What's the proper procedure when buying a used car privately?

[erwin1978]

I want to buy a car from someone. This would be the first time I'm buying a car. I currently have no insurance and don't know which provider is best for New York. What are the steps I should take in order for this process to go smoothly and fool proof?

 

[Kromis]

I would also like to know as well. I just turned 18 last month but unfortunately, I'm an idiot and have no license.

 

[nakedfrog]

Laws vary by state. You should probably get coverage before you drive the car home. Read up on the process on your DMV's website.

 

[alkemyst]

meet with an agent and get a quote or two on cars you are looking at. Find out what you need to do to get a binder once you buy it. I'd do the transaction at the registration office with the previous owner. You will want to make sure the title is clear and real. There are some decent websites you can google.

 

[thomsbrain]

If you get a quote from an insurance broker, you can call on your cell phone with your credit card and get insured on the spot after you buy it. If your family already has insurance, it may also be temporarily covered under the grace period for that policy.

The seller will have a title, which probably has paperwork on the back that he/she fills out to transfer the car to you. You file your half with any applicable fees, he files his, and the car is yours. The DMV will issue a new title in your name. Some states may also have rules about who needs to smog-check the car. California requires the seller to smog the car no more than 90 days before the sale.

I also second alkemyst's suggestion to do the transaction at your DMV so both you and the buyer know the paperwork goes through properly. It protects both of you.

Bring cash. No smart seller accepts anything else in these transactions, unless it is a really expensive car and you both go to the bank together to get a cashier's check in person.

If your target car is a popular model, have the cash ready before you start calling people, because some cars will be sold within 24 hours and you will not have time to get your funds together. When I bought my fiancee's Accord, the ad was only 16 hours old and I beat another buyer by only 30 minutes or so (he was on his way and trying to bid up the price over the phone, but luckily the seller preferred to just get it over with).

 

[melijak]

I don't think the seller have to file anything at the dmv, just sign the back of the title to you. When he wil get the licence renewal sticker, there is a spot to check for car no longer belongs to him and return it to dmv. Anyhow, that is what I've done with every sale/purchase on cars and motorcycles. Different states probaly have different laws so check online.

 

[Jumpem]

Be perpared to pay for the car and then wait to get the title, and perhaps the car.

I have sold two cars privately, and with both it took two months for me to get a lien release letter from the bank I had a loan with. I did not give the new buyer the car title until I received the lien release.

 

[marvdmartian]

Erwin, you might want to look into the insured motorist pool in NY state. Can't say if they still offer it, but when I was growing up there (Rochester area), I was able to get basic liability coverage for much cheaper than my parents could add me to their policy. The pool is comprised of higher risk people (high schoolers, first time drivers, first time insured, and others that can't normally afford insurance, including people with too many tickets), which are offered lower premium rates than they'd normally qualify for, and which every insurance company in NY state is required to offer a certain percentage of their written policies in.

Back then, I was able to score liability for $350/year, as a 17 year old male, first time driver, in a state that has no-fault insurance. Having driver's education saved me 10%, and being on the honor roll in my high school scored me another 10% savings.

 

[potato28]

Here it's just a plate change and file with the Ministry for vehicle change with your plates. Unless the previous owner already has the papers filled out. There's also the smogging and certification's if your area has them.

 

[fbrdphreak]

Go to your state's DMV website - should have plenty of info there.

 

[Bignate603]

In NY state you can buy and title the car without insurance, but you need to have the insurance to get your plates. Also, in NY they do a fairly thorough inspection too, I think you need to do that before you get your plates, but I can't remember if you need that before you get your plates.

When I was in NY state I used Geico. For somebody young I would recommend it because the service is ok for what you pay.

 

[erwin1978]

I did some reading and here's what I'm supposed to do:

I do a history check on the VIN of the car
If everything checks then I go checkout the car
On site, I low ball the seller with every defect I find on the car
I insist the car be further inspected by a mechanic
If the car is still cool we close the deal
He writes me a bill of sale with the title
I call Insurance company for minimum coverage
I drive off to DMV and register

Is that about right? How long does it take for a mechanic to inspect a car and how much does it cost? The seller may get annoyed if we have to wait an hour for an inspection. Also who should bare the cost of the inspection? When I register do I get my license plate right then and there or is it mailed to me? Do I get to pick my custom plate?

 

[alkemyst]

Originally posted by: erwin1978
I did some reading and here's what I'm supposed to do:

I do a history check on the VIN of the car
If everything checks then I go checkout the car
On site, I low ball the seller with every defect I find on the car
I insist the car be further inspected by a mechanic
If the car is still cool we close the deal
He writes me a bill of sale with the title
I call Insurance company for minimum coverage
I drive off to DMV and register

Is that about right? How long does it take for a mechanic to inspect a car and how much does it cost? The seller may get annoyed if we have to wait an hour for an inspection. Also who should bare the cost of the inspection? When I register do I get my license plate right then and there or is it mailed to me? Do I get to pick my custom plate?

not always possible to have the title....


Up to you to get the car inspected if you want...not really part of any sale. It could take an hour, but it'd hardly be an inspection. If the seller gets annoyed then they should find another buyer...if they can then that's the breaks.

I'd want at least a compression test and diagnosis on any leaks. Making sure the car's suspension is straight, no damage, etc. Many times these inspections are pretty cheap for the time they take to do right. The mechanic is hoping you have them address the issues though.

Plates are usually available...if you want custom you have to wait. They have to send it to be approved and then the tag made and shipped.

 

[Arkaign]

Buying used car :

(1)- Arrange to meet in dark distant place.

(2)- Bring mobster-type buddies.

(3)- Have your buddies distract the guy, then knock him over the head with a brick.

(4)- Chop body into small bits, place bits in lake.

(5)- Profit?

 

[boomerang]

Originally posted by: melijak
I don't think the seller have to file anything at the dmv, just sign the back of the title to you. When he wil get the licence renewal sticker, there is a spot to check for car no longer belongs to him and return it to dmv. Anyhow, that is what I've done with every sale/purchase on cars and motorcycles. Different states probaly have different laws so check online.

I sold a car, signed the back of the title and gave it to the buyer as I had done for years. About 10 months later I get a call from the Police asking about the accident the car was involved in. You guessed it, the buyer never transferred the title. How he got a plate on it, I don't know.

The situation was quickly cleared up, but I no longer sell cars that way. I insist on going to the DMV with the purchaser. Before I leave a new title will be applied for by them.

Just think of what could have happened had he killed someone with the car.