| If you choose this way you'll
be responsible for all the paperwork and separate costs
involved in getting the car to your home. Part of those
costs is that you'll be liable to pay VAT and a registration
tax to put your car on the road in the UK.
Finding a dealer who's willing to supply you with a
correct UK specification vehicle is probably the most
difficult part. You can obtain details of continental
dealers' addresses by surfing the internet. Watchdog typed
in 'European car dealers' and found a list of contact
numbers for showrooms across Europe.
Alternatively, you could try contacting the chosen
manufacturer's UK headquarter's customer services department
to see if it'll help. Chances are it'll insist you buy
direct from a UK dealer.
If you don't fancy doing all the groundwork yourself but
still want to save some money then you could go through a
reputable import agency or company. They're experienced in
dealing with the paperwork from customs and other official
organisations. Also, some companies hold a stock of imported
vehicles and take advantage of buying in bulk to further
reduce the cost.
You can select and order your car through a website or by
telephone. If you choose this method then ensure you pay the
deposit by credit card and don't pay any more until you take
delivery of your car. When you get the vehicle, check the
car throughout and ensure you're happy with it before
parting with any more cash and accepting delivery.
Car supermarkets can be a good way to get a new car
quickly and cheaply. Two of the biggest car supermarkets
which focus on selling new car imports are Trade-Sales in
Slough and Motorpoint in Derby. Carefully check out the car
you want, but don't expect a test drive. Also be very
careful about the specification.
As to how much you can save on buying a new car from
abroad, it really depends on the car you're buying; the
country you're buying it from; and exchange rates. In Europe
you don't pay the VAT and taxes of the country you're buying
from but the country you're importing to.
As manufacturers are aware of the taxes imposed by
different countries, they often sell cars more cheaply to
countries where cars are highly taxed in order to make them
more affordable. So countries which tax cars highly make
good countries from which to import.
You have to add VAT when you bring the car into the UK,
as well as registration, number plates, and road tax cost.
Also, to avoid difficulties, you're advised to arrange for
the car to be transported from the port to home, rather than
drive it. This is because it's illegal to have a car on the
road unless and until it has been registered and licensed in
the UK.
Who you need to contact
This short guide details who you need to contact before and
after ordering your new car.
| First you need
to get the necessary paperwork from HM
Customs and your local Vehicle Registration
Office before you can go ahead and order
your car. You'll have VAT and an import duty
to pay on the vehicle. Log on to
www.hmce.gov.uk where you'll find clear
advice on procedures you must follow to pay
the VAT on your new vehicle. Alternatively,
you can call the HM Customs National Advice
Line on: 0845 010 9000.
You'll then inform the DVLA that you'll
be importing a new car - there'll be a
registration fee of £38. If you log on to
www.dvla.gov.uk it will tell you how to
obtain an information booklet outlining the
DVLA requirements from you and costs
involved. Once you have this documentation
you'll then be able to obtain your road tax.
Servicing your car
This guide explains everything you need to
know about future servicing and the value of
your new car, including facts about
warranties
|
Certainly within the car's
first year of warranty you
should be taking it to your
local main dealer for any
servicing and maintenance
work. It's illegal under
European law for a dealer to
refuse to carry out warranty
on your imported car.
Also don't let them try
to convince you it'll cost
more to service as a result
of it being an import. As
for the kind of service you
get, remember you didn't buy
the vehicle from them.
Should any future warranty
claims be required then
expect to be treated far
less importantly than
someone who has purchased a
car from that UK dealer;
they may not offer a
courtesy car, or worse
still, no coffee!
Insurance costs should be
just the same as those of a
UK-purchased car, but search
around because some
insurance companies may give
inflated quotes for imported
cars.
One final thing to
consider when buying a car
from abroad is that it may
affect the resale/trade in
value. Some dealers won't
buy imported cars. Others
may offer a low price and
that is even if the car is
full of UK spec.
Warranties
Remember, when you
purchase a vehicle from
abroad you'll get only a
one- or two-year warranty
from the manufacturer which
runs from the date the car
was originally purchased,
rather than when you bought
it. This can be a particular
problem if you buy an
imported car from a car
supermarket. The car may
have been unsold at a
dealers for months before
the car supermarket bought
it. Only UK dealers offer
three-year warranties.
However, you can buy a
warranty.
The AA told Watchdog:
"The specification for
UK-sourced cars can be
different to cars made for
other Member States. For
example, we believe one
manufacturer provides a
different car security
system for cars built for
the UK market."
It goes on to say:
"Beware of having fittings
installed by the dealer,
such as conversion to
Liquefied Petroleum Gas
(LPG). The warranty for the
work won't be covered by the
manufacturer's warranty and
so warranty work may have to
be done by the supplying
dealer."
Buying from
a car dealer
The Sale of
Goods Act (SGA)
1979 (as
amended) is
the statute
which covers
the sale
whether it's
a car,
clothes or a
toaster that
you're
buying.
When
buying from
a dealer,
the law says
that a car
must be:
- as
described
- of
satisfactory
quality
- fit
for the
purpose
As described: this includes the history of the car as
well as its
specification.
For example,
if the
dealer
described
the car as
previously
having 'one
careful lady
owner', it
shouldn't
turn out to
have had
several
previous
'boy racer'
owners.
Of
satisfactory
quality:
Satisfactory
quality
(s14(2) SGA)
it must meet
the standard
that a
reasonable
person would
regard as
acceptable
and be free
from
defects,
except those
which are
specifically
brought to
the
attention of
the customer
or, if the
customer
examines the
car before
the contract
is made,
those which
the
examination
should have
revealed.
Also, bear
in mind that
a
second-hand
car will
have a
slightly
different
definition
of what is
considered
'satisfactory',
because
there's
bound to be
an element
of wear and
tear.
Fit for the
purpose:
(s14(3) SGA)
it must be
reasonably
fit for any
normal
purpose and
this
includes any
purpose that
you specify
to the
seller.
If any of
the above
are
breached,
then in
theory, you
may have the
right to
reject the
vehicle and
get your
money back
if you're
reasonably
quick.
Alternatively,
the dealer
might offer
to replace
or repair
the car;
reduce the
price or
offer a
partial
refund. Once
you've
informed the
dealer that
you wish to
reject the
car, you
must cease
to use the
vehicle.
If the
dealer or
finance
company (if
bought on
hire
purchase),
is disputing
the
rejection,
then it's up
to you to
prove your
case. You'll
need to pay
for an
independent
assessment
of the car
and sue for
damages. If
you do
choose a
repair,
insist the
dealer
provides you
with a hire
car or pays
any
reasonable
travelling
expenses you
incur while
your new car
is in the
garage.
If the
car is new,
it's likely
that the
claim will
be too high
to be fought
using the
small claims
procedure so
you may have
to pay for
legal
representation.
All this can
be pretty
daunting and
expensive.
You need to
weigh up the
pros and
cons before
rejecting a
car. Would a
repair do
just as
well?
Selecting a
dealer who
offers a
no-quibbles
exchange
policy may
help.
When
choosing a
dealer, find
a
well-established
company with
a good
reputation.
Check if the
company
belongs to a
reputable
trade
association
that
operates
according to
a code of
practice
supported by
the Office
of Fair
Trading.
Buying
privately
It's usually
cheaper to
buy a used
car
privately
but you have
fewer legal
rights. This
article
looks at
points to
consider
before you
buy
| The vehicle must still be 'as described' but that's where your legal protection ends. If the car has been described incorrectly, you may want to sue the vendor. Knowing where the private seller lives is therefore important and it helps if you can inspect the car at the owner's home. Don't buy from a car park, motorway service area or general public area because it'll be harder, if not impossible, to contact the vendor if a problem arises. Some adverts in the local press are placed by dealers pretending to be private sellers in an attempt to avoid their legal obligations.
If you buy a car that breaks down the minute you get it home, you may not have any legal comeback - unless for instance, the owner described it as 'just passed MOT' when it clearly wouldn't have passed.
The content supplied on this page is based on the law applying on 1 January 2005. Please consult your own lawyer for further information regarding your rights.
Buying from a car auction
You could get a real bargain at an auction but be wary, particularly if it's your first time at an auction and you don't know much about cars.
| Buying a used car this way can be the riskiest method because your usual legal rights may not apply if the seller issues a disclaimer, such as the term 'sold as seen'. The auctioneers are allowed by law to alter the conditions of sale, usually doing this by taking away buyers' rights under the Sale of Goods Act. It's best to go as a spectator first and see what happens. By attending an auction several times before you start buying, you can get used to the atmosphere and terms such as 'direct cars' (ex-company cars or direct from owner). It's a good idea to take someone with you who knows about cars if you don't.
If you still want to try for a bargain, then know your limit and don't be tempted to bid any higher. The motor trade recommends buying cars between two and five years old. Check for full service history, this way you can have a better chance of guaranteed mileage. Also check with the auctioneers if they can guarantee the cars aren't stolen.
Car fraud
Each year, thousands of unsafe cars are put back on the road after accident repairs and many more are stolen. Over a third of stolen cars aren't recovered and could be sold on to the public. Read on to find out why and how you can protect yourself from car fraud.
| So, you'd be wise to protect yourself by having the car's history checked out. The police can take the car away from you if it has been stolen and although in theory, you'd be entitled to a refund of the price from the person who sold you the car, you'd have the practical problem of getting it. (For example, can you locate the seller, and even if you can, are they worth suing?) If you buy a car which has outstanding credit on it, whether you, or the finance company, own the car will depend on whether you knew about the outstanding credit when you bought it. If you did, the car will still belong to the finance company. If not, you'll be the owner of it.
What can you do?
Just remember, prevention is better than cure. Check the car's history before you buy it, so you don't end up later forfeiting the car to the rightful owner. |
|
Car inspection
If you want to buy a used car, there are a few things you need to look for when you inspect it
| Ask to see the vehicle registration document. This allows you to check that the last registered keeper and the car identity details are correct. Be suspicious if the seller can't produce this.
Check the:
- number plate
- engine number
- VIN number, which is usually found in the engine compartment and on the bodywork under the bonnet and driver's seat
Every car that is more than three years old must have an MOT certificate. Check it - it may help you to spot a discrepancy with the mileage. You should also ask to see proof of identity.
Is the person selling the car who they say they are? An ID confirming the seller's name and address is good, but seeing their insurance policy for that particular vehicle is even better.
Used car buyers have a one in three chance of buying a car which is subject to fraud. You can contact a company that holds information on vehicle history such as HPI or the Automobile Association.
For a fee they'll check whether the car has been stolen or written off and if there's any outstanding finance on it. If you're buying a used car from a dealer, ask them what checks they've carried out.
The content supplied on this page is based on the law applying on 1 January 2005. Please consult your own lawyer for further information regarding your rights.
Solving problems
Here we look at what to do if you discover a problem with your car, and offer advice on which organisations will be able to help you.
| If you discover a problem, go back to the seller straight away. If the problem is unresolved, you can get advice from your local Trading Standards Service - in the phone book under local council or Department of Economic Development in Northern Ireland. Or try your local Citizens Advice Bureau.
If the dealer is a member, contact the trade association. The Retail Motor Industry Federation and the Scottish Motor Trade Association have conciliation services. The Society of Motor Manufacturers & Traders can deal with complaints about cars that are still under warranty.
The small claims track in the county courts of England and Wales will apply to a claim if it's no more than £5,000, so this will cover most second-hand cars and should be used if appropriate - see our Guide to going to court . If your car is over this limit, you should think about the arbitration schemes offered by most motor trade organisations.
Check the scheme is run by an independent organisation (usually the Institute of Arbitrators). Check how much it costs and whether the fee is refundable if your case is successful.
The advantage of these schemes is that they're cheaper than the full county court proceedings, relying on documents only so you won't have to attend a hearing. However, arbitration schemes are binding on both parties. Therefore you won't be able to go to court after the decision.
You'll almost certainly need an independent assessment of your car and the problem. This may help no matter what the chosen complaint route. The Institute of Automotive Engineers & Assessors will provide details of a member in your area who, for a fee, can provide an independent report.
 |
I bought a car that's different from how it was described. Is there anything I can do?
|
I bought a car that was described as a certain model both in the advert and during a road test. Later, I discovered that it was a different model with major differences. The car was bought ten months ago. Is there anything I can do? AG, Leeds
 |
You might have a claim for breach of contract
|
You may have a claim for compensation against the seller of the car for either breach of contract or for misrepresentation. Your contract with the seller was arguably a contract for the sale of goods by description, in that you were relying on the description of the car both in the advert and during the road test. Since the car didn't match this description, you might have a claim for breach of contract (or for misrepresentation).
Although you bought the car ten months ago, you still have a claim against the seller but need to prove that they made the false statements. Do you still have a copy of the advert? If so, this will be useful evidence when bringing your claim. The other thing you need to do is to try to establish the amount of money you've lost. A garage may be able to help you with this. You should then write to the seller with details of your claim and request compensation. Keep a copy of your letter.
|
My second-hand car needs a new engine
|
I bought a second-hand car ten weeks ago and it now needs a new engine! What can I do? JW
|
Let the buyer beware
|
You don't get the benefit of Section 14 of the Sale of Goods Act if you buy something from a private seller. So, unless the seller made some false statement to you relating to the soundness of the car, we regret that you'd be unlikely to have any redress against the seller.
However, if the seller was a trader, then you'd get the benefit of the implied promise in Section 14 of the Sale of Goods Act that your car was of satisfactory quality. You don't say, however, how old your car is or what mileage it has done, but the fact that it needs a new engine after only ten weeks suggests it wasn't of satisfactory quality when you bought it.
We wonder if it's covered by any used car warranty? If it isn't, and you bought from a trader, first and foremost you're entitled to repair, otherwise an appropriate price reduction.
|
Sold a stolen car
|
I've been sold a stolen car by a car dealer. What are my options? PL, Padstow
|
Entitled to full refund
|
Under Section 12 of the Sale of Goods, it's a term of every contract for the Sale of Goods, that the seller has the right to sell the goods.
Consequently, if you've had to return the car to the rightful owner, you're entitled to a full refund of the price you paid (irrespective of how long you've had the car and how far you've driven it). There's no way a seller can avoid the effect of Section 12 Sale of Goods Act.
|
My car got a cracked windscreen while at the garage
|
What would you do if you were to have your car serviced, and it was returned with a cracked windscreen, and the company asked you to put this through your insurance and promised to pay the excess? If you don't accept this, what rights do you have? SK, Liverpool
|
Insist the garage claims under its own insurance
|
As the crack in the windscreen happened when the car was under the garage's control, we'd advise you to insist that the garage claims under its own insurance policy, which should cover such damage. Why should you have to claim on your insurance for something which might well be the garage's fault?
|
I've paid a deposit for an imported car I ordered on the internet, but the company has postponed the delivery indefinitely. Have I any rights?
|
I ordered an imported car from a company on the internet in May this year and paid a ten per cent deposit on it. I was assured that I'd receive the vehicle in 20 weeks (the original description on the Web page was 12 weeks). About ten weeks later I was informed that there was some delay and I wouldn't get my car until the end of September. A few weeks later, I was told the manufacturer closes its factory during August and I wouldn't receive my car until the end of October, but I would get it by then without doubt. As I hadn't heard anything since, and was expecting delivery in the next few weeks, I emailed twice with no reply and then phoned several times. Finally, I've been told I won't receive the vehicle until the beginning of December.
Have I any rights, or can the company go on indefinitely postponing the delivery? It's also advertising an identical vehicle for delivery in November on its 'Available for delivery soon' page, but for over £1,000 more than I'm paying for one. Is the company allowed to do this before fulfilling other contracts? JM, Cambridge
|
Right of cancellation
|
As the contract was made over the internet, the Distance Selling Regulations will apply. Under these you have a right of cancellation.
The cancellation period varies in time, but would be at least seven working days from when you receive the goods. Cancellation is by written notice, and as notice is effective from the date of posting, it's wise for you to get proof of posting. On cancellation, your deposit would be refundable.
Alternatively, you could make 'time of the essence' of the contract. To do this, you'd need to set a new deadline for delivery which is reasonable, and make it clear that if it's not met, you'll treat the contract as at an end, and claim a refund of your deposit (plus any extra it may cost you to buy a comparable car over the internet).
Finally, if you decide to hold out for delivery, you'll be entitled to some compensation for the delay.
While there's nothing legally wrong in the supplier offering earlier delivery for extra cost, we do wonder (bearing in mind your own experience) whether the promise of a November delivery is 'pie in the sky'?
|
I want to return my new car and get my money back
|
I picked up my new car on 31 October. However, it started stalling. I returned it to the dealer two days later and was advised there was a manufacturers' fault. I was given no definite date for repair and it has been in the garage for over two weeks now. I paid £6,000 cash and have £2,495 on credit. I've been provided with a hire car but I want to cancel the car and have my money back. Am I legally entitled to do so? CD, London
|
Entitled to a full refund
|
Your letter indicates that the dealer is in breach of contract because your car isn't of satisfactory quality (Section 14 of the Sale of Goods Act). This is assuming that the problem wasn't revealed when you took the car for a test drive before you bought it. Provided a buyer of faulty goods acts quickly they're entitled to reject them and get a full refund. As you returned the car within two days, this option may still be available to you. The fact you gave the seller the chance to repair the vehicle wouldn't affect this right.
Even if you've lost the right to reject and get a full refund, as a consumer you have additional rights. First and foremost, you're entitled to have the car repaired within a reasonable time and without significant inconvenience to you. As the garage has supplied you with a hire car, arguably, the offer of repair isn't causing you significant inconvenience.
If, however, the delay in getting the repair work done persists, ask for a replacement car. If the garage hasn't got one then you'd be entitled to an appropriate price reduction or refund (taking into account wear and tear).
|
I was involved in a car accident. I've been told by my insurance company that a solicitor wouldn't be representing me.
|
Recently I was involved in a car accident. The other party involved drove away without stopping and exchanging insurance information. I took their registration and fortunately they've been traced and have admitted liability.
I sustained a neck and back injury, as did a passenger in my vehicle. I've been forced to take time off work and undergo physiotherapy. I was interested in making a personal injury claim but have been told by my insurance company that a solicitor wouldn't be representing me.
This is because my insurers and the third parties insurers are all part of the same group. I pay for legal cover with my policy but was told: "In cases like yours solicitors aren't involved in order to save costs." Can it do this? If so, which independent company should I use to act on my behalf? JV, Hounslow
|
Depends on the terms of the policy
|
Legal expense insurance is like any other insurance product, in that what you're entitled to depends on the terms of the policy. Cover under such policies does tend to differ. Some policies will cover the cost of an independent solicitor of your choice, whereas with others, you must use a panel solicitor. The scenario which has been put to you, however, seems most undesirable. As liability has been admitted anyway, any costs should be recovered from the negligent party's solicitor. We would advise you to contact the Law Society for a member of its approved personal injury panel in your area.
|
I've been charged £2,500 for a road accident that wasn't my fault. What are my rights?
|
I was involved in a road accident last November which wasn't my fault. Consequently I was offered a hire car. A year on, I've received a bill for £2,500 because the other party's insurance has so far refused to pay! Am I liable? As I'm a student at university, I can't possibly afford to pay. I also have 14 days to pay and will be charged at five per cent above the bank rate a day on the amount owing. DC, Chester
|
The agreement may be unenforceable
|
It's likely that at the time you received the hire car, you were asked to sign a rental agreement. The written terms and conditions on the agreement (normally on the reverse) will have made you personally liable for the hire charges, albeit that a period of credit (normally just less than 12 months) was provided. The companies who specialise in providing hire vehicles to victims of non-fault accidents, however, often give the 'hirer' the impression that as the accident wasn't your fault, you wouldn't be asked to pay for the charges. If the nature of these collateral representations to you're sufficiently strong, then these will override the terms and conditions of the written agreement which would then be held to be unenforceable against you.
The hire car was provided to you on credit and it's also possible that the agreement may be unenforceable against you because the strict requirements of the Consumer Credit legislation haven't been complied with.
If you had a legitimate need for a hire vehicle, then the insurer would be responsible for paying for these charges. Perversely, however, it's only responsible for those charges which you yourself are legally responsible for.
Probably the reason the insurer is refusing to pay the charges is because it feels that you were given assurance that you wouldn't have to pay, and consequently the agreement against you is a 'sham', or alternatively the agreement falls foul of the Consumer Credit legislation.
If you're liable, so is the insurer. As this is a complex legal issue, we would advise you seek further legal advice.
|
Cooling off period
|
Once I've bought a new car, do I have a cooling-off period after I've taken delivery of it, whereby I can return it? RS, London
|
It depends on how you buy the car
|
The answer depends on how you buy the car and the chosen method of payment. For anyone buying a car after 31 October 2000 at a distance (for example, through the internet) they'll have a period of time within which they can cancel the transaction. This cancellation period is at least seven working days from delivery, but may be longer.
Alternatively, a buyer may have a right to cancel under the Consumer Credit Act 1974, if they buy the car on credit and the following conditions are satisfied:
- verbal assurances were given to the buyer in preliminary negotiations
- the buyer signed the credit agreement away from the supplier's or creditor's business premises (for example, at home)
This cancellation period expires five days after the customer receives a copy of the credit agreement signed by or on behalf of the creditor.
In both situations the aim of cancellation is to restore both parties as far as possible to their pre-contractual positions.
|
The garage has failed to repair our new car. Are we entitled to a replacement from the manufacturer?
|
In January, we bought a new car. On the day of delivery we were told there was a scratch and that to repair it would take a few hours. We agreed, but in hindsight this was the first of a dozen or so problems we've encountered. Now we've been told by the dealer that the car company accepts liability and has given us an extended warranty and two free services. This isn't acceptable to us because we were led to believe that under consumer's rights, if the garage has failed to put a repair right we're entitled to a new car. Are we right? I've told the dealer we no longer want this particular car, I have kept all written transactions between myself, the dealer and the car company. AH, Newcastle
|
The right to reject faulty goods only lasts for a relatively short time after delivery
|
The car obviously wasn't of satisfactory quality when you bought it (as required by Section 14 Sale of Goods Act). This means that the dealer was in breach of contract. However, the right to reject faulty goods and get a full refund only lasts for a relatively short time after delivery.
After that, a dissatisfied consumer is first and foremost entitled to repair, but in your case this has proved unsuccessful. A replacement vehicle might be regarded as disproportionate in the circumstances. If so, you'd be entitled to an appropriate price reduction to cover the cost of repair. In this case, we'd recommend you accept the offer of an extended warranty and two free services.
The content supplied on this page is based on the law applying on 25 April 2006. Please consult your own lawyer for further information regarding your rights. |
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