Spend Smart. Get a good deal for old wheels

Buying second-hand can often save you big bucks and a car is no different. But how do you get the best deal when haggling over the price?

It’s important to first make an objective evaluation of the car to determine whether it’s a lemon. Mileage on the odometer cannot be the only yardstick for taking a decision, as it can be tampered with.

Satisfy yourself that it is in sound mechanical condition. While inspecting it, ensure that it is on level ground so that you can clearly check the tires and ascertain whether anything is sagging from the vehicle. The worst car you could buy is one that has been in a collision; inspect the frame of the vehicle thoroughly. Look for signs of dents, damage or rust.

The acid test, of course, is to test drive it; never take a decision without doing that. Every drawback of the used vehicle should be highlighted to the owner to knock down the price.

Once you have zoomed in on the right vehicle, check the paperwork to ascertain that you don’t run into trouble after you pay for it. The registration certificate is an essential document that provides vital information about a vehicle. Check the State the vehicle was registered in, because if you plan to drive it to another State, you must register it there.

If the vehicle is old or was involved in an accident, the engine may have been changed. So ensure that the RC has the correct engine number. Also, verify that it’s not a “duplicate registration certificate (DRC)” and ask the owner for the reason if it is so.

Next, make sure that all payments have been made if the car was bought with a loan. Else, the lender may ask you to pay off the remaining loan instalments.

You’ll also need Forms 32 and 35 — for transfer of ownership and termination of any lease for hire-purchase, lease or hypothecation respectively — from the State Transport Department for this purpose. Also, ask the seller for a no-objection certificate from the finance company.

Also ask for a copy of the road tax receipt — the one-time payment that should have been paid at the time the vehicle was registered. If it hasn’t been registered, the penalty can run into lakhs of rupees that you will be liable to pay as the new owner.

In case the vehicle has been modified to run on two types of fuel, ask the seller for its dual fuel certification, as well as an NOC from the Road Transport Office. The retro-fitment also usually comes with a guarantee, so ask the seller for the original receipt.

One more thing to do before you make the purchase: have the vehicle insurance transferred to your name. Else, it’ll be difficult to lodge a claim in case of an accident. Check the policy details too — whether it is third-party or comprehensive insurance? Has insurance ever been claimed? Has the premium been paid regularly? And finally, demand a sale receipt from the seller.

With a plethora of used-car websites and classified advertisements, it’s no trouble finding individuals selling cars. If you are not very experienced with vehicles, hire a mechanic to do the inspection. Ask the current owner for the vehicle’s service history. A better serviced vehicle will often give less trouble than one that has never been to the workshop.

But if you still have qualms, look to buying from a pre-owned car dealer, or even a “certified” vehicle directly from the car company. The advantage here is that there is some sort of warranty on the vehicle.

You might get this from a dealer as well, but not all offer it. What’s more, the dealer or company will usually take care of the paperwork too. However, the cost is usually higher. Don’t be afraid of haggling with the owner. Take into account the repair costs you may have to incur calculating your purchase price.

COMMENT NOW