Below you may read 4 of car dealer advertising scams that are used for tricking naive buyers.
1) Push, Pull, or Drag Sale
There are ads claiming that no matter what condition your trade-in is in, they’ll give you $1500, $2000, or even $3000 for it in trade.
Foolish people get tricked. Some even drive off with a new or used car. They are given $3,000 for their 1983 Chevette and feel like they have just ripped somebody off. The truth is that they have probably got ripped off.
Most car dealers have nearly $2000 to $2500 worth of markup built into the price of their lower end vehicles and more built into their higher priced ones. When they put on their Push, Pull, or Drag sale, all they do is mark up their vehicles an additional amount equal to their “minimum trade allowance.” By doing this, they can give you some money for your Chevette and make thousands.
2) Buy a Car, get a “Free_______”
Whatever the item is (a big screen, camcorder, computer), it isn’t free. The price is simply built into the cost of the vehicle. As a rule a car deal that would bring $3000 profit may “only” bring $2200 after they give you the $800 gift certificate to Circuit City or Best Buy.
3) We’ll pay off your trade irrespective of how much you owe when we make a deal!”
The key phrase in this sentence is “When we make a deal…” Paying off the trade is part of making the deal. If they cannot pay off the trade as the consumer owes too much, they won’t make a deal.
4) Buy One, Get One Free
Buy a car , and get a second one for no additional cost. WOW! Just make sure you get a good driver to bring the flood damaged 1989 Nissan Sentra home with you after you overpay for your other vehicle.
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