What sort of warranty do you get with a new car?

Buying a brand new car means you get to choose everything from the engine size to the interior trim.

It should also mean that you can look forward to problem-free driving for the next few years.

But what if your lovely new set of wheels breaks down soon after purchase?

What sort of warranty?

All new cars come with warranties that cover major components such as the engine, the gearbox and the electrics for a certain period.

But all warranties are different, so read the terms and conditions carefully to check what is included.

Some warranties run for up to an impressive seven years, but many are much shorter.

Most will also impose a limit on the mileage you can do before the protection runs out.

The minimum you can generally expect is three years or 60,000 miles. But it’s worth noting that most manufacturers will require you to meet certain conditions to benefit from warranty protection.

Missing scheduled car services, modifying your vehicle or using an unauthorised garage for any repairs could all result in a claim being rejected.

Second-hand cars without warranties

If you buy a car that doesn’t have a manufacturer’s or dealer’s warranty, you can buy a stand-alone product.

Again, there are stipulations regarding mileage, but you can get cover for most cars that insures failure of parts and associated labour costs.

In some cases, you can even cover problems caused by wear and tear.

You can find out more about standalone warranties here.

Warranties with breakdown assistance

Many manufacturers’ warranties include breakdown assistance designed to minimise inconvenience and cover any extra costs you incur as a result of breaking down on the side of the road.

Vauxhall, for example, offers a three-year warranty that includes Vauxhall Roadside Assistance for the first year.

Honda also offers breakdown cover for new car owners, including home assistance for if you break down within 0.25 miles of your home.

“If your car is within its factory warranty period, our Honda Breakdown Assistance will be there when you need it,” the company says.

Again, however, not all warranty breakdown assistance benefits are alike. Honda buyers, for example, get European assistance as part of the standard manufacturer warranty, as do those who have bought a new Land Rover car within the last three years.

“Europe’s made for exploring,” says Land Rover. “And it’s nice to know if your vehicle is immobilised in Europe and the problem can’t be resolved at the roadside, we’ll arrange for your vehicle to be taken to the nearest Approved Service Centre. And pick up the bill.”

However, while Hyundai’s five-year warranty includes roadside assistance, this is only available in the UK.

“As part of the 5 Year Unlimited Mileage Warranty package, our Roadside Assistance Programme provides five years of free, 24-hour roadside assistance should your car break down anywhere in the UK or Channel Islands,” says Hyundai.

Warranty breakdown assistance vs breakdown cover

The breakdown assistance provided with new car warranties is similar to that offered by breakdown specialists such as the AA and the RAC.

If you have a new car that is still under a warranty that includes breakdown assistance, you may therefore find that paying for breakdown cover on top is a waste of money.

So it makes sense to check what cover your warranty offers before considering a separate breakdown policy.

You may, for example, want to take out European breakdown cover if you are taking your car overseas and your warranty does not cover you outside the UK.

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Don’t hand money on a plate to second-hand car scammers

It’s a busy time of year for the used car market. New ‘66’ number plates will be out on September 1, and that always provides a boost for second-hand car sales as people trade up their old vehicle for a new model.

It’s also a busy time of year for second-hand car scammers – the sorts of people who will try and flog you a dodgy used motor.

Roger Powell of MyCarCheck, a firm which provides vehicle data to consumers, says we need to be alert: “When buying a second-hand car it is important to be aware of the risks. Many vehicles offered for sale will have a far from perfect history. Others will be outright crooked.”

It doesn’t exactly inspire you with confidence, does it?

Verification process

MyCarCheck is one of those firms you can ask to verify whether a second-hand car has actually been scrapped, written-off or stolen.

It can also delve into a car’s finance history to see whether there’s outstanding finance being secured against the vehicle.

This is serious because, in such a case, the car does not actually belong to the person selling it, but to the financial institution which has extended the original loan.

So you, as the buyer, could end up seriously out of pocket – and possibly without a car – if you shake on the deal, because the lender would be within its rights to claim the car to cover its position.

To help you know what to look out for when buying a second-hand car, MyCarCheck has identified five of the most common used car scams. (Bear in mind that most concern private sales. There is greater protection if you buy your car from a registered dealer.)

1. Sub hiring

Here’s how this scam works…

The seller admits there is outstanding finance on the vehicle but promises to keep up the payments.

It sounds reasonable, but you, as the buyer, don’t have a legal leg to stand on. If the seller stops the payments, the finance company could seize the vehicle.

2. Deposit security

Some fraudsters con buyers into handing over a big deposit to secure the vehicle. They might tell you of a “definite buyer” who’s coming in an hour, or warn that the car is advertised cheaply for a quick sale.

Don’t fall for such pressure tactics. The seller could easily disappear, along with your deposit.

3. Hire cars

Demands for a deposit also feature in the growing number of scams that offer hire cars for sale.

The fraudster will hire a car and then ‘sell’ it to as many buyers as possible within a short time period and pocket all the deposits. He’ll then return the car to the hire firm and never be seen again.

4. Escrow

Escrow fraud is one of the oldest scams in the book.

It can take many different guises, but it commonly involves a UK vehicle being offered for sale from abroad, or the promise to ship a vehicle into the UK from abroad once the funds are paid into a holding account (the funds then disappear into thin air).

Escrow fraud is usually committed online, so watch out for suspicious emails.

5. Swaps

Swap scams are increasingly popular, and again are usually perpetrated online.

Let’s say you put your car up for sale on the internet. A fraudster will express an interest in the vehicle and suggest a tempting swap.

Unfortunately, the car will often come with outstanding finance or it might even be stolen, leaving you sorely out of pocket.

Data checks

Companies such as MyCarCheck can confirm a car’s credentials using police data and information from the DVLA, insurers and finance firms. Such services aren’t free, but they could prevent a more expensive mistake.

The most important message is that you should keep your wits about you, too. The second-hand car market is a scammer’s paradise.

So trust your gut feeling – if a deal looks too good to be true, guess what?

Oh, and never pay cash. That just making life easy for the crooks.

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