When buying any car in Israel, one
has to be careful. When buying a used car, one should be exceptionally
careful. On this page you will find a list of the minimum requirements
to guarantee a positive outcome when purchasing a car in good condition
and most importantly, a car with no legal problems.
These recommendations are based on
experience and legal expertise. Be aware that this list cannot
completely guard you against car fraud or other problems.
Step One: Making the Right Decision
Decide on the type of car that you want to buy based on your real needs. Do not be influenced by the seller.
Some of your considerations should include:
- How many years do you plan on keeping the car?
- How many people will be regular passengers?
- What is the cost of insuring the car?
- What is the cost of the annual registration fee?
Step Two: The Price
The list price of a used car can be
found on the price list put out by Yitzchak Levy. These prices are only
a recommendation and there you are under no obligation to accept then.
The price is based, among other things, on the mileage, age of the car,
the amount of previous owners, accidents, etc.
All these factors are converted into
a percentage of the original price of the car and can be found on a
separate page in Levy`s price list. Please note: There are many cases
in which there is a considerable gap between the value of the car in
the open market and the price quoted on Yitzchak Levy`s price list.
Step Three: The Parties Involved
The seller should be the legal owner
of the car. This can be checked by asking for his Teudat Zehut
(Identity Card). If he is not the same person but only a proxy
(authorized agent), you must check on his power of attorney which
authorizes him to sell the car in the owner’s name. If this is the
case, it is important to find out what the relationship is between him
and the owner. It is always preferable to meet the actual owner of the
car to verify that he really does want to sell the car.
Step Four: The Car Involved
Don`t be afraid to spend money to
have the car properly inspected. There are authorized "car institutes"
in all major cities. A list is available at:
https://www.mycar.co.il/test/list/.
If there is a discrepancy between what is written on the car license and what is found by the institute, DO NOT BUY THE CAR!
Step Five: The Car and Its Legal Aspects
In order to obtain information from
the Ministry of Transpiration regarding a car, you must have in your
possession the owner`s ID and power of attorney, your ID and the papers
of the car.
Please note; if there is any legal
problem involved in the transfer of ownership, it will not be possible
to complete the transaction at the post office. In addition, you cannot
completely rely on the information given at the post office concerning
legal aspects of the car. Although the best place to receive this
information is from the Ministry of Transportation, even there, crucial
information may not be available. In case of doubt, especially when
buying an expensive car, we strongly recommend consulting with a
professional legal expert.
Step Six: Payment and Transfer of Ownership
Before paying the full amount (you
will be requested to pay in cash), sign a short agreement/contract
stating, at minimum, the points noted below:
- The exact date and hour you received the car
- The mileage
- The price
- Address and ID numbers of parties involved. Make a copy of the ID.
- The general condition of the car
- A
statement if the car chassis was damaged (in this case, a different
procedure for buying the car is involved, please consult an expert)
The obligation of the transfer is on
the seller and he is the one required to pay any outstanding fees. Even
so, it is very important to go together with the seller and finalize
the transfer together.
Keep a copy of this agreement/contract and all documents of the purchase, including the documentation from the Car Institute.
Step Seven: The Insurance
The moment the transaction is finalized, the insurance previously issued for this car is automatically canceled. Call any insurance agent. In most cases, insurance can be issued over the phone (using a credit card) in just a few minutes.
No person can transfer or sell the
existing insurance without a written and specific consent of the
insurer (not the insurance agent).
Step Eight: General Precautions
Look for Forged Papers (almost impossible to recognize). Use common sense.
Do not purchase a car from a seller
if all you have is his mobile phone number. Obtain his ID number, home
phone number and address.
If the car you are purchasing was recently purchased by the seller himself – be careful, something could be wrong.
If the car looks much "older or used" than the mileage shown, be careful, something could be wrong.
Step Nine: Enjoy!
Now that you are the proud owner of your own car, remember how dangerous the roads in Israel are. Drive safely and Mazal Tov!
Step Ten:
Remember! The above is not a contract or legal advice per se. It is just suggestions based on my experience in the field.