By knowing what common things are done to commit
fraud, you can be more cautious when buying a used car. Look for
signs that may point to any of the following points when buying
a car. Some of the most common areas of consumer fraud include:
Odometer Fraud
Rollbacks, misrepresentations in advertising,
forging odometer disclosure statements and misrepresenting the vehicles
mileage (e.g. the odometer read 41,000 when it should actually be
141,000)
Prior Damage
Many vehicles are bought from auction houses
and have been in an accident or salvaged without the consumer's
knowledge.
Rental Vehicles
A new trend in consumer fraud is selling used
rental vehicles as a "demo" with the consumer believing
that the vehicle was executive driven. A rental vehicle is subject
to a lot more "wear and tear" and most consumers are displeased
once they find out that their new "demo" was driven as
a rental car.
Spot Delivery
A dealer allowing you to take a vehicle home
at night, then requiring a larger down payment the next day when
the salesman claims he could not get you financing.
Force Placed Insurance or Service Contracts
adding unwanted insurance or extended warranties
to the contract without the consumer's knowledge.
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