Buying a car can feel like walking through a minefield of shady sales tactics. You have to prepare yourself to fight some of the crafty salespeople who have always used a bag of tricks to nickel-and-dime customers out of their hard-earned money. Although the new decision made by the Federal Trade Commission (FTC) designed to put brakes on this trend was supposed to go into effect last summer, it seems that this date has been pushed to 2025.
Read Now: These 10 Used Cars Will Last Longer Than The Average New Car
For you: 9 Things You Should Do to Increase Your Wealth in 2025
The FTC’s “Combating Auto Retail Scams” (CARS) rule was supposed to go into effect in July 2024, but due to legal disputes, the Final Rule’s effect is delayed until notification. It was meant to combat four common frauds committed by car buyers.
It doesn’t matter if the FTC can push through this ruling or not, there are still ways to spot fraud, so you don’t get scammed at a retailer. Here’s what these slippery techniques look like and how to avoid them with or without CARS.
Current Events: Suze Orman’s Secret to a Wealthy Retirement–Did You Make This Money Go?
You see an ad for your dream car at an incredibly low price. But when you get to the dealer, the dealer hits you with an old “just kidding!” They may say the advertised price was a typo or the car is no longer available. Their real purpose? Using the too-good-to-be-true offer as bait to lure you in, before switching you to a much pricier option.
Under CARS, this bait and switch on prices, discounts, rebates and inventory would be 100% illegal. Marketers couldn’t fake advertising to pull one over on you.
You’ve decided on a car and the price, but the paperwork is filled with random fees you never agreed to – things like $500 for “nitrogen-filled tires” or a voided warranty for services your car will never need. These hidden “junk fees” can raise the total price by thousands.
With CARS in place, vendors would have to obtain a clear authorization for each charge. They couldn’t sneak anything without your knowledge and permission. You also have the right to reject any add-ons you don’t like.
Learn More: Here Are the Most Popular Car Brands Among Baby Boomers Around the World
Members of the military have been repeatedly targeted by unscrupulous traders. They face different challenges, such as dealing with relocation and important repatriation security. Shady salespeople often lie about their military affiliations or lie about matters that service members expect.