Alabama's used car market is competitive, with high average prices driven by demand, limited inventory, and newer models. Roughly 425 dealerships throughout the state sell used cars, with an average price of around $34,000. Alabama law (Code § 40-12-390) requires that anyone involved in selling or purchasing five or more motor vehicles annually register as a motor vehicle dealer. Yet, it is not uncommon for sellers to fly under the radar, usually to scam buyers.
Although Alabama has a lemon law to protect consumers, it only applies to used cars purchased through dealers in very limited circumstances. Therefore, knowing the considerable risks associated with buying a used car in Alabama, the responsibility ultimately falls to the buyer to protect themselves by conducting a thorough vehicle history check before making such a significant investment. That check begins with a Vehicle Identification Number (VIN) lookup.
Looking up the VIN, which is the unique 17-character ID assigned to every vehicle, reveals important information about the car’s past, including accident reports, inspections, recalls, liens, and title branding. This information is critical to making an informed purchase, even when buying a used car from a licensed dealer.
Why Performing an Alabama VIN Check Is Important
VIN lookups are the key to buying a used car with confidence. A VIN lookup allows you to protect yourself against scammers and unforeseen issues. A good VIN check will reveal vital information such as:
- Registration and Title Verification: Under Alabama law, vehicle owners must apply for an Alabama certificate of title through a designated agent of the Alabama Department of Revenue (ALDOR). Motor vehicles are registered through the department’s vehicle licensing office in the county where the owner resides. Penalties for failure to follow the state’s registration and title requirements within the state’s allotted 20-day grace period on new registrations and renewals are usually capped at $15. However, vehicle registration fraud can include significant fines, imprisonment, and civil penalties. An Alabama VIN check can confirm a car’s registration status and title, helping you to verify that it is clean.
- Mileage Verification: With around 450,000 vehicles sold annually with falsified odometer readings, VIN checks have become essential tools for used car buyers. A VIN lookup can confirm a car’s mileage, uncover odometer scams, and ensure they pay a fair price for the vehicle.
- Title Brandings: In Alabama, a “branded” title is issued for cars that have been in accidents, flooded, or had their odometers rolled back. These brands, also called “legends,” are official designations made by ALDOR and appear on the vehicle's title paperwork. VIN checks can help you determine if the title of the car you are considering for purchase has been branded.
- Theft Checks: Roughly 200 car thefts occur per 100,000 residents in Alabama. With so many stolen cars, a VIN check can help buyers determine if the used car they want was ever reported stolen. A VIN check can help you avoid serious legal and financial risks.
- Auto Fraud Prevention: Auto-related fraud makes up three percent of all fraud cases in Alabama, meaning that used car buyers must prepare themselves in case of a scam. VIN checks are essential to helping used car buyers spot mileage and title discrepancies.
How To Perform an Alabama VIN Check
ALDOR directs users to third-party VIN check providers approved by the National Motor Vehicle Title Association (NMVTA), a consumer protection group, to conduct a VIN check in Alabama. ALDOR will perform VIN checks for the vehicle's rightful owner.
Other governmental VIN check resources include:
The National Highway Traffic Safety Administration (NHTSA):
The VIN Decoder, provided by the NHTSA, delivers general information about a vehicle, including the manufacturer, model and year, information about the manufacturing plant where it originated, engine and transmission data, features, safety ratings, and recalls. Using the NHTSA VIN Decoder allows users to perform a VIN check based on a full or partial VIN.
The National Insurance Crime Bureau (NICB):
VINCheck, from the NICB, allows you to determine if a car has been reported as stolen or salvaged, typical title brands that scammers try to wash from vehicle histories. Users are limited to five searches daily and must have the vehicle’s full VIN.
Free vs. Paid VIN Check Services in Alabama
While government-approved or sponsored VIN checks are generally free, it may be wise to utilize a third-party provider and pay to access the detailed vehicle information necessary to make an informed purchase of a used car in Alabama. Platforms like GoodCar, AutoCheck, and CarFax are some of the most popular paid VIN check services in Alabama. For a fee, these platforms give users access to detailed vehicle information, including:
- Title information, including any branding
- Sales history
- Ownership history
- Vehicle features and specs
- Mileage information
- Accident reports
- Salvage and rebuild records
- Inspection reports
- Service records
- Maintenance reports
- Safety defects
- Recalls
- Crash test ratings
What Used Car Scams Are Common in Alabama?
Recent reports note that used car scams are on the rise, particularly among classic cars, involving bad actors purporting to be legitimated online car dealers and bilking Alabama residents out of nearly $6 million so far. There is no doubt that Alabama used car buyers must remain vigilant.
Other common scams targeting Alabama used car buyers include:
Curbstoning:
Curbstoning refers to illegally selling used cars without a proper dealer’s license, usually while pretending to be a private seller. Curbstoning is done to avoid regulations that protect consumers, fees, and licensing requirements.
Title Washing:
The deceptive practice of title washing involves removing a vehicle's negative history, such as accident damage, from its title to increase the car's market value.
Mileage Tampering:
Scammers often tamper with a vehicle's odometer to misrepresent its condition.
VIN Cloning:
One vehicle’s VIN is sometimes copied for nefarious uses, such as using it on another vehicle, typically to hide some underlying issues, such as the fact that it was reported stolen or has been salvaged. This is called “VIN cloning,” and it is illegal.
Falsified Vehicle Histories:
Some used car sellers in Alabama will generate false accident reports or fake maintenance records to make a car appear in better condition than it is.
Sadly, these scams are common and have resulted in significant financial losses and headaches for many Alabama used car buyers. Therefore, buyers must remain vigilant when purchasing a used car in Alabama. Here are some of the steps used car buyers can take to avoid being scammed:
- Make a clear, informed decision about the type of car you want and any necessary features, and determine the estimated cost.
- Avoid deals that are “too good to be true.”
- Get your hands on all relevant documentation for the vehicle and review it carefully.
- Only consider vehicles that come with a written warranty.
- Use websites like GoodCar to conduct a reliable VIN check before finalizing any used car purchase in Alabama.
How Do I Check the Status of My Vehicle's Title in Alabama?
ALDOR allows vehicle owners to request certified copies of vehicle records, such as title and registration, through its MyDMV portal. If the request is approved and the requested records exist, the vehicle owner will be provided with a reference ID to access and pay for copies of the documents. While fees may vary, a complete title history spanning the previous 10 years of the vehicle costs roughly $15.
How To Register a Brand New Car in Alabama
If you purchase a car from an Alabama dealer, that person can usually handle the vehicle's title and registration paperwork, but ultimately, the buyer is responsible. To register a new car in Alabama, you must visit the vehicle licensing office in your county, complete any of the required paperwork, and pay the necessary fees.
Registering a car in Alabama means paying a license plate fee, an issuance fee, and ad valorem taxes. The license plate and issuance fee are generally around $24.25 in total. The ad valorem tax is calculated based on the vehicle's market value, assessment rate, and the applicable millage rate for the owner's tax district. Assessed value can be determined by multiplying the market value by the assessment ratio, which varies depending on the type of vehicle. Other local and sales taxes may also apply.
What Are the Requirements for Registering a New Car in Alabama?
With more than 5.4 million vehicles registered in Alabama, the state makes the requirement for registering a new car rather straightforward. Registrations are handled through your county’s vehicle licensing office. Here are the requirements necessary to register a new car in Alabama:
- The vehicle's title or, instead of title, a manufacturer's statement of origin instead. You can submit an Alabama Title Application (MVT 20-1) if you don’t have either.
- A bill of sale.
- The vehicle owner’s current driver's license or non-driver identification.
- The car’s insurance policy number or National Association of Insurance Commissioners (NAIC) code (5-digit number found on the vehicle’s insurance card.
In Alabama, vehicle registrations are renewed annually, and the renewal month is based on the first letter of the owner's last name, as follows:
Month | Letters |
---|---|
January | A or D |
February | B |
March | C or E |
April | F, G, or N |
May | H or O |
June | M or I |
July | P or L |
August | J, K, or R |
September | Q, S, or T |
October | U, V, W, X, Y, or Z |
Registrations expire on the last day of the renewal month. The registration fee starts at $24.25 but increases based on local taxes and fees calculated using the vehicle's market value and the owner's tax district.
Does Alabama Mandate Vehicle Inspections?
Although Alabama doesn’t require annual vehicle inspections for most cars, state code (Rule 810-5-1-.247) requires vehicle inspections to sell, transfer ownership, or rebuild a salvaged car. Inspections are carried out at one of ALDOR’s motor vehicle title and tag offices across the state and verify the following vehicle information:
- Odometer reading
- Number of cylinders
- The vehicle's make, model, and color
- The vehicle identification number (VIN)
- Any visible damage to the vehicle
- A check of the vehicle's safety features, like turn signals and seat belt systems
- An exhaust system check
This inspection, which includes a VIN check, can help protect used car buyers from scams, making these VIN and odometer verifications critical to any mandated inspection.
How Do I Get a Replacement VIN in Alabama?
Although you cannot get a replacement VIN in Alabama, you can correct the VIN or engine number on a vehicle's title by submitting an Alabama Certificate of Title and a Verification of Vehicle (REG 31) form.
To get a replacement VIN in Alabama, complete the Application for Alabama Assigned Vehicle Identification Number (INV 26-3) and any other required documents, such as a bill of sale or title, and submit the form online through ALDOR’s MyDMV portal.
ALDOR will issue VINs for kit cars, homemade trailers, or vehicles whose VINs have been damaged or altered somehow. If the original VIN plate or decal is missing, removed, or altered, a copy of the certificate of title or manufacturer's statement of origin or manufacturer's certificate of origin must be submitted, as well as an incident report if the vehicle was stolen and recovered. After receiving the completed form and supporting documents, a new VIN plate or decal will be issued.
How Do I Get a Replacement VIN in Alabama?
Yes, Alabama requires a VIN inspection for all out-of-state vehicles before registration. This ensures no discrepancies exist between the VIN and the vehicle's title or registration.
Table of Contents
- Why Performing an Alabama VIN Check Is Important
- How To Perform an Alabama VIN Check
- Free vs. Paid VIN Check Services in Alabama
- What Used Car Scams Are Common in Alabama?
- How Do I Check the Status of My Vehicle's Title in Alabama?
- How To Register a Brand New Car in Alabama
- What Are the Requirements for Registering a New Car in Alabama?
- Does Alabama Mandate Vehicle Inspections?
- How Do I Get a Replacement VIN in Alabama?
- Is a VIN Inspection Required for Out-of-State Vehicles?