If you are thinking about buying a new car and are confused about the terms and are concerned about being switched into a vehicle lease, use the following tips:
1. Remember that when you lease a car, you are actually borrowing it and not buying. The lease may seem to be less expensive at the first sight but there are often many hidden fees which make the lease more expensive. There are hidden fees for excess mileage and wear and tear to the vehicle. Also if you lease a vehicle that has a lease allowance of 25,000 miles a year and at the end of the year you have additional 10,000 miles you will be penalized.
2. One of the reasons the lease of the vehicle can be more expansive is the fact that you are paying for the use of the vehicle and you will own nothing at the end of the contract. Furthermore at the end of the lease you don’t have a trade-in vehicle. Many car dealers trick customers by telling them that they can trade in a lease at lease end and receive credit. This is simply a dealer trick used to scam you.
3. If at the end of the lease you have any outstanding obligation such as mileage penalty, condition penalty, unpaid lease payments, then these are often rolled into your next vehicle purchase or lease.
4. To avoid dealer fraud don’t sign any documents on the spot at the dealership. First ask the dealer to take the lease or purchase contract home and carefully read it.
If you believe you have become the victim of lease fraud or you have any questions about your contract contact a qualified dealer fraud attorney.
