16/03/2019
The allure of an 'approved used car' from a dealership can be powerful. Often presented with promises of rigorous checks, warranties, and a level of assurance that a private sale might lack, these vehicles are marketed as the safe, sensible choice. However, a closer examination of the wording and common practices can reveal that the reality might not always live up to the glossy brochures. This article aims to demystify the concept of approved used cars, explore what those checks really entail, and help you make a more informed decision about your next vehicle purchase.
What Does 'Approved Used' Actually Mean?
When a dealership advertises a car as 'approved used', it typically implies that the vehicle has undergone a series of inspections and checks by the dealership's technicians. The exact number of points checked can vary significantly between manufacturers and dealerships, but common figures range from 50 to over 150. These checks usually cover a wide array of components, including the engine, transmission, brakes, suspension, electronics, and bodywork.
However, the crucial point, as highlighted by the phrase 'subject to an x point check', is what happens after the check is completed. While the dealership may identify faults, there's often no explicit guarantee that these faults will be rectified before the car is sold. The documentation might simply state that the faults have been noted. This means you could be purchasing a vehicle that has known issues, even if it carries the 'approved' badge. It's essential to read the wording carefully and ask specific questions about the inspection report and any identified defects.
The Warranty Conundrum
Approved used cars often come with a warranty, which is a significant selling point. These warranties can provide peace of mind, especially for a used vehicle. However, the duration, coverage, and terms of these warranties can differ greatly.
You might find that the warranty offered on an approved used car is more limited than you expect. Some warranties might only cover major mechanical components, excluding wear-and-tear items like brakes, clutches, or exhausts. The excess you might have to pay for a claim can also be a factor. In some cases, the warranty might be a manufacturer-backed warranty, which can be more comprehensive, while in others, it might be a dealership-specific warranty, which could have more restrictions.
It's vital to get a copy of the warranty document and understand exactly what is covered and for how long. Comparing this to the warranty offered on a brand-new car or even the warranty on a car purchased privately (which is often limited by consumer law rather than a specific dealer agreement) is crucial. Often, the premium paid for an 'approved used' car doesn't quite justify the enhanced warranty coverage, especially if the warranty is restrictive.
Approved Used vs. Private Sale: A Cost-Benefit Analysis
The primary advantage of buying from a dealership, even an approved used one, is the potential for greater consumer protection. There are legal obligations for dealers that don't apply to private sellers. For instance, under the Consumer Rights Act 2015 in the UK, goods must be of satisfactory quality, fit for purpose, and as described. If a car is faulty, you have stronger recourse against a dealer than a private seller.
However, this added protection often comes at a price. Dealerships have overheads – premises, staff, marketing – which are factored into the vehicle's price. This means that an approved used car will almost invariably be more expensive than an equivalent car bought from a private individual. The question is, does the 'approved' status and the associated warranty justify this price premium?
The example provided in the prompt illustrates a common concern. A car advertised as 'approved' and 'mint' at a significant dealership was found to have substantial underlying issues, including evidence of a major accident, poor repair work, and significant body damage. Despite the dealership's assurances, the car's condition was far from satisfactory. This highlights that the 'approved' label is not an infallible guarantee of quality.
Key Factors to Consider:
- Price: Approved used cars are typically more expensive than those from private sales.
- Warranty: Understand the terms, coverage, and duration of the warranty.
- Consumer Rights: Dealers have legal obligations, offering more protection than private sellers.
- Inspection Quality: 'X point check' doesn't always mean 'faults fixed'.
- Vehicle History: Always conduct your own checks (e.g., HPI check) regardless of the seller.
The Importance of Due Diligence
Regardless of whether you're buying from a dealership or a private seller, thorough due diligence is paramount. For an approved used car, this means:
1. Scrutinise the 'Approved' Checklist:
Ask to see the actual inspection report. If faults were found, ask for details on whether they were rectified and by whom. Don't just accept a verbal assurance. Look for evidence of repairs, such as invoices or receipts, especially if significant issues were identified.
2. Inspect the Vehicle Meticulously:
Don't be rushed. Take your time to inspect the car thoroughly, both inside and out. Check for panel gaps, paint inconsistencies, signs of rust, and damage to the interior. Look underneath the car for any signs of previous repairs or damage. The situation described with the Golf V5, with uneven ride height and evidence of welding, is a stark reminder of what can be hidden.
3. Test Drive Critically:
Listen for unusual noises, check how the car handles, brakes, and accelerates. Test all the electronic features, such as the air conditioning, radio, and electric windows. Pay attention to how the gearbox engages and if there are any judders or hesitations.
4. Check the Vehicle History:
Always get an independent vehicle history check (e.g., HPI check) to verify the car hasn't been stolen, written off, or has outstanding finance. This is crucial even if the dealer provides some history report.
5. Understand the Warranty:
As mentioned, get the warranty document and read it. What is the excess? What components are covered? Where can you get it repaired? Are there any mileage limitations?
When Can a Dealer Sell a Car?
A dealer can sell a car provided they are licensed to do so and the car is legally allowed to be on the road. This includes ensuring the car meets safety and emissions standards. The 'approved used' status is a marketing and quality assurance layer that the dealer *chooses* to apply. They can sell a car that has had faults identified, as long as they comply with consumer protection laws regarding its sale. The key is transparency and adherence to the description and any promises made.
Comparative Table: Approved Used vs. Private Sale
| Feature | Approved Used (Dealer) | Private Sale |
|---|---|---|
| Price | Higher premium | Generally lower |
| Warranty | Often included, but check terms carefully | Typically none, or limited by consumer law |
| Consumer Protection | Stronger rights (Consumer Rights Act 2015) | Limited rights; relies on seller honesty |
| Vehicle History Checks | Dealer may provide; independent checks still recommended | Buyer's responsibility to perform |
| Inspection | Dealership inspection (may not fix all faults) | Buyer's responsibility to inspect/get inspected |
| Peace of Mind | Can be higher if warranty is good and car is well-prepared | Depends heavily on seller's honesty and buyer's inspection skills |
Frequently Asked Questions
Q1: Does 'approved used' mean the car is faultless?
No. It means the car has undergone a pre-sale inspection. While many minor issues may be rectified, the dealership is not always obligated to fix all identified faults before sale, especially if they are minor or fall outside the scope of the 'approved' checklist's repair requirements. Always ask for the inspection report.
Q2: Is an approved used car always a better deal than a private sale?
Not necessarily. While you get stronger consumer rights and potentially a warranty, the price premium can be substantial. If you are knowledgeable about cars and can conduct thorough inspections yourself, a private sale might offer better value for money, provided you choose your seller and car carefully.
Q3: What should I do if I find a fault after buying an approved used car?
Firstly, check your warranty documentation. If the fault is covered, contact the dealership or warranty provider immediately. If the fault makes the car not of satisfactory quality, fit for purpose, or as described, and it was present at the time of sale (even if undetected by the dealer's check), you may have rights under the Consumer Rights Act 2015. Keep all documentation and seek advice from Citizens Advice or a legal professional if necessary.
Q4: Can a dealer sell a car that has been in an accident?
Yes, a dealer can sell a car that has been in an accident, provided it has been repaired to a safe standard and is not declared a total loss (e.g., Category N, Category S, etc., depending on the severity and classification). They must accurately describe the car's history, and if it has had significant repairs, this should be disclosed. Selling a car that has been poorly repaired or misrepresented as accident-free when it hasn't is illegal.
Conclusion
The 'approved used' scheme offers a potential layer of security for car buyers, primarily through dealership inspections and warranties. However, it is not a substitute for diligent inspection and research. The example of the poorly repaired Golf V5 serves as a potent warning that the 'approved' label can sometimes mask significant underlying problems. Always remember to read the fine print, ask probing questions, and conduct your own thorough checks. By understanding what 'approved used' truly entails and by exercising your own due diligence, you can navigate the used car market with greater confidence and avoid costly mistakes.
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