When shopping for a car, one needs some knowledge and advice in order not to become a car dealer fraud victim. Here are some tips for avoiding auto dealer fraud.
1. Learn the art of negotiating the vehicle’s price. Research for the vehicle’s standard price. Find out what is the average cost of its extra features. Enter a car dealership with your own financing options. Know exactly how much you can afford for the car you are interested in. Never buy a car from the first car dealership you enter, shop around for the best possible deal and don’t forget to negotiate the MSRP price (car manufacturer’s suggested retail price) as well.
2. Find out what exact add-ons you need to avoid wasting money on add-ons that you do not need. Remember that the more add on features you buy, the more profit the dealer will make, that’s why car dealers will try every method to make you buy this or that add-on.
3. Never drive the car off before getting the final loan approval. Do not sign any contract that in anyway permits the car dealer to modify the car buying terms.
4. Financing through a car dealer is oftentimes more expensive and tends to have a higher interest rate than financing through the bank. Do not let the car dealer know your credit report until the price is finally negotiated.
5. Read the fine print before signing any contract. Do not sign a ‘dispute resolution’ contract since if you do sign, you cannot file an auto fraud claim if need be in the future.
Meet with an attorney who is experienced in auto fraud cases if you think you are the victim of auto dealer fraud. An auto dealer fraud attorney will explain to you your rights and options, including your right of filing a lawsuit and will represent you in court to ensure you receive the appropriate compensation.
