How to Check a Used Car’s History Before You Buy
How to Check a Used Car’s History Before You Buy

How to Check a Used Car’s History Before You Buy

Buying a used car can be a smart financial move, but stepping into ownership without knowing its past can be a risky gamble. Hidden histories can lead to unexpected headaches and costs down the track. Imagine discovering your “bargain” has outstanding finance, was previously written off after a major accident, or even worse, was stolen. A thorough history check provides invaluable peace of mind, arming you with the knowledge to make an informed decision and potentially saving you thousands of dollars and considerable stress. By delving into a car’s history, you can uncover crucial information such as whether there’s still money owing on it, if it has been involved in accidents, its theft status, and if it has ever been declared a statutory write-off.

1. Obtaining the Vehicle Identification Number (VIN)

The Vehicle Identification Number, or VIN, is a unique 17-character code assigned to every vehicle. Think of it as the car’s fingerprint. It holds vital information about the vehicle’s origin and specifications and is the key to unlocking its history.

Where to Find the VIN: You can typically locate the VIN in several places on the vehicle and its documentation:

  • Dashboard: Look at the base of the windshield on the driver’s side. The VIN is usually visible from outside the car.
  • Driver’s Side Doorjamb: Open the driver’s side door and check the sticker or plate located on the doorjamb.
  • Engine Bay: The VIN might be stamped on a metal plate in the engine compartment.
  • Registration Papers: The VIN will be clearly printed on the vehicle’s registration certificate.
  • Insurance Documents: Your car insurance policy will also list the VIN.

Importance of VIN Verification: Before proceeding with any history checks, it’s absolutely crucial to verify that the VIN on the car physically matches the VIN stated on the registration documents. Any discrepancy could indicate a serious problem, such as:

  • Stolen Vehicle: The VIN on the car might have been altered to disguise a stolen vehicle.
  • Illegally Modified Vehicle: The car might have been pieced together from different vehicles.
  • Clerical Error: While less sinister, a mismatch could still cause registration issues down the line.

2. Running a Personal Property Securities Register (PPSR) Check

What is the PPSR? The Personal Property Securities Register (PPSR) is a national online database that records security interests in personal property across Australia, and this includes motor vehicles. Essentially, it’s a register that shows if any individual or organisation has a claim over the car, such as a bank or finance company that has lent money to the previous owner.  

Why is a PPSR Check Important? Performing a PPSR check is paramount because it can reveal crucial information about the car’s financial and legal past:

  • Outstanding Finance: This is a major risk. If there’s still money owing (outstanding finance) on the used car you’re considering buying, the finance company could potentially repossess the vehicle even after you’ve purchased it, leaving you significantly out of pocket.
  • Stolen Status: The PPSR will indicate if the vehicle has been reported as stolen. Buying a stolen vehicle can lead to its confiscation and legal trouble for you.
  • Written-Off Status: The register will show if the car has been declared a statutory write-off due to significant damage from an accident, flood, or other event. Buying a written-off vehicle can come with significant safety risks and registration limitations, and in some cases, it may not be roadworthy or legally registrable again.

How to Perform a PPSR Check: To conduct an official PPSR check, you will need to visit the Australian government’s PPSR website: https://www.ppsr.gov.au/. The process generally involves these steps:

  • Access the Website: Navigate to the official PPSR website.
  • Initiate a Search: Look for the section that allows you to perform a vehicle search.
  • Enter the VIN: You will be prompted to enter the 17-digit Vehicle Identification Number (VIN) that you obtained and verified in the previous step.
  • Pay the Fee: For a standard search, there is a small fee payable online using a credit or debit card. The website will guide you through the payment process.
  • Review the Results: Once the search is complete, you will receive a PPSR certificate outlining the findings. This certificate will detail any security interests registered against the vehicle, its stolen status, and whether it has been recorded as a written-off vehicle.

What a Basic PPSR Search Covers: A standard PPSR search typically provides information on:

  • Security Interests: Details of any loans or other financial obligations secured against the vehicle.
  • Stolen Goods: Confirmation of whether the vehicle has been reported as stolen.
  • National Exchange of Vehicle and Driver Information System (NEVDIS) Written-Off Vehicle Information: Indicates if the vehicle has been recorded as a repairable or statutory write-off in any Australian state or territory.