we agree on a price for a car, that's all we have to pay, right? Well,
no. There are other costs. Have you seen these words before?
safety certificate / roadworthiness certificate
you buy a car, you must give the following documents to the government;
the safety certificate, the transfer papers, the registration papers,
proof of purchase (a receipt) and proof or your name and address. In most
states this must be done within 14 days of buying the car. The things
you need can be a little different in different states. The names for
the documents may be a little different.
When you buy a car, you have to pay stamp duty to the government.
It is a percentage of the price you pay for the car. The percentage is
different in different parts of Australia and can be between 2.5 and 6
percent. It is different for new and used cars and different if it is
bought from a dealer or privately.
example it might be 4 percent.
So if you pay $2000 for you car, you might have to pay $80.00 stamp duty.
If you pay $20,000, you might have to pay $800 stamp duty.
When you buy a car, you have to transfer the registration from
the previous owner's name to your name. There is a fee for this. It is
different in different parts of Australia. It can be as low as $20.00.
A car has to be registered every 12 months. This can cost $160
between $450 depending how old the car is and which State you are in.
If you buy a car and it already has several months of registration on
it, you don't need to pay again until the current registration ends. So
when you are buying a car, it is a good idea to look at when the registration
All cars must have
compulsory third party insurance. This means that if you injure
another person while you are driving, your third party insurance will
pay the other person's medical costs. This insurance generally costs between
$200 and $450.
CERTIFICATE / ROADWORTHINESS CERTIFICATE
Every time a car is bought or sold, it must be checked by a certified
mechanic to make sure that it is safe to drive on the roads and meets
the minimum safety standards. The mechanic checks tyres, breaks, seatbelts
and so on. If the car is in good condition, the cost may be $100 or more.
If there is something wrong with the car, the car must be fixed before
the certificate can be given. Usually the person selling the car gets
the safety certificate. In most States It is only good for 30 days. If
the seller shows you the certificate, you know that you don't need to
pay to make the car safe/roadworthy.
see from the list above, that as well as paying for the car, there are
also other costs before you can start driving your new car!
the questions and select true or false.