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The goal of every car salesperson is to sell vehicles and make a profit doing it. Your goal, as a customer, is to find the vehicle you want and pay a price that is reasonable. To do that, it is important to know a little bit about the ploys salespeople will use. Ploys such as:
Quoting More for a Factory Order
Do not agree to pay more if a dealer must order your car and the options you want from the factory. This costs the dealer nothing more, although many claim it does.
Requesting a Deposit by Check
Use a credit card, rather than a check or cash, if a dealer says you must put down a deposit to secure the deal. If the deal goes sour it may be difficult to arrange refund of a check that has been cashed.
Asking for a Copy of Your Driver’s License
Don’t let a car dealership photocopy your driver’s license before a test drive. Although dealers will request the photocopy “in case” something happens, some unscrupulous dealers will use it to run an unauthorized credit check that could adversely affect your credit rating, especially if several dealers do the same thing.
Contact the credit agency and request a copy of your credit report if you suspect a dealer has run a credit check without your permission. Requesting a copy of your own credit report will not adversely affect your credit rating.
Announcing Financing has Fallen Through
Arrange financing in advance, especially if your credit is questionable. That way there is no chance you’ll here the words “your financing has fallen through” during, or weeks after the deal. How’s it possible for financing to fall through after a deal? That’s because most contracts have the words “subject to financing” hidden somewhere. If your FICO score is low a dealer may bump your interest rate after you’ve signed on the dotted line.
Borrowers with a FICO score above 680 are generally considered “prime borrowers” while those with scores below 680 are considered “sub prime” and are likely to pay a much higher interest rate. If your FICO score is 550 or below, your chances of securing a car loan are almost non-existent.
Charge Exorbitantly to Etch the VIN Number
Refuse to pay if the dealer tells you the bank requires VIN# window etching at a cost ranging from $300-$900. Instead, order a do-it-yourself kit for about $30. If there is no VIN etch fee, look for it hidden in your monthly payment. Ask if you aren’t sure.
Remember
Not all auto salespeople and dealerships use these less than savory ploys – and by checking carefully you are not accusing them of doing so – you are being a wise consumer.
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