Buying a car online: what to watch out for

Whether you want to snap up a new ‘23’ reg plate (released on 1 March) or are looking for a more affordable used car, the convenience of completing the purchase online is hard to ignore. We explain what to look for when buying online.

While a trip to a local dealership remains the most popular way to purchase a new car, according to Which? research*, drivers are increasingly turning to online car-buying services. 

*Results based on an online survey of 2,000 adults in the UK, of which 431 bought a car in the previous 12 months. Fieldwork conducted in August 2022.

Our research also revealed that two thirds of those who used an online car-buying service in the 12 months covered by our survey did so for the first time.

Part of the appeal is the sheer choice available and the convenience of searching from your sofa. And while the lack of haggling will disappoint those who like to drive a hard bargain, for others it will be a blessed relief.

So what do you need to be aware of before signing on the digital dotted line? Quite a lot, it would appear...

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Who are you actually buying the car from?

At first glance, the buying process appears to be very simple. You browse online, find your perfect car, hand over the money, then wait for the vehicle to be delivered to your door. That’s certainly the premise for websites such as Cazoo, Cinch and Motorpoint.

With these companies, you buy the cars directly, so there’s no need to wade through multiple third-party T&Cs while browsing, such as to work out what warranty is offered on a particular car. You’ll also know who to contact should something go wrong.

However, many more online car-buying sites act as a broker in some capacity, including names such as AutoTrader, BuyaCar, Carwow, Heycar and Motors.co.uk. On these sites, you’ll most likely end up buying it from a third party. That could end up being anyone from a franchised car dealer to a private individual.

This isn’t necessarily a bad thing, as you can choose from a wider pool of cars compared with a company that holds its own stock. However, it also means the level of customer service, and the support if things go wrong, will ultimately depend on who your financial transaction is with. Plus, as we’ve discovered, the T&Cs across these companies vary hugely, both in their language and accessibility (in some cases we struggled to find them). 

Business models aren’t always clear cut, either. For example, although Carwow has similarities with a broker, its website explicitly states that it’s not a broker, but rather an ‘online price comparison site that helps connect new car buyers directly with UK dealerships or brokers’.

If in any doubt, we recommend checking who your transaction is with before completing a purchase.

Whether you're buying online or in person, it pays to read our guide on where to buy a car

Check the checks

Whichever company you choose, if you’re buying used, it’s worth finding out whether it carries out quality checks on its cars. For brokers, checks are likely to be carried out by the dealers they work with. Motors.co.uk, for example, states that no checks are required for used cars listed on its site, although it says the majority will undergo a free basic history check to ascertain if the vehicle has previously been exported, imported or written off. BuyaCar, meanwhile, claims that ‘a large proportion’ of its dealers abide by manufacturer-approved used car standards or the AA’s 128-point vehicle checks.

Companies that you buy from directly usually do more checks. Cazoo, for example, says it inspects and quality controls all cars it sells, including valeting and reconditioning prior to sale. Cinch and Motorpoint say they perform similar checks.

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Warranties and guarantees

Don’t assume that you’ll get a comprehensive warranty included when you buy a car. New vehicles come with a manufacturer’s warranty and, if you’re buying nearly new, you should benefit from any remaining years on this warranty. However, you won’t have this protection on older cars. You may have some warranty options, although Motorpoint, for example, charges £329 to extend a warranty for a year.

But things aren’t always clear. When we checked Heycar’s website, for example, one page stated all cars come with a minimum 12-month warranty, while another said 30 days. When questioned, Heycar told us that the 12-month warranty is only ‘for cars available to buy online with Heycar’, while the 30-day warranty is offered for cars purchased through its ‘trusted dealer partners’. Heycar also said it ‘will be updating the FAQs section to clarify this difference and to avoid any future confusion’.

One disadvantage of buying online is that it’s likely you won’t see the car in person until you’ve paid for it. However, as long as you buy the car online and get it delivered to you, you’ll be protected by online distance selling regulations, which means you’ll have 14 days from receipt of the car in which to change your mind and get a full refund.

Regardless of whether you purchase online or in person, you’ll also be covered by the Consumer Rights Act, so the car must be fit for purpose, as described, and of satisfactory quality for its age and mileage. 

Selling a car online

As with car buying, selling online is proving popular, too. In fact, according to our survey, it’s the most common way to sell a car, with 28% of respondents who sold theirs in the past 12 months saying they used an online service such as Motorway and Webuyanycar.

It’s not hard to see why – with instant valuations, not having to deal with tyre-kickers calling late at night and, in most cases, free collection.

Results based on an online survey of 2,000 adults in the UK, of which 158 sold a car in the previous 12 months. Fieldwork conducted in August 2022.

There are pitfalls to be aware of, though – the same as there are when buying – so much of our buying advice applies here, too. This includes checking the T&Cs of the service you’re using and finding out exactly who you’re selling your car to (many sites act as brokers, advertising your car to dealers and other potential buyers).

To get an initial valuation, often all you need to do is submit your vehicle registration plate and mileage. Of course, the condition of your car will also dictate the price you can get, and this initial valuation could drop significantly as you detail scratches, dents, cracks and other blemishes. In some cases, you’ll need to supply photos so there’s visual proof of the condition.

For more advice - including to get the best possible price - head to our guide on how to sell a car.

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