The main survey of second-hand car buyers purchasing from dealers and auctions found that almost a fifth (19%) of those buying a second-hand car had experienced problems with it after the sale.

Most problems arose within three months of purchase (86%). Less than half of those who made contact with the dealer about the problem said it was completely rectified (47%). Nearly 30% said the problem had not been rectified at all by the dealer.

Consumers buying from independent dealers were more likely to believe that the problem had not been rectified at all compared to consumers buying from franchised dealers. Among those who paid to resolve the problem the average cost was £465. The average cost was significantly higher if the car had been bought at auction (£752).

The mystery shop survey of used car dealers found that over one quarter (27%) of shoppers felt the information they received about the target vehicle and services available at the dealership was 'insufficient' or 'extremely insufficient'.

Also as part of the second hand car market study, the OFT is today consulting on draft guidance that sets out the legal obligations of second hand car dealers under two key pieces of consumer law: the Consumer Protection from Unfair Trading Regulations 2008 and the Sale of Goods Act 1979.

The OFT launched its market study in May 2009 following concerns about the large number of consumer complaints relating to second hand car sales. Last year, the OFT-managed advice service Consumer Direct received 68,000 complaints about issues with second hand car sales. The purpose of the market study is to understand the causes of such a high level of consumer complaints and to consider whether existing consumer protection legislation is sufficient and effective.

Heather Clayton, OFT Senior Director of Infrastructure, said: 'The second hand car market has consistently attracted a high number of consumer complaints. Our research throws light on the specific problems that consumers experience so remedies and, where appropriate, consumer enforcement, can be targeted. Our guidance on relevant legal obligations, out for consultation today, will assist both the industry and our Trading Standards enforcement partners.'

Story provided by Business Financial Newswire