Tbc - Pre Reg Car Purchase

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Thu 8 Dec 2016 17:32
Tbc - Pre Reg Car Purchase - andy4

Being searching for a newish car and have been offered a couple of pre reg cars by some main dealers.

I gather this type of deal is all pretty legit these days but do have a couple of queries. Hope someone can help.

I assume that the dealer will transfer ownership of the car over to me on the day of purchase. Can this be done online with the DVLA? I assume I should be given the new owners slip.

If the car has only just been registered by the main dealer would the dealer have a new owners slip to give to me. If not, how safe would it be to proceed with the transaction.

At one stage was there a rule that pre reg cars had to be registered for 90 days before they could be sold on? Is this still valid.

As they dealers are main dealers you would think that the process would all be above board but are there any other pitfalls i need to be aware of.

Grateful for advice.

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Thu 8 Dec 2016 17:59
Tbc - Pre Reg Car Purchase - skidpan

Bought 3 pre-reg cars in the past and never had an issue.

There is one golden rule, you need to ensure that the seller will transfer the V5C into your name immediately. If they don't it can open a huge can of worms and potentially leave you uninsurred. It is also illegal for them to delay the transfer.

Get it in writing before you hand over any monies that the V5C will be in your name immediately, if they won't do it walk away even if the deal appears unbeatable.

Different manufacturers probably have different rules but as far as I am aware they all require the dealers to hang onto the car for some time after registration. The last time I considered a pre-reg it was a Mazda. They has a good selection for immediate sale but none were in a colour of my liking. They had a batch due to reach the 3 month required by Mazda in a couple of months and the colours were much better so we were prepared to secure one and wait. Came to nothing eventually, did not like the way it drove.

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Fri 9 Dec 2016 07:18
Tbc - Pre Reg Car Purchase - colinh

You're in good company, apparently:

"Up to 20 per cent of all new car registrations could be pre-registered, leaving thousands of unsold vehicles sitting on dealer courts and skewing industry figures, new research reveals.

A survey of 200 UK car dealers by industry analysts CAP HPI concluded that 40 per cent of dealers believe pre-registration accounts for between 11 and 20 per cent of all new vehicle registrations. "

www.autoexpress.co.uk/car-news/consumer-news/94041...s

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Fri 9 Dec 2016 09:14
Tbc - Pre Reg Car Purchase - RT

It seems that many dealers are still breaking the law by continuing to hold onto the V5C do comply with their discount conditions - this was outlawed a year or two ago. DVLA requires the details of the registered keeper and a further offence not to do that.

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Fri 9 Dec 2016 12:26
Tbc - Pre Reg Car Purchase - andy4

Thank you all for your comments. Very helpful.

The fact that it is now a common occurance for main dealers to sell pre reg cars one would hope the process is completely legitimate.

I have emailed some question to the dealer to ascertain exactly how the process works. The car will definitely be registered and sold by the dealer within a couple of weeks so there does not appear to be any time constraints. Subject to confirmation in writing about the process i will probably go ahead and purchase the car. It is a good deal. I would not have been able to afford the car without the discount.

I assume i should also consider GAP insurance for the car. I gather that if i would write off the car in the first year the insurance company would not honour its new for old commitment because i am not the first owner. I will check this with my insurance company. Gap insurance is pretty cheap online so i may go with it anyway for the first couple of years. Anybody recommend any good GAP insurers.

Thanks

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Fri 9 Dec 2016 12:48
Tbc - Pre Reg Car Purchase - RT

Make sure you check out the V5C situation with your chosen supplier.

Check your insurance policy - many give "new-for-old" replacement during the first 12 months since the car was registered, not the 1st 12 months of your ownership.

Some Gap insurers will arrange for their policy to start on the 1st anniversary so that you don't pay for the 1st year. I used GAP INSURANCE as their policies can have many options to suit your needs.

The choice of Gap insurers is more restricted for higher value cars as many have a limit of £30,000.

Edit - missed the bit about your insurers.

Edited by RT on 09/12/2016 at 12:49

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Fri 9 Dec 2016 14:38
Tbc - Pre Reg Car Purchase - Cris_on_the_gas

So what is stopping you if the dealer won't hand over the V5C just getting the V5C from the DVLA stating that you are the owner of said vehicle. after all you have got an invoice for the purchase of said vehicle. Think it costs £25 but I suppose you tell the dealer I'm giving you £25 less or have a word with the local TSO

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Fri 9 Dec 2016 15:08
Tbc - Pre Reg Car Purchase - skidpan

The fact that it is now a common occurance for main dealers to sell pre reg cars one would hope the process is completely legitimate.

Buying pre reg has been going on for years, we bought our first pre-reg in 1999 but dad bought his first in 1986 and another in 1997. But its only "completely legitimate" if you get the V5C immediately i.e. within a few days.

I would not have been able to afford the car without the discount.

You may be able to get a brand new car for the same or even cheaper by using a broker such as Carfile.net, used them to buy my last 2 cars. Dealers sometimes have better offers on new cars as well. Take our experience, in 2005 wife wanted a new motor and we finally decided a Nissan Micra was perfect. Found a deal on the internet for a brand new one at a main dealer who just happened to be about 15 miles away. Choice of colour and 30% discount. When we went to sort the deal we spotted some pre-reg ones on the forcourt, same car, same colours but 05 not 55 plate. I suggested we would have one of those if the price was right but I was told that after 6 months they owed them too much money to discount further, the brand new ones were £300 less. Guess which I bought.

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Sat 10 Dec 2016 17:13
Tbc - Pre Reg Car Purchase - hillman

Be careful with GAP insurance if you don't have the clause in your car insurance that the insurance company will provide a new car if the car is stolen or written off within the first year. One of my friends had his car stolen from outside his house by a burglar when it was one month old. Complicated story, but the burglar was looking for the keys of a more exotic car belonging to a sleep-over visitor and took the only keys hung in the hall. The insurance company made it as difficult as only an insurance company can, including asking for both sets of keys and a full service record. The owner asked if the company representative he was 'real' because you don't expect a full service report when the car is only one month old.

To cut the story short, the insurance company made an offer and the GAP company didn't think the offer was enough and refused to pay the apparent 'gap'. They played 'ping pong' with the owner until he contacted the Insurance Ombudsman whose office lady dictated a letter for him to send to the insurance company. The lady at the I.O. said that would do the trick because the insurance companies hate the I.O. becoming involved. And the letter did the trick, he received a cheque within a week.

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Sat 10 Dec 2016 17:40
Tbc - Pre Reg Car Purchase - RT

It seems quite common for the car insurer and Gap insurer to disagree initially - forcing the owner into action to get a result.

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