Buying a used car has become a complex ordeal. Franchised and independent dealers, rental companies, leasing companies, car superstores, and online sellers compete to bring in customers by promising the best prices, better warranties, and certified pre-owned (CPO) vehicles. In most cases, CPO vehicles have been subject to a rigorous, multi-point inspection and can be expected to operate almost as good as new. Certified pre-owned can mean different things to different dealers, but a manufacturer CPO usually has higher standards than most independent used car lots.

New changes in the Federal Trade Commissions (FTC) used car rules could mean that a CPO vehicle may not always be safe. Last months changes will make it easier to label vehicles as “Certified Pre-Owned,” even if it is under recall and has not been fixed. These changes came as a result of the Takata airbag defect and its unprecedented 60 million airbags recalled. The lack of replacement parts has dealers first replacing airbags most likely to cause harm, while others may have to wait years before they can get repairs done. Given the situation, the Federal Trade Commission said dealers may advertise used vehicles as certified even if their airbags were under recall, as long as the problem has been disclosed to the buyer. Continue reading

Once again, the National Highway Traffic Safety Administration (NHTSA) and elected officials are pushing congress to pass laws that require car rental companies and used car dealerships to fix recalls before vehicles can be rented or sold. Under current federal law, rental companies and used car dealers are not required to fix a defect, or even tell you that there is a problem, before you drive a vehicle off their lot. This lack of regulation puts drivers at risk and has lead to fatal crashes. Continue reading

According to a report in the New York Times, the city hopes to implement legislation that will address the problem of vehicles being sold with unfixed recalls on them. Federal legislation to address the problem has been stalled in Congress for years as dealers say it would cost companies and consumers unnecessary time and expense to implement the guidelines. Continue reading