Buying a used car? Beware of the risks

Share

Share on Twitter Share on Facebook Google plus Email

Could buying a used car cost you dear in the long run?

Used car buying risks are on the rise with outstanding finance a particular concern, according to My Car Check.

Despite the average retail value of cars checked up by £758 over the last 12 months (from £7,072 in Jan 2015 to £7,830 in Jan 2016), 48% of all checks in January 2016 flagged up at least one issue.

This is up 6% on the same month in 2015 and could be anything from a legal registration plate transfer to a major issue such as a previous write-off.

The most worrying trend My Car Check came across was a 16% year-on-year increase in the proportion of finance checks warranting further investigation.

It is illegal to sell a car if it has outstanding finance without informing the finance company.

In terms of buyer preferences, the Ford Fiesta Zetec overtook the Volkswagen Golf TDI as My Car Check’s most checked model and white cars overtook grey to become the fourth most popular colour behind black, silver and blue.

Roger Powell, head of My Car Check, said: “These new figures illustrate the changing nature of used car buying, particularly in the private marketplace.

“The popularity of Personal Contract Purchase (PCP) finance has increased the risk of buying a second hand car with thousands of pounds of debt attached to it.”

Before you part with your cash be sure to read our Buying a Car guide.

Interested in Admiral Car Finance? Find out more

Share with your friends