Tips on Buying a Used Car - New Jersey Division of ...

1 Consumerbrief800-242-5846 New Jersey Division of Consumer on Buying aUsed CarThe purchase of a used car can be a high-costconsumer transaction. Here is what you should knowbefore making your USED CAR LEMON LAWIf a New Jersey dealer sells you a used car that is defective, youmay be eligible for relief under the Used Car lemon law . Thelaw requires the dealer to provide a limited warranty if the caris not more than seven (7) years old; has less than 100,000miles; the price is over $3,000; and/or the car has not beendeclared a total loss by an insurance company. If the car has60,000 miles on its odometer and the consumer wishes towaive the warranty to negotiate a better price, the consumermust sign a form that he/she is Buying the car without a war-ranty.

2 The warranty covers certain components of the engine,transmission and the front or rear-wheel drive. If you haveexperienced three (3) repair attempts on a covered item withinthe dealer s warranty period, you may qualify for a LemonLaw hearing. The duration of the dealer s warranty to whichyou are entitled depends on the car s mileage at the time ofsale. See the information Mileage Duration of Dealer WarrantyLess than 24,000 days or 3,000 miles *24,000 miles to 60,000 days or 2,000 miles *60,000 miles to 100,000 days or 1,000 miles *Please call the Division s lemon law Unit at973-504-6226 for all of the details.

3 A Lemon Lawbooklet and an application to begin the Lemon Lawprocess can be mailed to you upon USED CAR BUYER S GUIDELook for the Buyer s guide in the window of the vehicleyou re considering Buying . The law requires that it be postedtips-on- Buying -a-used-car Revised 06/02/16in plain view on or in the car being offered for sale. Theguide informs the buyer about the conditions of the war-ranty, if one exists, or if the car is being sold AS-IS. Carssold AS-IS do not come with any warranty, either ex-pressed or implied. The guide will disclose if there is anyremaining manufacturer s warranty on the vehicle, and ifan extended service contract is available.

4 A copy of the guideshould be given to you at the time of THE BEST PRICEYou should always shop around and negotiate for the bestprice. Visit several dealerships and don t be in a hurry. Usedcar pricing guides may be found at your local library, book-store or even online. A current guide will tell you the usedcar s retail or trade-in value. You may also be able to find agood deal from a private seller, but keep in mind that thosecars do not come with any warranty and are not subject tothe Used Car Lemon I HAVE THREE DAYS TO CANCEL?No. You do not have three (3) days to automaticallycancel a contract for a new car or a used car once you signfor it at the dealership.

5 This is a common misconception. * Whichever comes New Jersey Division of Consumer PRACTICESThe law says that it is an unlawful practice for a dealer toengage in the following conduct: To misrepresent the mechanical condition of aused car. To fail to disclose any material defect (subject to awarranty) in the mechanical condition of the usedcar which is known to the dealer. To fail to disclose the existence and terms of anywritten warranty or service contract. To misrepresent the terms of any written warrantyor service YOU BUY A USED CARIf you cannot have a mechanic examine the car for you priorto your purchase, here are some things you should do: Always test drive the car.

6 Listen for noises. Makesure all of the gauges work. Check to see that the oil, transmission andradiator fluid are clean and that the containers foreach are full. Check for signs of leakage under the car where ithas been parked on the lot. Check to see that all lights, air conditioning andelectronic systems are operational. Look for signs of water damage on the headliner(the fabric which lines the interior roof ) and onthe carpet. Lift up the floor mats and also checkinside the trunk. Check for signs of prior accident damage such asbody panels that are misaligned or over-sprayedwith paint.

7 The Consumer Fraud Act states thatin any advertisement, it is unlawful for a dealer tofail to disclose that the used car has beenpreviously damaged and that substantial repair orbody work has been performed (in excess of$1,000) which is known or should have beenknown by the advertiser. The Division stronglyrecommends that you obtain a vehicle historyreport from the dealer or get one on your ownbefore you buy. Look for excessive or unusual tire wear which mayindicate an alignment problem and remember tocheck to make sure that the car has a properlyinflated spare tire in case of an emergency.

8 Remember that you are entitled to a copy ofeverything you sign. Consider financing options through your bank orcredit union. If you don t like the deal being offered or feelpressured WALK can e-mail the lemon law Unit at OF CONSUMER AFFAIRS973-504-6200 o800-242-5846 (toll free within New Jersey )website: OF CONSUMER AFFAIRS