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all cars - Car History Checks - Dizzle
Hi all,

First time poster, so go easy ;-).

Could anyone explain to me the process that used car sales people undertake when checking a cars history before purchasing it, i assume it depends on the method they buy the car using, so for example if they are at an auction do they use one of those car text checking services, and if the car is being offered as a part exchange do they do a ca history check on a website whilst the car owner is sitting in front of them?

The reason I ask is that I'm looking into setting up a trade only business for car history checking, my aim is to lower the cost as far as possible. Does anyone with experience have any idea how much these checks cost when you buy them in bulk with one of the big suppliers?

Basically my parents bought a stolen car and it cost them alot of money and it really annoyed me, im in IT so i thought id do something about it and im trying to understand the process that used car showrooms go through before selling the car on to the end user.

Thanks for any help anyone can give.


all cars - Car History Checks - RT

I've not known any dealer do checks on my trade-ins, not while I was there anyway. In virtually every case, the salesman has walked round the car, looked at the mileage, looked in Glasses Guide and then carried on the negotiations - only once did they even start the engine.

I don't know what the statistics are but few dealers seem to put trade-ins back on their own forecourt - they seem to simply move them through the trade - and then buy stock to sell - not surprising as trade-ins won't be the same age as the cars being sold.

Some dealers do a HPI check on a car before sale but many don't.

all cars - Car History Checks - Dizzle

Interesting, thanks for that.

Yes, I wonder if that is the case for the wider marker, I guess, like you say, most don't as a) it takes time b) it costs money. I assume they check your name is on the V5 log book when you go in though? That way at least they can check the cars not be stolen.

My mission is to lower the price of the car history check for everyone, my mum and dad lost alot of money when they inadventantly bought a stolen car, these checks should not cost as much as they do (up to £24.99 for a single check).

Almost all online car history checkers offer a basic check, and a check with outstanding finance, the check with outstanding finance is often double the price, i wonder how many people actually go for the full check because of this price difference though.

all cars - Car History Checks - tony g
Hi dizzle,
Don't waste your time with this idea,
I've been a car dealer for thirty years ,you won't be able to reduce the price to the trade where the bulk of checks are done .contrary to a previous post ,car dealers HPI all part ex cars except bangers ,they check the car after they have a signed order and deposit , but before you take delivery of the replacement car ,if they find that a car comes up with an HPI issue they will want more money from you or will cancel the deal .

Your next problem will be accessing the HPI system ,it's controlled by Experian and equifax ,But owned by Aviva the insurance company ,they charge dealers £5 per full check ,including a finance check .You could open an account with them and charge £10 perhaps £15 to offer the product to the public ,however once you have taken into account the provision of debit /credit card facilities ,established web site costs etc you won't make any money .

Finally the real issue is not about reducing the price of HPI checks ,most reasonable cars cost a minimum of £2000 ,why would anyone not spend £25 to check clear title on a car before they buy it .

Tony g

Edited by tony g on 14/07/2012 at 16:25

all cars - Car History Checks - Dizzle

Thanks Tony g,

Thats just the sort of info I was after. Do the dealers go straight to the website and do a check or do they have a system which the car history check is integrated into?

I agree it seems as though there is little way to reduce the cost, but i believe i have found a way (but hey a good idea doesnt turn itself by magic into a business).

Do you have an info on the price breaks on hpi checks on dealer volume, i.e. how the price reduces the more checks you do?

Many thanks

all cars - Car History Checks - tony g
The car history I think you refer to is called a VOSA check ,it shows a cars mot history ,which includes mot failures and the mileages when an mot was done ,it's a usefull site for showing car clocking ,it's a free check and is on the .mot.gov website .
Most dealers have a direct account with HPI ,they pay an initial deposit ,a monthly fee ,plus a fee for each check .

Because thier is only one source of the information that HPI supply ,it's a monopoly ,thier are no volume discounts .each check costs the same .

Finally I would have to say that at approximately £5 a check ,accuracy of information and easy access are the issues for dealers not cost . A typical used car site selling 500 cars a year will pay £2500 a year in charges ,the cost is irrelevant when compared to advertising / staffing costs etc .advertising alone will cost a dealer selling 500 cars a year over £30,000 a year .



Tony g
all cars - Car History Checks - meldrew

Dizzle, I understand your fury and frustration at the cost to your parents of buying a stolen car. Could you possible tell more about the circumstances of the purchase? It may prevent others from falling into the same trap.

all cars - Car History Checks - laldog

ALL bona fida dealers have to by law check a cars history (HPI not a Vosa check) before selling it. Even if in 2/3 years time you find out a dealer sold a vehicle that turned out to have a past then by law you can go back to said dealer and make a claim,no matter where he sold/disposed of the car.

As already said the margins are simply not there to become yet another middle man.

all cars - Car History Checks - tony g
The law is not the only issue ,a dealer needs to protect his business by using HPI .A car is worth substantially less if it's been written off and potentially nothing if it's registered as stolen or has outstanding finance .

One of the contradictions of HPI ,is that finance companies are not legally obliged to register thier interest ,but they still hold title to the car .

In addition log book loan companies rarely register thier interest but still hold title ,they use a peice of Victorian legislation to lend money against a car or any other item .At the moment thier is no way a buyer ,trade or retail can know if a car they buy has finance outstanding on a log book loan.

It's a major problem that needs resolving

Tony g
all cars - Car History Checks - ccuk

Hi Dizzle,

How did you get on with this?

IVe previously worked in the motortrade for car supermarkets and main dealers and can confirm that both do perform a car check on P/X vehicles but unless you intend to take the car the same day they do not perform the car check in front of you to save time. if anything turns up on the report prior to completion the dealer will contact you immediatly.

In the case of dealers buying from auction, all major auction houses check the vehicles history prior to the vehicle auction. On top of that many auction houses provide data to databases to help vehciel check providers in reducing mileage fraud etc.

The data you would need in order to create your own vehicle check would need to come from various sources and believe me this is not easy.

First of all the DVLA charge a fortune to access their data. I believe it is around 90K a year. They also have very strick rules on how its used.

The Police. you would need access to the PNC to check if a vehicle is reported as stolen. I doubt they will give this info away easily.

Insurance data in order to check if a car has been writen off. This wont come easy as guess what, the association of british insurers database is run by hpi who will do all they can to protect their business (you cant blame them).

Mileage data is also hard to get hold of as it comes from so many sources including dealers, the national mileage register, DVLA, BVRLA and even the likes of quick fit. ever wondered why they ask your mileage when you buy tyres?

Finance data. this is controled by equifax and experian who also own Autocheck and their is such tight regulation on this info it is almost impossible to get hold of.

Maybe look at being an advertiser for someone else. At least in the begining anyway to see if its worth your while.

Good luck.

all cars - Car History Checks - PhilipJ

Just re-igniting this topic, dealers should now check back over previous sale history to ensure nothing is awry with mileage history. Sites that catalogue car information and provide car checks on current status and insurance databases are growing in popularity with many dealers using corporate accounts to check every vehicle they sell.

Such sites can also be used to check previous dealer/private sales to ensure colour, mileage, price and location information all corroborates with what the current owner is saying!

(Links removed)

Edited by Avant on 08/06/2015 at 18:25

free vehicle history check - Peter8919

There are number of websites in the market that offer this service

it’s not only about to be able to build a software to pull data from different source, but be able to take your product in to the market and face your competitors in real word.

There are some big players in the market who spend 6 digit figures for google AdWords campaign per month (I heard).

I would recommend to conduct a thorough market research and competitor analytics before action on your plan.

I recently noticed Car Analytics website offer pretty much all basic information for free, guess its good enough before you make a decision

Edited by Avant on 12/09/2018 at 01:35

all cars - Car History Checks - Warning

How did your parents get cheated? Didthey buy from a dealer or privatly?

If you buy a used car, you have to tax it (before hand) and insure it. So you have to type in various numbers from the logbook in order to tax it, so the Government car tax website would have flagged up that you can't buy tax the car, as the numbers are all wrong. It should have flagged up the problem them?

What other checks could they have done? May be compare the VIN number on the V5 logbook and the car. Also, if buying privately, make sure buying from the address stated on the logbook.

Other companies are providing similar services, so I am not sure what else you can offer.

However, I do think that buying a nearly new car is a snake pit. I recall seing a nearly car with 30,000 miles on the clock, but given the wear and tear on the steering wheel, it looked as if it has done 80,000 miles. I think in the first 3 years, there is a danger period, where cars are clocked back. Servicing internal is now 24months, so there is a lack of service history. So people can turn the clock back and make thousands by incresaing thge value of their cars.Some main dealers, do record the mileage (e.g. Mazda), they have a centralised electronic database. Other dealers don't have the same system.

all cars - Car History Checks - skidpan

How did your parents get cheated?

If you buy a used car, you have to tax it (before hand) and insure it. So you have to type in various numbers from the logbook in order to tax it, so the Government car tax website would have flagged up that you can't buy tax the car, as the numbers are all wrong. It should have flagged up the problem them?

The thread dates back to 2012 and the rules regarding tax were different then.

all cars - Car History Checks - nathandavid

I've been in the trade 10 years. Here is our usual process for checking a vehicle:

1. make sure it has the reg showing on listing. Has some mention of vehicle service.

2. Check the vehicle in more details on sites such as this part of important to make sure we get as much data for free.

3. We then process and get a HPI check or use a site like the one above to get a more details history background check to make sure it is not stolen or has any outstanding finance.

Then we focus on the negotiations.

Hope this helps :)

Nathan

Warrington Cars

Edited by leaseman on 16/01/2024 at 15:11

all cars - Car History Checks - Andrew-T

I've been in the trade 10 years.

... half of that time, not noticing this thread !!

all cars - Car History Checks - Steveieb

Apart from the car history checks I would have thought that any dealer would be advised to run a check on the cars ECU history by plugging in an analyser into the OBD socket.

This would identify any costly fault which isn’t apparent and could have been cancelled by the owner using a simple reader ?

all cars - Car History Checks - leaseman

I've just hidden a post (opening a decade old thread), from a previous poster who had included a link to a pay service, which I deemed to be an attempt at gaining free advertising, deleting the link. The second post, hidden, eluded to the same website. I've disabled his account, but if he emails moderators@honestjohn.co.uk with justification as to why this action is unfair, then we will consider his position.