Buying a Used Vehicle: Tips and One Recent Scam That Has Surfaced
Deciding when and whether to buy a used car is a difficult decision, one that should be made carefully, thoughtfully, and intelligently. Before buying or leasing a used vehicle, you would be wise to consider several factors, including –
Title and registration: Does the dealer or seller have a good title to the car? Is it registered? What is the title and registration history for the vehicle?
Damage to the vehicle? Is the vehicle damaged? Who will make the repairs before it is sold or leased or will you have to make them after it is sold or leased?
Maintenance history? How well did the previous owners maintain the vehicle? Is there a maintenance report?
Repair history? What is it? Is it accurate or complete?
Wreck history: Number of wrecks and when? Damage from each wreck. Was it totaled or rebuilt? Has it been flood damaged? Quality of previous repairs? For body repairs were aftermarket or factory parts used? Since the wreck, what problems have surfaced? How much will future damage caused by prior wrecks cost to repair?
Condition of the vehicle?
Actual mileage?
Was vehicle subject to a recall? If so, was the corrected?
How safe is the vehicle?
How much should you pay for the vehicle? What are others paying for a similar make and model?
How do independent sources or reviewers rate the vehicle? For instance, Consumer Reports is one source? There are others. Avoid buying a known lemon.
Have you had your own qualified mechanic inspect the vehicle before buying it? He or she can tell you the current problems and give you an idea of what likely problems will develop.
Carefully review reliable independent sources to determine the market value of the car or how much you should pay.
Understand the credit terms or seek credit sources other than what the dealer is offering. A higher interest rate, even a few percentage points, may mean that you will pay hundreds or thousands of dollars.
Ask specifically whether about any remaining original warranty from the manufacturer or if the dealer, not a third party, is actually offering any warranty. Buying a vehicle “as is” usually means that there is no warranty, but a car dealer may make representations about the vehicle that operate as a warranty. Is the warranty full or limited? What is the value of the warranty?
Are you being required to sign an arbitration agreement and give up your right to a jury and a court? Be wary.
Ask to see and keep a copy of any disclosure such as those required by state law or the Federal Trade Commission.
Before signing on the dotted line, read and review every document that you are asked to sign and receive a copy before you buy. Take notes of what the salesman is saying to you and ask him to put his statements in writing before you buy.
Don’t fall in love with a vehicle, focus on the vehicle, the deal and the terms. Is it a good deal from your perspective? Can you afford the payments and how long will you be paying for the car? What grace period do you have for a late payment? When triggers the dealer to repossess?
Doing your homework on the front-end can save headaches down the road.
A recent scam has come to our attention. Today, some businesses compile and make available much information about vehicles; for instance, has it been in a wreck in the past? Car Fax is a well-known source, advertises heavily, and is respected. CarFax and similar services will provide an information sheet about a particular vehicle’s past, and consumers often rely upon these reports. Carfax commercials encourage buyers to ask dealers to give them the Carfax reports before buying used cars.
However, a few dealers are scamming customers; they are giving customers false Carfax reports. These phony reports suggest that used cars are worth more than the vehicles actually are worth and that the vehicles have had fewer wrecks than they actually have. Consequently, those salespeople are providing false information about the vehicle. Apparently, the dealer receives the “real” CarFax and then changes it up to make the vehicle look clean or as if the vehicle has not been wrecked and does present not serious issues or just creates a phony CarFax. As a result, the consumer will pay more (or overpay) for the vehicle. Had the true facts about the vehicle been disclosed before the sale, the consumer would not have bought the vehicle or not paid as much for it. CarFax is a reputable company providing a good service. So make sure that the particular CatFax the dealer provides is the real CarFax and has not been altered by an unscrupulous salesperson.
If you suspect you are a victim of this scam, help is available. For more information, contact Attorney Perry A. Craft and learn your rights.
Perry A. Craft has dedicated his life to helping people in need. He has tried, settled, or resolved numerous civil and criminal cases in State and Federal courts, and has represented teachers and administrators before school boards, administrative judges, and the state Board of Education. Learn more about Attorney Craft.