Top 10 Used Car Buying
Myths, Mistakes, and
Pitfalls
Be sure you know each of
these before purchasing
a used vehicle
Auto P. I. has been providing
professional pre-purchase inspections for over 11 years. We see buyers
fall victim to the same used car buying mistakes. We have put together the "Top 10" myths,
mistakes and pitfalls many buyers will encounter when purchasing a used vehicle.
Any one of the following 10 items
can cause a financial nightmare. ALL of these items can be
avoided if you understand them before you purchase.
#1) Pre-Purchase Inspections
Pre-purchase inspections (PPI) requires testing and evaluating of every mechanical,
electrical, body and frame system of the used vehicle. However, there
is no pre-purchase inspections standards and there are
significant differences between Automotive Technicians performing PPI. Today’s
vehicles are so complex that most Automotive Technicians become ASE Certified
in just a couple of 8 general automotive testing areas. However, only an ASE
Master
Certified Technician is qualified to properly test and evaluate all 8
mechanical and electrical automotive areas. In addition, used car buyers will
need an independent Body & Frame Specialist to uncover any previous accident
and/or frame damage. The #1 reason bad cars are purchased is
the buyers' inability to determine the current condition of the entire vehicle
before purchase.
#2) Vehicle History reports
A vehicle history report cannot inform the used car buyer of any existing or
potential mechanical or electrical problems, or the quality of any previous
repairs, including any accident repairs. Vehicle history reports do not report
all accidents. Carfax & AutoCheck have admitted that there are thousands of
accidents each day that never get reported to their database. Only a body &
frame inspection performed by a Body & Frame Specialists can determine if the
vehicle was in an accident, the extent of the damage, and the quality of any
repairs. Click here for more limitations to history
reports and how to determine the true condition before purchase.
#3) Certified Vehicles
There is no quality standard or inspection standard for "Certified" or
“Certified Pre-Owned” vehicles. Any certifications, inspection standards, and
warranties vary greatly from dealer to dealer. As with any warranty, used car buyers must know what
systems are covered and NOT COVERED
before purchase. A professional pre-purchase inspection is still required to
determine any existing problems that are not covered under the limited warranty
and any problems missed by the dealer’s cursory inspection.
Click here for more information about certified vehicles.
#4) Used Car Values
There are many web
sites and publications that calculate used car values. Normally these pricing
guides and websites give used car prices with additions and deductions for items
including optional equipment, excessive miles. However, these website and
publications cannot give accurate deductions for the true mechanical condition
of the vehicle. Only a professional pre-purchase inspection can discover needed
repairs, abuse, and previous accident damages. The true value of a used vehicle
is the book value minus any needed repairs misuse, and previous accident
damages. Click here for determining the value of a used vehicle.
#5) Frame Damaged and Flooded
Vehicles
It is estimated that 1 in 14 vehicles on the road today are rebuilt from salvage
and that 40% of all frame repairs are substandard. Used car buyers will need a
professional pre-purchase inspection by a Body & Frame Specialist to determine
the extent of any accident damages, and the quality of any repairs.
Many frame damage and flooded
vehicles have clean titles and were never reported to the DMV, Carfax or
AutoCheck.
#6) Odometer Fraud
It
is estimated that 1 in 4 used vehicles have odometer discrepancies. A
professional inspection should determine if the wear and tear on the vehicle is
consistent with the odometer reading.
Vehicles with altered miles or
abnormal wear and tear will be worth much less than the book value.
#7) "AS-IS" Document
When purchasing a vehicle from a used car dealer, all buyers are required to
sign the “AS-IS” document. The “AS
IS” document has two check boxes, “Warranty” and “AS-IS No Warranty”. If
the “AS IS” box is checked, used car buyers are responsible for all problems
after the purchase. If the “Warranty” box is checked, the dealer offers some
sort of warranty for a specific time. Used car buyers must understand what
components and/or systems are covered, AND NOT COVERED, and for what length of
time#8) Automatic
Warranty
Many used car buyers have a belief there is some sort of automatic
warranty when purchasing from a used car dealer.
However, dealers (and individuals) are not required to give any type of used car
warranty. Any warranty must be in writing to be enforceable and most warranties
are limited to certain parts or systems of the vehicle. Used car buyers must
understand what components and/or systems are covered, AND NOT COVERED, and for
what length of time. Most are very limited warranties covering just the
drive train and not the majority of the mechanical and electrical systems.
Warranties do not cover any problems caused by previous accident damage.
Note: A used vehicle might
have some remaining factory warranty. This is different from a warranty given by
a used car dealer. Vehicles with remaining factory warranty should be inspected
for previous accident damage and abuse by the former owner(s), which may void
the remaining factory warranty
#9) Take Back Period
Many used car buyers still believe there is an automatic 3-day take back period,
or they can take it back if they have not made the first payment. There is no
such law or protection.
#10) Used Car Lemon
Law
Many used car buyers assume
that since there is a new car Lemon Law, there must be a used car
Lemon Law. Most states, including Texas, do not have any type of a used car
Lemon Law. It is the buyers’ responsibly to determine the true condition of the
vehicle before purchase.
Click here for
information & pricing on our
600-point Pre-purchase inspection
"Before you buy... Call Auto P. I."
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Pre-Purchase Inspections as seen on ABC News 20/20 |
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