OCBA - Warranty

Dealer's warranty obligations

(under the Second-hand Vehicle Dealers Act)
Warranty on your car will depend on the sale price and other factors. The statutory warranty applies from the date of purchase.

Vehicles that cost between $3001 and $6000. They will be covered under warranty for the first 3000km travelled or two months, whichever occurs first.

Vehicles that cost over $6000. They will be covered under warranty for the first 5000km travelled or three months, whichever occurs first.

If your car needs repairs carried out under the statutory warranty you must contact the trader before having the repairs done, otherwise your statutory warranty may become void and you will have to bear the costs.

It is the dealer's duty by law to fix certain defects, free of charge, when the vehicle is under warranty.

The dealer may use suitable second-hand replacement parts, but must carry out repairs to accepted trade and industry standards. If you specifically want new parts fitted, you may have to pay the difference. However, you should not pay if the dealer cannot obtain suitable second-hand parts.

Your warranty is extended by the amount of time the dealer keeps your vehicle for repairs. You may apply to the Commissioner for Consumer Affairs to extend the warranty period in certain cases where you did not have use of the vehicle due to a defect and where the delay in obtaining repairs was not your fault.

In most cases, warranty (as detailed or listed on the Form 1) doesn't apply to:

vehicles that are sold for $3000 or less

vehicles that have travelled over 200 000 kilometres before the sale

vehicles that were first registered more than 15 years ago

a vehicle that you have had in your possession for three months or more before the date of sale (for example, under lease)

accessories excluded by the dealer (as listed on the Form 1)

defects which result from damage deliberately caused to the vehicle after sale

normal vehicle servicing

defects arising from misuse or negligence after sale

defects apparent in the paintwork or upholstery at the time of sale

defects arising from collision, impact or accident after sale

defects in the tyres (tyres must be road worthy at time of sale) or battery

defects not reported to the dealer within the warranty period

contracts when you waive the warranty.

You should provide the dealer an opportunity to undertake warranty work on your car in the first instance. If you must have warranty work done elsewhere for road-safety or logistical reasons, seek the dealer's approval and make arrangements with them about who should pay the repair costs. Obtain the dealer's approval in writing.

Waiving the warranty

Under the Second-hand Vehicle Dealers Act you have the option to forgo the statutory warranty on your car in order to negotiate a better sale price. This option is called a ‘Waiver of Rights.' To waive your warranty rights, you must sign an agreement (Schedule 6) and have the agreement witnessed by either a Justice of the Peace, a lawyer or an authorised bank manager. The dealer is not permitted to make it a condition of sale. It must be your choice.

You should always have the vehicle checked out independently before you waive your warranty rights. The RAA, an MTA service centre or a qualified independent mechanic can provide this service.

If you are unsure of the Waiver of Rights process, contact the Office of Consumer and Business Affairs on 8204 9777 for advice.

Extended warranties

Some dealers sell or provide free-of-charge extended warranties. These are not the same as your statutory warranty and should not be used until after your statutory warranty has expired.

Make sure you understand what the extended warranty being offered actually covers. Read the policy document or booklet provided by your extended warranty provider carefully.

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Warranty

On this page

Dealer's warranty obligations

Waiving the warranty

Extended warranties