Illegal Car Dealership Sales Tactics
Some auto dealers in Texas have been using illegal sales tactics to increase
profits.
One example of how this can occur is when a customer trades in a vehicle
when purchasing a new or used vehicle from the dealer. If your car dealer
has increased the sales price of the car for the following reasons, then it
has broken the law. The dealer could increase the price of the car to
purchased for one of the following reasons;
(1) to make up for negative
equity in the trade-in car, or
(2) to increase the value of the trade-in so that the customer feels satisfied with the transaction.
Both reasons to
increase the cash basis in the car to be sold by the dealer are illegal and
violate Texas and Federal law.
Another example of an illegal sales tactic that is used by car dealerships
is to increase in the interest rate that the customer pays on the car. If
you financed a car through a dealership, the dealership may have given you a
higher interest rate than the one you actually qualified for in the loan
application. A dealership would do this if they were promised a commission
on the proceeds of the loan.
If you have purchased a car within the past four years, you might have a
case. If you feel like a dealership may have broken the law, please call
our law office.
