Purchasing a vehicle that is used is a wise decision but should always be accompanied by a PPSR Search. The personal property and securities register (or PPSR) is a national online noticeboard that keeps track of potential security interests in motor vehicles and other assets. It is highly essential that a PPSR search be made and a certificate be issued before you actually buy the motor vehicle. A PPSR search tells you if there’s any financial encumbrance (debt/bond over the car), which you may not be aware of. So, you’ll be protected and will not be liable for the previous owner’s loans.
Plus you get a PPSR certificate to confirm the info.
Read on to find out more about the Code PSR check or a PPSR on a secondhand vehicle.
What Is PPSR and How Does It Work?
The personal properties securities register (PPSR) is a government register which records the financial history of an item. For a used car, the PPSR can tell you whether there is finance owing, eg, if an ex-owner took out a car loan.
It is a national online register, administered by the federal government, meaning it’s impossible for dealers and repo men to massage the data in their favour. In short, it’s a searchable, secure database of information you can use to make an informed buying decision.
As well as the details of the car, the PPSR can also tell you some details of the car. More importantly however is that the PPSR check will tell you who has security interest in the car.
What Is Covered by PPSR?
I’m not talking about searching for cars per se – a PPSR search will cover any personal property that someone takes out a loan against, like a home, work of art, cattle or whatever. I’m just talking about second-hand cars, which is what the average private car-buyer searches when they are thinking of buying a second-hand vehicle.
Alongside protecting the consumer when buying goods, the PPSR check is used to protect lenders and their interests.
Why Do I Need a PPSR Certificate?
Some think they do not need a PPSR certificate, but without a PPSR, there is no protection you can offer. If someone else owned a vehicle and took out a loan on the car, meaning the vehicle is under finance, they can then go and sell the vehicle without paying off the loan.
The car still has money to pay off. With finance left to pay, buying a car with outstanding payments can leave you responsible for the debt, usually paying off the debt before the deal is completed officially in a private sale.
A PPSR enquiry will tell you who else has secured an interest in the car, such as a lender who might take over when you buy it, saddling you with someone else’s debt. Once you hold a PPSR certificate, buy the car.
Often, the PPSR check also provides some of the registration details about the car, including the expiry date and concessions details if there have been any.
If the car you’re buying has had a concession applied to the registration – so, for example, it has been registered in the person’s name so they could teach others how to drive it – you will have to pay off the pro-rata amount before you can claim the transfer of the vehicle to your name.
How to Get a PPSR Certificate
You can get a PPSR certificate online using the official database. It costs $2 to get an official PPSR certificate from the government site, with a PPSR search that includes information from the up-to-date personal properties securities register and some registration details on the car.
However, this is relatively limited information, and there are other things you should check if you want to stay safe when buying used motor vehicles. What's more, the PPSR search results may change after you get the check but before you buy the car. That's why a car history report can be more comprehensive.
All you need is the car's vehicle identification number (VIN) or chassis number. You can find this stamped onto the external frame of the vehicle, usually around the engine bay.
Final Thoughts: Get a PPSR Check from Carify
Carify provides detailed reports on a car's history, complete with a legitimate PPSR check and PPSR certificate that gives you peace of mind. What's more, Carify carries out an additional PPSR check six times per day for 14 days after you download the report, automatically updating you if there is a change in the financial status of the car.
Alongside the PPSR certificate, you receive:
- Full car history report
- Stolen status
- Written off status
- Registration details
- Manufacturer recall check
- And more
Check out Carify's history reports for full peace of mind when you buy a used vehicle.
FAQs
Who Uses PPSR?
Lenders, sellers, and buyers all use the PPSR to understand who has financial interest in assets. In particular, it's useful for those buying used cars to see if the vehicle is encumbered before they make the transaction.
What Is the Purpose of the Personal Property Securities Register?
A PPSR certificate tells you if anyone else has security interest in an asset. With a used vehicle, for example, it tells you if there is a loan against the vehicle in which it becomes collateral. New buyers should know this information so that they can negotiate a better deal or look for different options.
Does PPSR Expire?
Yes. The default PPSR registration period is 7 years, after which those with financial interest in the vehicle must renew the registration. Technically, you cannot renew it outright, but you can register it again as a new entity.
