F.A.Q. for Japanese Car Auctions and Exporting.

Q-1


I had trouble with an exporter once before when I bought a car from Japan. It seemed the exporter was not Japanese, nor an experienced car dealer or exporter.
What kind of the people are involved the used car export business in Japan ?
Do they have a business license or are required to be an auction member car
dealer ?

>>>Answer

Q-2


What is the advantage to the experienced auction agent
than the non experienced agent when they bid and purchase cars at auctions and export used cars from
Japan ?

>>>Answer

Q-3


Why is the payment for a car purchased at auction required so quickly
after I won the auction ? Is the car price and charges for cars purchased at auction the same as other agents in Japan ?

>>>Answer

Q-4


Would you mind if I ask you
what all the costs and charges are that you must pay to the authorized Japanese car auction when you have won an auction and purchased a car ?

>>>Answer

Q-5


Is there any way to know the actual car price at auction when I have won the auction and purchased the car at the auction ?
>>>Answer

Q-6


How many authorized car auctions are there in Japan and what are
the differences between the authorized auctions and other private auctions ?

>>>Answer

Q-7
Who inspects each car and makes the auction car data available at the auction
house ?
Is the auction car data in Japanese authorized car auctions reliable and trusted ?
>>>Answer
Q-8
Please describe how the car auction systems of the authorized car auctions in Japan works.
>>>Answer
Q-9
Would your company be able
to buy cars which are guaranteed and issued with genuine original certificates ? The car I bought from a private auction in Japan was a stolen car and I have lost the car and all my money which I paid to the auction.

>>>Answer
Q-10


Is there any best way to buy a car at the right price and right condition via the authorized car auctions in Japan ?
>>>Answer


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A-1
>>>
There are now many people who are involved the car export business in Japan since the internet online business was popularized. Some people are just doing this as a part time or second business and some are exporting cars from Japan but living in another country. You can do anything you want if the car export business is only accessible via the internet. They are trying to sell cars worldwide to buyers on the internet, but they ask an auction member car dealer to buy cars at auction in Japan and also asks them to do the all export procedures using their name when exporting cars to their customers.


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A-2


>>>
Fancy website, Cheaper agent or local fee, no tax charge, etc. These are the big reasons when the people try to find for their auction and export agent. However, It maybe only up to JPY50,000 differences from these reason. If your agent has a lot of experiences to bid and buy a car at auctions, then the your agent has the possibility to buy a car at auctions over JPY100,000- cheaper than the other non experience agents. If you have experienced export agent, then they have advantage to book the available vessel for your car, less expensive shipping charges and expenses and no mistake with the export procedures and shipment to your port.


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A-3

>>> All authorized car auctions in Japan have almost the same payment terms in which payment must be within the week before the next auction is held.  All payments must be made by cash including the expense charging systems used at the authorized car auction. But the local agent fees or agent commissions are dependent on the agent. It is important to know the actual car price (Successful bid car price) at the auction to figure out the charge details if you want to know exactly what the cleared charges of your auction agent are.


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A-4

>>> All payments that go to the auctioneer are the Successful bid car price, Government sales tax, Car registered tax, Recycle deposit, Successful bid fee, Inland freight charge (depends on the auction site to discharge port), and Bidding fee. These charges are all the costs and charges which auction members have to pay to the auctioneer within a week after the car has been purchased.


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A-5

>>> We send you the auctioneer’s settlement which the auctioneer has sent to us to prove the actual car price at the auction.  Most auctioneers are now very strict not to leak the auction result data to any other car users or dealers who are not auction members. It is only possible to know the result data if you ask your auction agent and they are an auction member or you may access the auction member data website if you have been provided access by your agent, but this is not supposed to occur.


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A-6

>>> There are now approximately 120 authorized car auction sites in Japan including the approximately 85 major auction sites which are held every week. The Japanese authorized car auctions are guided by the automobile fair trade council in Japan and participation at the auctions is only for licensed dealer members who have an authorized Japanese used car dealer license. Non members and private car owners are not allowed to enter these auctions. However, the other private auctions in Japan such as internet provider car auctions (Yahoo and etc), or private dealer auctions and so on are such that anyone and any car owners can participate in the auctions. But the car condition and auction car data which are indicated on the data website are not reliable and the mediator organization for the auction is not involved and does not take any responsibility. The used car dealers in Japan do not use these private auctions.


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A-7

>>> Each authorized auction house has trained and licensed car assessors (Inspectors) who strictly inspect each exhibited car. The assessors allocate a car condition grade to each car and make a detailed report on the condition of the car available to auction member bidders through the auction car data sheet. It is reliable and trusted, The most of auction members are determined by these auction car data sheet to bid and purchase cars at auction.


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A-8

>>> Authorized Japanese car auctions are held weekly and only licensed Japanese used car dealers are allowed to enter the car auction. The detailed car auction data (car condition sheet and pictures) are released from a few days before the auction day. Each auction is totally computerized and buyers compete by operating buttons. The starting price is set for each car and the price increases by JPY3,000 (most auction houses) on each bid until the highest bid greater than the exhibiter's selling price is reached. The purchased car must be taken out of the auction house within a few days after the auction. All payments to the auctioneer must be finished before the next auction (following week) is held, otherwise the car auction buyer loses the right to bid on further cars at auctions until all past payments have been completed.


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A-9

>>> Many Japanese used cars are stolen in Japan and then exported to other countries, but any cars purchased directly from Authorized Japanese car auctions are guaranteed and provided with legitimate certification. The iniquity of changing the odometer is also illegal in Japan so is checked on each car by the auction assessor of authorized car auctions. The above regulations are controlled by the automobile fair trade council in Japan.


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A-10

>>> No one makes the prices at auction, not you and not us. The prices at auction are determined by the market. It is very simple, straight forward, and honest. If the car price is cheaper than the market prices then the car quality is lower. If the car price is higher than the market prices, then the car quality is higher. If the market price of the car you are looking for is higher than your budget, try to get a model a year older and get a good quality car. Do not try to get the cheapest car on the market and do not expect to buy a car at a lucky price in auctions. Even if you make a successful bid on a car at the cheapest price, it increases the possibility of buying a car with something wrong with it.


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