll
just reply "You mean every one of these cars has problems?"
Most sellers don't know how to price a car, so when you give your offer, it may be far less than the seller's "Hail Mary" price. They'll get all insulted, and tell
you you're crazy, that's way below their asking price. You must then educate the seller that his asking price was wrong to begin with. That's when you show him the
printouts from all the pricing sites. The seller may show you other cars in the newspaper and say "See, they are asking the same amount". Just tell the seller
that very few sellers get their asking price when they sell a car, so those newspaper prices he's showing you are inflated.
"What kind of research did you do to determine what your car is worth? Show me your research printouts, I have all mine right here, where's yours?"
I bet the seller has no research may be arrogant and indignant over your offer. They are unaware their asking price is off base, they
get infuriated with your "low ball offer", and may refuse to deal with you. They probably need the money, the car is taking up space in
their driveway, their wife complains every day as he lets offers slip through his fingers. His pride won't let him sell the car at your price. He'll say,
"why don't you buy one of those other cars if they are cheaper? If my car is not worth it, why do you want it at all?" It's their last ditch futile
effort to justify their price. He's trying to divert you from the fact that he cannot justify his selling price. Any seller using this strategy
has just told you he has no valid research on the value of the car. A seller who knows the market value would say "Here's my printouts from the car
pricing sites, my price is in line with accepted standards". Tell him "We like your car, but the research we have shows that it is not worth your
asking price", point out all the defects, lack of maintenance records, etc. Tell him the printouts specify a car in good condition. Point out
scratches, dings, rust, carpet stains, cracked dash, justification to offer even less than the car pricing printouts. Keep hammering him for his research
and justification until you are the clear victor of that debate.
Tell the seller if his car was really worth what he is asking for it, then it would have sold already.
Tell the seller "You'll have your garage back, you'll have this cash which I'm sure you can use, no more no shows, no wife nagging you about getting the car sold, no
more renewing your ads." Just because he did not get his asking price does not mean he lost. Your suggestion that he's a winner puts him at ease..
Then your buddy chimes in, heads for car, motioning to leave. Your buddy says "he's not going to lower the price, you are just wasting your time, and you should go
back to the other seller who was flexible". Your buddy reminds you the "other car" had lower mileage. The seller is listening to this exchange and panics. He knows
you're on your way out the door, his sales tactics have failed him. You must always be prepared to walk. There will be other cars. If his car was so great, it would
have been sold already. Make your ultimatum to the seller. There is no way you will pay more for any car than fair market value. Right after you say this to the
seller, turn to your buddy and ask him where the next stop on your list it. Your buddy pulls other ads out of the folder, and reads off the info. Head to your
car to leave. Hopefully this will make the seller hop into action and accept your offer.
This is what gets you a good deal. Your strategy is to keep the seller on the defense. Whoever asks the questions is in control of
the conversation. Continue firing difficult questions at the seller, but be polite. Let your printouts be the "bad guy", not you. Don't say "You're
crazy, I don't think your car is worth this". Instead tell the seller "the research I have here shows that your car is only worth this". Now your
friendly relationship with the seller is still intact, and you are a messenger relaying information. How can the seller argue with data from car sites who are experts
at pricing cars? Skillful treatment of the seller gets your deal signed for you. You can let them know their deal is lousy without hurting their feelings.
This useful Excel spreadsheet is actually 2 forms in one. The first spreadsheet is a Used Car Bill Of Sale, which takes the
guesswork out of what information you need when transferring title of a car from the seller to the buyer. The second form is a Deposit Slip Form, similar
to the Bill Of Sale. The deposit slip is used as a written confirmation between the buyer and seller itemizing the selling price of the car, the buyer's deposit,
and how much the buyer still owes on the used car. The deposit buys you time while you go to the bank to get a bank draft. This form is from our
free spreadsheet download area.
Step #6) Complete the sale, get an extended warranty
Once the seller agrees to your offer, discuss payment options. Use our bill of sale that itemizes the car, and it's VIN#, with any
known failures on the car. Sometimes the seller may promise to fix something for you after the car is bought, but this is a dangerous deal to enter.
Tell them to fix it first or put it in writing. If you want any kind of traceability, get a bank draft, with the seller listed as payee. Cash is dangerous to carry
around. With a bank draft, you have a record that you paid the seller money in case there are problems down the road. If the car turns out to be stolen, you can cancel
the bank draft. But you can't cancel cash. Some people don't want a paper trail, but be aware of the risks. This is one of the our most important warnings:
NEVER take delivery of a used car from a seller without the title!
Anyone who owns their car has the title, so accept no excuses! If they are still paying off a car loan, the bank holds the title.
Do NOT give the seller balance due until the title is in your hand. This may mean going to their lender, paying the check, and the lender will give the seller
what's left over, and they'll sign and notarize the title over to you on the spot. Don't fall for any tricks like "I'll have the title in a few days, once you
pay me". Anyone about to sell a car that they own has possession of the title. The seller will sign the back, indicate the mileage, and the amount they sold the
car to you for. Be sure the seller has a valid driver license and that they are the owner of the car listed on the title. If they give any resistance, the deal
is off. You have every legal right to verify who they are and that they are the owner of the car.
NO TITLE, NO DEAL! IT'S THAT SIMPLE!
Auto Warranties On Used Cars
Many used car dealers sell cars with no warranty, or "As Is", which is not what you want. So here's our first used car lesson:
NEVER EVER sign an "As Is" paper at a car dealer. You want at least a 30-90 day warranty
or DO NOT buy the car! The minute they stick an "AS Is" paper in front of you, get up and walk out. Verbal promises mean absolutely nothing.
"Buying a car "as is" disclaims all warranties. You should not expect any legal protection if the car is a "lemon." If they claim
there is a warranty, get it in writing, and READ it.
Older high mileage "beater" used cars might be impossible to get a warranty for as dealers can't find companies to provide coverage for those cars. In that case,
it's even more important to have a mechanic check out that used car first. You don't want to inherit any surprise problems.
If you buy from a private seller, it's "As Is", you have no choice, so get an
extended warranty. Have a good mechanic perform an inspection of the car. Why should you spend money
on a mechanic? I'd rather spend a few dollars on a mechanic now, than $3000 on repairs later when the axle falls off. The mechanic is a great investment if it
alerts you to a costly engine repair that even the seller was unaware of.
Do Not Buy That Used Car If...
These are the top mistakes made by used car buyers. Don't let this happen to you!
The 17 digit VIN#'s on the door, hood, engine, dashboard do not all match exactly
You failed to have a mechanic check out the car on a lift
The title still shows a lien holder with no "Lien Satisfied" stamp on it. It means they still owe the bank
The CARFAX
report shows evidence of odometer rollback or title branded as junk, flooded, stolen, etc
There is no VIN# on the dashboard, or it has been filed down or altered in any way
The seller does not let you drive the car first
The seller does not back up every verbal promise IN WRITING!
The seller is NOT the owner of the car. It means they are a dealer's agent
The seller has no written bill of sale identifying the car, VIN#, and stating the title has not been rebuilt, etc.
The seller does not give you copies of anything you ask for
It's parked along the side of the road with a For sale sign, unless you can verify they are the owner
The seller has no drivers license, title, and registration for the car. Assume the car is stolen
You have not verified the seller's name on their drivers license is the same person on the car title
The seller refuses to let you take the car to a trusted mechanic for inspection
The seller's asking price is suspiciously far below market value
The seller makes you sign a power of attorney, or only wants cash
The seller tells you to pay now, and he'll get you the title tomorrow, it's locked up at the bank
We've seen news stories of people suckered by scam artists selling cars by the side of the road. They do this so you can't find out
where they live. Their selling price is very low to reel you in, but the ad says cash only. It's an awesome deal, the guy priced it to sell, so he wants cash. Morons
just go to their bank, withdraw $8500 and hand it over to a complete stranger with no title. Then he takes your money, gives you the car, but you go to get the
vehicle registered and the state tells you it's a stolen car. Then you lose all of your money. And foolish you paid in cash. The state will take the car from you
because it's stolen property, and you are left with NOTHING! No money, no car, nothing. One victim lost $8500 buying a pickup truck. He did not receive the title
from the "seller" so he got taken. Their brains were doped by a low selling price. Why didn't they check the guy's drivers license?
If the seller does not have the title, they are not the owner of the vehicle.
Don't Forget Sales Tax!
Check out the laws and procedures of transferring title in your state. Next, fill out the back of the title to register the car in your name with the state. There
is also a box to enter the selling price. People like to write in a much smaller amount for the car than they actually paid in an effort to avoid paying a high tax
bill. I advise against this, your state is not stupid. Their computer tells them the blue book value of the car. If you paid $7000 for a car then claimed you paid
only $2000, the computer flags down the Department of Revenue, and they'll send you a nasty letter stating that they know the car is worth $7000, time to pay up!
Drive Home With Your New Car
Before you drive away from the seller's house, make sure you have the title, a signed copy of the bill of sale, the maintenance records, and don't forget to ask
if there is a special wheel lug key or you cannot change a flat tire, and a repair shop cannot replace your tires. Make sure you have all sets of keys, owners
manuals, repair manuals, and spare parts that the seller may have, like extra lamps, headlights, wiper blades that they forgot about. Be sure the car
has a spare tire and jack. Make sure all brake lights and other lamps work, and check the fuse box for blown fuses, replacing any as necessary.
You don't want to get pulled over by the cops for no brake lights on your way home. Ask the seller if they have a car cover, or if the car
has T-Tops, ask for the storage pouches. If the car does not have jumper cables, go buy some on the way home, without delay. You never want
to be without jumper cables. Don't skimp on the cost either, go to Sears, and buy the thickest gauge, costliest cable you can afford.
The decent cables start at $20, the $10 ones are useless and you might as well not buy them at all. You may want to have a Mobil 1 oil change
done. Ask the seller for receipts for the battery or alternator. Many auto parts stores have lifetime warranties on alternators, or will prorate a failed battery
ONLY if you have the original receipt. I keep mine in an index card box, and anytime I have to replace the alternator or battery I know where they are.
About 30 days after you buy your used car, run another
Vehicle History Report to catch any last minute title
issues that could have popped up days before you bought the car. Some states can take over a month to propagate their info to the
CARFAX databases. The seller could have rebuilt the title a week before
you bought it so it might not show up in a title check for a month.
Check out our chapter on Selling used cars, with advice for sellers, to see how they'll react to your negotiating!
NEVER take delivery of a used car from a seller without the title!