Chat with us, powered by LiveChat
×

Margarian Law Firm

Margarian Law Firm

We are a full service law firm in Los Angeles, California.

Phone: (818) 553-1000
Email: info@margarianlaw.com

The Margarian Law Firm
801 N. Brand Blvd. Suite 210, Glendale, CA 91203

Open in Google Maps
(818) 553-1000
  • AREAS OF PRACTICE
    • Class Action Lawsuits
    • CA Lemon Law
    • CA Auto Dealer Fraud
  • ABOUT US
    • OUR TEAM
    • SCHOLARSHIP
  • OUR BLOG
  • CONTACT US

What You Need to Know About Auto Dealer Fraud

by Publisher / Tuesday, 15 December 2020 / Published in Auto Dealer Fraud
Auto Dealer Fraud

One of the most common types of consumer fraud is auto dealer fraud. Auto dealer fraud occurs when a car dealer misrepresents, conceals, or fails to disclose an important fact concerning the sale of a new or used vehicle. Though car dealer fraud is a widespread problem in the United States, consumers do have rights against fraudulent dealers.

In this article, you will learn about the most common tricks car dealers use (plus, what to do if you think you have been a victim of auto dealer fraud). 

The Most Common Types of Car Dealer Fraud

“Bait and Switch”: This is an advertising tactic in which the dealer advertises a car at a great price, but when you show up at the dealership, they say the vehicle is no longer available. Then they try to sell a more expensive vehicle (or the advertised vehicle at a price higher than the advertised price).

Mileage Rollback – Also Known as “Odometer Rollback”: This is an illegal practice in which used car dealers roll back odometers to conceal a vehicle’s actual mileage.

Failing to Disclose Past Damage: Fraudulent dealers sometimes try to sell vehicles without disclosing that a vehicle has been salvaged after an accident or damaged in a flood.

Representing a Used Vehicle as “New”: Another serious type of dealer fraud is when a car dealership lies and says the car is new when it is used (and was actually returned to the dealer because of a defect).

“Yo-yo” Financing: The dealer assures the consumer the deal is final but several weeks later contacts the buyer telling that the financing was rejected. The buyer will then be forced to pay a higher interest rate in order to keep the car. 

As you can see, most types of auto dealer fraud can be characterized as either non-disclosures or affirmative misrepresentations. The first occurs when a dealer withholds information that affects the value or desirability of the vehicle, while in case of an affirmative misrepresentation a car dealership adds or changes information to make the vehicle more appealing.

Your First Step – Contact a Dealer Fraud Attorney!

If you have any suspicion that the dealer committed fraud, don’t wait — contact an auto dealer fraud lawyer for a consultation. Attorneys at the Margarian Law Firm will determine if you can sue a car dealership, as well as help you get out of contracts, replace, repurchase, or even return your vehicle to get your money back. Call us at (818) 553-1000 for a FREE consultation!

  • Tweet
Tagged under: 5 tips to avoid dealer fraud, Auto Dealer Fraud, auto dealer fraud attorneys, car dealer fraud

About Publisher

What you can read next

Car Dealers
5 Little-Known Ways Car Dealers Rip You Off
auto fraud lawyer
5 Reasons to Sue with the Help of Your Auto Fraud Lawyer
Car Recall
What Is a Car Recall and How Do You Deal With It?

Categories

Class Action

  • Audi Oil Consumption Class Action
  • City of Los Angeles Class Action
  • BMW Auto Start Stop Engine Class Action
  • BMW Fuel Pump Class Action Objection

Featured Posts

  • Car Issues

    7 Common Car Issues Every Driver Needs to Be Aware of

    0 comments

SEND US AN EMAIL

    Name *

    Email *

    Phone *

    Message *

    Please enter safe code *
    captcha

    • The Margarian Law Firm
      Automotive Litigation Attorneys
    • 801 N. Brand Blvd., Suite 210
      Glendale, CA 91203
    • (818) 553-1000
      Info@MargarianLaw.com
    • (866) 97 LEMON
      (866) 975-3666

    © 2021 The Margarian Law Firm. All rights reserved.

    TOP Call Now Button