Monthly Archives: June 2009

In car auctions there is a large fleet of former rent-a-cars from major rent-a-car companies and very often dealerships will get their used vehicles from auctions. These vehicles are driven by numerous different people, who have different habits. Sometimes, people who rent the cars tend to abuse these vehicles and treat them in ways they would not treat their own car. This is why rental cars are of lesser value than other vehicles of the same brand and the same age that were owned by an individual. The law in a few states requires car dealers to disclose in writing the fact that a vehicle was a rental. However, …

Read more Comments

0

Spot Delivery usually occurs when a dealership allows a consumer to drive the vehicle home from the dealership even though the sale is not complete. If the customer decides to finance the vehicle at the dealership, the car dealer most often does not get a banks acceptance while the consumer is there at the dealership. Car dealer lets the buyer know that he/she can take the car home while the dealer’s finance department is arranging the financing. Spot delivery is not illegal in most states. Dealers are well aware of this and use the situation to implement various scams. One of these auto frauds happens when the dealer asks …

Read more Comments

1

Car Buyers should remember that used carshave an unknown history of ownership. The best used car buy is the one that has been well taken care of and well maintained. Thus, if the customer is wise enough, the he/she often asks the salesperson questions about the vehicle’s history. Virtually every response is that the vehicle has never been damaged or in any previous accidents. The truth is, the salesperson rarely ever knows whether what he  is saying is in fact true. Every vehicle goes through some inspection by the service department of the dealership when it is first brought into the dealership. Most trained technicians can identify certain damage …

Read more Comments

4

The dealership can be an overwhelming place for most of the car buyers. Some of the customers rely on the car dealer to get the best deal for their car. However, relying on the dealer to help you with the terms of your contract is a bad approach to purchasing a vehicle; because you will probably pay much more than necessary simply because you don’t understand what is being said. Here are a few of the most common dealer tricks used to make more profits from unsuspecting consumers: Leasing over Purchasing a Vehicle Car dealers will tell you that leasing is a better deal than purchasing, and will promise …

Read more Comments

0

Many consumers become the victim of this dealer fraud, because car dealers know that most of the consumers are happy with just knowing they can get out of their lease early and not suffer the penalty. However the truth is many of our choices have consequences. Thus, when you sign a car lease agreement you are simply locked in. Of course you can terminate the lease early, but whenever the lease is terminated you will suffer heavy consequences. The best way to avoid getting scammed by the dealership and being on the short end of the stick, learn all you can about leasing before you sign any agreement or …

Read more Comments

0

There is nothing worse for a consumer than falling for an auto sales scam. The purchase of the vehicle is one of the most important purchases and if you fall for the scams of a car dealer you can loose a lot of money. However with a little bit of information you can avoid auto sales scams. Following are 5 important tips you can use to avoid auto dealer fraud. 1. Always go into a dealership with a strong understanding of how much you can afford for monthly payments. Remember, that a car dealer wants to sell you a car and make a profit and will often try to …

Read more Comments

0

When you go to the dealership to buy a new car you should remember that everything is negotiable. Most car buyers become a victim of dealer fraud and different dealer tricks because they do not know how to negotiate. A car is a major purchase and especially during the crisis, each consumer needs to get the most value out of their money. Remember that you will be dealing with salespeople who have most likely been trained to negotiate the best deal for the car dealer and not for you. If you do not know how to negotiate or are not comfortable with negotiating, then the chances increase for you …

Read more Comments

0

When you are shopping for a new or used car you want to get the best deal and best value that is possible. It is important that you know how to avoid car dealer fraud and dealership scams to get the best deal. Following are a few tips on how to avoid car dealer fraud, you which will help you to negotiate a better deal from the sales staff. Do Some Research The best thing to do before buying is doing some research on the make and model that you are most interested in. Try to find out as much as you can about your car you intend to …

Read more Comments

3

Often ads of car dealers advertise “Program Cars“. Usually “Program Cars” are called as “Smart Cars,” or “Factory Official Cars” or “Factory Demo‘s” in the advertisements of the car dealers. These vehicles are usually one or two year old with 30,000 miles or even less on them.However, the truth is about 25% of “Program Cars” are lease returns, about 70% are rental cars (cars from Hertz, Avis, etc.) and a small percentage of “Program Cars” are cars actually driven by factory officials, and a few of them are “Buy Backs” or “Lemons!” In fact, it is a common practice for car dealers to resell the “Lemons” back to the …

Read more Comments

1

It is very important for the car buyer to realize that even if the car dealer sells you a vehicle at dealer cost or “invoice,” the dealership is still making money. Dealerships receive a so called “holdback” from the factory on each new vehicle sold. On a vehicle that stickers for say $30,000 the “holdback” could be as much as $800 to $900! Holdback is given to car dealers by the manufacturer, usually on a quarterly basis, to help them offset the high cost of financing inventory. Rarely will a car dealer negotiate any part of the “holdback,” nor should they. Afterall, we must allow the dealers to earn …

Read more Comments

41