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Tag Archives: Bait and Switch


There are various types of dealer fraud, since it can occur at different stages of the purchase process. The following are a few common types of dealer fraud that you should be aware about. Salvage Title Fraud A vehicle is considered to be ”salvaged” if it had been flooded or damaged considerably and was branded as a ”total loss” by the insurance company. Such vehicles are rather difficult and costly to repair; hence they are sold at vehicle yards at rather low prices to be rebuilt by certain individuals who then resell those vehicles to used car dealerships. If a used car dealership sells a vehicle without disclosing the …


Bait and Switch is a type of advertising fraud that involves offering a product at a very low price and then switching the potential buyer onto another product with a higher price and an inferior quality. This scam may be practiced when selling any kind of goods; starting with electronic items and ending with automobiles. Let us see what specifics vehicle Bait and Switch has. The scenario of vehicle Bait and Switch is the following: a buyer sees a car advertisement in their local newspaper or in a news website. The vehicle price is usually surprisingly high and the advertised vehicle is a dream car with all the features …


The “bait and switch” scam is a common advertising scam. It is practiced mainly when selling vehicles; however there are cases when the scam is practiced during the sale of other consumer products, as well. The scam involves advertising a specific vehicle in the Internet or in a magazine and then switching the potential buyer from the advertised vehicle from another one usually with a higher price. Sometimes, when the car shopper goes to the dealership, he/she is offered the same vehicle as in the advertisement. But the thing is that the vehicle usually comes without cables and other necessary equipment the installation of which turns out to cost …


There are many cases of automotive fraud that can occur during a car purchase in any state in the USA. Some of those cases include the following: • Non-disclosure of salvage title If a car has undergone a severe accident and/or flood, it gets a salvage title. Such cars are considered to be wrecks and very often, they are even hazardous for human life. Selling these cars without disclosing the fact that they are wrecks or that they have salvage titles is illegal and it is a type of automotive fraud. Usually, unsuspecting car buyers look only at the appearance of the car which is quite bearable. However, these …


Bait and switch technique is known as the oldest dealer trick ever. Imagine a situation where you are a car purchaser who has collected a certain amount of money to buy a car and suddenly, you find an advertisement in your local magazine that tells about a dream car at sale.  Naturally, you rush to the dealership to get the car. You think this is your fate and you are going to get the best of the deals. But it happens that the car you saw in the advertisement is no longer in the dealership as it is already sold. You get disappointed, and in order to calm you …


As you already know, the Law Offices of Hovanes Margarian deal both with autodealer fraud and Lemon Law cases.However, these two are quite different from each other. The main differentiating feature of auto dealer fraud cases is that a car dealer uses all possible unlawful tactics to sell a vehicle. As for the Lemon Law cases, they concentrate on the defects and problems of the vehicle itself. Now, let’s go into details and see all the characteristic features of both cases. Auto Dealer Fraud Law refers to those unlawful and deceptive practices on the part of the dealer which occur at any stage of car buying process (advertising, financing, …


Along with the newest car dealer tricks there exist also older ones which are practiced by fraudulent people almost every day. One of the above-mentioned scams is the legendary “Bait and Switch” advertising practice. As can be understood by the name, “Bait and Switch” refers to car advertising, which, however is not a common way of advertisement. Sometimes it seems so “harmless” that we cannot even call it an illegal action rather than a marketing ploy. But the truth is that “Bait and Switch” IS illegal and it IS prosecuted by the law. The aim of the “Bait and Switch” advertising is to trap the car buyer into the …


“Bait and switch” is a form of car dealer fraud in which the customers are lured by a vehicle advertized at an unprofitably low price. This is done to attract the unwary customers toward buying a higher-priced vehicle. When the buyer arrives, he/she is told that unfortunately the advertised car is not available at that time or at the stated price, but there is a substitute very similar to the one which was advertized at a higher prize.


There is nothing worse than falling for car dealer tricks and letting the dealer to rob your hard earned money. You can avoid car sales scams if you enter the car dealership prepared. In this blog we will share 5 quick tips with you that you must know to avoid getting taken by a fraudulent car salesman. Know your limit. Before entering the dealership know exactly how much you can afford to pay.  The car salesman’s job is to sell you a car and make a profit and they will always try to persuade you to spend more.  If you know your spending limit you will not leave the dealership regretting …


1.    Step 1 Understand that aim of any bait and switch artist is to get the person inside the store. If you go to purchase a particular car at a certain price, and the car is gone, you may have been lured by bait. Don’t bite. Insist on a rain check for the car. If you can’t get one, leave the store. 2.    Step 2 Play the skeptic. If a price sounds too good to be true, assume that it’s nothing more than bait. For example, a car dealership ad may feature a car at a great price, but you find out it has no special features. Also the …

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