Dealership Tricks Can Be Tough to Avoid
In a perfect world, trips to the car dealership should be straightforward and easy. But as we all know, that's not the case in reality! There are plenty of stumbling blocks to navigate. And some of the toughest are the clever ruses put in place by the dealers. How can you avoid them? Well, we're going to give you a helping hand right here. You'll never fall for the following tricks again.
The Bait-And-Switch Trap
The bait-and-switch trap is a very easy trick to fall victim to. It usually starts with an advert pushing a great deal for a specific vehicle. Then, once you arrive at the dealership to grab the offer, you'll be told that another customer has just bought the car. But to capitlize on your interest, they'll present you with a similar motor that has a slightly higher price. Cheeky!
Misleading Advertising
We're just going to come out and say it — misleading advertising is absolutely infuriating. And sadly, people continue to fall for it when buying cars. It can be tricky to spot, though. The usual tactic sees dealers promoting a fully-loaded vehicle for a low price. But here's the catch. That figure is just for the base model. All the extras from the ad cost more.
Small-Print Smokescreen
Never skip over the fine print, guys — especially in car adverts. Dealers can sometimes hide very important information in those paragraphs, hoping you won't see it. Whether it's a stipulation or disclaimer, you can be disqualified from an offer quite easily. So don't fall for the small-print smokescreen once you reach the dealership. It's better to learn the truth at home!
Folding Options Into Monthly Payments
In most cases, a dealer will try to sell you a number of add-ons when you're buying a car. Yet here's where it gets tricky. By turning them down, they might attempt to fold the options into your monthly payments and sell it to you that way. As it seems cheaper, you may be more open to the idea. But ask yourself this — do you really need that stuff?
Negotiating Based on Monthly Payments
When the discussion turns towards monthly payments, be on your guard. Dealers have put plenty of people on the back foot here! If you're asked outright how much you are willing to spend on a car each month, don't answer. The figure can be used against you. Remember, really expensive vehicles can be sold to you on a lower budget, with the payments stretching out for years.
How Will You Be Paying?
This might sound like a reasonable question from the dealer, but it's actually another trick. Yep, if they ask how you're planning to pay for a vehicle prior to negotiations, keep your cards close to your chest. Much like with the monthly payments, this can be used against you. Hash out the price first, then focus on that stuff.
See Dealer for Details
There's lots of fantastic offers on cars that are 100 percent genuine. But it can be tough to find them when mixed in with the more deceptive deals. This should help, though. If a promotion asks you to "see dealer for details," that's usually a major red flag. The offer often hinges on stipulations that you're realistically never going to fulfill.
Avoidable Fees
From registration fees to sales taxes, certain payments are unavoidable when buying a car. But dealers might try to sneak a few unnecessary fees into the bundle as well. And they're easy to miss. We're talking market adjustment fees, loan payment fees, advertising fees — stuff like that. If you spot any of them, don't be afraid to speak up.
Extended Warranties
We don't blame anyone for wanting to buy an extended warranty for their car. It's a nice security blanket to have! But even so, you've got to be cautious. If a dealer offers you one, be sure to look at other options from different places so you can compare them. The dealership's warranty might not be that great, all things considered.
Extended Warranties on Leases
Remember this, folks — never buy an extended warranty for a leased car. If a dealer tries to sell you one, it's a nasty trick! Most new vehicles on leases are already covered by a manufacturer's warranty, otherwise known as a bumper-to-bumper warranty. Adding another plan on top of that is a complete waste of your money.
VIN Etching
VIN etching is a pretty neat idea. It's a simple security measure to put off thieves from stealing your car. But here's a word of advice — if a dealership offers to do this service for you, turn them down. In most cases, they'll overcharge you! The nearby mechanic is usually a cheaper option, as is going down the DIY route.
Paint Sealant
When a dealer offers you a paint sealant add-on for your new car, should you accept it? No way! You'd essentially be flushing your cash down the toilet. The paint used on modern vehicles is made of stern stuff. It can handle bad weather and unpredictable conditions. Sealant doesn't bring anything new to the table, folks.
GAP Insurance
Guaranteed asset protection insurance, also known as GAP, is frequently offered at car dealerships. And honestly? It's not the worst plan. Plenty of folks are drawn to it. But keep this in mind. GAP insurance isn't a dealer exclusive. Other providers offer it — and usually for a cheaper price. Don't be afraid to shop around.
The Yo-Yo Scam
We need to be clear here. The yo-yo scam is 100 percent illegal — if it's happened to you, get in touch with the Federal Trade Commission as soon as possible. Here's how it works. After signing the contract and bringing your new car home, the dealer calls a short time later. They'll claim that the financial stuff didn't get the green-light, before asking you to sign a different deal at a higher interest rate. Yikes!
Spot Delivery
If your loan application is still being processed by the dealership, they might allow you to take the car home before everything gets finalized. This is known as spot delivery, and it sounds pretty cool! Should you accept the offer, though? Probably not. It's a bit too risky. Depending on the dealer, it could lead to a yo-yo scam.
Low-Balling Trade-Ins
When it comes to trade-ins, you've got to do your research. Once you know how much the car's worth, then you can start to plan for negotiations at the dealership. If you go in blind, there's a very high chance that you'll be low-balled and left wiith a poor deal. Don't let that happen!
Offering Good Trade-In Value With a Catch
This clever trick is the flip side of the previous entry. Some dealers might overvalue your trade-in by a significant amount. But it usually comes with a catch. In most cases, they'll raise the price of the new vehicle to make up the difference. So no, it isn't a great deal!
The Four-Square Tactic
When you're on the verge of buying a new car, watch the dealer closely. If they pull out a sheet of paper and start sketching four squares, run away! This infamous trick is known as the four-square tactic, and it's used to confuse people about the financial side of the deal.
Talking Buyers Into Leasing
If you walk into a dealership with the intention of buying a car, don't let the dealer try to sway you into a lease instead. Persuasive or not, it's your decision. And ask yourself this — why are they pushing you in that direction? It's simple, really. Dealers earn more cash from leasing a vehicle!
