Buying a used car can be a stressful experience because you can’t always tell what you’re getting just by looking at one.
Dings, dents, and scratches are easy to spot, but there’s much more to a car’s history and condition than a quick scan can reveal. This is where vehicle history reports step in to help.
What Is a Vehicle History Report?
A vehicle history report is a comprehensive document offering information about a car’s past. Companies that issue these vehicle history check usually have access to extensive databases of vehicle records, including law enforcement agencies, insurance companies, dealerships, repair shops, and more.
From these sources, they extract, consolidate and organize car information into a single report that paints a picture of what happened to the vehicle from the moment it was manufactured to the present day. This includes items like ownership changes, service and maintenance records, accident and damage reports and other relevant details.
You can purchase this report using a car’s vehicle identification number (VIN), a 17-character (capital letters and digits) code assigned to every vehicle by its manufacturer — a bit like a fingerprint.
Although these reports are readily available from many providers, not all do so with buyer-centric intentions, i.e., they don’t always include everything a buyer needs to know.
In addition to what you would typically find in a vehicle history report, today, certain companies compare data across different sources to provide potential buyers with an in-depth understanding of the car’s market value and how it fares against similar makes and models.
They also go beyond the initial purchase and offer information on the car’s long-term ownership costs, such as required maintenance, fuel consumption, depreciation and financing and insurance rates. This way, you’ll know exactly what you’re getting into if you decide on a particular car.
What Information Can You Find in a Vehicle History Report?
The level of detail in a vehicle history report can vary depending on the service provider and the amount and quality of the records available. However, most reports generally include the following:
1. Ownership History
This section shows how many owners the car has had and for how long each of them kept it. You might also be able to see where and when the vehicle was bought and sold. This will give you an idea of how frequently the car changed hands and if it was primarily used for personal or business reasons for more information Ownership History
2. Accident and Damage Reports
Car history reports often also contain information about any major damages or accidents a vehicle’s been through and any repairs done afterward. Some providers may display instances where airbags were deployed and give details on how severe the collision was and which area of the car took most of the damage.
Based on this data, you can decide if a car that’s been in a significant accident is still worth purchasing or if it’s best to steer clear, especially since these vehicles are more prone to developing mechanical, electrical, or structural problems down the line.
3. Maintenance and Service Records
Although not all mechanics and repair shops document this data, a car history report will generally display the available maintenance and service records.
These include routine checks, visits to oil change service centers, tire rotations, brake pad replacements, and other tune-ups performed on the car during its lifetime. They may also offer information about any warranties or service contracts associated with the vehicle at different times.
Such details are your best indicator of how well the car was maintained. You can also compare it to the manufacturer’s recommended servicing schedule and see if the previous owner was able to stay on top of the car’s upkeep or if some checks are still due.
4. Mileage
A car’s odometer count is typically reported at specific points in its life, most notably when ownership changes. If the vehicle shows fewer miles than what’s been previously registered, then a blinking red light should go off in your head.
As hard as it is to roll back an odometer, with digital ones now the norm, it’s still possible.
5. Recall Notices
Sometimes, manufacturers find that a factory part is defective and needs fixing or that it wasn’t installed correctly during assembly. When this happens, they issue recalls to let owners know they need to bring in their vehicles for inspections and repairs.
However, as a car changes hands, the manufacturer might be unable to contact the new owner. In this case, a vehicle history report can tell you if there are any open recalls on the car that haven’t been addressed.
6. Salvage/Total Loss Title
If, at some point, an insurance company declares a car to be a total loss (damaged beyond repair and considered unsafe to drive) or a salvage (sustained sizable damages and its fixing costs will exceed its market value), then this information will be noted on the report.
Either of those titles means that you should steer clear of that vehicle lest you end up with a money pit that’s hard to sell and insure because its history has been flagged.
What Are the Benefits of a Vehicle History Report?
There are many advantages to obtaining a vehicle history report for both buyers and sellers.
For the seller, of course, the number one benefit is that this report can speed up the sales process by providing prospective buyers with proof of the car’s condition and a detailed timeline of its ownership and service history, putting their minds at ease and making them more likely to close the deal.
If you’re a buyer, however, you’ll be able to use the report data to:
- Protect your investment against hidden problems, fraud attempts, or stolen vehicles.
- Determine if the asking price is fair and in line with the vehicle’s market value.
- Negotiate a better deal by pointing out discrepancies between the seller’s claims and what’s on the report and using it as leverage to lower the price.
- Understand how much you’ll pay for maintenance, fuel, insurance, and future repairs over time.
Secure Your Next Used Car Purchase
A vehicle history report is your safety net when wading the waters of the pre-owned car market.
So, before finalizing your next purchase, get a report from a trusted provider and carefully consider every detail to make an informed, confident decision.
