The pandemic has led to a surge in demand for new vehicles, with waiting lists reaching unprecedented lengths. Against this backdrop, some dealers are clearly trying to take advantage of the situation.
It has recently come to light that a number of dealers have been engaging in questionable practices with their customers, trying to extract more money from them.
This is happening more and more. These practices are illegal, and there are ways to counter them. Here’s an overview of the types of scams to watch out for when buying a new car.
Be cautious when buying a new car!
When you’re in the process of buying a new vehicle and you sign an offer to purchase, be aware that dealers have absolutely no right to change the price after the fact.
The Consumer Protection Act obliges the dealer to respect the initial purchase offer. As a consumer, you can withdraw from this offer without having to provide any reason. The dealer, on the other hand, has no such right.
Unfortunately, we’ve learned that some dealers try to increase the price after the fact, therefore not respecting the purchase offer.
In such a situation, customers feel held hostage and are even denied services if they don’t accept the new price. Their file may be shelved, and they may have to wait even longer to buy their new vehicle.
Please understand that this approach is illegal. It involves threats and illegitimate gestures designed to induce the customer to enter into a new contract. This is called a defect in consent.
We’ve also observed a troubling trend of increasingly aggressive maneuvers to extract more and more money, including the requirement for a customer to take out tire insurance on his vehicle lease — a highly unusual practice.