What Is a Buyers Guide and When Is It Required?

The short version

The Buyers Guide is the window sticker that goes on every used vehicle you offer for sale. It comes from the Federal Trade Commission's Used Car Rule, and it tells the shopper one basic thing before they ever talk numbers: does this car come with a warranty, or is it sold as is?

The rule is aimed at dealers. As a general matter, anyone who sells more than a handful of used vehicles in a year counts as a dealer for this purpose, so an independent lot is covered. This article is general information, not legal advice. Confirm the details for your situation with your state's dealer board or an attorney.

When it is required

The guide has to be displayed on each used vehicle while it is offered for sale to consumers. That means on the car itself, where a shopper can see it, not in a drawer at the desk. Light trucks, vans and SUVs are covered the same way as cars.

Before the sale is final, the buyer must be given the guide, or a copy of it, to keep. The guide then becomes part of the sales contract, which matters because what it says overrides anything that conflicts with it in the contract.

• Used cars, light trucks, vans and SUVs offered for sale to consumers
• Demonstrators and program cars are generally treated as used for this purpose
• Motorcycles and some heavy vehicles are handled differently, so check before assuming

The as-is box and the warranty box

The front of the guide has two main choices. You check one. If the car is sold as is, you check the As Is box, and the buyer is told they pay for any repairs after the sale. If you give a warranty, you check the Warranty box and fill in the details.

• As Is - No Dealer Warranty: you make no promise about repairs after the sale.
• Dealer Warranty: you state whether it is full or limited, which systems are covered, the percentage of repair cost you pay, and how long it lasts in days or miles.
• Implied warranties only: used in states that do not allow as-is sales, so the dealer does not disclaim the implied warranties.

Whatever you check on the guide has to match what you actually promise in the deal. A mismatch between the sticker and the contract is a common source of disputes.

What else goes on the guide

The guide also carries a list of major systems and the most common problems in each, a reminder to ask for a pre-purchase inspection by an independent mechanic, and a notice to get all promises in writing. It has a place for your dealership name, address and phone, plus the vehicle make, model, year and VIN.

If a car is still under the manufacturer's original warranty, or you sell a service contract, there are boxes for that as well. Do not check the service contract box unless you are actually selling one.

The Spanish version

When you conduct the sale in Spanish, the buyer must be given a Spanish-language Buyers Guide. That applies whether you speak Spanish at the desk, in the negotiation, or in the walkaround. The English guide may stay on the window, but the Spanish version has to be handed over before the sale.

It helps to keep both versions ready. Stocking only English is how dealers end up scrambling when a Spanish-speaking family is ready to buy.

State differences to watch for

Federal law sets the floor, and states add to it. Several states do not allow vehicles to be sold as is, or limit it by price or age of the vehicle. In those states the guide uses the implied warranty option instead of the As Is box. A couple of states have their own version of the notice in place of the federal one.

Some states also require extra wording on the contract about the as-is status, or have their own rules for a warranty period on cars under a certain price. These details change, so check your state's current rule rather than relying on what another dealer told you.

Common mistakes

• Printing the guide once and never updating it when the price or warranty terms change
• Leaving the guide off cars in the back row or on the service lane
• Checking As Is in a state where it is not allowed
• Forgetting to give the buyer a copy at signing
• Using only English when the deal was done in Spanish

How a dealer management system helps

DMS Apex prints the Buyers Guide in English and Spanish from the vehicle record, so the VIN and vehicle details are already filled in. The Buyer's Order carries each state's required wording, the As Is notice prints with the deal, and everything prints in black and white on a regular office printer. DMS Apex covers all 50 states and DC for $28 a month flat, with a 15-day free trial.