SolveYourProblem
eLearning Series: Buying A Car
How Do I Buy a Car
Without Getting Ripped Off?
( 17 pages )
Top 10 Car Dealership
Scams
1.
The VIN# window etching scam
Basically
a dealer will charge you $300-$900 for window etching and
they will tell you that you have to pay the money to get
the loan because the banks insists on it.
Some
dealers might tell you that the etching is free but will
add on the etch money to your monthly payments to make
up for it.
The
best way to avoid this scam is to force the dealer to put
it in writing if they say that the etching is free or simply
etch the car yourself.
You
can get an etch-it-yourself kit from http://www.CarEtch.com
for $30 or just don’t buy the car.
Remember a lender doesn’t require that you purchase any extras
on a car. All the lender cares about is that you can make
your payments on time regularly. Don’t buy into it.
2. The Financing Scam
I
have mentioned this before already, but here it is in more
detail.
Basically
you trade in your old car and the finance manager tells
you that your interest rate is good and then gives you
the car.
After
a week or two passes you get the call from him that you
didn’t qualify for the interest rates that they gave you
upon making the deal.
Every
new purchase has a clause in the contract that usually
states that the deal is “subject to loan approval.”
This
gives the finance manager a loop hole in getting more money
out of you. All that this means in the contract is that
the deal is not finished yet even you already have possession
of the car
and have signed the contract.
The
dealer can then charge you $1000 more in finance fees and
up your monthly payments by $50. This
scam is generally pulled on people with bad credit because
it is more plausible.
If
you are wondering why they would sell you the car at 6%
APR if they knew you had bad credit (remember they ran
the credit search already) the answer is simple; to sell
the car.
You
can avoid this scam by not financing the car with the dealer
if you know that you have bad credit.
You
are better off going to a credit union and financing the
car yourself. When you buy a new car the deal should be
made on the price of the car, not on the monthly payments.
 
> Home > Buy
a Car Main Page
|
