It is estimated that a car is stolen every 10 minutes in Australia. In 2018, more than 53,500 vehicles were stolen. These figures are quite shocking, especially when you consider that not all of these vehicles are stripped for parts and demolished. Many of these vehicles are resold and are still driving on our public roads on this very day.
It is very important for you, and all other car owners to follow the correct car selling or buying procedures. These procedures are put in place to reduce auto theft, to catch criminals dealing in stolen vehicles and to keep you from being scammed out of your vehicle.
Not too many people are fully aware of all the essentials required for legal car selling and buying in Australia. Here are a few basic rules you should always keep in mind if you want to stay safe;
The Same Rules Apply To All Vehicles
It doesn’t matter if you are buying a used, damaged or brand new car. The same legal steps are required for these vehicles even if the car might no longer be in running condition.
The only variation from the rule is when a car has been scrapped from the public road and no longer holds a license. These vehicles are not road worthy and even if you do repair them, you won’t be legally allowed to drive the vehicle on public roads until the car has been registered and certified as roadworthy.
You Can Check If Someone Still Owes Money on The Vehicle
If you are buying from an individual seller then it is important to always check your car through PPSR. The PPSR website will show you exactly how much money is still owed by a previous owner. This can help you avoid car repossessions.
You Have To Pay Taxes on The Purchase Price
Rego (Abbreviation of registration) tax is payable whenever you purchase a car, new or old, from an individual or even auto sales company. This is a very important thing to remember since the tax isn’t always included in the sales price when vehicles are advertised.
A Registration Transfer Fee Is Payable
The car needs to be transferred from a previous to a new owner. This vehicle transfer fee needs to be paid within 14 days of buying the vehicle.
The Car License Needs To Be Paid Up
Before car vehicle ownership can be transferred, the car licensing fee needs to be paid up. Car buyers often make a deal to deduct this fee from the car’s sales price because the previous owner is responsible to keep the vehicle license paid up.
Car Auto Companies Can No Longer Pay You in Cash
To reduce the chances of fraud, it is no longer legal for auto companies to pay for vehicle purchases in cash. Money need to be transferred into the bank account of the car seller so these transactions will reflect on the bank account of the auto dealer.
You Need To Ensure The Vehicle In Question Is Not Stolen
It is always best to run a REVS check on any vehicle before you buy it. This is also advisable if you already purchased a car but isn’t 100% sure if the sale was legitimate. REVS records will tell you if the car in question is flagged as stolen. You can also check your vehicle VIN to ensure that this number corresponds with the VIN on the license.
Buying and selling a car out of hand isn’t always an easy task. There are lots of legal elements that need to be considered if you want to stay safe. The best way to sell your car legally is by selling to a reputable place like Ks Cars for Cash in Melbourne. These companies are fully aware of all of the loopholes in the auto industry and they will ensure that you are perfectly safe when selling your car.