Although having a brand new car may be considered ideal, it’s not always realistic. A brand new car requires a large financial commitment and more often than not, good credit. This is why deciding to go the second-hand route is a popular option among Canadian consumers.
If you decide to purchase a used car, one of the most important steps you can take is to make sure the vehicle has a clean history. Luckily in Canada, there are many sources that offer car history reports.
Key Points
- A vehicle history report allows you to verify a car’s title and ownership, check for accidents and repairs, and verify mileage, among other things.
- You can obtain a vehicle history report through various sources, including Carfax, VinAudit Canada, and ICBC.
- While you may be able to obtain a history report for free, they generally come with a cost, depending where you get it from.
What’s Included In Your Car History Report?
A car history report includes details regarding your vehicle that you don’t get from your dealership. It generally includes information regarding the following:
- Major accidents
- Odometer rollback
- Ownership history
- Title information
- Vehicle Identification Number (VIN)
- Service and maintenance records
- Manufacturer recalls
- Registration
- Repair costs
- Liens
Understanding these aspects can help you make an informed purchasing decision.
Reasons To Get A Vehicle History Report
There are many reasons to get a vehicle history report prior to purchasing a used car:
To Avoid A Lemon Car
Firstly, you don’t want to get stuck with a lemon car. This term is used to describe buying a used car that seemed to work and be of good value but actually had hidden defects and safety issues. A detailed report of the vehicle’s history will provide you with the information needed to make a more informed purchasing decision.
To Check The Accident History
A vehicle’s accident history will tell you what kind of damages the car has endured in the past. Moreover, you’ll be able to check if any professional maintenance has been done. This can tell you exactly what kind of problems the car has had and will have as well as if the car was used responsibly.
To Check For Illegal Odometer Rollback
Some private sellers may roll back the odometer as a way to increase the car’s value. This is illegal and can leave you paying more for a car than what it’s worth. Checking your vehicle’s history report will ensure you don’t fall for these scams.
To Check The Ownership History
Checking the ownership history is essential in understanding how your vehicle was handled in the past. You’ll be able to see how long the previous owner kept the car and where it was driven, which should give you an idea about the car’s life expectancy.
To Check For Liens
Certain services allow you to check for existing liens on title when you pull a vehicle history report. However, you’ll likely have to pay an additional fee and request an enhanced report to get information about liens on title. Here are a couple of reports that you can access to check for liens:
- Carfax Canada: $69.95 for a vehicle history report + lien check.
- VinAudit Canada: $14.95 for a vehicle history report with a lien check.
Ways To Obtain A Car History Report In Canada
There are a few platforms you can use to get your car history report in Canada. While some are free, others come with a fee.
Insurance Bureau Of Canada (ICBC)
The ICBC is a provincial Crown corporation in BC that provides information about whether a vehicle was restored or rebuilt as a result of a disaster. ICBC’s free VIN Verify service protects consumers from scammers looking to sell previously damaged vehicles.
With ICBC, you can find out whether a vehicle was branded as non-repairable after flood damage in the GTA and Alberta (southern). A car is branded non-repairable if the vehicle had water reach the bottom of the dash.
VinAudit Canada
Consumers can use VinAudit Canada to verify a vehicle’s information and compare it to the seller’s claims about the vehicle. VinAudit’s reports include information about a vehicle’s title, specs, registration records, recall records, auction records, theft records, US vehicle history, vehicle status check and supplemental resources.
There is a $14.95 cost per vehicle to use VinAudit Canada. However, if you want to check the car history for multiple cars, VinAudit has a great deal.
- 1 Vehicle History Report: $14.95
- 5 Vehicle History Reports: $34.95
- 10 Vehicle History Reports: $44.95
Carfax Canada
Using just the VIN, Carfax is able to trace back where the car was manufactured, its insurance and collision history, its odometer record, and also, whether there has been a security claim filed against it.
- Vehicle History Report (no lien check): This vehicle report costs $54.95. It provides you the car’s history, but no liens check. This should only be used if you’re 100% certain there’s no money owed on the vehicle. Otherwise, you could be stuck with someone else’s debt.
- Vehicle History Report + 1 Lien Check: For $69.95 you can check the vehicle’s history and 1 lien check.
- 3 Vehicle History Reports + 1 Lien Check: If you’re comparing multiple vehicles, this option can help you save money. Get 3 vehicle history reports plus 1 lien check for $133.95.
This kind of information obtained from Carfax is a real asset when refuting claims made by the seller. The seller may claim the car was only in a fender bender yet Carfax may indicate an accident with a very expensive insurance claim, for example. The report may not indicate exactly what the accident was, but it will still be valuable information that could be the deciding factor in whether to buy or not.
AutoCheck
AutoCheck is a service provided by Experian. It collects information on vehicles operated in both Canada and the US. With AutoCheck, you can find details about a car such as ownership history, service records, accident records, title status, odometer readings, and more. It’s a valuable tool that you can use to avoid any hidden issues with a vehicle, ensuring you make a sound investment.
The cost of an AutoCheck report is as follows:
- Single report: $29.99
- 5 reports for 21 days: $59.99
Can You Get Your Car History Report From Your Dealership?
Dealerships often provide at least some information on the car’s history. Although this is a good start, as a consumer it is important to be as informed as possible, as many dealerships may not have your best interests in mind.
That being said, try to do as much research yourself as possible. You may uncover certain things about a car’s history that can alter its value. For example, the car may have been in a serious collision, rebuilt or the odometer may not read accurately. It is critical to be aware of all these variables before making your purchase.
Other Factors to Consider When Buying A Used Car
Here are some straightforward pointers you should keep in mind when doing your due diligence before you purchase your next car:
Find The Right Financing
When buying a used car, it’s important to find the right financing. Low interest rates and flexible terms are the cornerstones of a good car loan. It can help you save money on interest, keep your monthly payments low and protect you from building negative equity.
If you’re looking for a used car, you use an online car retailer like Clutch. They can help you find cars based on the financing you qualify for. That way, no matter what car you choose, you’re almost guaranteed to qualify.
Just keep in mind that used car financing differs slightly from new car financing, in ways such as the following:
- Interest Rates: Used car loans typically come with higher interest rates because they’re considered a higher risk for lenders.
- Loan Terms: Used car loans usually have shorter loan terms compared to new car financing.
- Down Payment Requirements: Some lenders may require a larger down payment for used vehicles.
Learn more: Best Car Loans In Canada
Pay Attention To The Details
If a dealer does provide you with a vehicle history report, pay attention to details such as the following:
- Title Status
- Accident History
- Odometer Readings
- Ownership Records
- Theft Records
- Recall Notices
- Service History
Also, pay close attention to the date the report was performed. If the report is not recent or lacks information, this should be a red flag.
Have The Car Inspected
Having the car inspected will give you an objective assessment of the vehicle. The mechanic performing the inspection has no real interest in whether you buy the car or not, so his inspection should be neutral.
Inspections usually take an hour and mechanics will charge their regular hourly rate for their labour. In Canada, the average cost of a car inspection generally ranges from $100 to $200, depending on the inspection type, the vehicle, and the location.
Compare Sources
As we discussed, reports can have their limitations. Cross-checking more than one report can be an effective way of assessing just how accurate of a representation each report is.
For example, if you are provided with a report, it’s in your best interest to have your own inspection performed. If the initial report omitted certain information, it should show up after cross-checking the two reports.
Bottom Line
If you’re buying a used car, it’s important that you know everything about its history. Buying a car is expensive, so you want to make sure it’s in good condition before you commit your hard-earned dollars to a purchase. Doing a little in-depth research into a car’s history will help you make a more informed purchasing decision.
Car History Report In Canada FAQs
What is a Vehicle Identification Number (VIN)?
- Year, make and model
- Manufacturer
- Features and specifications
- Warranty and insurance claims
- Recalls
- Registrations
