Here are the precautions to be taken before buying a used/second hand car in India:

Never buy a Car without the following:
Never buy a Car without the following:
1. RTO Tax Original Receipt: This is now a one-time tax and the original owner should pay it.
2. Registration Book: Check for the state of registration and see if the letters “DRC” appear on it anywhere. DRC means Duplicate Registration Certificate. Is the name spelt correctly? Are the car chassis / engine number matching with the actual? Is the number plate made in accordance with the number on the registration book?
3. Original Insurance: Check whether the insurance is comprehensive or basic third-party and when it will expire.
4. Original Invoice: Take a look at the car’s original invoice. Details like the chassis and engine numbers can be found here. Check that the Chassis and Engine number of the car matches with the Invoice.
5. Finance NOC: If you are looking at a financed car, make sure that the NOC is available
6. ASK the previous owner to sign on transfer forms (Form 29, Form 30, Form 60, Insurance NOC Form)
7. Insurance Name Transfer certificate
8. Authorization Letter
9. Ask for a Delivery Bill. It’s a must, as the car might meet accidents. Mention the date, the time and speedometer reading on the Delivery Note.
10. Spare Key
Ask the owner for
PUC Certificate, If no PUC, Check the smoke level/color from the exhaust. If possible, ask the owner to get a PUC passed before buying the car.
Engine Compression Test Certificate. If no ECT or ECT older than 6 months, the engine smoke should not be white/blue color and the engine oil level should be at full mark. If the car runs more than 100k kms, ask the owner to get an ECT passed before buying the car.
Battery & Tyre Warranty Card, if its under warranty
Ask the owner for City/Highway Mileage and be ready to hear a wrong answer.
Duplicate keys. If the duplicate key is not there – most likely it would be with the Finance Company.
Car User Manual & Service Book. If no Car Manual, its better not to buy that car unless you can source a user Manual yourself.
Music System Manual, it fitted
Ask for Spare Wheel Cover, if it has. If spare wheel has wheel locks, ask the Lug key
Ask the owner for JACK, Tool Kit, and Spare Head Lamp Bulbs & Spare Fuses.
Check the Car for:
Check all Power Windows. Window regulators and motors may not work perfectly in old cars; Make sure the Glasses closes the window perfectly. Try to lock and unlock all the doors and the trunk with the key. Be alerted if you notice excessive use of the air freshener, it could be used to block some bad/cigarette odor, and some of them are hard to get rid of.
Check Automatic/Central/Remote Door Lock systems, if fitted. If the car has an alarm system, ask to demonstrate how it works. Test all remote control functions.
Check Windscreen Wipers and washer sprays.
Check headlights, indicator lights - working condition. Also check rear brake lights and Horns.
The condition of the vehicle interior is another good indicator of how the vehicle was taken care of. Car Seats should have no tears, stains, or damage. Do all the seatbelts work?
Check Switches, Interior lights and electric accessories are working.
Check RPM Meter, Speedometer, Battery charging indicator, Handbrake indicator, door open warning indicator etc.
Check the Battery manufacturing date. It usually has a sticker which says about. If its more than 4 years old, Reduce the car value by Rs. 5,000
Check all the fluids are at optimal levels: Differential, Transmission, Engine Oil, Coolant, Break oil, Clutch Oil, Power steering oil and battery water. If any of one is not in the acceptable level, it may not be a well maintained car. Take a look at the car head-on from a distance to see if it is leaning to one side or the other. If possible park the car in a slope and check for any leakage in the floor.
Check for Oil Leaks under the engine. Sleep under the car and check the Oil Sump/shield and Gearbox shield for leakages. If you can’t find any Oil leak, check for the Oil level. Never buy an Oil-leaking car, which may cost you an Engine overhaul. Also check under the Fuel tank for any leaking.
Open the Engine Oil Cap (with Engine Off) and look inside the cap. If the Oil cap and the parts you see in the oil filler neck covered with thick black deposits, it may be an indication that the engine wasn't maintained regularly. The camshaft should not have thick carbon deposits or oil sludge in red/brown color.
Open the coolant reservoir and radiator(only if the engine is Cold) and check for any sludge. The coolant should be Clear/Red/Blue/Green color and it should not be like Grease/Sludge/soap/cream. If there is a thick creamy scum then this is a good indication of water and oil contamination. Take out the oil dipstick, and look at the oil attached to it, it should be clear or black, if it is a creamy colour then this indicates that water has mixed with the oil and the most common cause is a failed head gasket or crack in the cylinder head.
Check the Brake System. If it has a booster brake, check the Vacuum Booster. Switch off the engine and Brake repeatedly till the brake Pedal stops/stalls at one position. Start the engine while the brake pressed. You should feel the pedal depress slightly as engine vacuum enters the booster and the brake pedal should release completely. Also Pump the Brake while the engine is running. It should not stall for atleast 5 full pumps, even if the car has no Vacuum Reservoir. (If not your booster/vacuum pump may be faulty and reduce Rs. 10000 from the car value).
Check the condition of the starter motor, the car should start at first crank and carry a multi-meter to measure the Voltage Levels to check the alternator. When starting the car, the voltage at the battery should not be reduced more than 2.5v than the voltage level before starting the car. At 2000RPM the voltage level of the battery should not go below 13V without any load and not below 12v at full load. If you find a faulty alternator or starter motor avoid buying that car.
Check the A/C System & Cooling Condition. If it has bad cooling, check for Bubbles in A/C Hose Pipe. If the Gas is full, check for Air leakages (not water leaks). If you can’t find any problem, but bad cooling, it may be a faulty compressor. A good mechanic may tell you the condition of the compressor without opening anything.
Try to drive the vehicle in each gear. All gears should shift smoothly and easily without any noises, jerks or shudder. Try to drive with acceleration and deceleration - there should be no whining or humming noise under any condition. All the gears should shift easily and noiselessly. Try to shift into reverse; there should be no grinding noise.
Check for Clutch wear. While driving at the second or third gear, try to accelerate suddenly. The clutch should not slip. If you feel slipping (the engine rpm increases but the vehicle speed remains the same), the clutch may need to be replaced. With the car stationary and a clear road in front of you, engage fourth gear and try to set off without stalling the engine, if the car just stalls no matter how much power you put on then the clutch is OK do not try this more than 2 times. Clutch slipping is not bad, but don’t forget to reduce the car value by Rs. 5000-10000
Check the suspension status of the car. Run in the middle of the road and the car should not slope at one side. Run through no-road and the car should not jump like a city bus. Push the car up & down near each suspension. The car should immediately stop vibrating, as soon as force is removed. If it takes more than 2 up/downs before settling, there is a problem in shock absorber strut. If it has bad/weak suspensions, avoid buying that car.
Check the Engine Temperature Gauge and Oil Pressure Gauge. It should be in Normal Status even after a long run.
Check whether A/C Condenser Fan and Engine Cooling Fan are running properly.
Check the remaining life for the car tires.
Checking the car body to find an accident met is not an easy job. Look at the paint from a distance and from different angles. Does the color of different panels match? Does the quality of the Paint and shining looks equal everywhere? Does the car have any rusty spots or ripples?
Check if the car has been flooded in the past. Look for mildew smell, water stains on the seats, roof liner and door covers. Look for moisture under the carpet. Check lower edges of the door for corrosion and look for badly corroded metal parts under seats.
The final check is to find the condition of the Engine. Though if the engine looks clean and shiny, it doesn't yet mean it was well maintained; dealers almost always shampoo the engine before showing the car to the buyers. An ordinary user may not be able to find even if one of the Cylinder is not active in the car.
The vehicle should start easily even if it's cold. It shouldn't shake, make excessive noise, or smoke. If you see a cloud of blue smoke at start-up, be ware, it's the first sign of possible engine problem - avoid this car. Black smoke means the engine consumes too much gas or - possible problem with fuel injection. Normally, there should be no smoke at all (Diesel engine may have slight black smoke at a cold start - it's normal).
Try to test drive the car for as long as you can. Try to accelerate, decelerate, take it on the highway if it's possible. The more you drive, the more chances you discover possible problems. If it's your first car, try to test drive few different cars of the same model to have better idea. If you feel anything that may indicate possible engine problem (e.g vibrations, stumbling, misfiring, delay during acceleration, rattling noise, smoke, rough idling, etc.) avoid buying such a car
Some of the reasons why people sells their cars:
1. It might meet an Accident. Learn or speak to a mechanic/painter to find it how.
2. It may overrun a PIG. Just let me to buy that car!!!
3. Badly maintained Engine. Wrong Compression/Injector/EGR/ECU fault. The car runs well, but not longer. Drive another car of the same Brand/type/engine/age to compare.
4. Oil/Fuel/Coolant Leak
5. Oil Drinking vehicle
6. High Smoke/emission because of overused or badly maintained engine
7. Low Mileage
8. Low Pickup/response
9. A failed A/C Compressor or Alternator or Brake Booster or Starter Motor or GearBox or Fuel/Distributor Pump or TurboCharger/Intercooler or Radiator or Catalytic Converter or Power Steering Pump. Note that the above items are not consumables and cost you some thousands to replace. Bring a Mechanic with you or brink the car to a mechanic before buying it.
10. The Car might been flooded



