Let’s take a closer look at auto fraud here in the United States. The issue of auto fraud has gained ground in the country over the last few years and it’s happening to the average car owner. It’s time to pay attention to how you may be caught in a fraudulent scheme. Here are four of the most egregious auto fraud ploys perpetrated on the auto buying public:
Fraud #1 - The car switch game called "yo-yo". This is where you sign all the required paperwork at the dealership and drive off with the vehicle with the belief that you own the car. Within hours you're notified that your financing was denied and you have to sign new paperwork with a higher interest rate and larger down payment. It's an old trick; don't fall for it.
Fraud #2 - The damaged car fraud. Nefarious used car dealers go "junk yard" hunting and purchase cars that were in wrecks or floods declared as "totaled." These rebuilt wrecks are unsafe to drive even after some cosmetic fix. Check the VIN number with the DMV to get the real facts or contact a trusted mechanic to give a "once over" before you buy this or any other car from this used car shop.
Fraud #3 - The trade-in money switches. Watch out if any dealer agrees to pay you more for your trade-in than it's really worth. While you may love this gesture and think you're getting a great deal, the debt you still owe on your old car is now being transferred to the price of your new car and added to the loan cost figures on your new car.
Fraud #4 - Car dealer "loan packing." Dealers may entice you to purchase "add-on-items” you don't need or add any value to your car purchase. Read your contract carefully including the tiny print, as well as paperwork your dealer doesn't want you to read, and avoid these: GAP insurance, theft-etching, rust proofing, an extended service warranty, and lifetime oil changes.
Fraud #1 - The car switch game called "yo-yo". This is where you sign all the required paperwork at the dealership and drive off with the vehicle with the belief that you own the car. Within hours you're notified that your financing was denied and you have to sign new paperwork with a higher interest rate and larger down payment. It's an old trick; don't fall for it.
Fraud #2 - The damaged car fraud. Nefarious used car dealers go "junk yard" hunting and purchase cars that were in wrecks or floods declared as "totaled." These rebuilt wrecks are unsafe to drive even after some cosmetic fix. Check the VIN number with the DMV to get the real facts or contact a trusted mechanic to give a "once over" before you buy this or any other car from this used car shop.
Fraud #3 - The trade-in money switches. Watch out if any dealer agrees to pay you more for your trade-in than it's really worth. While you may love this gesture and think you're getting a great deal, the debt you still owe on your old car is now being transferred to the price of your new car and added to the loan cost figures on your new car.
Fraud #4 - Car dealer "loan packing." Dealers may entice you to purchase "add-on-items” you don't need or add any value to your car purchase. Read your contract carefully including the tiny print, as well as paperwork your dealer doesn't want you to read, and avoid these: GAP insurance, theft-etching, rust proofing, an extended service warranty, and lifetime oil changes.
Too many dealers and fraudsters prey on the average person. Don’t become the victim of such a rough scam. However, if you believe you’ve been tricked or believe to be a victim of fraud, then you can take legal action to defend yourself.
At Johnson & Biscone law firm in Oklahoma City, you can consult with expert attorneys who are experienced in dealing with auto fraud cases. The attorneys at Johnson & Biscone can represent you until the bitter end and help you recover what you lost and more.
Don’t get scammed – instead get legal help and protection. Auto fraud in Oklahoma can happen if you’re not careful. If you need to consult an attorney, your first consultation is free at Johnson & Biscone.
