Tag Archives: extended warranty

“Should I buy an extended warranty?”—Everybody who has ever bought or leased a car has at least once had this question in his/her mind. I should say that there is no definite answer, though the common answer to this is–“Extended warranties aren’t worth it.” Well, let me disagree, overall it depends on… Many car dealers will surely try to convince you that extended warranty is a great deal, but never rush to believe unless you do your own research. You should consider several things while deciding on whether to buy an extended warranty for your new car or not. 1.Car’s Reliability: While deciding whether to buy an extended warranty …

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The Market Adjustment Fee The car dealer tells you that your car is a really popular vehicle, and to sell it to you they have to add “Market Adjustment Fees” of several thousand dollars. This amount is normally indicated on an orange sticker next to manufacturer’s MSRP sticker. A car may be popular, but if it is in stock, it is not worth paying extra for it. Many buyers, particularly trade-in buyers, have been ripped off before. They focus only on what they get for their old car, and so they don’t see the big picture. They may get an extra few thousand dollars for their car, but they …

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Many of you have probably received postcards in the mail or phone calls urging them to buy auto warranties, but many of these unscrupulous companies simply take money from consumers and leave them with little help when repairs are needed. Read our blog to avoid these car scams. 1.   Step 1 Avoid companies with little history in the auto business. If the company goes out of business, you will have to pay for your own car repairs. 2.  Step 2 Stay away from any dealership that claims that you must buy a warranty in order for your financing to be approved. This is a common  car scam. 3.    Step …

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A Forced Warranty Scam occurs when a finance manager tells you that you are not eligible for a loan from the bank unless you pay an extra amount of money for an extended warranty. You can avoid a scam such as this by asking the finance manager to put in writing the fact that you “have” to pay for the extended warranty in order to get the loan.  Also, you may want to tell the finance manager that you want to check with the State’s Attorney General’s office to verify that such a request is lawful.  If you respond in either of these ways, it is likely that the …

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There’s nothing like scams to bring your blood to a boil. The car industry is the one that is hit a lot by scams. New car dealers scams are a dime a dozen. You will surely find yourself as the next victim of these unscrupulous individuals, in case you are not vigilant enough. What you must know though is that there are several ways for protecting yourself from new car dealer scams and some the best methods to do so are discussed in this article. So if you are planning to buy a car and you want to protect yourself from scams, read on. You must be aware of the common …

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Car dealer scams happen more than you think it does. However, you can avoid them by being more careful and being more aware of the most common dealer tricks and secrets. Keep in mind that dealers pretend that they are acting in your best interest, but, in fact, all they are concerned is making as much profit from the transaction as possible. They will try to add extra items and other product that you don’t need. Sometimes dealers will scam you into paying more than necessary. For example your car dealer may offer you a windshield etching to protect your car from theft. You can get this for only …

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Buying a car with a bad credit is not leaving car buyers with a lot of options. Sometimes their only choice for finding finance for their new purchase is a car dealer loan. Car dealer loan deals are not that bad as many people think. However it is true that they may hide a lot of surprises so if you are planning to use a car dealer loan you should be extra careful. The first thing to watch out for is if the interest rate is fixed. By fixed we mean clearly stated in your contract and that all is written in a way that wouldn’t allow the car …

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Following are some of the common scams and how to avoid them: Terminate your lease early for a low penalty This is an all-time leasing scam. This is how it occurs. You ask your dealer how much you will pay if you want to terminate your lease and he tells you: “You want to get out early? Sure thing, you only pay an early termination fee of $300”. What he is quoting is only the small administrative penalty of early termination, there is a much stiffer penalty called early termination fee and this runs into thousands of dollars. Do not confuse the early termination administrative penalty with the termination …

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It is a common scene to see a lot of added fees on the car of your choice even if a price has already been agreed upon by both parties. Extended Warranty: You are the one who have to decide whether or not a warranty will be added an extra year. No dealer maneuvering should be making that decision. Dealer Preps: Try to not pay more than what is listed on the car site or the sticker price. Some dealers try to add dealer prep costs when the price is already in plain sight. The Big APR Switch: This may be the most disappointing and frustrating scam a buyer …

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The forced warranty scam happens when the finance manager at the dealership informs you that you are not eligible for the loan by the bank unless you pay an extra $2000 for a 2-3 year extended warranty. Actually, this scam doesn’t make any sense. Basically, the finance manager is telling you that the bank won’t trust you to pay the $20,000 loan for the car; however they will trust you if you pay even more money. If you believe that the finance manager at the dealership tries to scam you force them to put in writing that you “have” to pay the extended warranty in order to get the …

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