This paper presents an assisted system for vehicle localization and map-matching by utilizing Vehicle ad-hoc Networks (VANETs). Fusion of the GNSS and odometer measurement is augmented by ranging distance. Ranging is computed by exchanging the data packets between the vehicular nodes equipped with Dedicated Short Range Communication (DSRC) modem and GNSS receiver. Time-of-Arrival (ToA) of exchanged data packet between the two vehicular nodes is converted in distance. Map matching enhances accuracy of localization while projecting the result of multilateration created by numerous ranging queries. Realistic simulations are conducted to test the performance of the algorithm. Test results show bounded and acceptable particle filter positioning results. The scenario of GPS outages and low number of vehicles collaborating for positioning are simulated. Tracking performance of the particle filter is illustrated. Algorithm helps dead reckoning when GPS data is not available temporarily. A simple GPS receiver is fused with odometer data during tests. Particularly, expensive sensors are not used to achieve better price/performance towards commercial usage.