Buying used phones from the public: contract, checks and records

Used phones are among the highest-margin products in a phone shop: the seller wants quick cash and the buyer wants a good price with warranty. The problem is not the business, it is buying without a method. For grading, refurbishing and selling, see buying and selling refurbished phones.

1. Why it pays (and where the risk is)

A phone bought at a good price, checked and sold with warranty can earn more than any new phone. There are three risks: it is stolen, it is locked to an account or carrier, or it has a hidden fault. All three shrink before you pay.

2. The 5 checks before paying

IMEI: dial *#06# and compare with the SIM tray or box. Check blacklists (online services query the carriers’ stolen-device lists).
Accounts: it must be signed out of iCloud (“Find My”) or the Google account. Otherwise it cannot be resold. Have the seller reset it in front of you.
Carrier unlocked: insert a SIM from another carrier and check for signal.
Function: screen, touch, cameras, mic, speaker, charging, buttons, Face ID or fingerprint and battery health.
Seller: valid ID that matches the person signing. Be wary of rushing, prices that are too low or several identical phones with no box or receipt.

Golden rule: if something does not add up, do not buy. Losing a deal is cheap; keeping a stolen phone is not.

3. The purchase contract

Always in writing and signed. It should include:

Shop and seller details (name, ID document, address and phone).
Device: make, model, IMEI, colour, capacity and condition.
Price and payment method.
The seller’s statement that they are the lawful owner and that the phone is not stolen and has no carrier debt.
Date, time and both signatures.

Keep a copy of the seller’s ID and photos of the device, handled according to data protection rules.

4. Records and paperwork

In many countries and regions, anyone buying second-hand goods from the public must keep a dealer register with seller and item details, and sometimes report to the police or hold the item for a few days before selling. Rules vary: ask your local authority or accountant. Tax-wise, there is often a special scheme for second-hand goods (tax on the margin); confirm it with your adviser before you start.

5. Pay, price and sell

Pay by bank transfer where possible: there is a record of who you paid.
Buying price: start from the expected selling price and subtract refurbishing cost, warranty and your margin.
When you sell, the receipt should show the IMEI and the warranty you give.

TekPair creates the purchase contract with the seller’s details, stores the ID and phone photos (also from a phone via QR), logs it in the register and puts it into stock at cost to sell with IMEI and warranty. Try it free for 15 days →

Frequently asked questions

How do I know if a phone is stolen?

Check the IMEI with a blacklist service, make sure it is signed out of iCloud or Google and ask for the seller’s ID. If they are in a rush or the price is too low, do not buy.

Is a dealer register mandatory?

It depends on the country and region. In many places, buying second-hand goods from the public must be recorded and sometimes reported to the police. Check local rules or your accountant.

Can I buy a phone still linked to iCloud or Google?

Better not: without the account removed you cannot reset or resell it. Ask the seller to remove it in front of you.

How is VAT handled on used phones?

Many countries have a special scheme that taxes only the margin. Conditions vary by country, so confirm with your adviser.

Buy used phones with contract and records in a minute

TekPair creates the contract, stores ID and photos, keeps the register and adds the phone to stock. Try it free for 15 days.

Try it free for 15 days →