The List: Download Vocabulary

Flash Cards: Buying a Used Car

Drag and Drop Quiz: Buying A Used Car

The Vocabulary:

“as is” – The dealer is not responsible for any problems or needed repairs. The risk for anything that goes wrong after the sale belongs to the consumer.
Book value –  Estimated market or trade-in worth of a used vehicle as published in a guide by businesses such as Kelly Blue Book, Edmunds, or NADA.
Buyers Guide – A disclosure document displayed on a vehicle that provides consumers important purchasing and warranty information. The Buyers Guide tells consumers to get a vehicle
history report, how to check for safety recalls, and other topics.
CPO, Certified, Pre-owned – Vehicles that have been inspected, repaired if necessary, often have low mileage, and usually have an extended warranty.
Extended warranty – Service contract that provides for no cost or low-cost vehicle repair, after the factory or dealer warranty expires
Factory warranty –  Promise by the vehicle manufacturer to repair or replace defective components for a specified period of time.
FTC Used Car Rule – The federal rule that requires all used car dealers to place a Buyers Guide in a conspicuous place on each used vehicle.
Lemon laws –  State laws that protect the buyer when a vehicle has a serious defect.
NHTSA –  National Highway Traffic Safety Administration; federal agency responsible for motor vehicle and highway safety
Registration – Legally recording ownership of a vehicle with a government agency for tax and licensing purposes. The registration certificate is carried in the vehicle.
Safety recall – When a manufacturer or NHTSA determines that a vehicle, equipment, car seat, or tire creates an unreasonable safety risk, or fails to meet minimum safety standards, a recall is issued. Manufacturers are required to fix the problem by repairing it, replacing it, or offering a refund.
Salvage title – The vehicle was declared a total loss by an insurance company because of a serious accident or other problems.
Title –  Document that shows legal ownership of a vehicle
VIN – Vehicle Identification Number; A unique code used by the automobile industry to identify and track each vehicle manufactured.
Vehicle Report – Tied to a vehicle’s VIN number, this report outlines data about a vehicle’s past, including the previous owners and accidents reported to the insurance company.