July 17, 2024
Frame damage discovered on vehicle with clean title
Dear Consumer Ed:
I bought a used vehicle from a local dealer about nine months ago. At the time of sale, the paperwork I signed showed that the vehicle had a clean title. After the purchase, I found frame damage on the vehicle. I ran a vehicle history report and discovered that an auction had reported the frame damage prior to our purchasing the vehicle. This frame damage was not disclosed at the time of purchase. Is there any recourse to hold the dealer accountable?
Consumer Ed says:
A title record and a vehicle history report are two separate records that provide different information. A clean title only tells a consumer that the dealer owns the vehicle outright (no lien) and that the vehicle does not have any brands. A branded title indicates that the car has had serious damage. A title is generally branded if an insurance company determined the vehicle to be a total loss, which is when the vehicle cannot safely be repaired or if the repair costs are too high relative to the car’s estimated market value. Brands include salvage, rebuilt from salvage, flood, manufacturer buyback, or odometer. A car can have a clean title but still have an accident appear on the vehicle history report.
A vehicle history report may show previous damage or accident reports, but auto dealers are generally not required to disclose whether there is prior damage to a car before selling it unless consumers specifically ask for that information. If a dealer does not make a claim as to the car’s history, the responsibility falls to the consumer to have the car inspected by a mechanic before purchasing the car to determine if the vehicle has any damage or mechanical problems.
Given the facts in your inquiry, it is unlikely that you would be able to hold the dealer legally responsible for not revealing the damage unless the dealer claimed that the car had no prior defects despite knowing this claim to be untrue. Such a claim would be deceptive and a potential violation of the law. If you believe that is what occurred, you can submit a complaint to the Georgia Attorney General’s Consumer Protection Division by visiting consumer.ga.gov or calling 404-651-8600.
To protect yourself in the future, consider the following before you purchase a used vehicle:
- Vehicle History Report - Check a vehicle history report from Carfax or AutoCheck to determine if the car has been salvaged or sustained major damage. While these reports may not be 100% complete, since not every accident or relevant event is always reported to these services, they are still a good tool to learn more about a vehicle. In addition, check the vehicle’s history by going to the National Motor Vehicle Title Information System (NVMTIS). This is the only publicly available database to which all auto insurers, salvage pools that auction off totaled cars, junkyards, and auto recyclers in all 50 states are required by federal law to report total loss vehicles within 30 days. Go to vehiclehistory.bja.ojp.gov, enter the Vehicle Identification Number (VIN), and check to see whether the car has been branded as “junk,” “salvage,” “flood,” “rebuilt” or “reconstructed.
- Pre-Purchase Inspection - Before you purchase a used vehicle or sign anything, be sure to take the vehicle to a trusted mechanic, who is not affiliated with the dealership, for a pre-purchase inspection. Mechanics can identify problems that most consumers cannot.
- Get it in writing - Get any claims made by the dealer in writing, as verbal promises and representations are very difficult to enforce.
For more helpful tips about buying a car, visit consumered.georgia.gov/your-car/buying-car.
Submit your own question to Consumer Ed. Remember…we do not give legal advice. Always consult a lawyer about legal issues.