I have come across the list of the top 5 scams while purchasing a new car. In this world where new car purchases are rising, it becomes imperative to be mindful of the foul practices that carmakers often adopt. These tips come from Mycarhelpline.com on YouTube. The host shares these common mistakes which people commit during making the decision to buy a new car. Let us delve deep into these here.
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5 Car Purchasing Scams
Artificial Waiting Periods
The YouTuber clearly points fingers at carmakers who show fake waiting times on their cars. That leaves a notion that the vehicle is in great demand. However, in reality, the situation is not so. After they get the potential buyer interested, they even start offering more discounts to ensure that the sale goes through. It is a common practice in the automobile industry. Once the buyer gets interested, the car manufacturer forces insurance, accessories and extended warranty on it over time.
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Abrupt Price Hike
Then there are sudden price hikes on vehicles. This causes the customers discomfort because they are prepared for a particular budget. In fact, they often stretch their budget to barely reach the price point of the car. However, in the last couple of years, there have been so many sporadic price hikes that they have caused problems for buyers. While it is generally due to the rise in input costs for the car companies, it is still quite frustrating.
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Exchange Bonus
Now, you must have come across many advertisements where car manufacturers offer huge discounts on their cars to spur demand. In that discount amount, you must’ve seen the Exchange Bonus. This refers to the benefit one gets if they exchange their old car above its value. While it may sound enticing but the reality is that the car companies compensate for that in the original price of your old car. These prices are so low, to begin with, that they are able to offer additional exchange bonuses. On top of that, in most such cases, the customers often don’t get the RC to be transferred timely to the new car. Hence, he/she continues to be responsible for the challans and other scenes with the old car even if they are used by the dealership.
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VIN Scam
There are some dealerships, who end up selling very old cars to the customers. Note that old doesn’t mean used car. It simply refers to those vehicles that have been lying in stockyards for a long time due to some reason. Now, if they have not been bought by the customers, there must be a reason for it. Therefore, the consumers must make sure to know how to read the VIN number. It informs about the manufacturing date of the car. Hence, you could ask for discounts if the dealership tries to sell you this car which has not been sold for a long time due to any reason.
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Brokerage and Handling Charges
Up until a few years ago, some dealerships used to charge brokerage fees or handling charges while delivering a car to the customers. This also included parking charges at the stockyard or fuel charges in the car. The judicial authorities argued that it is the responsibility of the dealerships to ensure that there is enough fuel in the car when it is parked at the showroom. All these aspects are already included in the ex-showroom prices of the cars. Therefore, no additional brokerage or handling charges can be levied upon the customers. These are the top 5 car scams while purchasing new vehicles.
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