New guidelines have been issued to help reduce the fraudulent activity that used car-buyers face every year, it has been announced.
Vehicle history checking experts HPI said the new legislation for car dealers from the Office of Fair Trading will help to protect the consumers who spend around £24 billion per year on 3.6 million used cars.
The guidelines will also prevent car buyers from getting a raw deal, the HPI has said. Used car buyers face an annual fraud bill of £85 million due to stolen or written-off cars being sold by retailers, or buying a car that is subject to outstanding finance by the previous owner, which can affect car insurance premiums.
According to HPI, many of the steps outlined in the OFT guidelines can be covered using one of its vehicle history checks.
Alan Bishop, director of industry relations at HPI, said that the legislation will enable car dealers to stick to the rules and to be honest when selling a used car.
He added: "The OFT guidelines clearly require dealers to complete proper vehicle checks before displaying a vehicle for sale and what's more to advise the customer of any findings."
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