Buying at a car auction: risks and rights

A car auction can save you money, but you give up most of the protection you would get from a dealer. When second-hand goods are sold at a public auction that you can attend in person, the Consumer Rights Act 2015 does not treat you as a consumer for most of its goods rights. There is no 14-day cancellation right either. What you can still rely on is the description of the lot and the auction's own terms. That makes the checks before you bid more important than the bid itself.

How a car auction works

Most car auctions sell cars from dealers, leasing and fleet companies, and finance companies recovering cars. Some lots come from private sellers. The general pattern is the same.

1. The catalogue. Lots are listed in advance with the basic details and, often, a condition report or grade. Read the auction's terms at the same time.
2. Viewing. You can usually look round the cars before the sale. You may be able to start the engine. A test drive on the road is rare.
3. The sale. Cars go through the hall one at a time, quickly, one after another. Many auctions also take online bids for the same sale.
4. The hammer. If you win, the contract is made when the auctioneer accepts your bid. You are bound to buy.
5. Fees and payment. On top of the hammer price you pay a buyer's premium and often other fees, plus VAT where it applies. Payment is usually due straight away or within a short deadline.
6. Collection. You must collect within the auction's deadline, or pay storage charges.

Work out your maximum price including every fee before the sale, and stop there.

Your rights at an auction

Auctions you can attend in person

Section 2(5) of the Consumer Rights Act 2015 says a person is not a consumer, for most of the goods rights, where second-hand goods are sold at a public auction and individuals have the opportunity of attending the sale in person. In practice:

• There is no statutory right to a car of satisfactory quality or fit for purpose.
• There is no 30-day right to reject and no 6-month rule.
• The Consumer Contracts Regulations 2013 do not apply to contracts concluded at a public auction, so there is no 14-day cancellation right.

A few protections remain. The Act still applies its rules on delivery and on when the risk passes to you, and information given before the sale about the car can still form part of the contract. If the auction house or seller made a false statement of fact that persuaded you to bid, the Misrepresentation Act 1967 can give you a claim.

Lots marked "sold as seen" or "trade only"

Expect most lots to be "sold as seen". At an auction you can attend, take that literally. Some lots are marked "trade" or "trade only". Read the auction's terms to see what that means there: it can mean the lot is meant for motor traders, or that it is sold with no description of its condition. If you are not a trader, ask before you bid. Our guide to what "sold as seen" means explains how the phrase works in other kinds of sale.

The auction's own terms

Auction houses often offer limited promises of their own, such as a short window after the sale to report a car that does not match its description, or a description standard for the mileage. These come from the auction's terms, not from consumer law. Read them before you register, note any deadline, and act within it.

Online-only auctions

The public auction exception depends on individuals having the chance to attend in person. A sale run only online, where nobody can attend, may not fall within it. If the seller is a trader, your Consumer Rights Act rights may then apply. Check who the seller is and what the terms say, and do not assume either way.

Checks you can still make before you bid

You cannot drive the car far, so do your homework on paper. Our guide to checking a car's history covers each source in more detail. Ask the auction for the registration and VIN of each lot you are interested in.

1. DVLA details. Use the GOV.UK vehicle information service to check the make, colour, fuel type, tax status and MOT expiry match the catalogue.
2. MOT history. Read every test on the GOV.UK MOT history service. Look for repeated advisories and mileage that goes down. Our guide to reading MOT history shows what matters, and the MOT advisory lookup explains the wording.
3. The model's record. Compare the car with others of the same model and age on our MOT pages.
4. Finance and write-off status. A vehicle history check shows outstanding finance, insurance write-off records and stolen markers.
5. The V5C. Ask whether the V5C is present and when you will get it. Check the VIN on the car against the V5C at the viewing. Our guides to the V5C logbook and the VIN explain what to compare.
6. Service history and keys. Ask whether there is a service record and how many keys come with the car.
7. The condition report. Read what it does and does not cover. A cosmetic grade is not a mechanical inspection.

At the viewing

• Look for fluid leaks, uneven tyre wear and mismatched paint.
• Start the engine from cold if you are allowed, and listen for knocks or rattles.
• Check every warning light comes on and then goes out.
• Bring someone who knows cars, or ask a mechanic to come with you.

Is an auction right for you

An auction suits a buyer who is comfortable judging a car's condition, has a firm budget including fees, and can absorb a repair bill if a car turns out worse than it looked. If you want legal comeback, a dealer sale gives far more, as our guides to the Consumer Rights Act and used cars and to buying privately vs from a dealer explain.

Frequently asked questions

Do I have consumer rights if I buy a car at auction?

Very few, if you could attend the sale in person. The Consumer Rights Act 2015 does not treat you as a consumer for most goods rights at a public auction of second-hand goods. You can still claim if the car was misdescribed or a false statement led you to bid.

Can I return a car bought at auction?

Usually not. There is no 14-day cancellation right at a public auction and no 30-day right to reject. Some auction houses give a short window to report a car that does not match its description, so read their terms.

What is a buyer's premium?

A fee the auction charges the winning bidder on top of the hammer price. It is set by each auction house, so check the fee table before you bid and add it to your budget.

Can I test drive a car at auction?

Rarely. You can usually look round the car and sometimes start the engine. Do your checks on paper first and bring someone who knows cars to the viewing.