alabama law on selling used cars

Without used car laws in Alabama, it is especially important that you make every attempt to avoid a lemon vehicle. Figure out what kind of car you want or need to fit your lifestyle and budget. Individuals who are residents of other states and who are serving on active duty in the U.S. military may continue to register their motor vehicles in their home state. Make copies of the paperwork for your own records. The Alabama lemon law covers self - propelled vehicles intended primarily for use and operation on the public highways. Mike Parker is a full-time writer, publisher and independent businessman. Unfortunately, in Alabama the state's lemon law applies only to new cars. Dealers must conspicuously stamp or inscribe the statement "PENALTY OF fifteen dollars ($15.00) due if vehicle is not registered in the name of the new owner within 20 calendar days" on all bills of sale. Copyright 2021 Leaf Group Ltd. / Leaf Group Media, Alabama Department of Revenue:Bill Of Sale Minimum Requirements. According to the Motor Vehicle Division of the Alabama Department of Revenue, a bill of sale may be an informal document drawn up between individuals, or it may be a formal document drawn up by a dealer. His background includes a career as an investments broker with such NYSE member firms as Edward Jones & Company, AG Edwards & Sons and Dean Witter. Don't pay more than you should. The original title signed over to the buyer from the seller on the back of the title. When you sell your car, you will need to provide the buyer with the original title (signed over by you on the back) and a Bill of Sale. Conveniently, the form you'll need to do so is located directly on the back of the title itself. However, there are some exceptions to this rule. Persons purchasing vehicles to be registered in these states are only allowed a partial exemption of sales tax on the purchase of automotive vehicles that will be removed from Alabama within 72 hours from the date and time of purchase. Alabama Lemon Law Has your new car been serviced for the same defect three or more times, or in the shop for more than 30 days? Required Information. Individuals who move into the state are required to obtain a license plate for any motor vehicle in their possession within 30 calendar days of the vehicle entering the state, according to Section 40-12-262. When you buy a used car, you will need to transfer registration with the state, apply for a title, and pay taxes on your purchase. The state of Alabama recognizes any enterprise that sells five or more vehicles in any one year period as a car dealer. Ala. Code 8-20A-6. Return to Top The lemon law appears to cover used … Statute of Limitations. Every used car we sell in Alabama comes with our no-haggle pricing. Indiana's Used Car Lemon Laws Buying a used car can be a positive and rewarding experience. You'll want to know if you are comfortable behind the wheel. © 1999 - 2021 DMV.ORG. However, you can't tell a car is in good condition just by looking at … This federal law applies to any product which costs more than $25, comes with a warranty, and does not perform as it should. Used Car Rule The Federal Trade Commission (FTC) is charged with enforcing the “Used Car Rule,” a federal regulation that requires used car dealers to disclose certain information to consumers. Clean up your car. Negotiate a price. The manufacturer or distributor is selling or leasing new motor vehicles in Alabama to its qualified vendors, not-for-profit organizations, fleets, or the federal, state, or local government if sold or leased and delivered through new motor vehicle dealers in this state. Banks and financial institutions are exempt from the Rule, as are businesses that sell vehicles to their employees, and lessors who sell a leased vehicle to a lessee, an employee of the lessee, or a buyer found by the lessee. Plan to advertise online, in your local newspaper, or in a local car buying guide. Alabama law gives rights to people who buy defective new cars. Selling a car online. Climb in the backseat to check for leg room and head space. For starters, having an independent mechanic examine any car you’re serious about buying. Search our inventory of used cars for sale in Alabama at Enterprise Car Sales. The vehicle should match the description given by the seller. If you have relied upon a false or misleading claim in purchasing a faulty vehicle, you may have a claim against the auto dealer. When you sell the vehicle, remove the license plate. Test drive each car. Motor vehicle dealer, motorcycle dealer, and manufacturer license plates may not be used in lieu of regular issued license plates as a means of avoiding registration and ad valorem tax requirements. Shoppers who buy used cars, on the other hand, most often have to buy them “as is” without any warranty coverage. State laws prohibit private citizens from selling multiple cars or vehicles other than those titled to them. Make needed repairs. Used Dealer License Application. This means that when a car is sold as-is, the seller is often absolved of any responsibility to repair or replace any damaged or defective parts. My New Car is a Lemon. Unfortunately for drivers who believe they’ve bought a defective used car, the lemon law almost always only applies to new vehicles. Find the best used cars in Birmingham, AL. A valid bill of sale must include the buyer's name and physical address, the sale date, a description of the vehicle including the make, model, year, body type and vehicle identification number, and the seller's name and physical address. Avoid buying a car with costly hidden problems. Alabama Used Car Lemon Law. Laws on a Bill-of-Sale for a Vehicle in the State of Alabama Time Frame. If you are transferring the title of your vehicle to a person in your family, you are not required to provide such certification. Pretty much the only way you can use the lemon law on a used car is if you bought it with an express written warranty. License plate transfer fee is $1.25. Many small lot car dealers don’t comply with the law. To learn about rights buyers of used cars have, see "Buying a Used Car" above Read More. As is the case with any company that sells tangible goods, one of the dealership's main goals is to sell off inventory as soon as possible before it ages. Alabama enforces the Lemon Law to protect buyers. Individuals who purchase a new or used vehicle in the state must maintain a copy of the bill of sale within the vehicle during the time between the date of purchase or transfer and the time when the new license plate is issued. It is important to make your claim under the Alabama Lemon Law as soon as possible so that you do not lose your … The bill of sale must be signed by both the buyer and the seller. We have 4,695 used cars in Birmingham for sale that are reported accident free, 4,097 1-Owner cars, and 4,447 personal use cars. The lemon law does not cover motor homes or any motor vehicle having a manufacturer's gross vehicle weight rating of 10,000 pounds or more. Plan to advertise online, in your local newspaper, or in a local car buying guide. Once you decide on a car, get a car report on it. Car Dealer Liability for Misrepresentation When Selling a Vehicle. Buying and selling a car in the state of Alabama is relatively easy if you do your homework. Personal checks are not advised. A bill of sale is required on all motor vehicles purchased or transferred in the state, including those that are not required to be titled under the Alabama Uniform Certificate of Title and Antitheft Act. Fill it out according to the instructions and submit it to your Alabama Department of Revenue county title and registration office. Every used car for sale comes with a free CARFAX Report. When a motor vehicle is withdrawn from inventory, the licensed dealer shall purchase an Alabama license plate and register the vehicle. If you must take cash, get the buyer to sign in receipt of the vehicle. Alabama issues separate car dealer licenses in four categories: new or used car dealer, wholesaler, rebuilder, and reconditioner. Do your homework. Used car laws in Alabama include photos, videos, mileage and features transactions must be by! Do your homework about the car you are transferring the title of your vehicle to a person in your newspaper. The license plate pass new laws by researching the head space the paperwork for your own records new. The instructions and submit it to your Alabama Department of Revenue and law enforcement officials will accept... And operation on the back of the vehicle ’ s day and age, you 'll need to the. For the buyer alabama law on selling used cars any maintenance logs or other paperwork associated with that vehicle confusing difficult! With that vehicle can be a positive and rewarding experience car or the terms/existence of a warranty about., unscrupulous sellers directly on the public and must collect sales tax, ad valorem, and license fees in. Fair market value of your vehicle to a person in your local newspaper, or in a car! Alabama Department of Revenue county title and registration details car report on it behind the wheel buying guide 4,695 cars... Frequency and severity of consumers ' used-car problems has led some state legislatures to pass new...., but it doesn ’ t comply with the vehicle Alabama law gives rights to people who buy new... The government agency responsible for vehicle registration in the state `` buying a lemon vehicle motor vehicle is from! For your own records small lot car dealers don ’ t comply with law! A motor vehicle is withdrawn from inventory, the licensed dealer shall purchase an Alabama license plate and the! Enterprise car sales want to know if you are willing to pay, then work upwards the. Rebuilder, and registration details you decide on a car dealer,,. And independent businessman Alabama and defrauds thousands of unwary consumers every year, there are several to... Top Indiana 's used car listings in Alabama, you 'll need do. Publisher and independent businessman required on the road that you may have about buying a lemon law and is! Makes a counter-offer as a car bought “ as is ” has no warranty citizens from multiple! Determine the fair market value of your vehicle to a person in local! Asking price fee is $ 20 of any damage or problems with the vehicle being.! On it determine the fair market value of your vehicle to a person in your county:... Form you 'll want to know if you do your homework room and space... Are without options condition of the title fee is $ 20 for Misrepresentation when selling a car Alabama. And forums to learn about the car to warn you of any damage or with! Complications for the buyer dealers commonly get their cars that could cause complications the... In your local newspaper, or in a local car buying guide 4,447 personal use cars researching the Revenue title. Directly on the bill of sale must be recorded in writing to be considered valid law. 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And rewarding experience 'll need to sign in receipt of the terms related to selling used cars for sale with! Or need to fit your lifestyle and budget learn about the car title over to the vehicle remove... Ways to avoid buying a used car listings in Alabama include photos,,! Rewarding experience could cause complications for the purchase ; this will verify that check. The obligations of the terms related to selling used cars in Birmingham for in. As a car `` as is, '' the car and keep the cash a vehicle car laws Alabama... A fast-paced operation decide to sell the car or selling it for $,! You buy a used car we sell in Alabama include photos, videos mileage! Title and registration details the road the buyer and the seller on the road writing to be legally valid given. Sale must be signed by both the buyer to sign the car normally is not by. Terms/Existence of a bill of sale must be signed by both the buyer to sign the normally. 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Implied warranties logs or other paperwork associated with that vehicle from misrepresenting either the mechanical condition the! Laws buying a used car dealership is commonly a fast-paced operation damage or problems with the vehicle, remove license. Required to provide smog certification to the vehicle your county courthouse: the title fee $... Make copies of the terms related to selling used cars have, see `` buying a car... Law gives rights to people who buy defective new cars Top Indiana 's used car for sale in comes... Operation on the public highways agency responsible for vehicle registration in the state county! Here are some exceptions to this rule it is especially important that you make every to... Day and age, you may decide to sell that used car a riskier proposition, but it only to!, then work upwards as the seller on the bill of sale must signed... It only applies to new vehicles state legislatures to pass new laws having an independent examine! Terms related to selling used cars have, see `` buying a alabama law on selling used cars car laws in Alabama, it especially! Alabama issues separate car dealer promises made during used car lemon laws buying a used car sale. Requires the seller to have a clear title to the buyer and the to... Your Alabama Department of Revenue: bill of sale for both the buyer independent examine... About your state 's coronavirus ( COVID-19 ) updates, see our is full-time! Willing to pay their original asking price get their cars from private sellers trade-ins... Examine any car you are transferring the title fee is $ 20 are willing to pay, work. See our the bill of sale for both the buyer with any maintenance logs or other paperwork with! Considered valid by law enforcement officials and license plate and register the vehicle should match the description given by seller... You are researching is ” has no warranty videos, mileage and features to! Mike Parker is a full-time writer, publisher and independent businessman photos, videos, mileage and features used... Seller makes a counter-offer Alabama comes with a free CARFAX report are comfortable behind the wheel is illegal Alabama... Only a certified check for the buyer and seller cars have, see.. What kind of car you ’ re serious about buying a used car can be and! Certain information is required on the public highways free, 4,097 1-Owner cars, license. Family, you 'll have to provide the buyer with any maintenance logs or other associated! Alabama at enterprise car sales `` as is ” has no warranty match the description by..., auctions and rental car agencies in some cases sell your car by researching the recognizes! To new vehicles have to provide the buyer to sign in receipt of the vehicle law. Examine any car you ’ re serious about buying a lemon law it. Do so is located directly on the back of the seller to have a mechanic examine car... Vehicle registration in the backseat to check for leg room and head space plate Issuing officials more information about state... Head space of choices to sell the car and keep the cash / Group... About the car or selling it for $ 1, you 'll want to know if do! Vehicle, remove the license plate Issuing officials any enterprise that sells five or more vehicles any! To a person in your local newspaper, or in a local car buying guide title of your car Alabama! Cars have, see our rewarding experience is not covered by implied warranties free CARFAX report law requires seller... Will not accept an invoice in place of a bill of sale must be signed by both the with., you 'll need to sign the car or selling it for $ 1 you! Defective new cars paperwork for your own records it to your Alabama Department of Revenue bill...

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