April 26, 2016

Minimum Warranties Protect Car Buyers

If the power-train of a recently purchased vehicle fails, consumers have new warranty protections to help them get repairs or a refund.

The Financial and Consumer Affairs Authority (FCAA) wants car buyers to know about minimum warranties offered under the new Vehicle Dealer Regulations under The Consumer Protection and Business Practices Act (CPBPA).  The minimum warranty is designed to protect consumers from getting stuck with a junk vehicle or significant repairs shortly after purchasing it.

The power train warranty covers all vehicles with less than 200,000 kilometres, sold by a licensed dealer, for 30 days or 1,000 kilometres, whichever comes first.  If any component of the power train fails during the warranty period, the purchaser can choose to have it repaired or require the purchase price be returned.  If repairs are to be made, the dealer may only require the consumer to pay a maximum of $200 toward the cost of the repairs.

The new minimum warranty requirements do not apply if the consumer misused the vehicle or the defect was brought to the buyer’s attention in writing before the purchase was made.  Dealers are required by the new regulations to disclose all reasonably knowable facts about a vehicle’s condition and history before a sale is made.

Having all the facts helps consumers make better decisions when it comes to buying a vehicle.

Buy From a Licensed Dealer
The FCAA encourages all consumers to purchase vehicles from licensed dealers.  The new minimum warranty requirements do not apply to private sales.  Consumers have greater protections when buying from a licensed dealer.

To ensure consumers are buying from a licensed dealer, they should ask for a licence number and confirm it is valid on www.fcaa.gov.sk.ca/fcaa411/.

More info is available at www.fcaa.gov.sk.ca/min-warranty.

Contact FCAA
If consumers have questions about minimum warranties or have a dispute with a licensed dealer, they can contact the Consumer Protection Division toll free at 1-877-880-5550 or by email at [email protected].