Buying and Selling a Used Vehicle in Ontario
Over one million used vehicles change ownership in Ontario each year. To help consumers make better-informed decisions, the Ontario Government introduced the Used Vehicle Information Program. Co-ordinated by the ministries of Consumer and Business Services, Transportation and Finance, the program helps buyers and sellers of used vehicles understand their rights and responsibilities.
What is a Used Vehicle Information Package?
The package, which the seller must show to potential buyers, costs $20.00 and includes the following:
- Description of the vehicle
- Ontario vehicle registration history
- Odometer Information
- If there are any liens registered against the vehicle
- Wholesale and retail values for the vehicle's model and year (on which the minimum tax payable may apply), if available
- Retail sales tax requirements
- Bill of sale
- Other information such as consumer tips on vehicle safety standards inspections
Note: To obtain a Used Vehicle Information Package, the plate number, vehicle identification number, make, model, and year of the vehicle are required.
Order a Used Vehicle Information Package online at
ServiceOntario Driver and Vehicle Online Services
Selling a Used Vehicle
Used Vehicle Information Package
If you're selling a used vehicle privately in Ontario, you must buy a Used Vehicle Information Package (UVIP). Make it available to all prospective buyers and give it to the buyer at the time of sale. This applies to the private sale of any car, van, light truck (gross weight of 3,000 kilograms or less), motor home or motorcycle. The cost of the UVIP is $20.
The following vehicles are exempt from the UVIP requirement:
- Vehicles weighing more than 3,000 kilograms (except self-propelled motor homes)
- Trailers
- Motor assisted bicycles (mopeds)
- Snow vehicles
- Off-road vehicles
- Regular buses
- School buses
To purchase a Used Vehicle Information Package:
- Use the ServiceOntario Driver and Vehicle Online Services;
- Visit any of approximately 300 Driver and Vehicle Licence Issuing Offices across Ontario, ServiceOntario Kiosks or the Ministry of Consumer and Business Services, Companies and Personal Property Security Branch, 375 University Avenue, 2nd Floor, Toronto;
- Write the Ministry of Consumer and Business Services, Personal Property Security Registration Branch, UVIP Section, P.O. Box 21100, Station A, Toronto, Ontario M5W 1W6; or
- Call the Ministry of Consumer and Business Services at 1-800-267-8847 (416-325-8847 in Toronto) or to access Telephone Device for the Deaf service call 1-800-461-8866 (416-326-8866 in Toronto). VISA, MasterCard and American Express are accepted. When ordering by mail, be sure to include the name, number and expiry date of your credit card.
Effective January 1, 2005, all personal cheques must be certified unless payment is sent by mail.
The package includes important information about a vehicle's Ontario registration, lien record and odometer reading, as well as information regarding retail sales tax. Be sure you read all the information included in the package and show it to anyone interested in buying your vehicle.
Once you've found a buyer, use the bill of sale portion of the UVIP to record your name and signature, as well as the date and purchase price. It's the buyer's responsibility to take the package to a Driver and Vehicle Licence Issuing Office to register as the new owner within six days of the sale and to pay retail sales tax on the vehicle.
Registration Permit
In addition to the UVIP, you must also complete and sign the Application for Transfer located on the reverse side of the "vehicle portion" of the registration permit and give it to the buyer. Keep the "plate portion" for your own use. You'll need it if you decide to put your licence plates on another vehicle.
Licence Plates
Ontario has a plate-to-owner registration system. This means that the licence plates for your vehicle stay with you, not the vehicle. When you sell or change vehicles, remove your plates and keep them for your next vehicle. Before attaching your plates to another vehicle, be sure to visit a Driver and Vehicle Licence Issuing Office to advise staff of any such changes. If you don't intend to get another vehicle you can hand them in at any Driver and Vehicle Licence Issuing Office for cancellation. If your plates have not expired, you may apply for a refund for any full unexpired months of plate validation. An administration fee of $5.00 is charged to process each refund.
A Seller's Checklist:
- Verify that the Vehicle Identification Number on your vehicle matches the Vehicle Identification Number on your vehicle permit. If it does not, please have this corrected prior to selling your vehicle. For further information, please contact the ministry's Driver and Vehicle Licensing Call Centre at (416) 235-2999, or toll free (Canada Wide) 1-800-387-3445.
- Buy a UVIP and read it carefully to make sure that the information about your vehicle is correct.
- Show the UVIP to any interested buyers.
- When a buyer is found, sign the bill of sale portion of the UVIP and record the date and selling price.
- Complete and sign the Application for Transfer located on the reverse side of the "vehicle portion" of the registration permit.
- Give the entire UVIP and the "vehicle portion" of the registration permit to the buyer.
- Keep the "plate portion" of the registration permit for your own use.
- Remove your licence plates and any personal items from the vehicle.
Buying a Used Vehicle
What to Look For
Good used vehicles are in demand. With careful shopping, some research and a little common sense, you should be able to find a vehicle that will fit your needs.
To begin, always inspect a vehicle in the daylight. Kicking the tires isn't enough. Check carefully for excessive wear of the interior upholstery, the seats, even the brake and accelerator pedals. New pedals may indicate a lot of use. Look closely at the exterior. Ripples on the body of a vehicle suggest that body work has been done and that the vehicle could have been in an accident.
Take the vehicle for a road test that allows driving at different speeds on different road conditions. This will help evaluate the performance of the steering, brakes, shock absorbers and front-end alignment.
Don't let yourself be blinded by the reputation of a particular make or model. Even a well-made vehicle can deteriorate if it's not maintained properly.
Ask about the vehicle's accident history and request a written statement that summarizes accident information.
Take the vehicle to your mechanic or to a diagnostic centre for a check-up before finalizing the purchase.
Signs of Trouble
- Steering that pulls the vehicle to one side can mean alignment problems in the future.
- Squealing brakes under normal operation can mean excessive wear or improper adjustment.
- Blue smoke coming from the tail pipe can mean costly engine repairs are necessary.
- Lack of control during cornering at normal speeds or an excessively bouncy ride can mean steering linkage problems and/or worn-out shock absorbers.
Check the Odometer
An average vehicle accumulates 16,000 to 20,000 kilometres per year. You should be cautious if the vehicle shows particularly low kilometres for its age, or if the signs of wear are not consistent with the vehicle's odometer reading. If you believe the odometer has been tampered with, report it to the police. Odometer tampering is a criminal offence.
Ask for the Used Vehicle Information Package
Before you make a decision to buy the vehicle ask to see the seller's UVIP. Read it carefully to see if there are any outstanding liens registered against the vehicle, if there is anything in the vehicle's registration history that might cause concern and if the name of the person selling the vehicle is the same as the name on the registration. The UVIP also shows the vehicle's odometer reading that was last provided to the Ministry.
When the transaction has been completed, it's the buyer's responsibility to take the UVIP to a Driver and Vehicle Licence Issuing Office to register as the new owner within six days of the sale. At that time, the buyer must pay retail sales tax on the vehicle. The amount of retail sales tax to be paid is based on the purchase price or the wholesale value calculated at the time of transfer, whichever is more.
Wholesale Value
The wholesale value is based on the
Canadian Red Book, which lists the wholesale and retail values of used vehicles. These values will be printed on the UVIP. Values may change from the date the package is issued to the date of transfer. The wholesale and retail values are based on average amounts paid for vehicles of the same year, make and model. They do not take into account optional equipment, vehicle condition or the number of kilometres driven. The
Canadian Red Book is an accepted industry standard used by car dealers, insurance companies and other provincial governments.
Red Book values may not apply to some vehicles. In these cases, retail sales tax will be based on the purchase price only.
A Buyer's Checklist:
- Verify that the Vehicle Identification Number on the vehicle matches the Vehicle Identification Number on the vehicle permit. If it does not, please ensure that this is corrected prior to taking possession of the vehicle. For further information, please contact the ministry's Driver and Vehicle Licensing Call Centre at (416) 235-2999 or toll free (Canada Wide) 1-800-387-3445.
- Vehicle permit with the Application for Transfer on the reverse of the vehicle portion of the permit fully completed
- Bill of sale
- Plate portion of the vehicle permit (if attaching your plate to vehicle)
- Payment of Retail Sales Tax on the greater of the wholesale value (from UVIP) or purchase price from the bill of sale. Please note that for a passenger and light commercial vehicle (2200kg and under empty weight) 20 years or older, the Retail Sales Tax is payable on the greater one of the following:
- the purchase price
- the replacement value for insurance purposes, or
- the appraised value.
An appraisal document or insurance document showing the value of the vehicle must accompany the bill of sale.
- Used Vehicle Information Package (private sales only)
- Proof of Insurance (if the vehicle is to be plated)
- Odometer Information for passenger vehicles, light commercial vehicles (3000kg or less and for personal and business use only) and buses (non prorate. Heavy commercial vehicles, motorcycles, trailers, off-road vehicles, snowmobiles and mopeds are exempt from the odometer information requirement.
- Payment of licensing / registration fees
- Safety Standards Certificate (if the vehicle is to be registered as fit or plated.) (See "Safety Standards Certificate" below)
- Vehicle emissions pass report (if vehicle is registered in Drive Clean program area)
- Proof of identity for applicant who has never registered a plate or vehicle with this ministry
See also: Consumer Tips - How to Avoid Unknowingly Buying a Flood Damaged Vehicle
Other Vehicle Transfers
There are many other circumstances under which a vehicle transfer will be required. For further information please complete our online
feedback form, or contact the Driver and Vehicle Licensing Call Centre at 416-235-2999 or toll free at 1-800-387-3445.
Safety Standards Certificate
A Safety Standards Certificate (S.S.C.) is required to register a used motor vehicle as fit. It certifies the roadworthiness of the vehicle at the time of inspection. It can be obtained at any licensed Motor Vehicle Inspection Station in Ontario for a fee. It is valid for 36 days from the date of the inspection and must be signed by an authorized mechanic. You will be asked to produce an S.S.C. when:
- registering a rebuilt motor vehicle.
- transferring a used motor vehicle to a new owner as fit.
- registering a motor vehicle in Ontario that was previously registered in another province or country.
- changing the status of a vehicle from unfit to fit.
See also FAQ:
Safety Standards Certificate
