What are the ways dealers cheat consumers in California?

There are many dishonest dealers in California that are all too delighted to take advantage of and defraud consumers. Educating yourself is the best thing you can do to protect yourself against such tactics. You may protect yourself from being a victim of vehicle dealer fraud by using the information offered here.Dealers are in many bad practices with California law and it’s too important to be aware of such things and not become a victim of fraud.

6 ways dealers cheat you:

  1. Prior, Undisclosed Accident

  2. Salvage Title “Total Loss”

  3. Odometer Rollback

  4. Mechanical Damages & Defects

  5. Prior, Undisclosed Rental Use

  6. Contract Errors & Forged Signatures

  • Not providing essential vehicle information

Whether or not you ask for them, a dealer has an affirmative responsibility to disclose some material concerning a car. It includes disclosing if a car was the subject of a lemon law buyback, had previously been rented, declared a total loss or salvage, or had been involved in an accident resulting in significant damage to the suspension or structural integrity.Inquire with the dealer whether the car has been in an accident or has any other issues.

  •  violating “the single document” rule

According to California law, all responsibilities of both parties about the entire cost and terms of payment in a car transaction must be specified in a single contract. Dealerships, on the other hand, attempt to avoid this by having customers sign trade-in forms (in which the customer agrees to pay any difference between the trade-in value), hold-check agreements (in which a dealership signs an agreement promising not to cash a deposit check until after a certain date), and separate promissory notes when deferring your down payment and not paying it on the day of purchase. When signing your contract, double-check that it covers all of your promises regarding when and how you will pay for your vehicle.

  • Trying to sell a used car as a new

A car that has been used as a demonstrator or that has been purchased and returned for whatever. The reason cannot lawfully be marketed as new.To find out why your new car has so many miles on it, ask the dealer whether the odometer reading seems high.

Nevertheless, if your vehicle has these problems, The Margarian Law Firm can help you. The Margarian Law Firm specializes in Lemon Law, Dealer Fraud, and Consumer Class Actions. If your vehicle is a Lemon, or if you were victim to dealer fraud, then reach out to The Margarian Law Firm at (818) 553-1000


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