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Recalls

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Recalls are repairs suggested by automobile manufacturers and the National Highway Traffic Safety Administration (NHTSA) to ensure the safety or mechanical integrity of your automobile. These repairs are necessitated by some factory defect or oversight, and, as such, they are done free of charge by any new-car dealership authorized to sell the type of car you own. Since a used car owner is usually unaware of a recall, you can find out whether a recall exists for your car by calling NHTSA at 1-800-424-9393, or you can write directly to the manufacturer at the address provided in your owner’s manual. If there happens to be a recall involving your particular vehicle, have it serviced as soon as possible. Some recalls are for serious conditions like failing brakes or spontaneous engine fires, and there’s no sense gambling with your safety.

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Vancouver Used autos

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The Haynes Used Car Buying Guide

Titles are guaranteed at dealers-only auctions. If you buy a car through a dealers-only auction, you know you’re getting a car that’s not stolen and can be traced. There’s also less chance of fraud than in a private-party sale. Dealers-only auctions have some built-in protections such as disclosure of mileage, mileage deficiencies, frame damage, fees owing, etc. And most auctions have some sort of drivetrain guarantee on certain makes and models.

Naturally there are some disadvantages to a dealers-only auction, just as there are disadvantages to any type of sale. To buy a car at auction, you must pay cash. Which means you either have enough cash or you arrange financing ahead of time. Another disadvantage is that you will have little opportunity to inspect and no opportunity to test drive the vehicle before buying it. That’s one reason why cars go for so little money at a dealers-only auction – they’re being purchased “as is.” And if your dealer get the highest bid on the car you want, it’s yours. Federal and state consumer laws designed to protect consumers who change their mind after purchase don’t apply to auction vehicles. Once you buy it, you can’t change your mind. If you want to get rid of it, you’ll have to sell it.

Some people who make their living buying and selling cars for private clients consider dealers-only auctions the best combination of getting a good deal at a great price. So how do you get in on it? First, you must locate a good dealer to inspect the car thoroughly and to represent you well at the auction. This must be a dealer you can trust, who is honest and who charges a fair commission. A tall order, but do-able. Word-of-mouth recommendations are the best endorsement. Try to avoid walking into a dealership seeking a dealer you can trust!

Once you’ve lined up the dealer you wish to hire as your representative at the auction, here’s how it works: He will arrange to meet you at the auction most likely to fill your needs, and together the two of you will inspect dozens, perhaps hundreds, of vehicles and pick out the most interesting example(s). At this point, you and the dealer will probably want to settle of his fee and discuss possible bargains for certain types of vehicles currently going for below market value. The you’ll give him a good faith down payment, say 20 percent of the vehicle’s estimated going price. Using your funds, he buys the car you want at the next auction if he can do so within the agreed upon price range. If necessary, he’ll have the car smogged, cleaned up and/or repaired as necessary. Then the paperwork is completed and the car is transferred to you. His fee and any costs (taxes, licensing, smog, repairs, etc.) are deducted from the 20 percent down payment. Any other fees owed to the dealer are paid to him at this time; any funds left over are returned to you. And that’s it! Simple!

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Five Questions to Ask Before you look at the vehicle

Particularly when dealing with private parties (who usually have only one car for you to look at), you’ll want to make sure a vehicle is worth your time before you make the drive. Always call first and talk to the owner/driver -other people in the house may not be able to answer all your questions.

  1. Why are you selling the vehicle? You’re probably not interested, but a person selling the vehicle because of mechanical problems will often stumble on this question, alerting you to look at the vehicle very carefully.
  2. How many miles are on the odometer? Generally speaking, multiply the year age of the vehicle by 15,000. If the vehicle has more miles on it than the product of this equation, the vehicle is usually considered to have high mileage.
  3. What condition is the vehicle in? Actually, this should be a series of questions like “how’s the body and paint?, “how’s the interior?”, etc. You’ll find that a seller’s opinion will often differ greatly from yours once you see the vehicle, but you can often discover problems like accident damage. This may save you a trip if you’re looking for an unmolested vehicle.
  4. What work has been done on the vehicle recently? Sellers often “prepare” a vehicle for sale by performing work they’ve been meaning to do for a while. This is usually an innocent attempt to make the vehicle look more appealing, but be a bit wary if major work has just been completed. For example, if the engine has just been overhauled, make sure the engine is checked out thoroughly. It’s rare, but owners occasionally try to get rid of a vehicle that’s showing signs of slipshod workmanship on a major repair.
  5. What options does it have? This will actually be a series of questions pertaining to your needs (it’s a good idea to make a list before you start making calls). For example, if you need an automatic transmission or air conditioning, make sure you ask whether the vehicle has these options. Ask which engine the vehicle has. A friend may have told you of the great fuel economy of his car, but the same model with a different engine option may not do so well. Always be sure you’re making an apples-to-apples comparison.

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Dealer-only Auctions

Another way to buy a used car is to buy it at a dealers-only auction through a licensed dealer. Before discussing the pros and cons of a dealer-only auction, it’s important to understand that a dealers-only auction is not the same thing as a public auction. Let’s look at the difference between the two. Auctions open to the public are usually advertised on the back page of the classified section of the newspaper. These auctions are outlets for used city police vehicles, local government vehicles, etc. They’re sometimes disguised as “drug seizure” auctions because it pulls in the customers who think they’re going to walk out with an outrageous deal on a Porsche or Ferrari (actually very, very few of the vehicles sold at these auctions are drug seizures).

A dealers-only auction is open only to licensed dealers who are registered to do business with that auction house. The public is not allowed to attend. The vehicles come from everywhere: Bank “repos” (repossessions), leased cars, factory demos, theft recoveries. dealer “overflow” (slow sellers), banks, etc. The dealers of these auctions are looking for rock bottom prices on cars they want to buy for resale on their lots. Because dealers stop bidding long before the bidding frenzy on a vehicle pushes its asking price anywhere near retail (they don’t even like to pay Blue Book wholesale, but prefer to pay hundreds less), there is little danger that the vehicle will go for any more than that. And the selection is huge. Typically, dealers-only auctions range from 500 to almost 3000 cars. You can find anything you want at one of these auctions, which are held weekly.

When you buy through a licensed dealer at a dealers-only auction, you are buying through a licensed dealer. If something goes wrong, you have legal recourse. Even if a dealer moves, the state department of motor vehicles (or whatever it’s called in your state) can find him because he is bonded, and the threat of legal action against his license is sufficient to force him to back down if he breaks the law.

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What parts or repairs are Covered by the warranty?

Coverage includes all parts whose primary purpose is to control emissions and all parts that have an effect on emissions. Let’s divide these two types of parts in two categories – emissions – control parts and emissions-related parts – then divide the parts within each category into systems. Our list would look something like this: sellers. Besides, even if you find a car you like, keep in mind that a private party is not a licensed dealer (or at least he’s not supposed to be), so he is not required to provide any sort of guarantee. If the vehicle turns out to be a bad buy for some reason or immediately breaks down, you have no recourse. Needless to say, there’s no financing available.

It’s also remotely possible to get bad paper (unclear title to the vehicle) when buying from a private party. When buying from a private party, make sure he has the title paper and that it is authentic (study the title paper from another car to be sure). Also make sure the Vehicle Identification Number (VIN) on the title matches the VIN on the car. To be absolutely sure the owner is the real owner, ask to see his driver’s license. There have been cases where an individual will buy a problem car for the sole purpose of reselling, then never register it. When he sells it to you, he gives you the paperwork signed by the previous owner. In this scenario, the seller protects himself from any actions by you.

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The Design and Defect Warranty

Basically, the Design and Defect Warranty covers the repair of all emission control related parts which fail during the term of the warranty. According to Federal law, the manufacturer must repair or replace the defective part free of charge if:

  1. It is within the term of the warranty;
  2. An original equipment part or system fails because of a defect in materials or workmanship; and
  3. The failure would cause your vehicle to exceed Federal emissions standards.

If these three conditions are present, the manufacturer must honor the warranty. All manufacturers have established procedures to provide owners with this coverage. The Design and Defect Warranty applies to used vehicles too. It doesn’t matter whether you bought the vehicle new or used; if the vehicle hasn’t exceeded the warranty time or mileage limitations, the warranty applies.

The Design and Defect Warranty applies to all vehicles, including cars, pick-ups, recreational vehicles, heavy-duty trucks and motorcycles. The length of the warranty varies somewhat with the type of vehicle. If you own some type of vehicle other than a car, read the description of the emissions warranty in your owner’s manual or warranty booklet to determine the length of the warranty on your vehicle.

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The Federally-Mandated Extended Emissions Warranty

Because of its wide-ranging coverage, the Federally-mandated extended emissions warranty can offer powerful protection to the buyer of a late-model used car. First, because of the sheer length of its coverage it’s probably the only warranty that’s likely to still be in effect by the time a car is sold to a second owner. Second, it covers virtually all of the fuel, engine electrical and emissions systems, so some of the most expensive parts on the car are protected.

So before you dive under the hood to troubleshoot or fix a problem related to emissions, there are some things you should know about the Federally-mandated extended warranty, which is designed to protect you from the cost of repairs to any emission-related failures beyond your control.

There are actually TWO emission control warranties- the “Design and Defect Warranty” and the “Performance Warranty.” We will discuss them separately.

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Extended Warranties and Service Contracts

Extended warranties are sold through dealerships. They can be backed by either the manufacturer or by an aftermarket company. The cost of purchasing an extended warranty can be high. Make sure you get your money’s worth. The coverage spelled out in an extended warranty often “overlaps” the terms of the standard manufacturer’s warranty. During the initial period already covered by the manufacturer, the only additional benefit available may be the use of a rental vehicle during repairs.

An extended warranty does not have to be purchased at the time you purchase a new vehicle. In most cases, you have 12 months or 12,000 miles (the terms of the original standard manufacturer’s warranty) to buy an extended warranty. Ask the salesman for information regarding various extended warranty plans. Have him spell out in writing what you’ll be getting if you buy an extended warranty, and ask him to show you the difference between the manufacturer’s standard warranty and the extended warranty.

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The Haynes Used Car Buying Guide

This setup was the industry standard for decades. Eventually, this $100 deductible power train coverage was bumped up to 36 months or 36,000 miles. Later, as manufacturers began  to view the warranty as a marketing device, they added the term bumper to bumper, usually for the length of 36/36,000. A bumper-to-bumper warranty included all the items covered in the initial 12/12,000 warranty, but it included a $100 deductible.

The terms of standard warranties on today’s cars are longer than ever, both in miles and months. When you shop for a used vehicle, look closely at the actual written terms of the standard warranty. If it’s still in effect, it should cover everything, including the power train, cosmetic things such as interior and exterior trim, and all electrical devices and systems. It should also include a corrosion warranty, which covers all damage caused by rust. A competitive power train warranty should be at least 5 years or 50,000 miles, and some manufacturers are even going to 7/70,000. Look for warranty coverage (sometimes as much as 100,000 miles) protecting the finish and/or the body from corrosion, rust and environmental fallout (rail dust, smog, factory emissions, acid rain, etc.).

When you’re buying a used vehicle, ask the seller to show you the actual written terms of any warranty that came with the vehicle when it was new. Ask him whether you have any options, such as a choice between a higher-mileage warranty with a deductible versus an all-inclusive bumper-to-bumper warranty with no deductible, but shorter terms.

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Manufacturer’s Standard Warranties

At one time, the standard manufacturer’s warranty was 12 months or 12,000 miles, whichever came first. If anything broke during the first year of operation, it was fixed free of charge. There was no deductible. After the initial time or mileage was exceeded, the warranty covered the “powertrain” (engine, transmission/transaxle, driveline, differential, rear axle, and transfer case, if equipped) up to 24 months or 24,000 miles. There was usually a $100 deductible. This setup was the industry standard for decades. Eventually, this $100 deductible powertrain coverage was bumped up to 36 months or 36,000 miles. Later, as manufacturers began to view the warranty as a marketing device, they added the term bumper to bumper, usually for the length of 36/36,000. A bumper-to-bumper warranty included all the items covered in the initial 12/12,000 warranty, but it included a $100 deductible.

The terms of standard warranties on today’s cars are longer than ever, both in miles and months. When you shop for a used vehicle, look closely at the actual written terms of the standard warranty. It it’s still in effect, it should cover everything, including the powertrain, cosmetic things such as interior and exterior trim, and all electrical devices and systems. It should also include a corrosion warranty, which covers all damage caused by rust. A competitive powertrain warranty should be at least 5 years or 50,000 miles, and some manufacturers are even going to 7/70,000. Look for warranty coverage (sometimes as much as 100,000 miles) protecting the finish and/or the body from corrosion, rust and environmental fallout (rail dust, smog, factory emissions, acid rain, etc.)

When you’re buying a used vehicle, ask the seller to show you the actual written terms of any warranty that came with the vehicle when it was new. Ask him whether you have any options, such as a choice between a higher-mileage warranty with a deductible versus an all-inclusive bumper-to-bumper warranty with no deductible, but shorter terms.

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