Consumer Fraud & Auto Dealership Fraud

The numbers are staggering.

In 2006 there were 16.5 million new cars sold in the United States. The average selling price of a new car was almost $28,000 and $16,000 for a used car. In New Jersey car revenues were 23 BILLION dollars averaging over thirty nine per MILION per dealership. Most importantly retail car sales account for almost 22% of all retail sales.

The auto industry is big money with a lot of political clout. The selling of a car is a complicated process one in which you have no real chance to be successful. It is an art. The art of the rip-off. They distract, delay and confuse you in many ways. After a while you just sign the papers so you can leave the dealership. Does this sound familiar? It should. Is occurs hundreds of times every day in every New Jersey County.

Years of litigation has revealed a host of well rehearsed and unfortunately common practices.

Vehicle History

The salesman will lie about the history of the car and not tell you that the car was in an accident or that the car was a rental car. The law requires material facts to be disclosed.

Credit Applications

Salesman will have consumer sign a blank credit application and place false information to have credit approved.

Misleading Advertisements

New paper advertisements with fine print and confusing disclaimers.

Window Etching

This product is overpriced and has very little to offer the consumers who purchase cars.  Window etching is a product that offers a benefir for those "choose" to purchase the product.  This product on the net is always cheaper than at the dealership even if you do want to use the product.  Usually it appears as a pre printed item on the buyers order or other dealer documents.

Appearance Packages

What is this? The dealers will place $50 worth of wheel well molding or pin stripping and charge as much as $1,695. There is no disclosure as to what you are buying.

Payoff Trade

The dealer will tell you that they are paying the trade vehicle off when they are actually packing the payoff into the new lease or purchase.

Odometer Roll back

Many cars have the odometer rolled back either with or without the knowledge of the dealership.