Buying A Used Car In The Philippines

[Tukaram (Tim)]

Used car?  i couldn't find a decent used bicycle!  It seems that friends and family get first dibs on your old stuff - so there is not much for sale.  I have about decided to just get a Rusco multicab.  Not the sturdiest things around but seem pretty cheap (inexpensive, I mean).

[MikeB]

Sounds so easy, doesn't it? Except you can't just assume ownership; the owners file cases and he counter-files and it takes many months and often years of "he said, she said" and in the end everyone loses. 

[robert k]

Thanks for the well wishes Mike but I would have to be in pretty dire straits to open a business in the Philippines :)

[MacBubba]

Dredging this thread back to the surface, I have concluded that if I am buying a used car, it will probably be from the Calabarzon region and it would be easiest to register it there before taking it to another island. The assistance of a used car dealer, even if it cost 1-2 thousand pesos would probably be worth it to me to get it done right and quick and not much different than the documentary fee I am used to paying when buying a car in the US, To Mike S for the dealer suggestion. I used to make my living as a mechanic and the lengths you would have to go to hiding most defects, it would probably be more trouble than actually repairing whatever is wrong, short of 140 weight gear oil in the crankcase or banana peals in a noisy differential. I guess if it looked like I was going to run short of money my wife could open an automotive repair shop . I would want to locate near a lot of expats though because it sounds like there is money to be made if they will pay $400 for a new alternator. Most standard alternators fail because the brushes wear out and they just need cleaning and brush replacement. The commutator surface the brushes ride on can become worn also but they are easy to remove and solder in replacements, rarely does a diode fail but they are replaceable. After a few brush replacements and commutator repairs, you may be ready for new bearings, which are not hard to replace either. An alternator shop might be a good business if the market is not overflowing with used parts as I think it might be.

 

I never thought of the Calabarzon region, but it makes sense from my future location of Marinduque (MIMAROPA region).  I might even be in need of your expertise someday, since we would be practically neighbors (well, neighboring islands anyway - I can see Mindoro from our beach house).

[robert k]

MacBubba,  I think it just makes sense to do any out of the ordinary buying you have to do on the landmass that contains the capitol because the choice is going to be broader. As far as being close together, Howdy Neighbor!

 

Mike S brought up another excellent point when he mentioned buying a car with something wrong with it. It all depends on what is wrong with it. If you buy a car with a 1.3 liter engine that is on it's way out, you may have a chance to upgrade to a 1.6 or 2 liter engine of the same family or series of engines with identical exterior dimensions so it's a bolt in swap.

 

I have heard people complain that Filipinos do not service their vehicles, they are not alone. I know plenty of Americans that don't service their vehicles, they just fix them when they break. Amazingly enough, a manual transmission/transaxle and or rear end /differential will not sustain significant harm from 100,000 mile much less 100,000 kilometers with the factory fluid, as long as they have never been submerged in water. When it comes to changing engine oil, I'm in favor of it but I don't think it's absolutely necessary that it be done as often as the manufacturer recommends. The manufacturer recommends an interval safe for the most severe conditions they can imagine. Of course you have to do it on the operators schedule to maintain the warrantee but after that, I think you should only change it when it needs it. I read an interesting article about cars that tell you when to service them. The car in question went 8 thousand miles before the service engine light came on and an oil sample was sent to the lab and the lab determined that the oil would have been fine for another 5,000 miles of operation. I believe it. I had an employer who had a Ford F-150 as his company car. He drove it for 68,000 miles with the oil it had in it when he bought it new, then it died. I bet the oil filter was an empty shell by then and the filter element had been circulating with the oil through the engine for a year. The point is this, 1. had they been smarter they would not needed to have hire me :hystery: . No really , consider if this person had thought to change the engine oil at least once a year, he would have still been driving that truck with the original engine.

 

I worry less about how long the interval is than that there be an interval and that it be followed. :) . I think what I am trying to say is that if they change the oil once a year, and if the engine is in sound condition when you buy it and you care for it, it ought to remain sound for some time. If the engine was on it's way out already, low oil pressure, poor compression, if it's an engine with an oil bathed timing chain and the engine runs a little rough because the chain is slack, you don't want that one. On any engine that is of the interference type, which means that if the camshaft is in the wrong position when the pistons reach top dead center, the valves get destroyed, you want to change the timing belt, even if they tell you it was changed 10,000 kilometers ago, because you don't want to trash heads and pistons :bash: , if the engine is non interference, if it breaks the belt or jumps time you just need a new belt and the camshaft/valves timed at installation. If the same belt drives the camshaft drives the water pump also, it's usually a good idea to change the water pump while the engine is torn down to that point.

 

Another helpful hint for the mechanically inclined, [please do not stick your hand in an engines fan or get your fingers caught in a belt] is that if your used car is carbureted and running a little ragged, you can start it up, remove the air cleaner and rev the engine and close the choke or hold your hand over the air intake until it almost dies, repeat a couple times. This will often clear trash out of a slightly dirty carburetor and may save you from rebuilding/having rebuilt/replacing the carburetor.

 

I sure am talkative tonight :)

[deevey]

 

 

If you buy a car with a 1.3 liter engine that is on it's way out, you may have a chance to upgrade to a 1.6 or 2 liter engine of the same family or series of engines with identical exterior dimensions so it's a bolt in swap.

 

You are stepping into a big pile of dog poo trying to get everything re-registered and above board after engine swaps. 

 

 

 

How to check if a car is security for a loan?

It'll be on the CR as "Encumbered" - Some cars will have this still written on the CR if they were bought on finance/loan originally and it needs to be cleared off (by the owner unless you are feeling brave) before buying the car or risk having it taken off your hands.  

 

Generally you can get a good feel for the car by the owners themselves, how and where they drove and what they did/did not do to the car - if its got huge shiny mags, brand new seat covers and a dirty engine bay - stay away. 

 

If the actual owner is not meeting you or is out of the country - stay away. 

 

If the car has a "B" reg plate (or other areas) import and you are buying it anywhere other than Cagayan de Oro - Stay Away as its most likely an Illegal import and its possible you will not be able to re-register it after purchase. 

 

Even IF legal, it'll be a headache as the Traffic enforcers and Police will stop you every chance they get to "check" if everything is in order.

 

 

Aguilos warned buyers of vehicles to avoid used units that were illegally imported because the LTO will not register it or will not renew its registration.

 

 

Check the usual suspects

• Suspension (e.g does it bounce a few times if you push it down and release ?) 
• Electrics - In modern cars this is probably the biggest issue buying Second hand
• Pull up the spare tire and check for mud (flood damage)
• Pull up the plastic around the hand brake/gearstick and check for mud (flood damage)
• Run your finger around the break discs and check for grooves around the rim
• Check the Plastic Radiator Tank for Cracks or Previous repair jobs (cheap fix but you don't want it to go)
• Check all brake / fog / indicator / headlights
• Check the tires and the brand (owners with well maintained cars generally shell out for good tires). 
• When driving on a flat road does it veer to the left/right
• Is the kick down working properly (auto)
• Does it feel underpowered ?
• Does the Oil smell burned - does it leave sludge on the dipstick ? 
• After a test drive look underneath for any leaking (one car we saw was pissing oil out after 20 mins of running). 

 

Along with the mechanics check for

• Steering wheel wear and tear - After 80k it should not be smooth and shiny
• Shiny plastic on the interior door handles 
• Paint chipping around the door handles - and which doors, was it possibly used as a company transport  ? 
• Is any areas of respray you aren't being told about 
• Does the person selling it know the service history about the car or not ? (if not stay away). 

Interview the Sellers! - We saw alot of lemons before we bought ours, 3 guys were dealers posing as private sellers, and saw a few proper dealers who should not have even been selling fruit with what they knew about cars.

 

The couple we ended up buying ours from was up front about everything he had done, receipts for everything, new tires, new oil (the good stuff too) showed us every bit of cosmetic stuff that needed touching up - he didn't know the entire history of it as he bought it second hand from some rich kid who wanted a new toy after 2 years. But up front told us he was pretty sure the car had a few miles more than it says, but only by about 5k according to Mazda's service record probably due to the odometer being replaced.

 

A new baby on the way meant our sellers simply needed a bigger car plus they only lived 7k from work (across the road from us) and they both had bloody decent jobs so weren't cutting corners on maintaining it.  

 

Do Ask the reason for selling - Most people we dealt with were not selling their cars just to upgrade, normally cars are driven into the ground or passed onto someone else in the family unless there is something wrong. 

 

Drive it Hard - We drove it, everything felt "solid" and clunky, unlike a badly maintained or overused car (of which we saw many) got a few areas touched up for a few thou and been running like a dream barring a few car park knocks and a busted tail light. 

 

Buy cars under 8 years old ! 

We actually wanted an older 4x4 (1999-2001) Rav4, Escape or Pajero but for insurance reasons it is pretty much impossible to get decent insurance coverage on a car over 8 years old (and she's a learner). Not like we do alot of country driving anyhow (for now).  

 

"It only needs Freon" So SO many adverts have this quote, most likely there is a leak in the Aircon somewhere and the system parts might even need replacing. However not always a deal breaker. One seller in our case told us about it straight away AND offered to have the rad replaced and re-gassed before we buy - we actually missed out on that car by not just saying yes and taking it there and then it was sold 15 mins later.

 

Point being - if it really only needs freon, get it gassed and THEN call me back when I can actually check the Aircon system. 

 

To be honest, buying a car in the Philippines is no different than buying anywhere else, the real issues lie with the bad driving habits, bad roads, Climate, masses of paperwork, and the blatant dishonestly of some people selling. 

 

Buyer Beware but there are deals to be had. 

 

Sorry for the long post ;)

Edited January 18, 2014 by deevey

[MikeB]

Good advice but I don't know about "drive it hard". If I was selling my car and someone insisted upon driving it hard I would tell them to find another car. I would say check it by driving at highway speeds though. The vehicle I bought had a bad wheel bearing that was only apparent at higher speeds. 

[deevey]

 

 

drive it hard

hehe I'm not a complete loony (some might beg to differ). 

 

I just mean Accelerate hard / brake hard (to check ABS) / do a few small radius turns / check the kick down is working properly when you put your foot to the floor and dropping gear smoothly. 

 

Of course do all the above on highway and other safe roads - not at 5pm friday  :)

Edited January 18, 2014 by deevey

[jpbago]

It'll be on the CR as "Encumbered"

 

My CR is always encumbered!

[deevey]

Sorry to clarify - it would state "encumbered to" and a number of the loan company in the box if there is finance / loan out on it ...

 

if its 000-000-000-000 theres no loan. 

 

Even if there is an old loan on the CR you can get the encumbered section removed just alot of work chasing the original finance companies and probably previous owners for documents. 

 

 

Edited January 19, 2014 by Jollygoodfellow
edited pic