Buying A Used Car: Red Flags To Look ForPosted July 15, 2014
Buying a used car probably tops the list of one of life’s most stressful experiences, and this is especially true when you’re dealing with a car salesman who appears to be determined to force you into a deal that raises red flags.
There are red flags to look for when buying a used car:
- Look for acronyms such as MVA (Market Value Adjustment) which is a typical way to increase the dealer’s price in order to make a larger profit. Also look for ADM (Adjusted Dealer Markup) which is another way a dealer attempts to justify a price increase, but simply means they may have added such things as tinted windshields, a better stereo system, etc., but keep in mind these additions did not come close to costing the dealer what he now wants to charge you.
- Always check to ensure the car’s title is clear and without any liens against it. There are several online sites that enable you to check car titles, one of which is Carfax.
- Check out the mechanical aspect by taking the car to a trusted mechanic of YOUR choice. Most legitimate used car dealers will encourage you to have their used cars checked out by your own mechanic.
- Financing a used car from the dealership may not be your best deal. Lining up financing with your own bank prior to looking at used cars will often ensure that you get a better interest rate, and in some cases a better deal altogether. If you decide to have your used car financed by the dealership, be sure to read the fine print, and always make sure you understand exactly how much your interest rate is before signing any documents. Never leave the dealership with the car until the deal is complete. A common tactic of used car dealers is to tell you they will have to finalize the deal when they hear back from their financing department, but they want you to go ahead and sign all the paperwork and take the car home, then they call you the next day to tell you they are going to have to charge you a higher interest rate due to some snag in the financing.
Oklahoma Car Dealer Fraud
There are consumer laws to protect Oklahoma residents from used car fraud. If a used car dealer has defrauded you by selling you a used car that did not have a clear title or one that had mechanical problems the dealer failed to discuss with you, contact one of our bad faith insurance attorneys.