A dealer has a variety of tactics to extort more money from you than a car is worth. While there may be some room for negotiation when drafting a car buying contract, dealers must be open and truthful about what you are purchasing. So how can you tell whether a dealer is engaging in dishonest behavior? We go over a few typical fraud schemes that car dealerships use.

1 – Bait-and-switch advertising

When a dealer says that a price that has been advertised is no longer valid, he can be engaging in bait and switch. If it turns out that the quoted price was never truly available for the vehicles, the dealer may have committed fraud. Always study the small print in advertisements, confirm the offer over the phone, and carry the advertisement with you to the dealership. You might have a fraud case if he won't honor the ad.

2 - Purchase-lease switch

You've chosen to purchase a vehicle rather than lease one, but the contract you're being asked to sign isn't entirely clear. Avoid falling victim to this prevalent fraud. Dealers will make an effort to persuade you that a lease is equivalent to a buy. Make sure the contract doesn't contain the phrase "lease" anywhere by reading it carefully. Understand that if a salesperson says you will own the car at the end of the lease, that will only be the case until you make a sizable down payment.

3 - Payment packing

Some sellers "load the contract" with extra features and services that you didn't want. The purchase agreement for an automobile may be amended to include fees for extras like protection plans, extended warranties, rustproofing, and other accessories. To locate these items, carefully read the car buying contract.

For more information, log in to https://www.allenstewart.com/practice-areas/auto-fraud-attorneys/what-is-payment-packing-fraud/.

About the company

The Allen Stewart law firm offers exceptional services and assistance for cases involving auto fraud, including lemon laws. They are a reputable law company with extensive expertise in automobile fraud, including fraud committed by auto dealerships.

Contact

Address: 1700 Pacific Avenue Suite 2750 Dallas, Texas, 75201
Phone: 214-965-8700; 866-440-2460
Website: https://www.allenstewart.com/