Buying a used car from a private seller is a great way to get more bang for your buck. But don’t forget that it comes with some extra steps and requires you to be a little more hands on.
At Loans Unlimited, we’ve helped countless West Aussies secure fast and smooth private sale car loans. Whether it’s your first time buying privately or you’re just looking for a refresher, here’s how you can keep the private sale process safe, stress-free and properly financed.
When you buy from a dealership, the people behind the counter have usually done all the checks. But in a private sale, it’s on you.
Here’s what you should look out for:
Service history: Ask for logbooks and records. If the vehicle has been consistently serviced, that’s a great sign.
Ownership history: Make sure the seller is the legal owner and can provide proof.
Odometer reading: Check that the mileage makes sense for the age of the vehicle.
Signs of damage: Inspect the car for rust, uneven paint or poor repairs.
PPSR check: This will tell you if the car is stolen, written off or under finance.
Tip: For small fee, you can do a quick PPSR (Personal Property Securities Register) check online. It can save you some big headaches later down the line.
This is especially important if you’re not mechanically savvy. Contact a licensed mechanic who can inspect the vehicle and flag any issues that you might not able to spot.
Some mobile mechanics specialise in pre-purchase inspections and can meet you at the seller’s location. It’s a small upfront cost that could save you thousands on engine or structural repairs.
Private sale finance is slightly different than a dealership purchase, but you can still apply if you’re looking at a used car. Here’s what to expect:
The lender may ask for more info about the seller and the car.
The car will likely need to meet certain criteria (e.g. age, condition).
A PPSR check and proof of sale will be essential.
Some lenders require a valuation or inspection as part of the approval process.
At Loans Unlimited, we can handle all the tricky bits for you. We’re connected with 40+ private car loan lenders and can help you verify the seller, check the vehicle’s status and start your application.
If you’re looking for a car loan for a private sale, it’s crucial that you document everything correctly:
Receipt or proof of purchase: Including names, addresses, sale date and price.
Transfer of ownership form: Complete and submit to your local registration authority (in WA, that’s the Department of Transport).
Registration papers: Ensure these match the seller’s details and the vehicle’s VIN.
Private sellers are notorious for wanting fast payments, but don’t be pressured into paying a deposit until your loan is finalised. Most lenders don’t reimburse upfront payments, so you could be left short if something falls through.
Instead:
Apply for pre-approval
Get everything verified
Only pay once you’re fully approved
If you do want to speed up the process, get in touch with the Loans Unlimited crew. We’ve streamlined the private sale car loan process so you can go from “found a car” to “funded a car” in no time.
Buying a used car from a private seller might be a smart, cost-effective move, but it pays to do your homework. Get the car inspected, run the appropriate checks and make sure your finances are in place before you transfer any cash.
At Loans Unlimited, we make private sale car loans easy to understand, easy to apply for and easy to get approved. To start the pre-approval process today, click “Apply Now”!
