Dealer handing over car keys to the buyer

Selling cars - your responsibilities

If you’re in the business of selling cars – even as a side hustle – you might need a licence as a second-hand vehicle dealer. Big penalties may apply if you trade without a licence.

The Second-hand Vehicle Dealers Act 1995 requires that you hold a second-hand vehicle dealer’s licence if:

  • you buy, sell or offer for sale 4 or more vehicles in 12 months
  • you and a close associate (such as your spouse, partner, brother or sister) offer to buy or sell 6 or more vehicles in 12 months. Both you and the associate must have a licence.

Licensed dealers must not pretend to be private sellers to try to avoid their legal responsibilities.

Licensed dealers must understand and comply with their obligations, such as:

  • providing certain information to potential buyers
  • duty to disclose defects
  • duty to repair defects
  • written contracts
  • cooling off rights for buyers.

Advice about selling vehicles

Read more about your responsibilities when selling vehicles in the following information brochures.

Selling cars in South Australia

Information in other languages

Selling used cars – a basic guide:

Easy Read advice

See the Easy Read brochure for car sellers in clear, simple language with images.

Forms for vehicle dealers

See the sample forms for second-hand vehicle dealers which set out the information that must be included in notices, contracts and other forms which licensed dealers are required to use.

Helpful links