How to Buy a Used Car

What's in the Guide

• Car Basics: Which type of car should you buy?
• Car Fuel: How to choose the right fuel for your car?
• The Short-List: How to decide on a make & model
  that’s just right for you?
• Looking Closely: What are the car history details
  that you must check?
• Papers: What are the documents to check before
  buying a used car?

• Certification: Is a used car that’s certified better than
  one that’s not?
• Test It: Why is it critical to test drive a used car before
  buying it?
• Expert Advice: Why is it a good idea to bring someone
  along when buying a used car?
• Tag It!: What are the points to remember when negotiating
  the price of a used car?
• Car Health: How to check the physical condition of a
  used car?

Car Basics : Which type of car should you buy?

Ask yourself “Why exactly do I need one?” Daily city commute, family use, weekend excursions, the occasional spin, a short stay in a new city… be clear about the reasons you want a used car, then choose the type accordingly.
A quick look at your options -

Sedans

A sedan is a three box, four door car with 4+ seats and a boot. A few popular sedans are Maruti Swift Dzire, Honda City, Honda Amaze, Toyota Etios and Volkswagen Vento. Price for a new sedan ranges between INR 7 lakhs & INR 11 lakhs, but can go as high as INR 30 lakhs in some cases.

Hatchback

A Hatchback is usually a 4 door vehicle with a small rear cargo-space gate hinged at the top. The rear seat usually folds down, allowing for space flexibility. A few popular hatchbacks are Hyundai i10, Maruti Alto, Maruti Swift, Ford Figo, Tata Vista and Honda Brio. Price of a new hatchback generally ranges between INR 2.5 lakhs to INR 8 lakhs for fully loaded models.

SUV

SUVs, or Sports Utility Vehicles, are large sized cars primarily meant for off-road drives, or larger families – with high ground clearance, comparatively big tires, powerful load carrying ability and spacious seating. A few popular SUVs are Mahindra Scorpio, Renault Duster, Tata Safari, Ford EcoSport and Toyota Fortuner. Price of a new SUV ranges between INR 6 lakhs and INR 16 lakhs, but can go higher.

Car Fuel : How to choose the right fuel for your car?

Every fuel type has its own benefits and you should choose the one that meets your requirements the best. Below are a few general pros and cons for each fuel type

PROS

• Lower cost of car, more power

CONS

• Higher cost of fuel, likely to get even higher

PROS

• Good mileage, lower cost of ownership

CONS

• Slightly expensive technology, coarse and noisier, lower top end power

PROS

• Lower cost compared to petrol, boot space only partially compromised

CONS

• No longer a very cheap fuel

PROS

• Lower cost, fuel of the future, lower emissions, very popular worldwide too

CONS

• Boot space is compromised, low distribution except in metros

The Short-List : How to decide on a make & model that’s just right for you?

Looking Closely : What are the car history details that you must check?

Make sure to check the following -

• Distance travelled
  A petrol car should average 12,000 km/year, while a diesel car about 15,000 km/year.


• Age
  It may be difficult to get loans or insurance if the car is older than four years.


• Number of previous owners
  If the car has had multiple owners, be careful regarding performance, mileage & maintenance. Single owner self driven cars are generally well maintained.


• Reasons for selling
  Ask and follow the attitude and language of the seller closely. If the latter has something to hide, chances are, this is where they may ‘slip up’ – saving you from a possible disaster.

Car Health : How to check the physical condition of a used car?

Exterior check

• Check the tires with the car on level ground.
• Check paint and note rust spots, waviness and scratches.
• Look for chips, scratches or other damage on the windshield.
• The trunk should be without signs of rust, or water entry.
• Check tires for evenness, alignment, wear, cuts and bulges. Check the spare tire.
• Ensure that the saddle (this connects the front fenders and holds the top of the radiator) is bolted in, not welded. Look for welds inside the door jambs, too.
• With the car slightly raised, inspect the exhaust system (black spots can indicate leaking), uni-body damage and under-body rust.

Under the bonnet check

• Check for signs of cavity or rust.
• Check the hoses, coils, belts and chords for cracks, leakage, wear and damage. Make sure the radiator hose is not soft.
• Wet spots can indicate leaking oil or fluids.
• Melted wires, tubes or lines – or a blackened firewall – may indicate overheating (or an engine fire).
• Examine engine, brake fluid and reservoir for leakage or corrosion.
• Coolant colour ought to be the colour of antifreeze, and not rusty red or filthy brown.
• If you notice foam after removing the oil filler cap, it will mean a leaking head gasket. Black carbon deposits under the cap reflects poor maintenance.
• When you pull the transmission dipstick, the fluid should be full, and pink or red (dark in an old car) in colour. It should not look or smell burnt (check after turning the engine on).
• The timing belt is important – A steel one is best.

Start-up checks

• Cold start the engine. An old battery will need boosting, while rattling (or other odd) noises or blue smoke will indicate wear or mechanical defect.
• Check the dash lights : If the ‘check engine’ light goes on, suspect defect.
• Exhaust : A blue or blue gray smoke (or a smell of burning oil) indicates that the engine burns oil.

Inside checks

• Check the seats and upholstery for tears, stains or any other kind of damage.
• Look out for moisture on the metal rust under the car seat.
• Lift the carpet to check for rust.
• Ensure that air filters are free of debris.
• If the car has computers fitted, bring along a handy computer to check it.

Checking for accidental (structural / body) damage

• Clamp marks, i.e., holes or gashes on the frame.
• Bolts that have been turned.
• Unusual or weird engine noise.
• A finish that doesn’t look right, or a rough paint line that looks like a ‘re-paint job’.
• Surface unevenness – examine the reflection in daylight.
• Doors, windows, hood or trunk which don’t close properly.
• Welding marks under the bonnet.
• Also
• Peel the fabric lining along the trunk to check for welding marks or body filter.
• Compare the VIN (Vehicle Identification Number) on the dashboard with the VIN on the sticker inside the door – they should match.

Miscellaneous Checks

Steering wheel: With the car idling, turn the steering wheel left and right to check for ‘slack’ or ‘delay’. During test-drive, check whether the steering is wandering.

AC : Turn on the AC with the engine running – you should feel cold air coming from the vents almost immediately. Check for loose vents (louvers), blower speed control, blower direction knob, hot & cold knob and odours from the vents.

Safety : Safety belts, door and child locks should be working well. To see if air-bags have been deployed, check for seams or unevenness in the air-bag cover, a flashing air-bag indicator light and manufacturer’s logo.

Baby safety : Ensure the baby chair is sturdy, well hinged and secure. Check for the manufacturer’s logo and the expiry date. Make sure the top and shoulder strap and the adult seat belt (that keeps the child restraint in position) are properly adjusted and that there’s no slack. You should be able to adjust the harness firmly.

Music & Radio : Verify for pirated parts.

Jack & Kit : Check if the seller is offering these.

Seats must recline and slide without a hitch.

Sensors and Camera : Check if parking sensors and back parking camera are working fine.

Instrument & indicator panel : Ensure that speedometer, odometer, handbrake light, battery indicator, fuel gauge, temperature, tachometer, trip meter, etc, are working.

Others : Check bluetooth, cabin lights, key fobs, wipers and proper sliding of window glasses.

Papers : What are the documents to check before buying a used car?

Documents ensure that the ownership of the vehicle gets duly transferred in your name (apart from confirming that the seller was, indeed, the last owner).

• Registration Certificate (Blue Book): Check whether it’s an original (official watermarks should be present, while there should be no signs of alteration) or duplicate, and then double-check with the RTO (Regional Transport office). The latter will also be able to confirm whether the car has been stolen, or involved in any illegal activity. Ensure that engine and chassis numbers on the car body match with those in the Registration Papers. If the state of registration does not match the state where you intend to use the car, ask the seller to get the registration duly transferred. Don’t forget to check for the RTO Tax receipt.


• Insurance Certificate: Must for transfer by RTO. Check for previous accidents claims.


• Owner’s Proof: Make sure that the seller is shown as the owner in the papers.


• Confirm that the VIN (Vehicle Identification Number) on the car matches that on the registration papers.


• Pollution Under Control Certificate: This is important for transfer of ownership name.


• Municipality Certificate : Mandatory if the car is registered in a municipal area.


• Road Tax: Insist on this document.


• Toll Tax: Make sure there are no pending Toll taxes.


• Maintenance Certificate: Ask for the original vehicle warranty and maintenance certificate (or, alternatively, the Log Book / Maintenance history).


• Other Documents: If the seller had bought the car on finance, make sure s/he hands over the following papers (in original) 1. NOC (No Objection Certificate) issued by the financing company 2. Form 35, signed by the financier.


• Address: Confirm purchase address is the same as that shown in seller’s ID and registration.

Certification : Is a used car that’s certified better than one that’s not?

Although many car manufacturers and dealers have developed certification systems, there’s no guarantee that certified vehicles are ‘trouble free’

• Make sure that it’s the manufacturer, and not just the dealer, who is offering the certification.


• Read the contract and get a copy of the warranty terms that clearly specifies what’s covered, and what’s not.


• Make sure the certified car has not undergone any ‘reconditioning’ (and doesn’t carry a service contract - the cost of which is added to the vehicle’s price).

Test It : Why is it critical to test drive a used car before buying it?

It’s the best way of figuring out what you’re getting into.

• It’s the best way of figuring out what you’re getting into.


• Listen carefully to the engine starting up from cold – the oil light should go out soon after the engine starts.


• After the engine is warmed up, the temperature gauge should be around the middle of the scale.


• Gear transition must be smooth and quick.


• Check the brakes by pressing down hard for a sharp stop at around 50 kph (30 mph) - there should not be any vibrations or strange noises.


• If the engine is bucking or stumbling during acceleration, suspect problem.


• Check electrical and dials.


• Noises or trepidations at high speeds can indicate wear and tear, damaged tires, or joints that need to be replaced.


• The idle speed should be stable.


• Try and drive the car in all modes - acceleration, deceleration, stop-and-go traffic, highway cruising etc.


• Test drive for as long as you can – sometimes, problems take time to show up.

Expert Advice : Why is it a good idea to bring someone along when buying a used car?

Bring along someone trusted with you, who knows a good bit about cars – a sibling, a family member or a friend. Alternatively, consider paying a reliable auto mechanic to accompany you for the test.

Tag It! : What are the points to remember when negotiating the price of a used car?

It’s the best way of figuring out what you’re getting into.

• Check the condition, refer to the current market price (and the price it was bought for), consult someone your trust, and then quote your price.


• Make a reasonable offer with confidence, and stick to it.


• If you like the car, don’t show your over-enthusiasm right away. Drop a hint or two casually, and let the seller come up with a way to ‘get you into the car’!