“Contract Packing” and Financing Fraud

“Contract Packing” – Adding unwanted options and accessories.

Some dealerships “pack” a contract with add-ons like warranties, service contracts, options and accessories that you did not ask for. Common add-ons are “protection packages” and rust-proofing.

What you should do:

•    Before signing the contract, look at it carefully for any items you did not authorize.
•    If an item was included for “free”, check to see that it is in the contract and that you were not charged for it.
•    If you find any items that you simply don’t want, tell the salesman that you will not pay for it.

Financing Fraud – Lying about credit scores

Another common dealer scam used by fraudulent dealers is to trick you into believing that you have bad credit. They may tell you that your credit score is too low and you do not qualify for a low interest rate. They do this to convince you that the high-interest financing offered by them is a good deal.

What you should do:

•    Get a copy of your credit report with your credit score.

•    Shop around for financing. Credit unions and other financial institutions often offer rather low interest rates.

These are 2 of the most common dealer scams and tips for avoiding them. However, if you believe you are already a  dealer fraud victim, don’t waste your precious time and contact an experienced dealer fraud attorney.