The Consumer Protection advocates

Monthly Archives: April 2010

Apr
29

Worthless add-ons Do not let the dealers use their “scam art” on you and sell you worthless add-ons such as fabric protectant, rust-proofing, VIN etching and lifetime wax protection since they have very little value, though the salesmen will probably claim the opposite. Besides the price, new cars already come with rust-proofing and lifetime wax doesn’t last longer than any other wax job. A prepaid maintenance plan might also be worthless since it usually covers only the regular maintenance expenses such as tire rotations and oil changes. In other words, the maintenance plan might cost more than the individual visits would. So if the dealer refuses to negotiate the …



Apr
28

Buying a car with bad credit may be a great opportunity for car dealers to make a big profit on the buyer. Mostly car dealer loans have unfavorable terms. But the real problem is that some car dealers will try to run their auto scams on you. Here are the top car scams that you should remember and avoid. Most often they employ the bouncing check scam. This is a scam applied to those car buyers who managed to get financing, but are tricked by car dealers and are told that the check bounced and thus they failed to get financing. Then the dealer will offer the buyer financing …



Apr
25

Online car fraud has become very popular on car auction listings. Much of this online car fraud is from overseas. Don’t rely on the seller’s country of origin or feedback as profiles are bought and sold over the internet. Someone from oversees can easily use a bought or even stolen Ebay profile with great feedback to attract unsuspecting buyers. They copy some photos from the internet and put an unbelievably “great” price on the listing to make a quick dollar on naïve car buyers. Here are some sign of possible online car fraud. 1) Poor English throughout the listing description. 2) Fraudulent escrow services. (See if there is any …



Apr
23

To be a knowledgeable car buyer one needs to invest the necessary time and money on what is called homework or prep stage i.e. studying car sale information, researching and consulting with trusted friends or experts regarding the authenticity and details of the car. After the homework is done properly, the rest is a simple buying transaction. The more prepared a buyer, the smoother the transaction! There are three main points for preventing car scams: 1.    Know What You Want to Purchase 2.   Research Your Vehicle 3. Ask questions This blog will cover the third point from start to finish. Before you physically look at the car, contact the …



Apr
21

“Is this a car sales scam?” is one of the most common questions among car buyers who have found an unbelievably “great car deal” online. Buyers become suspicious since the price is “too good” and the payment and pickup arrangements seem a little tricky. Here’s how car selling scams work. The seller usually has a picture of the car he/she claims to be selling for a low price. He/she will describe the car and its condition, and explain why the car is being sold so cheap. His/her story almost always involves some unusual personal situation e.g. a death of a relative or an unexpected financial difficulty which urges him/her …



Apr
18

One of the methods of online car buying fraud is online escrow fraud. There are a number of escrow sites online which offer profitable terms both for car buyers and sellers. Most of these sites are really helpful; however there are some fraudulent ones among them as well. Here are some tips to avoid scam escrow services and find a reputable auction escrow service: •    Beware if the website offers incredibly good deals or requests information that does not concern the sale. •    Investigate the track record of the escrow companies before making your final selection. Use Better Business Bureau as your main source and find out whether the …



Apr
15

Online car buying is becoming more and more popular nowadays. Therefore, various tricks and scams are being designed for ripping off naïve customers. Keep reading if you are interested in what you should and what you shouldn’t do when buying cars online. 1. Check if the car you are going to buy online exits at all. If it is possible, make an appointment with the car selling company to see the car in person. Use internet as a useful buying tool which enables you to research the car you want and to communicate with the seller via email, but make your final purchase decision in person. 2. Don’t send …



Apr
13

Car buying and car selling scams grow rapidly. Proper care, homework and knowledge are required to steer clear of the tricks that are employed by fraudulent car sellers and fake car buyers. Below is an example of how car purchase scam takes place. •    A car seller places an ad for the car he/she wants to sell online and leaves his/her email so that the potential buyers could contact him/her. •    The fake buyer responds to the seller’s ad by email (usually with lots of grammatical and spelling errors) and notifies that he/she is interested in purchasing the vehicle and will send a cashier’s check. •    The seller receives …



Apr
13

Forbes.com has released their list of the Worst Made Cars on the Road, the purpose of which is to protect car–buyers. Notwithstanding the fact that the list is titled “Worst Made Cars on the Road”, almost all worst vehicles are trucks (interestingly, the majority of them are GM products). To determine their list of the worst-made cars on the road, Forbes made use of several car reliability, safety and performance studies (The Most Reliable Cars Report, Best and Worst Values Report, Best and Worst Safety Performance Survey, and the CR overall scores for 2010 vehicles-all from Consumer Reports). Then they added to the list the vehicles that received fewer …



Apr
11

Car warranty scams are a serious issue not only online, but also offline. Here are some tips that will help you to make a wise decision and avoid falling victim to car warranty scams.



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