The Ultimate List of the Worst Car Scams
In fact, purchasing a new vehicle requires a great deal of concentration, appropriate research, and attention to details. Typically, consumers who rush into a purchase, usually end up losing their hard-earned money for obtaining a vehicle of low quality. Sadly, today’s auto market is full of unethical car dealers who are known for their unlawful practices. In other words, they make a fortune at the expense of innocent car buyers. However, after a certain period of time, you may discover that your “beloved” vehicle has problems. Being properly educated is the key to protecting yourself from dishonest car dealers. Do you want to learn about the worst car scams that dealers use? Thus, here they are:
Lying about the consumer’s credit score
Lying about the consumer’s credit score is among the worst car scams. Dishonest dealers use it for trapping unsuspecting car shoppers. Unfortunately, a lot of car buyers aren’t aware of their credit score and some dealers use this to make more money. As a result, uninformed consumers have to pay higher interest rates on their car loan. Sometimes, even consumers who have good credit score may fall victims of this fraud. As a rule, the key to preventing this auto dealer fraud is having a clear idea of your credit score. It is not a wise decision to rely on the official printouts that dealers provide. Have you ever checked your credit score? Don’t hesitate to do it. You can get your credit score from the bank. Only after having access to this information you can set your foot in a car dealership with confidence.
The co-signer scam
What is a co-signer scam? To help you understand one of the worst car scams, let’s refer to a typical situation characterizing it. Your best friend has been dreaming of becoming the owner of a luxury car. He/she heads to the dealership, where nothing pleasant is waiting for this person. It turns out that your friend isn’t eligible for a car loan. However, “extremely helpful” dealers have solutions to any problem.
The only way out of this situation, as the dealer suggests is finding a co-signer. Since you have a good credit score and your friend asks for help, you simply agree to this suggestion. After some time you find out that the dealer succeeded in misleading you to sign a different contract. That is to say, the vehicle is in your name. This is really a frustrating situation. To prevent it, don’t agree to act as a co-signer. Even if you agree to this step, read the paperwork in detail before signing it.
Buy-lease switch car scam
First of all, we would like to refer to the difference between buying and leasing. If you buy a car, you are the owner of the vehicle in question after making the required payments. When you lease a vehicle, you can use the current vehicle for a concrete period of time. The peculiarity of leasing is that you make payments on the vehicle on a monthly basis. You have to return the car when the lease period is over. That is to say, you don’t own the vehicle. Furthermore, in case you wish to return the vehicle prior to the agreed time, be ready to pay penalties.
So, here are characteristic features of this scam. The dealer makes you believe that you are buying a vehicle when the reality is that you are leasing it. Some dealers cheat buyers by telling them that they will own the vehicle when the lease period is over. However, the opposite variant is also possible. But this is not true. To avoid such situations, make sure that you read the contract carefully. In addition to that, whether buying or leasing a vehicle, you have to be aware of your obligations.
Title washing is also on the list of the widespread and worst car scams. It occurs when a car seller succeeds in forging a title or utilizing a blank title. The main goal is to conceal the real history of the vehicle. Logically, they fail to disclose this information because something is obviously wrong with the car. Most probably, the vehicle has “a dark past”. Maybe it has experienced flood damage, accidents or is stolen. Purchasing such vehicles means taking a huge risk, as they aren’t safe and reliable. The most reasonable step in this situation is researching the vehicle’s history before purchasing it. To do this, you simply need the VIN number of the car.
So, now you are familiar with some of the worst car scams in the auto market. If you find yourself stuck with a vehicle that malfunctions and you suspect that you are the victim of the auto dealer fraud, here is what you should do. Find a reliable auto dealer fraud attorney to protect your interests. Trustworthy attorneys at the Margarian Law Firm will fight for your rights and help you get a refund.