My rights & responsibilities

RAC Vehicle Inspections	Consumer and Employment Protection
DOCEP REVS	Department for Planning and Infrastructure
RAC Motoring Advice	Fair Trading Act and Trade Practices Act
Dealer Extended Warranty	Warranties on Accessories
Purchase At Auction

Warranties

RAC can help you navigate your way through the confusing maze of warranties. The warranty provisions that apply to the car you buy can be complex and vary depending on how you buy the car.

• New cars
  • New cars are covered by the manufacturer's warranty.
  • The coverage of this warranty will vary depending on the manufacturer and different parts of the vehicle may have different warranties.
  • The engine and drive train may have a different warranty to accessories and convenience items such as electric windows.
  • The body and paintwork may have a third warranty.
  • Make sure you check the exact terms of the warranty with the dealer before you sign the contract.
  • Additional accessories fitted to the vehicle by the dealer such as roo-bars may not be covered by the manufacturer's warranty.
  • Confirm the warranty conditions in writing with the dealer on any accessories you ask to be fitted to the vehicle before you agree to their purchase.
• Used cars
  • Private purchase
    • If you buy a car privately there will be no warranty.
    • We recommend that you invest in an RAC Vehicle Inspection to determine the condition of the vehicle before you purchase.
    • You should also check with the Register for Encumbered Vehicles (REVS) to ensure that the seller has clear title on the vehicle and that any hire purchase or other loan agreement related to the vehicle has been paid out.
    • If the seller does owe money on the car, it could prevent you becoming the legal owner.
    • You should also check the registration papers to ensure that the owner is the seller.
    • If the vehicle is unlicensed you need to obtain proof that the seller has the right to sell the vehicle. Check with the Department for Planning and Infrastructure for what is required. You can also check whether the vehicle has been written-off or stolen. 
• Dealer purchase
  • The warranties which apply under law on used cars can be confusing.
  • The Western Australian Motor Vehicle Dealers Act imposes direct obligations on the licensed motor vehicle dealer and, in some cases the provisions of the Fair Trading Act and or Commonwealth Trade Practices Act can also apply.
  • Many car dealers also offer extended warranties (for which you pay extra) as selling points.

Statutory Warranty

• While many used cars sold by dealers are automatically covered by a statutory warranty, there are some exceptions.
  • No warranty applies if the vehicle is more than 12 years old.
  • Has travelled more than 180,000kms. 
  • Has a purchase price of less than $4000.
  • For detailed information on what vehicles are covered, check out the Department for Consumer and Employment Protection. 
  • For vehicles which are covered by the statutory warranty a licensed dealer is obliged to fix defects which render or are likely to render the vehicle unroadworthy or unserviceable, whether or not that defect existed at the time of sale.
  • As a guide, if a defect renders the vehicle unusable then it is likely that the car is unserviceable and the dealer should fix it.
  • In addition any defect which is likely to incur a defect notice (formerly a red or yellow sticker) is also a defect which should be fixed under warranty.
  • There are some exceptions. Contact RAC's Motoring Advice Department. 

Fair Trading Act and Trade Practices Act

Under some circumstances, even if the Motor Vehicle Dealers Act statutory warranty provisions do not apply, a dealer may still have an obligation to fix a fault.

• A vehicle should be 'fit for the purpose', so if a real 'cheapy' breaks down immediately after purchase and cannot be driven, then it is possible the dealer will be obliged to fix it.
• In addition, where a dealer advertises a vehicle with certain parts or accessories then those items should be in working order. Air conditioning is one example. Although the statutory warranty allows the exclusion of air conditioning, if the dealer advertises the vehicle as having air conditioning, then it should work.
• There are some exceptions. Contact RAC's Motoring Advice Department.
• An RAC Vehicle Inspection is also worthwhile even if purchasing from a dealer. 

Dealer Extended Warranty

If the dealer is offering an extra warranty at a cost or for free, you will need to have it in writing.

• Even then, these warranties can be very limited because of exclusions, eg: mechanical failure due to wear and tear, abuse, driver error, lack of servicing, failure due to overheating and so on.
• Some of these extra warranties lock you in to having your car serviced by that dealer until the warranty expires and the servicing must be carried out at predetermined intervals.
• This can be very expensive and inconvenient and the dealer can cancel the warranty, without refund, if you breach the terms and conditions.

Warranties on Accessories

Any accessories that you purchase with the vehicle will not be covered by the statutory warranty.

• There may be a manufacturers warranty and the seller has certain obligations under the Fair Trading act.
• Where a dealer advertises a vehicle with certain parts or accessories then those items should be in working order. For more information, check out our motoring advice section. 

Purchase at Auction

Purchasing a vehicle at auction is another possibility.

• You will need to be aware of who owns the vehicle as this determines the statutory warranty provisions.
• If the owner is a dealer, a car hire or leasing business, or a finance company the statutory warranty provisions will apply, and auctioneer dealer will be required to honour any warranty claim.
• The terms are the same as a vehicle purchased directly from a used car dealer and the there will be no warranty if the vehicle is more than 12 years old; has travelled more than 180000kms or has a purchase price of less than $4000.
• If the auctioneer is auctioning the vehicle on behalf of a private owner there will not be any warranty.
• If you negotiate a direct sale with the auctioneer rather than at the auction, then the statutory warranty provisions will apply.
• There are some exceptions. Contact RAC's Motoring Advice Department.