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Benefits Of Buying A Used Car In Australia|Benefits Of Buying A Used Car In Australia - Why This Is A Win/Win Situation|Bonuses Of Buying A Used Car

By: {Ruth Martin|Mark Munty|David Princeton)


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Buying a used car in Australia is not much different from doing so in other countries. You need to take necessary precautions to ensure that you do not get cheated. This article will provide you with a checklist of points to consider for your task.

First and foremost make sure the car suits your purpose. Its size, capacity, make, model and fuel efficiency are as important as your budget. Get an expert to check it out for you, if you cannot do so yourself. It is important to buy an defect free car, so you do not end up spending too much on fixing things right after you buy it. Test drive the car to see if you are comfortable in it. Visit multiple dealers and check out different sources to get the best price that is within your budget.

Next get the paper work out of your way. Take help from your accountant for prices and taxes. Get a legal professional to explain the nitty-gritty of the contract, ownership transfer, warranty and the like. If you are planning to get it financed, negotiate and get a good deal on it. Make the payment, complete all formalities before you drive away with the car.

As for the seller, you can choose to buy from an individual, a dealer, online shops or from auctions. Each has its pros and cons. Decide what suits you best. If you buy from an individual, it would be relatively cheaper, but there would not be any warranty, and no security of title. If you go for a registered dealer, you do get the warranty and the title - but at a higher cost. Online shops provide the comfort of buying from home, at the cost sacrificing a test drive, and no face-to-face negotiation. With auctions you can get a cheap deal and guarantee of ownership but may have to pay the auction fee and get the car re-registered.

Especially in Australia, you need to pay mainly four types of registration charges. The registration transfer fee is set at a fixed amount and decided by the state. Stamp duty varies with the price of car and is different in different states. Motor vehicle tax has to be paid annually. Compulsory third party insurance also has to be paid annually. Luxury cars also incur luxury car tax.

As you can see from above, if you opt for a used car instead of new one, you can save on the stamp duty. You can use these savings to buy a better or bigger car. Also if you purchase a luxury car from an individual, you are exempted from the luxury car tax. You can take the help of organizations such as Australian RAC to carry out inspections for a used car. These organizations can help tremendously if you are new to the process of buying a new car. If you try to do things all on your own, you may find yourself distraught and frustrated. You will save time and money in the long run if you get help when you need it.

To ensure that you get protection from the Motor Dealers Compensation Fund, you can buy a used car from a licensed dealer. If you suffer a loss while buying a used car from a licensed dealer, you can lodge a complaint with NSW Fair Trading. If your claim is approved you can receive a maximum payment of up to thirty thousand Australian dollars.

If you do wish to buy from an individual instead of a registered dealer, make sure you check with the Register of Encumbered Vehicles. From them you can find out whether the seller has rights to sell the vehicle or not. If you take all these precautions, you can enjoy the maximum benefits from buying a used car in Australia.

Article Source: http://depositarticles.com/

If you are buying a car, then you may want to look into used cars. There are many used car dealers out there. You should take a look at CarCity and see what they have to offer you.

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