Top 5 Rules to Avoid Car Dealer Fraud (part 1)

avoid_car_dealer_fraudThere are so many situations when a person becomes engaged in a car dealer fraud case without realizing it. When buying a used car, a dealer can simply hide a lot of details on the car previous history because revealing every single car defect can lower its price. It doesn’t act on the dealership’s behalf. Hence, it is rather not to publicize the truth about the vehicle previous history.

Here are top 5 rules that will help you avoid car dealer fraud:

1. Read what you sign

Itt is very important to read all the documents that the dealership prepares for you to sign. When purchasing a vehicle, the dealership and representatives can be very kind to you, attract your attention, provide a vehicle of your choice, etc. However, you must realize that they are in car selling business and they do everything to sell the car. They will do everything to hide such facts as vehicle prior accident, frame damage, mileage rollback and many other problems. The dealership realizes that unveiling vehicle previous accidents or problems will raise the risk of not selling it. However, the dealerships are aware of “auto dealer fraud” statute, which states that a person, after the purchase discovering the car being involved in frame damage or other problems, can come back and demand a refund. Hence, for their safety they involve all these facts about the car’s previous history in the document that you have to sign. So what matters- you sign the documents without reading them. In this situation, legally you are not eligible to claim a refund for inconvenience or damages.

2. Get a copy of every document you sign

In many cases when you sign a document, the dealership may not be willing to provide you the copy of it. Demand all the copies of what you sign since there might be blank spaces, where the dealership can add some notifications like “the purchaser knowingly and willingly purchased this vehicle with frame damage”, etc or replace one of the pages with another. Without having your copy of all documents, you will lose your case and no refund will be given to you.

These are very important rules that every car buyer should keep in mind. There are also some that we will discover in our further posts. Keep following our blogs and you will be aware of remaining rules.

If you are engaged in a dealer fraud case, the Law Offices of Hovanes Margarian can provide you a free case consultation. Our attorney Hovanes Margarian has a solid experience in the area of auto dealer fraud and can provide a very detailed study of your case.