What is the Financial and Legal Status section in a vehicle history report?

The Financial and Legal Status section in a carVertical report provides information on any financial or legal issues associated with the vehicle. This can include financial restrictions like leases and legal information, such as passed/failed technical inspection or the car's designation as “scrapped.”

What you can learn from the Financial and Legal Status section

This section is divided into two parts – Outstanding Finance and Legal. If any records are associated with these areas, a yellow warning sign will appear at the top of the Financial and Legal Status section and the top of the report.

The Outstanding Finance part of this section can include information about:

• Lease, indicating that the car is currently leased, which might impact ownership transfer.
• Operating lease shows if the car is under an operating lease agreement, often used for business or fleet vehicles. This type of contract allows for a car’s use but doesn’t convey ownership rights of the vehicle.
• Unit-stocking refers to financing used by dealerships to stock vehicles, which might limit an individual's ability to purchase or register the car independently.

In the Legal part of the section, you can find details on whether the vehicle:

• Has passed technical inspections. Vehicles that have not passed may need repairs or modifications before they can be legally driven.
• Is marked as “scrapped,” meaning that it’s designated for dismantling and isn’t legally allowed on the road. This status can affect resale and eligibility for registration.

Each record contains an event type, its status (Record found, No record found, Passed [technical inspection]), the date and country where the event was recorded, and a short explanation.

Why this section may be incomplete or missing from the report?

The information included in the report depends on the availability of data. If the Financial and Legal Status section is empty, it means that there are no records available in our partners’ databases or the vehicle doesn’t have any registration restrictions.

Why are financial restrictions important when buying a used car?

Financial restrictions indicate any debts or liens tied to a used car, impacting ownership transfer and financial liability. Unresolved restrictions can prevent registration, lead to repossession risks, or add costs.

Knowing these beforehand can help avoid unexpected expenses and legal complications, ensuring a safer purchase.

Still have questions? If you need more help understanding the Financial and Legal Status section of your report, feel free to reach out to our support team.