Anecdotal evidence suggests that car repossessions are on the up as a result of the 'credit crunch'. Many of these end up being auctioned - sometimes at bargain prices.Buying a car, or any other vehicle, at auction can be risky, but if you know what you're doing, there are great deals to be had. Here are ten tips for buying successfully at auction.
- Avoid 'back street' auctions, where re-sprayed old bangers tend to end up. Instead, go for the professionally-run national auctions chains, such as British Car Auctions and National Car Auctions.
- Do a 'dry run' and go to an auction as a spectator. Familiarise yourself with how they are run and the atmosphere. See what prices cars go for and check them against published price guides.
- Get a catalogue before the auction day and check out what's being sold. Study all the terms and conditions carefully: the auctioneer's terms of sale should be scrutinized, as they try to take away some of the legal protection that the consumer would normally have.
- Check the car's service history, if you are able to. Bear in mind that repossessed cars sold at auction may not have much, if any, paperwork accompanying them.
- On the day of the auction, go with someone who knows there way underneath a bonnet. You will have the opportunity to view and inspect the cars.
- With cars being marshalled around at auctions, don't bring the children. Also, if you're bidding, you will need to concentrate on the auctioneer, and not the kids. Car auctions aren't the place for a family day out.
- If you get the chance, get the car started up. You can tell much more about the condition of the engine of a car that's started from cold than one from warm.
- Decide on a maximum price and stick to it - don't get carried away. Remember to take any buyer's premium or fees into account before working out your maximum bid.
- Once you've paid for the car, take it for a test drive as soon as you can, because you will only have a short time to complain if there are any major faults with it.
- Bear in mind that cars sold at auction may not be taxed and you may have to drive away an untaxed vehicle. Get the vehicle taxed as soon as possible if you intend keeping it on the road.
Buying Bargains at Car Auctions is a new Lawpack book that will be available shortly. Click here to receive information and a special offer price on this forthcoming guide.
