What are the steps to buy a new vehicle in France?

Buying a new car involves a costly process and mandatory formalities. To avoid unpleasant surprises, the purchase decision should be carefully considered. Without further ado, here are the main steps to buying a new vehicle in France. Choosing the model, financing, warranty, registration… We explain everything!

Choosing the Model

The first thing to do to choose the right new car is to clearly identify your needs. This step should allow you to list a few models whose features match your budget.

You can then search online and request quotes from several dealerships to find the best offer. Some car brokers offer significant discounts on new vehicles. This option is therefore worth considering. Of course, it’s important to thoroughly research the vehicle’s features to better negotiate the price: options, market value, running costs, etc. When the salesperson gives you an offer, make sure it includes all the necessary information: The type and model of the vehicle.

The engine.

• The selling price including VAT.
• The delivery deadline.

If applicable, the prices of any requested optional equipment.

Of course, a test drive is essential before finalizing the purchase of a new car to assess its comfort and handling.

• Financing a new car
• Unless you can afford to buy your car outright, you must choose between several financing options:Credit.Lease with option to buy (LOA).
• Long-term rental (LLD).
• Car package.

Loans are the standard solution. They allow you to finance up to 100% of the vehicle’s price. The loan term is typically between 12 and 72 months. Generally, lending institutions fall into two categories: banks and financial institutions affiliated with dealerships. Loan terms vary from one institution to another: interest rates, monthly payments, loan term, etc.

A lease with option to buy (LOA) is better suited to customers who want to change vehicles frequently. It allows you to use the car for a fixed period by paying a fixed monthly rental fee. At the end of the lease, you have the option to purchase the vehicle at a preferential price. If you choose this option, your name will appear as the lessee on the vehicle registration document (V5C). A long-term lease (LLD) is a preferred leasing solution for businesses. It allows you to pay only a fraction of the car’s value during the lease period. In this case, the monthly rental fee is often more advantageous than a loan payment. In principle, the contract terms can be adjusted at any time to suit your usage needs.

Finally, the car package is a turnkey solution encompassing all costs: purchase, registration, insurance, warranty, roadside assistance, maintenance, etc. This financing method is best suited for leasing and the purchase of a used car. It is often quite expensive due to the inclusion of comprehensive insurance. This also explains why the monthly payments are often very high.

Note that some so-called “clean” vehicles benefit from numerous purchase incentive programs. For example, opting for an electric or hybrid car allows you to make significant savings on the purchase price.

Legal warranty and commercial warranty for a new vehicle

There are two types of car warranties: the legal warranty and the commercial warranty.

The legal warranty is governed by law. It includes the warranty of conformity and the warranty against hidden defects. The commercial warranty (or manufacturer’s warranty), on the other hand, is a contractual agreement between the dealership and the customer. It therefore varies from one dealership to another. Generally, its duration and conditions are specified in the order form. Currently, most manufacturers offer commercial warranties of more than two years. Some brands, such as Toyota or Kia, offer up to 10 years of warranty on major parts. Furthermore, you can also purchase a new vehicle through Toyota.

The manufacturer allows you to reserve a vehicle online for a test drive at a dealership.

Given that new vehicles are equipped with complex new technologies, always prioritize a brand offering advantageous warranty conditions. Ideally, opt for an extended warranty to reduce expenses in the event of a defective, expensive part. One last piece of advice: carefully read the terms of the sales contract to understand the coverage and contractual limitations of the warranty.

How to Register a New Car? After purchasing the vehicle, you have one month to register it. This is a mandatory legal requirement. Failure to present the registration certificate during a roadside check can result in a fine of €135 to €750!

• Generally, the process for registering a new vehicle in France can be carried out either:

On the ANTS (National Agency for Electronic Documents) portal.

• Through an authorized professional (dealer, agent, garage, specialized website, etc.). If you wish to complete the process yourself online, here is how:Log in to the ANTS website using your France Connect ID.
• Fill out the

Cerfa form no. 13749.

Send a copy of your ID and proof of address dated within the last 6 months.

1. Make the payment online by credit card.
2. At the end of the process, you will receive a registration confirmation, a file number, and a temporary registration certificate (CPI). Registration fees vary depending on the type of vehicle and the geographical area. They are reduced for clean vehicles (hybrid, electric, and hydrogen).

How to insure a new car?

Taking out car insurance is a legal obligation for all vehicle owners. Failure to comply with this requirement is considered a criminal offense. Penalties can include a fine of up to €3,750 and the suspension of your driver’s license. Generally, there are two types of insurance:

• Mandatory third-party liability insurance.
• Comprehensive (or multi-risk) insurance.
• The mandatory third-party liability insurance is the basic option. It only covers potential damage caused by the driver to other people, vehicles, or property.
• More expensive, comprehensive insurance offers broader coverage. It guarantees compensation for damages caused, whether you are at fault or not. Furthermore, it also covers damage resulting from natural disasters or other incidents. In addition, insurers offer supplementary coverages to further extend protection: theft, storm, fire, broken glass, vandalism, etc.
• Regarding costs, several factors influence the price of car insurance:
• The vehicle’s tax horsepower.
• The type, make, and model of the vehicle (entry-level, premium, luxury, etc.).

The driver’s age: under the same conditions, a young driver will pay a higher insurance premium.