Buying from a licensed motor dealer can be more expensive than a private sale, but it is the safest way to buy a used car.
All motor dealers selling used cars in Queensland must be licensed. Motor dealers must disclose to all intending purchasers of motor vehicles that they are licensed, and they must provide the cooling-off period and statutory warranty.
When you buy a used car from a licensed dealer, you are entitled to:
- a one business day cooling-off period
- a statutory warranty (under normal circumstances)
- a guarantee of clear title on the vehicle
- protection by the motor dealer's code of conduct
- access a claim fund which may compensate you if you have suffered a financial loss because of the motor dealer's actions.
If a motor dealer sells a vehicle privately, they must disclose they are a licensed motor dealer.
Last reviewed 22/11/2011