OMVIC’s compensation fund can help when a failed dealer has not registered your third-party warranty or offers a warranty and then goes out of business.

It’s always exciting to purchase a new vehicle but, a few years and several thousand kilometers after that initial excitement has worn off, many find themselves facing eye-watering repair bills. Adding an extended warranty when you purchase a new vehicle may help to avoid nasty surprises. A planned, predictable outlay upfront is often more manageable than an unexpected bill that might be hard to pay in the future.

Consumers may be entitled to compensation for any financial loss during their car-buying journey.

There are instances where, unfortunately, many consumers find themselves in difficult situations after they have purchased a new or used vehicle. Specifically, financial loss and no one wants to incur this, not even if it’s a temporary one. Thankfully, OMVIC may be able to provide financial compensation from the Motor Vehicle Dealers Compensation Fund, which is a consumer protection program financed by Ontario's registered motor vehicle dealers.

Written by: Graham Heeps – Automotive, Technical, and Business Writer

If a motor vehicle dealer fails to pay off a lien on a trade-in vehicle, consumers may be compensated for any financial loss.

It’s always a relief to be finally rid of a debt – so imagine the shock of discovering that you’re still being held liable for a lien repayment despite having managed to sell or trade the car with that on it. This could be in addition to meeting the payments on another loan you’ve since taken out to finance a new car.

That’s a situation encountered by some of the car buyers who apply to the Compensation Fund administered by OMVIC, Ontario’s Motor Vehicle Sales Regulator.

You're protected by a compensation fund only if you buy from an OMVIC-registered dealer.

Would you like added financial security when buying or leasing a vehicle in Ontario? Then buy from an OMVIC-registered dealer. All consumers have rights under the Motor Vehicle Dealers Act (MVDA) and Consumer Protection Act (CPA) in Ontario, when purchasing a new or used vehicle from an OMVIC-registered dealer. This includes access to a compensation fund if something goes wrong with a vehicle purchase or lease.

To identify an OMVIC-registered dealer, keep an eye out for the blue and yellow decal on dealership doors and windows, ask to see their registration, or use the find a dealer/salesperson search on OMVIC.ca.

Financing is often the most convenient way to pay for a new or used vehicle — but borrowing money to buy a vehicle comes with risks attached. OMVIC, Ontario’s vehicle sales regulator, recommends that consumers do their homework so that they can make an informed decision on finance deals.

“My number one tip is to make sure you that you read and understand your vehicle purchase contract (bill of sale) and your finance agreement, before you sign,” says Tim Hines, Director of Consumer Support at OMVIC. “That begins with an initial disclosure statement for financing, which is often written up on the vehicle’s bill of sale. That initial disclosure statement is important, because it helps...”

 

There's nothing like ringing in the new year with a newly purchased vehicle. Getting that first whiff of the new car smell –it's exhilarating. If you've been dreaming about buying a new or used vehicle, you might want to re-visit your rights during this car-buying season.

Firstly, it’s important to understand that all consumers have rights under the Motor Vehicle Dealers Act and Consumer Protection Act in Ontario when purchasing a new or used vehicle from an OMVIC-registered dealer.

 

Supply chain disruptions, increased global demand and chip shortages have led to a market squeeze and exorbitant price increases in the auto sales market. Demand may be slowing slightly, but many of these issues are still impacting the industry and keeping prices high for consumers.

In its 25 years, the Ontario Motor Vehicle Industry Council (OMVIC) has “never seen a market quite like this” says Tim Hines, director of consumer support.

 

In the motor vehicle sales industry, curbsiders are a well-known problem. They pose as private sellers, pretending to sell a personal motor vehicle, but they are actually in the business of buying and selling vehicles for profit without a professional licence or registration, which is illegal in Ontario.

They might misrepresent themselves and their vehicles — selling used wrecks to unsuspecting customers: concealing accident history, hiding repairs, or tampering with (rolling back) the vehicle's odometer.

 

As interest rates continue to rise, more and more consumers in Ontario are visiting dealers to purchase the vehicle they already have on lease.

Lately, OMVIC’s consumer support team has noticed an uptick in questions from car-buyers about a service or admin fee being added to their lease buyout contracts. So, we wanted to offer some advice.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For many first-time car-buyers, a used vehicle is often their first entry into the market. However, when buying used, it’s important to understand what a dealer must disclose to you on a bill of sale to protect yourself throughout the car-buying process.

The mandatory disclosure requirement is one of the key pillars of protection offered to Ontario consumers who purchase from an OMVIC-registered dealer and is enforced by OMVIC to keep consumers safe. In fact, in June 2021 OMVIC denied a Toronto man named Sai Lu’s re-entry into the motor vehicle sales profession after he ran an illegal, unlicensed side business buying salvaged cars and falsely disclosing their history. Lu leased them to unsuspecting Uber and Lyft drivers...

 

Getting a vehicle loan may seem like a simple way to make buying a car more attainable. However, consumers must do their research before taking on a long-term loan to avoid negative equity and protect their personal finances.

What is negative equity? ...

 

Toronto, ON, Aug. 24, 2021 – A new consumer rights campaign from the Ontario Motor Vehicle Industry Council (OMVIC) is targeting consumers with a focus on millennials buying their first car – a particularly vulnerable group of consumers who have lower awareness of their car-buying rights. Under the tagline “OMVIC.CA – it’s your free ride to a new ride,” the campaign intends to fill this knowledge gap by reaching millennials on platforms they frequent, like streaming services, social media, and connected television...

 

A pair of young adults were arrested in early July after trying to buy cars with a fake driver’s licence at two Niagara-area dealerships. 

Niagara Regional Police nabbed the two over the weekend of July 10, 2021, after staff at a Welland dealership recognized them from a previous police-issued alert to dealerships. The pair had filled in a car-buying application using the bogus ID. 

The dealership called police and told them the sale would not go through. However, they showed up anyway to try and pick up the car. Police were waiting at the showroom and arrested both when they arrived. The two had targeted another dealership in Niagara Falls with the same scheme... 

 

 

With market supply shortages driving automotive prices upwards, entrepreneurs should exercise vigilance when buying a vehicle for work to avoid additional complications for their business.

Compared to other consumers, small business owners are typically more strapped for time when it comes to researching what vehicles to buy...

 

Today’s young adults are research experts when searching for the cars they want to buy, but parents may still need to help them make the right buying decisions, studies suggest.

 

 

 

 

 

 

 

 

 

The UVIP’s final two sections are critical: they indicate whether a lender could repossess your newly bought car. They lay out the final details to transfer the seller’s car into your possession.

The UVIP’s fourth section shows whether the car you want to buy has a lien on it. If a car has a lien, it means the car’s owner has not paid the lender what he owes for the vehicle.

What does this mean for you? If the lienholder still has an interest in the vehicle, they could repossess it.

The fifth section holds the bill of sale which you and the seller sign before taking it to Service Ontario. They will register the car in your name.

Remember: if you buy a car privately, the seller must provide you with the UVIP. It is your responsibility to check for inaccuracies.

The UVIP’s second and third sections offer areas for car-buyers to fall into traps: it’s important to stay informed. Rolled back odometers, fraudulent names and unclear seller locations can lead to trouble.

Our last post explained why consumers buying cars privately should understand the Used Vehicle Information Package (UVIP), a document designed to help buyers learn about a used car’s history. 

There are no consumer protections when buying a car privately: the more you know about the vehicle and the seller, the safer you will be.

This week focuses on the UVIP’s second and third sections: ownership history.

Last month’s blog discussed what car buyers should know if they buy from a registered dealer or a private seller. Buying from a registered dealer offers protections, but buying privately is risky: if something goes wrong with a purchase, OMVIC cannot help.

If you buy privately, protect yourself. Understanding how to read a Used Vehicle Information Package (UVIP) will help you learn more about the car you buy from a private seller. It may help keep you safe from fraud or unsafe vehicles.

This month we discussed what you need to know whether you buy privately or from an OMVIC-Registered dealer. Whichever way you choose to purchase a vehicle, educate yourself and learn about your rights—and risks—involved.

In our December 11^th blog post, we highlighted the protections that come with buying from a registered dealer. We created an infographic for this week’s post to remind you of those rights if you buy from an OMVIC-Registered dealer.

In our December 4^th blog post, we discussed the pros and cons of buying a car privately. Because you don’t get the same protections as buying from an OMVIC-Registered dealer, you should be vigilant.

For this week’s post, we created an infographic reminding you about what to know if you buy from a private seller.

For our final blog post of 2020, we’ll present you with another infographic to remind you of the benefits you get if you decide to buy a car from an OMVIC-Registered dealer.

Last week we discussed how to buy a car privately. This week we explain what you should know if you decide to buy from an OMVIC-Registered dealer.

Who are OMVIC-Registered dealers?

If someone wants to be a dealer or a salesperson in Ontario, they must register with OMVIC. It is the law.

To be eligible for OMVIC registration, dealers and salespeople must undergo background checks. They must pass an automotive law and ethics course covering the Motor Vehicle Dealers Act and the Consumer Protection Act. Georgian College offers courses to help prospective dealers get their license.

Does that mean every Ontario business trading in vehicles is registered with OMVIC?

No. It pays to check.

You have many decisions when purchasing a vehicle, but the first will undoubtedly be whether to buy from a private seller or a registered dealer. How will you know what is best for you?

For this first week of December, we'll review what you need to know before buying a car privately; next week we'll discuss the buying process from an OMVIC Registered dealer. In our final December installment, we'll compare both so you can make an informed decision about which one is best for you.

So, let's start with private sellers.

As Financial Literacy Month wraps up, let’s look at one of the most important steps in buying a car: getting vehicle financing. You've identified the vehicle you want, you've asked all the right questions, you understand how to read a contract: now you need to figure out the best way to pay for your vehicle.

We contacted two experts on vehicle financing, George Iny and John Raymond from the Automobile Protection Agency (APA) to answer some common questions car buyers have.

For the last week of Financial Literacy Month, we’re continuing our discussion on vehicle financing with experts from the Automobile Protection Agency (APA).  We’re looking at two issues: long-term loans and financing a vehicle if you buy a car privately.

The second post in our ongoing Financial Literacy Series for Financial Literacy Month is about negative equity. We answer what you can do to protect yourself against it, how to identify it, and what comes next.

What is Negative Equity in a Car Loan?

The answer to this question is very succinct: Negative equity means owing more for a car than what it’s worth. How you get into negative equity is more complex.

How to Get into Negative Equity

Let's say you decide to buy a car you really like. If you take out a three-year loan, the monthly payments will be very high. If you take out an extended-term loan lasting between six and nine years, the monthly payments become more affordable. However, by the time you pay off your loan, your car’s value will depreciate significantly. If you plan to keep your vehicle for a long time, depreciation may not be a problem. Over time, your needs may change since you made your purchase. You may want to trade it in for another car before you’ve finished paying off the loan, resulting in heavy additional costs. Let’s take a closer look.

It’s Financial Literacy Month! And while Financial Literacy Month in November is always important, this year’s theme of financial literacy in uncertain times really hits home.

If ever there was a time to get smarter about money, it’s now!

Let's kick off the discussion with how to budget for the vehicle you want to buy. Typically, the biggest expense when buying a car is the car itself, but what other expenses should you consider? There are gas and parking of course, but let's look at the additional costs, so you don’t get blindsided later on!

In our final Understanding Contract series, we’ll finish by reviewing two final sections.

Trade-In Description

This section should be filled out if you are trading in a vehicle. It will include your vehicle’s details (e.g. VIN, mileage), the amount the dealer is paying for your old vehicle, and information about any outstanding loan balances.

The Acceptance of Terms

This is the shortest section of a contract, but arguably, the most important. Both you and the dealer will sign here meaning you are legally agreeing to purchase the vehicle based on the contract’s terms.

 

The next section we’ll review is the Basic Vehicle and Options Section. Though short, this is where you will find Optional Extras such as trim packages or other upgrades that might include leather upholstery, heated seats or audio systems. Ensure when you read the contract all additional features you requested on your vehicle are listed.

In the Purchase Price and Payment section of a contract, you can expect to find itemized fees like freight and air conditioning (if you are purchasing a new vehicle), administration (if the dealer charges one) and the OMVIC fee. This is also where you should see your old vehicle's value if you are trading it in.  The terms below are meant to provide a general overview of car contract terminology – the corresponding prices are examples only.  Note: not all terms listed here may be on your contract. Contracts vary depending on whether you’re buying a used or new vehicle.

Vehicle purchase agreements or contracts can be confusing. To help you feel more confident, we will look at each contract section and explain the terms, so you can better understand the document you may agree to sign.

This week, we will focus on the Vehicle Description Section, typically found at the top of a car contract. In the graphic below, each term is numbered so it corresponds with the numbered definition below.

Some 38 per cent of used car-buyers and 46 per cent new-car consumers polled by Ontario’s Vehicle Sales Regulator (OMVIC) said they did not test drive the vehicle before purchase because they were unsure whether vehicle dealerships in the province would have necessary health and safety protocols in place. A salesperson was present in the vehicle for only 16 per cent of test drives.

In August, OMVIC asked the Automobile Protection Association (APA), an independent organization offering car-related resources for consumers, to survey consumers who purchased a vehicle during the pandemic. 

A car buyer contacted OMVIC’s Complaints and Inquiries team to ask about the OMVIC Fee. Can he opt out of the charge? 

Colin: "I bought a new car from an OMVIC-Registered Dealer last week. She charged me $10 for something called the OMVIC Fee. What is it? Could I have not paid it?" 

Recently a consumer named David wrote in to ask,  “I was planning to buy a used car, but my financing didn’t get approved, can I get my deposit back?"
There are two different financing situations that can affect whether or not David can get his money back.

A consumer contacted OMVIC's Complaints and Inquiries team to ask about all-in price advertising and dealer fees.

I recently purchased a used vehicle from an OMVIC-Registered Dealer and he charged me an administrative fee of $199. I questioned this and the dealer said it was a normal charge. I thought dealers couldn’t add fees. Doesn't this violate all-in-price advertising?

How has COVID-19 changed test drives? Is a deposit required?

This week, OMVIC’s Complaints and Enquiries team answer consumer questions about test drives.

Note: COVID-19 has changed test drives at many dealerships. If going to the dealership for a test drive makes you uncomfortable, research the alternatives.

Thanks to technology, driver assistance has grown by leaps and bounds. It keeps us safe, helps us park, saves fuel and even lowers emissions. But what happens when smart technology backfires? Who do you call? Who can help?

The following question from a consumer illustrates what can go wrong when a car has a defect and the dealership can’t fix it and the consumer doesn’t know where to turn. 

Buying a vehicle, whether new or used, can be confusing—perhaps even intimidating. And while the thought of acquiring a new vehicle is exciting, the process can be stressful. So if potential car buyers feel unprepared,The OMVIC Academy will  ensure they become confident and informed.

OMVIC's Complaints and Inquiries team get a range of car-buying questions. Because they know consumer protection legislation inside and out, they can answer your queries or direct you to the correct department. 

Here are two questions the team received last week about the importance of getting what you want from a dealer in writing.

OMVIC makes information about dealers and salespeople who have been charged public in an effort to fulfill its mandate of consumer protection and industry professionalism.  We are sharing the Ontario Provincial Police's news release about an ongoing investigation of a former OMVIC registrant.

While data from Léger, Deloitte and Angus Reid shows 1 in 2 Canadians are worried making in-person purchases and nearly 1 in 3 unwilling to make a large purchase, Ontario’s Motor Vehicle Sales Regulator, OMVIC, wants consumers who are in the market for a vehicle to know that they can safely buy from registered dealers. These businesses have stringent health and safety protocols in place to protect staff and consumers.
Most of the province’s more than 8,000 registered dealerships are fully up and running, following workplace health guidelines mandated by the Ontario government. 

 Taking delivery of a new car is exciting and emotional, but as emotional as it is, you must do your best to stay grounded and take the necessary steps to make sure your purchase goes smoothly.

By law, anyone who trades in vehicles in Ontario must be registered with OMVIC, Ontario’s vehicle sales regulator—that’s every car dealer and salesperson.

We know that not everyone is going to buy a vehicle from an OMVIC-Registered dealer—some may choose to buy from a private seller—but buying from a registered dealer is ‘the safer way’ because of what you're legally entitled to.

If you’re looking to purchase a late model used vehicle, chances are you’ve checked out some of the online auto marketplaces such as Kijiji, AutoTRADER or others. While there are a lot of legitimate vehicles available through these sites, there are also online scams you should watch out for.

The best way to protect yourself against scams is to educate yourself, ask lots of questions, and learn to recognize red flags.

 

Did you know that in addition to cars, light trucks and RVs, OMVIC also regulates motorcycle sales?

If you’re considering hugging the curb and embracing clear blue skies this summer,  getting acquainted with your rights as a motorcycle-buyer is a very good start.

 

Few among us can buy a car with little preparation. For most, purchasing a vehicle is a sizable investment that demands significant research. Before deciding on which vehicle best suits your lifestyle and budget, you should know what your rights are.

OMVIC’s website is chock full of useful information to help you learn your rights, whether you plan on buying a vehicle from an OMVIC-Registered Dealer or a private seller. But why not get your feet wet first with a few questions from our interactive car-buying quiz? Test drive your car-buying smarts before you start perusing ads or visiting dealerships.

The plaintive cry of a loon. The echoing rumble of an approaching storm. The shrill mating call of a cicada. The exasperated (and annoying) whine of three backseaters wanting to know “are we there yet?” Ahh, the heartwarming sounds of a Canadian summer. As Canadians, we cram as much into our short summers as possible; and we love our summer toys. We ATV. We camp. We boat. And why? Cuz there’s no wifi ‘out there,' but the connection is unforgettable.

Now a skeptic might define camping as a vacation where you spend a fortune to live like a pauper; but true believers know, campers have s’more fun. But putting those wonderful graham cracker, toasted marshmallow, melting chocolate campfire delicacies aside, if truth be told, camping or boating can be expensive – very expensive.

 

Vehicles that would have been completely unaffordable two decades ago are now financially accessible. Many consumers can buy the car of their dreams, with no money down, for a monthly, bi-weekly (or even daily) payment that has somehow become “affordable.” But how? Did cars get cheaper? Are we all significantly wealthier? Or is something else at play?

 

Whether you choose to lease or purchase your next new vehicle, it’s crucial to make an informed and educated decision. Failing to do adequate research BEFORE your lease or purchase can have considerable financial implications. So if you’re considering leasing a new vehicle, ensure you understand how leasing works and decide if it’s right for you…

What is a Lease?

A lease is a long-term car rental since you’re only paying for part of the cost of the vehicle; you don’t actually own the vehicle unless you decide to pay the remaining amount at the end of the lease term. This remaining amount is called the “residual value.” Lease agreements are for a specific duration (typically 24-60 months) with a set monthly payment. Leasing is available for new and used cars.

 

Educating consumers on their car-buying rights is an integral part of OMVIC’s mandate. OMVIC believes that an informed consumer is a protected consumer. With our educational resources available online, consumers can improve their consumer confidence while staying safely at home.

 

Following the reopening of auto dealerships in the province, (by appointment only), Ontario’s Vehicle Sales Regulator, OMVIC has released a comprehensive COVID-19 Crisis Guidelines: Guidelines for Dealership Sales Operations to help motor vehicle dealers operate while protecting the health and well-being of their employees, customers and the public.

The framework for OMVIC’s guidelines came from the industry-specific recommendations created by the province, and its public health agencies.

 

Although there is much uncertainty in the marketplace these days, one thing remains the same: the more informed you are about your consumer rights, the better off you will be when the time comes to buy a car. 

As Ontario Vehicle Sales Regulator, OMVIC has a mandate to protect and educate consumers. We do this in several ways including offering free car-buying seminars to school or community groups in Ontario.

 

 

As the current health crisis continues to evolve, some consumers have reached out to us with questions on navigating the changing marketplace. We’re featuring two questions related to COVID-19 on this week’s blog. 

I purchased a car on Friday from a relative and now I’m wondering how I would go about registering the car and paying taxes during the pandemic. 

Private sales still need to be completed through Service Ontario. They have a list of locations on their website indicating which ones are open. 
OMVIC has a lot of great resources including checklists, videos and tips for anyone interested in buying a car privately. Visit Tips for Buying Privately to learn more.

 

Pandemic or not, life happens.

Normally, when a consumer wants to buy a car, Ontario’s Vehicle Sales Regulator, OMVIC ‘s recommendation would be that they make an informed choice, whether that is buying privately or buying from a registered dealer. Should consumers opt to go the private sales route, they should know that they are forgoing the consumer protections available to them when they buy from a registered dealer.

But, on April 4, in response to preventing the spread of COVID-19, the Ontario government reduced the list of essential workplaces that can remain open. As a result, motor vehicle dealers’ showrooms across the province were ordered to close until further notice. Though many dealers in Ontario are able to sell vehicles online, not all dealers have the capability and resources at this time to do so.

 

COVID-19 has changed life for all of us, staying in is the new normal and much of our contact is virtual. For car-buyers, this means researching, and potentially completing the entire vehicle-purchase process,  online or remotely. Because this trend is growing in popularity, OMVIC has added resources to its website so that car-buyers can be informed and protected.

 4/14/2020

Message from John Carmichael, OMVIC CEO and Registrar

COVID-19 is an unprecedented crisis for our stakeholders– dealers, salespeople and consumers – and for Ontarians and the world. OMVIC is committed to the health and safety of its staff and its stakeholders. OMVIC will continue to operate from remote sites and work with its stakeholders in these challenging times. While some service levels have been impacted, OMVIC remains committed to maintaining a fair and informed marketplace by protecting the rights of consumers and ensuring fair, honest and open competition for registered motor vehicle dealers during these challenging times.

The impact of COVID-19 will require all of us to adapt and have flexibility with what lies ahead. I have no doubt that we will be successful in facing these challenges.

When Thaya Gengatharan, OMVIC’s Director of Registration, received a detailed questionnaire from the Women & Automotive Leadership Forum some weeks ago, she assumed it was some sort of feedback survey.

She filled it in and then forgot all about it.

It wasn’t until people dropped by her offices to congratulate her that Gengatharan realized she was one of the recipients the 2020 Women & Automotive Leadership Award.

Each year, Cherokee Media, publisher of the AutoRemarketing Canada magazine, selects and honours accomplished women who work in the Canadian automotive sector and are leaders.

 

An Oakville dealership and four of its staff were fined a total of $21,500 for breaching the Motor Vehicle Dealers Act (MVDA) Code of Ethics.
Oakville Chrysler Jeep Dodge Ram Ltd., Reg Nimeck, Gordon Nimeck, Andrew De Clavasio and Camillio Comparone were disciplined by OMVIC, Ontario’s vehicle sales regulator, for failing to comply with Ontario’s all-in price advertising regulation.

 

A Toronto General Motors (GM) dealership, Dean Myers Chevrolet Ltd., and 1125278 Ontario Limited, o/a Dealerwerx Leasing, both located at 3180 Dufferin St., North York, have currently closed their doors after the appointment of a receiver, Deloitte Restructuring Inc. (Deloitte), by the Ontario Superior Court of Justice. The application for appointing a receiver was made by the Royal Bank of Canada.

 

When it comes to buying a vehicle in Ontario, it is crucial consumers do their research before making a purchase. Whether buying from a private seller or an OMVIC-Registered Dealer, homework will help prepare consumers to buy a car.

 

 

From time to time, we feature a consumer question on the OMVIC blog, like this one, “If I sell a car by myself, or put it on Kijiji, does that make me a curbsider?

The simple answer is no—selling a car does not automatically make someone a curbsider. Anyone is entitled to sell his or her personal vehicle—that is, a vehicle that was purchased and owned for personal, family or household use. Curbsiders are in the business of selling cars. While they usually pose as private sellers, they buy cars, not for personal use, but to resell.

 

Red roses, chocolate hearts, intimate dinners—it’s the clichéd, yet still wonderfully sentimental view of Valentine’s Day. But not all lovers are so lucky; in fact Valentine’s Day break ups have become de rigueur, ranking just behind spring break splits and the period “two weeks before” Christmas. WikiHow even has an eight step guide on “How to Break up With Someone on Valentine’s Day.”

It happens; not all relationships are built to last. Our love wanes. We grow bored. New models tempt us with exciting features, better handling, firmer suspensions; it’s irresistible. Yes, there’s nothing quite like the stimulating, even obsessive, love affair…with a new car. But how do you “break up” with your old ride?

 

So, you think you've found a nice used car. No accidents, good price…and only 131,000 kms. Roxy (not her real name) thought so too. Which is why in early 2019 she contacted the private seller and paid him $5,400 for the car. 

Unfortunately, the seller turned out to be a curbsider, an illegal, unlicensed dealer posing as a private seller, and the car—well, apparently it had discovered the fountain of youth, because it actually had more than 230,000 kms on it. 

Curbsiders often sell vehicles that are undisclosed rebuilt wrecks or odometer-tampered,” said John Carmichael, CEO and interim Registrar of OMVIC, Ontario’s vehicle sales regulator.  "And we have recently seen a significant uptick in the number of vehicles with rolled-back odometers sold by curbsiders.

 

Consumers with car-buying or OMVIC related questions are encouraged to reach out to OMVIC’s Complaints and Inquiries team via email (consumers@omvic.on.ca) or phone 1-800-943-6002 ext.3942. However, consumers don’t have to wait until they buy a car to get in touch. In fact, sometimes the questions aren’t even about buying a car, like this one last week: 
“Would I be allowed to take the OMVIC Certification Course only for general education purposes?”

 

Falsifying documents and failing to disclose significant accident histories of vehicles sold has resulted in a Newmarket car dealer having his licence suspended for 120 days. 

Ontario’s Vehicle Sales Regulator, OMVIC, issued a Proposal to Revoke the registration of Premium Cars Wholesale Ltd., 17065 Yonge St., Newmarket, after receiving serious complaints from numerous consumers and one dealer. Premium appealed the proposal to the Licence Appeal Tribunal, LAT, which, after a ten-day hearing, ordered the suspension.

 

Everybody has their own list of concerns when it comes to buying a car. These concerns can be as specific as whether the car colour comes in a matte or, if you’re buying used, how many owners the vehicle has had. OMVIC suggests you start a conversation with the dealer to determine whether the vehicle you’re interested in will be a worthy investment.

 

OMVIC received this question from Cathy, a consumer, who purchased a used vehicle from an OMVIC-registered dealer.

"I bought a used car. Had the car for one day and noticed the coolant was low, only to find out the coolant was leaking into the motor. What right do I have as a consumer?" Cathy.

 

Let’s cast one final look back at 2019 before it disappears from the rearview mirror forever!

As we head boldly into an exciting new decade, remember that when it comes to buying a car in Ontario, OMVIC’s commitment to your consumer protection and education remains as steadfast as ever.

 

Thinking about decking the driveway with a new set of wheels this holiday season? Before you go dashing all the way to the dealership or checking out the nice and naughty list in the online car classifieds, find out if you’re a Dasher or a Blitzen! Take OMVIC’s ‘smart’ car buyer quiz to find out.

 

Ah December, the holidays are here and a new year looms.

There’s a spirited hustle and bustle unmatched by any other season…. but then comes the rest of the interminably long, dark, soul-sapping winter. We graupel (that’s a pun, not a typo btw) with blizzards, white-outs, treacherous driving, Vitamin D deficiency; and, the excitement that led up to the holidays is replaced by a pining for spring…. a spring that seems an eternity away. Our coping skills are put to a frosty test.

 

If you’re looking to purchase a late model used car or truck, chances are you’ve checked out some of the online auto marketplaces such as Kijiji, AutoTRADER or others. While there are a lot of legitimate vehicles available through these sites, there are also online scams you should watch out for.

The best way to protect yourself against scams is to educate yourself, ask lots of questions, and learn to recognize red flags.

 

How did Black Friday — the day of mega-amazing colossal unbelievable can’t-be-beat blow-out sales signifying the unofficial start of the Christmas shopping season — get its name? Some would say Black Friday marks the point many retailers turn a profit for the year, going from being “in the red” to being “in the black.” The more cynical among us might argue it’s consumerism run amok and a black mark on our society.  Though the origins of the name may be debatable, the lure of Black Friday is undeniable.

 

As consumers, we pay attention to brands. Brands tell us the quality and reputation of a product. The same can be said of Ontario’s mandatory branding program for vehicles.

Knowing what each brand means: Irreparable, Salvaged, Rebuilt and None will help to make an informed decision when it’s time to purchase a used vehicle and will also help to determine whether this is indeed a car you’d like to buy.

This Friday, November 15^th to Sunday, November 17^th, OMVIC will join over 500 exhibitors and 30,000 attendees for the 18^th annual National Women’s Show in downtown Toronto at the Metro Toronto Convention Centre.

There are some things which should last forever, like love, or a diamond ring, but a car payment is not one of them. Yet forever is how long it might feel if you take out an extended-term loan (e.g. 96 months), without educating yourself on the perils of negative equity—owing more for a car than it is worth.To avoid the pitfalls of an extended-term loan, consumers need to educate themselves and be honest about their needs and car-buying habits.

At two a.m. on Sunday, November 3rd, Daylight Savings Time will officially end. We mark this event by turning our clocks back and getting in one more hour of sleep.

Only Daylight Savings Time–and of course, Cher–can turn back time, but there is a nefarious group who also tries to do it: curbsiders– illegal, unlicensed vehicle dealers who roll back odometers to increase the value of the vehicles they’re selling. 

As adults, little is as exciting and yet equally fearful as the Halloweens of our childhood…with perhaps one exception—buying a car. In that acquisition, many of us steel ourselves with the same heightened sense of “prepare for anything” as a nine-year-old on Halloween. Our fight-or-flight response is awakened; because this is, for most, a large purchase; it can be scary, and no one wants to get stuck with a lemon.

OMVIC, Ontario’s vehicle sales regulator, has ordered the immediate suspension of Hudson’s Fine Cars Inc., 3715 Keele St., Unit: 15 & 16, Toronto, and of the dealership’s  officer and director, Hamid Valizadeh. As a result, Hudson’s Fine Cars Inc. and Hamid Valizadeh cannot legally sell, lease, buy or consign vehicles.

In conjunction with the Suspension Order, a Proposal to Revoke the Registration of Hudson’s Fine Cars Inc., and Hamid Valizadeh, has also been issued.

OMVIC, Ontario’s vehicle sales regulator, has ordered the immediate suspension of 1833111 ONTARIO Inc., operating as Autoshow Orillia 2011, located at 454 West St. South, Orillia and of the dealership’s officer and director, Chadwick McIntyre.  As a result, McIntyre and Autoshow Orillia 2011 cannot legally sell, lease, buy or consign motor vehicles.

In conjunction with the Suspension Order, a Proposal to Revoke the Registrations of McIntyre, Autoshow Orillia 2011 and the dealership’s one salesperson has also been issued.

Whether you’re buying your first or twenty-first car, read up!

Just started college and need your own set of wheels? Embarking on a new job that requires having reliable transportation? Or maybe you’re a car-buying veteran and think you’ve got vehicle acquisition down pat - which by the way, research has shown to be unlikely. When it comes to dropping tens of thousands of dollars on a new vehicle, whether you’re a freshman or a senior, it’s a good idea to do your homework before heading to the dealership.

 Taking delivery of a new car is exciting and emotional, but as emotional as it is, you must do your best to stay grounded and take the necessary steps to make sure your purchase goes smoothly. Here are seven steps to help you.

To Steven Byrd, the pursuit of excellence has always been a team effort. 

Did you know that protections granted to consumers under the Consumer Protection Act (CPA) cannot be nullified in a contract? Ontario’s CPA is THE LAW. Read on to learn about the protections available to consumers under the CPA if a dealer commits an unfair business practice.
The CPA applies to most Ontario businesses including car dealerships. Under the CPA there are two types of unfair business practices: false, misleading or deceptive representations; and unconscionable representations. Consumers who face an unfair business practice may be entitled to cancellation of their contract for up to one year from the date of contract signing. 

 

Because of their low price, rental vehicles may seem like an attractive offer to a car-buyer. While there are a number of perks, there are also some potential drawbacks that consumers need to be aware of. 

Last month, Sharon and Christine (not their real names), went car-shopping. The pair visited dealerships in Sudbury and Sault Ste. Marie that had vehicles advertised online. 

But Sharon and Christine were not your average car-buying consumers: they were mystery shoppers and employees of Ontario’s vehicle sales regulator — (Ontario Motor Vehicle Industry Council). Their mission was simple: to ensure dealers and salespeople were in compliance with the all-in-price advertising provisions of Ontario’s Motor Vehicle Dealers Act (MVDA).

As a result of charges laid by OMVIC, Ontario’s Vehicle Sales Regulator, a Windsor auto repair business and its owner, received significant fines for illegal vehicle sales.

Recently, OMVIC received this question: “I was planning to buy a used car, but my financing didn’t get approved, can I get my deposit back?"

Let’s assume that the person who wrote this question, signed a contract and the dealer was to arrange financing.

When it comes to buying a car in Ontario, the majority of consumer/dealer interactions take place without a hitch, but when a transaction hits a pothole, consumers in Ontario can request advice or help from an OMVIC Complaint Handler.

But before filing a formal complaint with OMVIC, the regulator recommends consumers engage in the 2-step process mentioned below.

By law, anyone who trades in vehicles in Ontario must be registered with OMVIC, Ontario’s vehicle sales regulator—that’s every car dealer and salesperson.

We know that not everyone is going to buy a vehicle from an OMVIC-Registered dealer—some may choose to buy from a private seller—but buying from a registered dealer is ‘the safer way’ because of what you're legally entitled to.

Did you know that OMVIC regulates motorcycle sales as well as car, RV and light truck sales?

If you’re considering hugging the curb and embracing clear blue skies this summer, then getting acquainted with your rights as a motorcycle-buyer is a very good start.

Each day, OMVIC staff field calls and emails from car and motorcycle buyers seeking clarity on their rights as a consumer. As a motorcycle-buying consumer, you have certain rights.

Few among us can buy a car with little preparation. For most, purchasing a vehicle is a sizable investment that demands significant research. Before deciding on which vehicle best suits your lifestyle and budget, you should know what your rights are.

The majority of consumers borrow money for a vehicle purchase. Some choose to use a personal line of credit or arrange financing at their bank or credit union, but many have the dealer arrange the financing. This often makes sense—dealers have access to numerous lenders that may provide terms or rates unavailable elsewhere. But this doesn’t mean consumers shouldn’t carefully consider what is being offered and take steps to ensure they are getting the best possible finance rate and terms.

Although buying a car can be intimidating, learning your car-buying rights is one of the best ways to squash your fears. As part of OMVIC’s mandate to protect and educate consumers, OMVIC offers free seminars to Ontario residents looking to improve their car-buying knowledge.

We’ve all heard the saying that geniuses are made not born. Child prodigies aside, genius is not innate; it’s the result of hard work, studying and applying what you’ve learned.

The same can be said of confident car-buyers.

And how does one become confident?

Easy. Enroll at the OMVIC Academy! Comprising five videos and featuring a car-buying guide, the OMVIC Academy was created to help consumers become smart, informed and yes—confident in their next car-buying experience.

Canada’s largest, outdoor student-run auto show returns this weekend! The Georgian College Auto Show, organized and staffed by students of the Automotive Business School of Canada, will take place on the Barrie Campus from May 31^st to June 2^nd and OMVIC will be there!

"I have a few questions about my vehicle purchase agreement."

All shoppers know the checkout drill, you hand over your money, your goods are packaged and then the cashier tells you by rote, “You have 10 days to return or exchange, as long as you have the receipt.” You nod--you probably won’t return your purchase, but it’s nice to know that you could. You walk out the door, and live your life. So here’s a question. When you sign a contract to buy a car from a dealer, there is,

a.       A 24 hour cooling-off period

b.       A 48 hour cooling-off period

c.       A 10 day cooling-off period

d.       No cooling-off period

Did you know that damage to a vehicle caused by flood waters can be difficult to spot and can sometimes take months to show up?

A flood-damaged vehicle can be dangerous

Flood damage can cause corrosion inside a vehicle’s sensitive electronics or safety components. The results could be catastrophic: air bags could fail to deploy; engines could shut off at highway speeds or steering could fail—flood damaged vehicles are not safe for the road. If you’re shopping for a used vehicle, it’s imperative that you learn to spot the signs of flood damage.