I’m having trouble with a used car I bought from a registered dealer. What should I do?

The Used Vehicle Information Package (UVIP) has important information like:

• the car details (including the year, make, model, color, body type, cylinders, and power)
• the registration history in Ontario (including all present and previous owners, their city of residence, and mileage)
• the car’s fair market value, and the minimum amount of payable tax
• retail sales tax information
• a bill of sale that includes the seller’s name, the date of the sale, and the purchase price
• if there are any liens on the car

A lien is when there is money owing on the vehicle. For example, if the original owner has not fully paid their car loan, there will be a lien on the vehicle. It’s good to know if there is a lien so that you don’t get stuck paying off the original car loan.

Registered dealers do not have to give you a UVIP. You can order one through the Government of Ontario’s website. It costs $20, and can be paid for by credit card. Once you pay, the package will be mailed to you in about 5 business days.

To order a UVIP you need:

• the vehicle identification number (VIN) or the licence plate number of the car
• your Ontario driver's licence number or registrant identification number (RIN) or
• your name and address

Remember, if you submit a licence plate number with the application, the package will include information about the car currently attached to that plate number.

You can use the information in the UVIP to ask the car’s previous owners questions about the car. This information can help you when you talk to the dealer about the problems. 

You must try to solve the problem by speaking with the dealer before you try other options. The best way to do this is to write the dealer a letter about the problem with the car and send it to them by registered mail.

Your letter should include the following information:

• your name and address
• the date
• the name of the dealer’s company and their address
• the date you purchased the car
• the make, model, year, and vehicle identification number of the car
• how much you paid for the car
• a detailed description of the problems you are having with the car
• the date by which you want a response from them (5-7 days is reasonable)

Be sure to include the following things with your letter:

• evidence, like copies (not originals) of receipts, invoices, contracts, or other relevant documents
• your signature and the date

Keep a copy of your letter and your registered mail receipt so that you have proof that the dealer got your letter.

Keep your letter clear, short, and specific.

Registered dealers have to comply with the Ontario Motor Vehicle Industry Counseil (OMVIC) code of ethics. Most of them will try to work with you to fix the problem.

If the problem cannot be solved with the help of Ontario Motor Vehicle Industry Council (OMVIC), you may be eligible for financial compensation from the Motor Vehicle Dealers Compensation Fund.

Depending on your situation, the fund may give you some or all of your money back. For example, you might get some money back if:

• the dealer is bankrupt and owes you money
• the dealer fails to pay a court judgment, refund a deposit for a car or truck that it didn’t deliver, or honour a warranty claim
• the dealer is convicted of certain offences or has its licence revoked
• the dealer made false or misleading statements about the car or truck when selling it to you
• the car or truck was seized by the police
• the car or truck was seized because there was a lien on it

The most you can receive from the fund per car or truck is $45,000. You must make the claim within 2 years from the date you first learned of the problem.

For example, if:

• you bought a used car on December 1, 2013, and
• learned it had been used previously as a rental car on September 14, 2014

then the last day you could file a claim would be September 14, 2016.

Before you apply to the compensation fund, you must first send a letter to the dealer by registered mail. The letter should be short, clear, and specific. The letter should also specify a time by when you expect to hear back from the dealer (5-7 days is reasonable).

To apply for compensation from the fund you must complete the Compensation Fund Application Package. Your claim forms must be signed and notarized. Your forms can be notarized by a notary public or lawyer.

You must include any supporting documents or evidence about your claim.

OMVIC staff will review your application. If it meets the requirements, they will prepare the claim for the Board of Trustees to consider. Once the Board of Trustees makes a decision, OMVIC staff will contact you. If your claim is rejected you can appeal to the Licence Appeal Tribunal.