This not really good news for certain parties but for consumer who going to buy a used car whether from direct seller or used car company, the new rules are welcomed. In line with the implementation of Hire Purchase Act (Amendment 2010) used vehicle sellers will have to pay a RM90 inspection fee to Puspakom before the sale can be made with effect from June 15 2011.
However under the new law, used motorcycles were exempted from inspection due to the small number and amount involved. The compulsory inspection was to protect buyers of used vehicles.
Currently, a 4-point Puspakom inspection is needed for transfer of ownership to ensure that the vehicles were not stolen. Under the new rules, a total of 18 points Puspakom inspection need to be done before you can sell the used car. Upon completion the inspection, the owner will be given a certificate that can be used for ownership transfer and hire purchase agreement with banks.
The Government has also set new conditions for vehicle repossessors to protect the interest of consumers. Only those registered and given permits by the ministry will be appointed vehicle repossessors. The permit applicants will have to undergo screening to check for criminal record. They also must adhere to procedures whereby repossession can only be done from 9am to 9pm daily. No force must be used in the process.
“If the vehicle is in the garage, they can’t enter the house compound except with a court order and can be reported to police for flouting it. This was in line with Hire Purchase Act 1967 (Amended 2010) and Hire Purchase Rules (Permit Acquisition and Repossession Procedures) 2011.
Get details of 18-point Puspakom inspection here.
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