Car Dealer Scams: Keep Your Guard Up At The Dealership

Both of these car salespeople are out to cheat you; one just dresses better and calls himself a ‘Finance Manager.’

Don’t be fooled; read this excellent article on common car dealer scams and keep these things in mind:

  1. If you qualify for a 3% loan, the dealer may tell you only qualified for 6% because it gets a huge kick-back from the bank if it gets you to agree at 6%.
  2. Extended warranties, glass protection, and other add-on’s are usually worthless and more than 1/2 of what you pay for them can end up in the salesperson’s pocket as pure profit.
  3. Never, never, never buy a car until you have visited at least 2 different dealerships over the course 2 weeks.
  4. Never, never put money down on a car until you have agreed in writing on all the terms of the transaction.  (If a dealer gets you to make even a token ‘good faith’ deposit, it knows you are a sucker and they will take you for all you have.)
  5. Whatever deal they offer you today will get better after you walk out and shop around for a few days.

Read more about buying a new or used car here.

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