Car Negotiation Coach

Whether buying a new car from the dealership or a used car through a private sale, knowing how to identify a lemon car is essential to finding the best deal on a reliable car. Many tools are available to help you, like car history and reliability reports and physical inspections. Use the following guide to learn how to spot lemon cars before you buy with three simple steps.

1. It may be a lemon if… car reports reveal a turbulent past
Two main types of car reports are available to help you identify a lemon car: a car history report and car reliability report.

You can access a car history report online for around $20. Using the car’s VIN, this report lists past accidents, damage from fire or flood, and whether or not the car has a rebuilt or salvage title. It can also alert you to potential fraud like odometer rollbacks or title washing (when a car is branded with a rebuilt or salvage title, then taken to another state where the title is not recognized).

A car reliability report is also useful in identifying potential lemon cars. Consumer Reports publishes car reliability statistics annually. The report lists the best and worst used car models and rates them in 17 trouble areas. Be sure to read this report and bring it with you to the dealership so you can make a smart choice before you commit to buying.

2. It may be a lemon if…the car fails a visual inspection

Before buying a vehicle, taking a close look can help you identify a potential lemon car. Starting with the exterior, look for the following things that can indicate prior damage and repairs:

• Dents
• Chipped windows or paint
• Mismatched parts
• Uneven welding and gaps between body panels
• Certified Automotive Parts Association (CAPA) sticker
• Black, blue or white smoke from the exhaust pipe

Warning signs of lemon cars from an interior inspection can indicate high mileage, prior accidents or flood damage, and may include:

• Damaged seat belts (frayed or melted)
• Cracks in the dashboard
• Worn accelerator and brake pedals
• Missing knobs and handles
• Electrical problems
• Mildew odors

If you’re buying the car online, ask the seller for detailed, up-close pictures of the interior and exterior to check for the above warning signs.

3. It may be a lemon if… recall work wasn’t completed
Previous automotive recalls may not be immediate cause for concern when buying a used car – but if the car hasn’t had the recommended repairs you should find out why. One malfunctioning car part may lead to other issues down the road if not fixed. Look at any technical service bulletins (TSBs) for the vehicle. Automotive manufacturers issue these bulletins and list common problems for a specific model. You can find recall and TSB information from the National Highway Traffic Safety Administration.

If you’re in the market for a new or used car, it’s important to know your rights. Lemon law regulations vary by state, but can help protect you in the event you buy a defective vehicle. Even if your new car turns out to be a lemon, it’s still important to stay protected on the road with reliable automobile insurance until you receive a refund from your lemon law claim. Get an online car insurance quote to find affordable rates on coverage that fits your needs.

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