How not to be deceived when buying a car
How not to be deceived when buying a car at a car dealership
An article about how to buy a car at a car dealership and not be deceived. What pitfalls lie in wait in the cabin. At the end of the article there is a video on how to buy a car at a discount!
The content of the article:
- Which car dealership should I buy a car at?
- Information by phone
- You are at a car dealership
- Machine inspection
- Test drive a new car
- Verification of documents
- Payment for purchase
- Video about buying a car at a discount from an official dealer
So, the stage of chaotic torment is left behind, the required amount of funds has been set aside, and you are ready to become the happy owner of a brand new car! However, a lot of questions immediately arise, including the question: how not to get scammed when buying a vehicle?
Suppose you have long ago decided not only on the brand, model and configuration of the proposed purchase, but even on its color. And you are sure that all that remains is to decide on the choice of a car dealership, where, in fact, your old dream will be purchased. However, as it turned out in practice, choosing where to purchase a car is the most decisive stage, which should be approached extremely seriously. The choice of car dealership largely determines how successful your purchase will be.
You should not limit your search area, since prices in different regions quite often differ significantly, which resellers take advantage of. If you are not sufficiently informed, in addition to inflated prices, other unpleasant surprises may await you.
Where to buy a car
When choosing a new car, you should not use the services of dubious car dealerships. It is safer and easier to purchase a car from a legal dealer, which can be easily found using the services of the official websites of manufacturing companies.
In addition, on official websites you can reliably find out the recommended prices at any time. They must be the same for all legal car dealers. But this is in theory, but in practice, usually recommended prices differ significantly from actual prices. Promoted brands are trying their best to combat this problem, but not always quite successfully. In any case, knowing the real cost, it will be easier for you to navigate the proposed prices.
Also on the official websites all kinds of configurations and options for additional equipment for the model you like are provided. However, it should be borne in mind that the dealer rarely has “basic” versions in stock, since his main income is based on retrofitting the car. You may have to wait a couple of months for an “empty” car, or you will need to overpay a little and purchase what is currently in stock. By the way, this important nuance does not depend in any way on the class of the model and applies to both budget cars and premium cars.
Information by phone
So, if you have decided on the choice of a car dealership, do not rush there immediately. To find out as much information as possible, and at the same time save your time, nerves and money, just call them. By communicating over the phone, you can determine not only the attitude towards the client, but also clarify whether the car is in stock, what configurations it has, how to place an order, and whether there are any promotions going on at the moment. It is advisable to call several car dealerships to find the most acceptable transaction terms for yourself.
Also ask to send a scanned sales contract and an invoice for payment for this car. Explain this requirement by saying that you are going to pay for the purchase by bank transfer. This is an important nuance that will protect you from possible deception regarding the real availability of the model you like. The fact is that many sellers will never tell the buyer that this model is out of stock, since their main goal is to lure a potential client into the salon by all available means.
In addition, by requesting to send scanned copies of documents, you will insure yourself not only against fraud, but also actually book a car for several days.
If you find that the reality does not correspond to what was stated, the information received will allow you to complain about the negligent manager to his management, and will also save your time and nerves. In any case, you will have to communicate with the seller more than once.
You are at a car dealership
Finally, you are on the threshold of a car dealership. However, it is too early to relax. Right from the start, you may be disappointed in the form of one of the managers’ tricks with resale of the queue.
To resolve the issue in your favor, the manager offers to overpay a certain amount above the cost, ostensibly in order to compensate the previous buyer for the inconvenience. However, the funds you overpaid will end up in the car dealership's cash register in the form of excess profits, since in fact there is no buyer and never was.
If you are lucky enough to avoid this unpleasant moment and your car is safely waiting for its owner, you need to gather yourself and concentrate as much as possible, since the finish line is still far away.
At this stage you need to do the following:
- inspect the car;
- take a test drive;
- conclude a purchase and sale agreement;
- pay for the purchase.
Machine inspection
Since statistics show that 40% of vehicles shipped are defective, a thorough vehicle inspection is extremely important.
Focus on the smallest details. Inspect the bumpers, doors and body surfaces especially carefully for deformations, scratches and impacts.
Don't be lazy to look under the car. Very often, damage to these parts occurs when unloading a car from a car transporter or through the fault of the employees themselves, who carelessly parked the car at the car dealership. Subsequently, these damages are carefully puttied and painted over.
You should also carefully inspect the part of the hood adjacent to the wipers for hidden defects. If someone accidentally forgot to lower the wipers before opening the hood, there were most likely scratches left there, which were then painted over.
After inspection, ask the seller for the car’s passport, and then check the engine numbers and body numbers. Also check that the chassis and engine are complete.
Another type of scam that even the most prestigious car dealers periodically use is the sale of used cars under the guise of new cars.
How does this happen? The car dealership buys used cars, the approximate age of which is 1-3 years. Then specialists bring them into marketable condition, restore them if necessary, carry out simple manipulations with documents, and then sell them as if they had just come off the assembly line.
To avoid this type of fraud, it is not recommended to purchase a car from dealerships that offer free warranty service for a suspiciously long period of time. Also, you should not purchase cars from dealerships that promise to carry out maintenance absolutely free or provide huge discounts on it. Do not make a purchase in salons that insist on further servicing of the model only in their service. The best option is when further servicing of the car at a service center is not connected at all with the dealership where the car was purchased.
Test drive
During the test drive, listen carefully for any extraneous tapping or noise. Immediately after the test drive, stop the car and, without turning off the engine, open the hood. Listen to the operation of the engine and all components.
There is no need to be a professional here. All you need to know is that the sound of the engine should be smooth, even, without interruption.
In addition, the engine compartment should be carefully inspected for possible fluid leaks. It would be a good idea to check the levels of engine oil, coolant and brake fluid. If power steering is installed, it should also be checked. Check with the manager how much and what kind of gasoline is in the tank.
Also, be sure to check the functioning of systems and electrical appliances, as well as all lighting equipment (including external lighting), additional equipment in the cabin (air conditioning, audio system, lighting, and others).
If during the inspection you were able to find minor defects, you have every right to demand a discount on the car you like.
Verification of documents
The final step in purchasing a vehicle is signing the sales contract. At this important moment, many people finally lose their vigilance, feeling like they are already driving a car. However, before you put your signature on the contract, you must check the warranty card, vehicle documents, licenses and certificates.
It happens something like this:
You come to the showroom, choose a car with the equipment you need, pay for it, and when you come to pick it up at the appointed time, you receive a car with another, cheaper “filling”. The car dealership will not even deign to consider all further claims regarding the replacement of equipment, since the document you signed does not mention the required equipment. As a result, you will have to go with what you have. The list of things that can be replaced is huge, so pay close attention to this important step.
To avoid being scammed, you need to read the sales contract very carefully before signing. The contract (or its appendix) must list all additional equipment of the purchased vehicle. In this case, this document must be certified by the wet seal of the dealer.
You should also pay attention to the equipment installed in the vehicle from other manufacturers. They must be accompanied by completed warranty coupons, as well as separate instructions.
By the way, the contract must also clearly state all your wishes and promises from the seller, otherwise you will have no chance to prove that the rugs, alarms or covers were promised as a gift.
Regarding the technical passport of the car, you need to make sure that the identification number (VIN) is written down, as well as the registration date of the car and the year of its manufacture. The certificate invoice must indicate: a description of the purchased model, information about the car dealership, the date of purchase and sale, the terms of the transaction, as well as the place where the purchase took place.
If everything is in order with the vehicle, you can pay for it and pick it up. However, first, make sure you have all the necessary documents, namely:
- contract of sale;
- acceptance certificate;
- passport (PTS);
- certificate-invoice;
- invoice for the car;
- service book;
- copies (certificate of conformity and dealer agreement);
- warranty certificate;
- instructions for warranty and service;
- operating instructions (machine, as well as additional equipment);
- transit numbers;
- cargo customs declaration (if the car is from abroad).
Another unpleasant surprise on the way to your cherished goal may be VAT not included in the contract. With this option, after paying for the cost of the car, you will have to pay an additional 18% VAT. Therefore, we once again emphasize that you need to carefully read all the clauses of the contract being concluded, and preferably several times! Even if you refuse the purchase, the cost of which at one point increased by 18%, according to the contract, the seller has the right to compensate for the damage at the expense of the refused buyer. And this is by no means a small amount.
Let’s say the cost of a car is indicated in euros, but you are going to pay for the transaction in rubles, but at the last moment you find out that the car dealership’s exchange rate is too high and is clearly not in your favor.
In order to avoid becoming a victim of scammers and not ending up in one of the listed situations, you should find out in advance all the pitfalls of the proposed transaction. And then nothing will darken your joy from the long-awaited acquisition!
Video about how to buy a car at a discount from an official dealer:
How you will be deceived when buying a car: 7 secrets of unscrupulous sellers
Even a new car, as soon as it leaves the showroom, immediately loses value. You can really save money by buying a used car. But there are also risks: scammers may try to sell you illiquid assets at an inflated price. We reveal the main tricks of dishonest sellers and give advice on how not to fall for their tricks.
1. Twisted run
Manufacturers often provide a mileage guarantee for the first 100 thousand km. If it is higher, the chances of selling the car drop sharply. Often cars are imported from Europe with a mileage of under 200 thousand and their mileage is reduced fivefold by simply twisting the numbers on the odometer. They may even show you a service book with fake stamps or undergo routine maintenance for the declared mileage before selling.
How to avoid being deceived
You can often spot deception with the naked eye. A twisted run is indicated by:
- Scuffs and cracks in interior elements, especially the driver's seat, steering wheel trim, and gear shift lever. If part of the interior, on the contrary, looks newer than the rest, this should also alert you.
- Translucent rubber pads on the pedals, through which the metal is visible.
- The space under the driver’s mat is too clean - perhaps they were washing a “drowned man”, because usually car washers rarely get there. The surfaces are too dirty - the interior was not looked after, as was the car as a whole (this has nothing to do with mileage, but still a bad sign).
- Erased paint and polished plastic of pictograms and buttons in the interior.
- Inconsistency between mileage indicators in the on-board computer and individual engine control units.
It is also worth contacting an official service center. There they will tell you about the mileage, the date of import, and about repairs, and whether the stamps in the service book are real.
2. Uneven geometry
A dishonest seller who would not like to give a discount because the car was in an accident may remain silent about it. But even after careful repairs, traces will remain. After all, if a car has been in a serious accident, it is very difficult to restore its geometry down to the millimeter, no matter how hard the car service tries.
How to avoid being deceived
An accident will be indicated by the gaps between the elements of the car: the hood and front fenders, rear fenders and trunk, as well as the asymmetrical thickness of the frames around the doors. How to look for them?
- You can analyze the gaps using the photo. Open the image in a graphics editor and use a tool like a ruler to compare the thickness of the gaps on the right and left.
- You can also measure the diagonals in photographs of the front and rear of the car: take symmetrical points on the roof of the car, draw lines from them to the corners of the hood and trunk, respectively.
- Modern service stations offer a geometry analysis service. The computer system scans the car from all sides, measures the diagonals, and double-checks the symmetry of the wheels. The result is given with an accuracy of tenths or even hundredths of a millimeter.
3. Thick coat of paint
There is nothing wrong with repainting a car. It’s another matter when, with the help of such tuning, the seller wants to hide that the car was in an accident. If the color change, which the seller kept silent about, is established, this is a good reason for bargaining. Or even to refuse the purchase if repainting masks very serious damage.
How to avoid being deceived
“Not broken, not painted” - the truth of this statement is checked with a thickness gauge. The device is relatively inexpensive, you can buy it on Avito (price - from 1,000 rubles). Or rent (from 100 rubles per day). How to use it and how to evaluate its readings?
- Measure the thickness of the paint coating (LPC) over the entire surface of the body. If the roof was painted, the car may have been in a very serious rollover accident.
- The normal thickness of factory paintwork is on average from 80 to 170 microns. Deviations are possible depending on the brand, so check in advance what the thickness of the paintwork on the new model is - manufacturers provide such information.
- Paintwork with a thickness of 300 microns or more is clearly a sign of coloring: this could, for example, disguise a shallow scratch from keys. Readings closer to 1,000 microns indicate that there is still putty under the paint. Such a car was in an accident and probably suffered severe deformation, after which it was puttied in a car service center, and paint was applied on top. If the thickness of the paintwork tends to 2,000 microns, it is better not to take such a car: it was restored in pieces, and it is impossible to determine how firmly they are connected.
4. Replaced glass and headlights
Advertisements often write something like “All the glass is intact all around” and “The headlights are original, not glued on.” Don't take it for granted: in this case, the seller may also be hiding that the car was in an accident.
How to avoid being deceived
When inspecting the car, these details should alert you:
- Markings (logo and digital code) that differ on symmetrical windows (they can be different on the windshield and rear, but in any case, the year of manufacture must be the same everywhere and coincide with the year of manufacture of the car).
- Seals that fit like an accordion to the glass or have other deformations.
- Different markings, color and transparency of headlights. One headlight cannot be more worn out and cloudy than the other. But keep in mind that on some cars the taillights are made in different colors (with red and white parts). Also, the color of the lamps and their intensity may not be the same - this is normal.
- Headlight mounts that differ in color and have traces of glue or soldering. Most likely, such parts were changed or returned to their place after the impact. But if the headlights are not adjusted and shine at different angles, this is not a cause for concern. Such a defect can be easily corrected on the spot with a regular screwdriver.
5. A car assembled from what was
Used cars, especially of high-end brands, may actually be cobbled together from several seriously battered examples. The seller may remain silent about this, but an attentive buyer himself will suspect something is wrong upon a detailed inspection. The revealed facts are a good basis for bargaining and a reason to think: shouldn’t you buy a newer and better car for the same money? After all, such “designers” can behave unpredictably on the road.
How to avoid being deceived
The fact that the car did not come off the assembly line in this form, but became a product of “collective creativity”, can be seen in some details:
- Spars: with sloppy or thick welds, uneven coloring, uneven gaps on the body. If the side members are stretched, then the car is guaranteed to have been in a serious accident, after which it was reassembled.
- Door openings: non-original bolts that secure the door hinges. We also recommend that you examine the edges of the doors themselves: if they are uneven and pointed, they were probably puttied after an accident and then painted.
- Bumper: welded seams on the inside. Also pay attention to whether it is hung evenly and whether there are any gaps on its edges.
The use of “donor” elements for a car is not always an absolute evil. For example, a single replacement of body elements (fenders or bumpers), door handles and other small parts does not in itself pose a danger and does not affect the reliability of the car.
6. Non-original spare parts
Some sellers do not look particularly carefully for original spare parts and are not willing to overpay for them. That’s why the hoods of their cars are often made as if they were made of foil, and the brake pads clearly won’t last long. But in general, a responsible car owner tries to keep the car “original”: this is more reliable and allows you to maintain the manufacturer’s warranty. An honest seller will always warn you about what parts are installed in the car.
It is important to understand that not all non-original spare parts are bad. There are, for example, fake ones, the reliability of which is highly questionable. And there are also high-quality spare parts from trusted brands that do not pretend to be from the Japanese or Bavarian auto industry. In any case, the buyer has the right to know what is under the hood of the car.
How to avoid being deceived
- If the seller claims that all spare parts are original, it is better to double-check. The ideal option is to go to a reliable car service center and have the car diagnosed by specialists. This is done at the expense of the buyer and should not raise objections from a decent seller.
- You will see something for yourself: non-original brake pads, shock absorbers, batteries and other elements that can be changed may differ in color and workmanship. Burrs, irregularities, and a smeared mark should alert you. If in doubt, find a photo of the original part on the Internet and compare it with what you see inside the car. But if you have installed spare parts from Lemförder, Bosch, KYB, FAG, Ferodo or other top suppliers that manufacturers and expensive service centers work with, you don’t have to worry.
7. Shot pillows
After serious accidents with deployed airbags, dishonest sellers only replace the torpedo. In this case, the pillow itself with the squib is not installed - they simply roll up what is there and pack it back.
Outright scammers, resellers and people who simply consider themselves smarter than everyone else do not need extra expenses. The buyer will not check the operation of the pillows during inspection. And how can you check them before an accident?
How to avoid being deceived
Fraudsters will not be able to mislead you if you:
- When inspecting the interior, determine the location of the airbags using the Airbag or SRS inscriptions. The completeness must match the declared modification.
- Compare the color of the plugs with these inscriptions with the rest of the interior elements. If they differ, then most likely the airbags were fired.
- Look at the edges of the plugs. They should fit snugly and evenly and not have chips or other damage.
- Inspect the chairs near the pillows. There should be no signs of restoration on them.
- An indirect sign of the airbags being shot is replaced glass. But only a specialist can definitely say whether the airbag worked or not. We do not recommend removing the plugs and inspecting the squibs yourself - this is dangerous.
What can you learn about a car from open data?
To learn more about a car, you don’t even need to see it: there is information that can be obtained by car number and VIN code. For example, you can find out information about accidents, repairs, deposits, restrictions, lack of maintenance, use of a car in a taxi and other data from official sources.
Why know this?
Pay attention to these details about the car - they say a lot about it:
- Cost of repairs. Especially if it amounts to six-figure sums. If the cost of repairs is close to the estimated value of the car, it is “total” - a car that, in the opinion of the insurance company, cannot be restored.
- Number of accidents and repairs. Many small repairs, especially under comprehensive insurance (when you can paint almost every scratch), are a reason for bargaining, not a death sentence. One major one (especially on the engine or gearbox) is a big risk.
- Number of owners. If the car changed owners once a year, something is wrong. Most likely, it consists of hidden defects.
- Carrying out routine maintenance. The owner should not have missed them, especially before the warranty expired. The words about a “master with golden hands” who works in his garage and does not give receipts are fairy tales.
- Mileage growth dynamics. Compare the mileage marks in the service book and the check-in time. It is suspicious if at first the car covered 20,000 km a year, and then suddenly switched to 1,000 or stopped altogether.
- Deposit, restrictions on registration. You won’t be able to buy such cars because they won’t be re-registered.
All this will make it clear whether to spend money on diagnosing the car and whether it is possible to buy it at all.
Where to find this information
Some of the data about the car is publicly available on various websites, while some can only be obtained for money. For example, on the website of the State Traffic Inspectorate you will find out by the VIN number the registration history of the car with the State Traffic Safety Inspectorate, information about its participation in an accident, whether it is on the wanted list and the presence of restrictions. On the FNP service you can find out whether the car is pledged. On the RSA website there is information about OSAGO.
The Avtotek service checks cars not only using government databases, but also using data from dealers. Avtoteka has access to information on 40 million VIN numbers, and for 10 million of them the service has unique dealer data on maintenance and repairs. Some information is available for free, but the full report can only be ordered for money.
However, this is a colossal saving of time and effort. After all, in the report you will receive information about the history and current condition of the car: accidents, repairs, liens, restrictions, use in a taxi and other data from official sources. And thanks to this you will save your nerves.
An Autotek report is not always a verdict. In some cases, this is a reason to bargain. It's always easier to reduce the price if you know everything about the car. In addition, it is cheaper than ordering information on a car from private (and not always legal) specialists. And much faster than checking everything manually.
How official dealers deceive
You can't trust anyone
conclusions
- If you don’t want to encourage deceivers, look for an honest car dealership.
- Service your car at the service center that is convenient for you.
- Apply for a consumer loan if you do not want to pay CASCO insurance.
- Demand that the car be handed over within the period specified in the contract.
- Check the condition of the car before signing the acceptance certificate.
“Gray car dealerships are hell and horror,” you decided after our article. “You need to buy a car only from official dealers.” But no: the officials also have their own tricks.
Lured by price
You called the official dealer and found out that there is a Ford Focus for sale in the basic configuration at the lowest possible price of 800,000 RUR. You rush to the salon. The sales manager reports that another buyer purchased the car you need five minutes ago. But they will be happy to find you another one - of course, more expensive.
What's the trick: official dealers need customers, and some of them are ready to use harmless tricks to lure you into the salon territory. The dealer expects that once you are under the influence of managers, you will definitely be tempted by a more expensive car. If you are against such manipulations, just turn around and leave the salon. You don't have to say goodbye.
Imposing equipment and services
You are ready to pay 800,000 R and not a penny more. A car dealership employee suggests you wait six months for delivery of a “naked” car. But if you want to drive a Focus today, then please pay at the box office for floor mats, crankcase protection and an alarm system for RUR 50,000.
Having calculated the dealer's markup in your mind, you say that you are ready to purchase an alarm system, but install it at Uncle Vasya's garage. Same with the floor mats and crankcase protection. The manager confidentially informs that the equipment can only be supplied at their service center, otherwise the car will be removed from the warranty.
What's the trick: officials sell cars with a minimal markup. Their main source of income is the sale of equipment and vehicle maintenance.
Official prices for components and labor are higher than in the rest of the universe. Rugs that cost 3,000 RUR will cost twice as much from the officials. To force the buyer to accept a bad deal, he is told about the horrors of removing the car from the warranty.
But when a dealer promises you problems with the warranty, he is violating the Consumer Protection Act:
16. 2. It is prohibited to condition the acquisition of some goods (works, services) on the mandatory acquisition of other goods (works, services). Losses caused to the consumer as a result of violation of his right to free choice of goods (work, services) are reimbursed by the seller (performer) in full.
18. 6. The seller (manufacturer), authorized organization or authorized individual entrepreneur, importer is responsible for defects in goods for which a warranty period is not established, if the consumer proves that they arose before the transfer of the goods to the consumer or for reasons that arose before that moment.
In relation to goods for which a warranty period has been established, the seller (manufacturer), an authorized organization or an authorized individual entrepreneur, the importer is responsible for defects in the goods unless he proves that they arose after the goods were transferred to the consumer as a result of the consumer’s violation of the rules for use, storage or transportation of the goods, actions of third parties or force majeure.
If the dealer wants to deny you warranty repairs, he must prove a cause-and-effect relationship between the installation of the alarm system at Uncle Vasya’s and the breakdown of the car.
You can buy spare parts and engine oil at any auto store. If you do not undergo maintenance from an official, your car will not be removed from the warranty.
They offer an unfavorable loan
Let's say you're in a salon, and they still offer you floor mats and an alarm for 50 thousand. For you, 50 thousand is not that much money. As a result, you agree to buy a car.
You have 400,000 RUR with you, you expect to receive the rest on credit. The manager will take you to one of the bank representatives working at the car dealership.
What’s the trick: sometimes at car dealerships, managers offer to take out a car loan in the bank that gives more favorable conditions not to you, but to the manager. Some banks fight competitors by bribing car dealership employees with money or gifts.
Some banks bribe sellers with money or gifts
Insist that the monthly payment amount be calculated by representatives of all banks. Conclude a loan agreement with the bank that offers the most favorable conditions.
The bank will not issue a loan without a comprehensive insurance policy. Feel free to add another 100,000 RUR to the price of the Focus. If you don’t want to overpay for comprehensive insurance and don’t want the car to be pledged to the bank, take out a loan for consumer needs. But keep in mind that the rates on such loans are 5-10 percentage points higher.
When applying for a loan, you may be required to provide additional life insurance or insurance against job loss. It is illegal to condition the receipt of a loan on insurance, and bank representatives know this. Refuse additional insurance and carefully read the loan agreement.
Read first, then sign
They do not issue PTS
You have avoided additional fees, entered into a loan agreement, a car purchase and sale agreement and deposited money into the cash register. But the seller does not give you the keys and documents for the car. The vehicle's passport is with the manufacturer and is about to be sent to you by the nearest horse.
What's the trick: this happens when the dealer did not buy the car from the manufacturer. The official will transfer the money that you left at the cash desk to the manufacturer, and the manufacturer will send the title to the dealer. The entire process can last from several days to several months. All this time you will be walking and paying interest on the loan.
To prevent this from happening, check with the seller where the original PTS is located. If there are no documents in the showroom, look for a condition in the sales contract about the period within which the seller undertakes to transfer the car. If these terms are violated, the seller is obliged to pay a penalty in the amount of 0.5% of the amount paid for the car for each day of delay. In the case of Focus for 800 thousand, this is 4,000 R per day.
Hid the flaws
The horse with the PTS galloped up in a couple of days, and now you are the owner of a Ford Focus.
Celebrating your purchase with a car enthusiast friend. In the smoke of a carousing, a friend decides to test your new car with a thickness gauge.
It turns out that the right fender of the car was crushed, restored, covered with a layer of putty and painted over. The car is broken! But how is this possible? This is the official dealer.
Here's the trick: most often, new cars are damaged during transportation in car carriers or during a test drive. In order not to reduce the price, the dealer quietly repairs the car and sells it as new.
If you have signed a transfer and acceptance certificate, it is almost impossible to prove that they sold you a damaged car and that you did not wreck it and paint it yourself. Therefore, carefully inspect the car before signing the deed. Ask an expert friend to help with the inspection.
Everyone is being cunning
Official dealers are not such lawless dealers as the gray ones. But this does not mean that you can relax and let everything take its course. Remember the golden rule of buying a car:
How to avoid deception: fraud schemes when selling used cars
How to avoid being scammed when buying a used car? Let’s figure out what schemes and risks exist and how to identify them in a timely manner. We strongly ask you not to use fraudulent methods yourself.
Content
So, the problems could be:
- with mileage;
- PTS and other documents;
- integrity of the car (involved in an accident, defects);
- legal purity.
Scheme 1. Twisted run
Hundreds of used car sellers consider it normal to inflate mileage. This procedure is often resorted to when the mileage exceeds 200-400 thousand, when expensive maintenance is required. They also twist it at lower mileage if the car’s instrument panel is damaged after an accident. Also, a fraudulent scheme is often used when importing a car from a country where taxes are calculated taking into account the mileage accumulated over a certain time.
Alexander Morozov, auto expert, radio host:
“Usually the mileage is collected from friends at a car service center. Some craftsmen do it themselves. Often they simply remove the odometer, disassemble it and set the required numbers manually or, for example, using a screwdriver. If the odometer is electronic, connect a laptop with a special program and set the necessary indicators.”
You can learn even more about how to check the mileage of a car from our article.
Diagram 2. Problems with PTS
A vehicle passport is an important document that provides information about the vehicle’s owners. The original version will not disappear just like that: either there is no space left for a new entry (there are more than six owners), or the seller wants to deceive you.
Often a car is left without a title when it is partially or completely not cleared at customs. Also, the title is taken by the bank when the car owner pledges the car on credit or leaves it as collateral. If the seller is a car thief or knows that the car has been stolen, he will also not have the original vehicle passport - only a duplicate or fake.
However, even when buying a car with an original title, there are certain risks. For example, spare parts from stolen cars are often installed on cars with an original title. When a car has been involved in an accident, is wanted or is being pawned, it is quickly disposed of. This can be easily seen from the vehicle’s passport: each owner drove it for no more than a year. Also, for example, they can drive a problematic car without registering with the traffic police, which is often done by outbid dealers.
Diagram 3. Car with defects
Alexander Morozov, auto expert, radio host:
“Today, scammers easily disguise even serious defects in used cars, such as an engine after an accident or a transmission that has already given up its life.
For example, if the car was in a serious accident and received a lot of damage, scammers can leave small ones visible: chips, small dents, scratches, and reduce the price by 20-30 thousand. And serious defects are disguised under a new bumper, a repainted hood, etc. Thus, dishonest sellers make the buyer think that he has saved a lot, but in reality they throw a pig in a poke, into which he will have to invest half the purchase price or even more.
Also, scammers set a price noticeably lower than the market average, thereby masking heavily worn parts, bent but straightened body geometry, etc.”
Scheme 4. Car with restrictions
There are different types of restrictions: restrictions on registration actions, bans, car seizure.
A car with restrictions will also be sold below the average price on the market. Often, a car with restrictions or a ban on registration is sold by resellers or those who have utility debts, traffic police fines, loans, or minor children for whose maintenance they need to pay alimony.
Also, participants in property disputes get rid of cars with restrictions: the new owner risks losing the car, but they receive money for selling the car. The sellers of such cars only have a duplicate title in their hands; the original is in the hands of another party to the property dispute.
Scheme 5. Car with encumbrances
A car is considered such when it is pledged, loaned, seized or leased.
A mortgaged car comes in two types: a credit obligation or a guarantee of loan repayment (if you receive “quick” money), when the owner remains not the bank, but the borrower.
A credit machine is only the property of the bank. When a fraudster sells a car as collateral or a loan, he reduces the price and also does not have the original title in his hands - it is in a bank or other financial institution. There is only a duplicate. This happens when fraudsters ask traffic police officers for a duplicate vehicle passport due to the loss of the original. After selling the car, they transfer the loan obligations to the new owner.
Alexander Morozov, auto expert, radio host:
“Fraudsters often take out several cars on credit at once, remortgage them in several organizations and try to get rid of them as quickly as possible, thinking only about making money. After the sale, dishonest sellers stop paying loan obligations. Banks put cars on the wanted list and then take them away from their new owners.”
Diagram 6. Stolen car
Alexander Morozov, auto expert, radio host:
“Such cars are sold by car thieves themselves, dummies, outbid dealers, and even bona fide sellers who do not know that the car is stolen.”
A sophisticated scheme, in which the car is not formally listed as stolen, is the distillation of a car from Europe. There it is issued as a loan or lease using fake documents, the bank receives a down payment. After this, the car is driven to Russia, where they know nothing about it. The car is registered, a title is issued - it becomes an ordinary vehicle that can be easily bought and sold. The European bank that registered the car comes to its senses, but will not be able to return the car because it simply cannot find it.
The hijackers also change the chassis number. To successfully carry out the fraud, they find a car after a serious accident, remove part of the body with a number and weld it to the stolen car. They do it conscientiously - it is difficult to detect welding, even if you put the car on a lift.
Another option is to create a double car. The car is stuffed with license plates belonging to another iron horse, and documents are falsified. European cars are often taken as a “model”.
A car can even be stolen when a person goes shopping at a shopping center. They “silence” the car alarm, then read it. While the owner is confused and wastes time searching for a second set of keys, the car is quietly stolen.
Thieves can sell the car for pennies to a reseller or dismantle it for parts. Another option is to weld the car from several other “cuts”. This scheme is often used when stealing Japanese cars.
Scheme 7. Car after taxi
When using a car in a taxi, one year becomes three years. Sometimes even a 2-3 year old car needs major repairs. The suspension, engine and clutch suffer the most - the load is very heavy on them.
Cars sold after taxis are often sold at the same price as private cars. Before this, heavily worn parts are straightened, seat covers are put on, the front panel is polished, the roof is tinted in place of the checkers, and the mileage is also checked for 200-300 thousand kilometers. When communicating with the buyer, they insist that the car is their own.
Another fraudulent method is a beautiful wrapper. A new car is wrapped in yellow film, typical for taxis, the car's service life is completely exhausted, and then the film is removed. The body already looks like new. They will put the necessary numbers on the odometer, and they will falsify the service book. It is possible to understand that the car was used in a taxi only by the wear of parts, which is almost impossible to detect upon purchase.
Alexander Morozov, auto expert, radio host:
“Another fraudulent scheme is used in car dealerships that sell used cars. Taxi companies agree with them to sell “used” cars and share a percentage of sales. The third ordinary buyer of such a car will not be able to show anything to the second, because often he simply does not know what his car is.”
Diagram 8. Car in recycling
This scheme is the most harmless. There are 3 types of cars available for recycling:
- turned into “meat” after an accident;
- with exhausted resource, unused;
- the owner of which will receive a discount from the state when purchasing a new car.
Often a car is scrapped just to avoid paying taxes on it. Such machines often cost 1.5-2 times less than the market average. You can buy it, the main thing is to register it correctly.
Children's mileage and low price: what's the catch?
How to avoid running into a problem car
Fraud schemes and risks when buying a used car are different. You can easily run into an unscrupulous seller or an “iron horse” with a “sad” story. But you can learn about the pitfalls long before buying a used car. This doesn't require much effort.
For example, you can check a car using the special “Autocode” service. You can check the information yourself. To do this, you only need to know the license plate number or VIN number of the car. The service will collect information from the databases of the traffic police, tax and customs services, banks, and then issue a detailed report about the car. You will check the equipment, find out the year of manufacture, the number of fines, current information from the vehicle’s passport, facts of being involved in an accident. See if there are any encumbrances or restrictions on the car. The verification will take 5 minutes.
It will also be effective to invite an on-site inspection specialist to inspect the car. Choose a convenient time and place where you are ready to meet with the master. You must first submit an application on the website. The mobile service technician will check the information about the car. During the inspection process, the technician will evaluate how the electronics work, monitor the condition of the suspension, engine, interior, technical fluids, and check the body geometry and paintwork. The technician will evaluate handling, dynamics, steering response and other aspects.
How they deceive you at car dealerships when buying a new car
When going to a car dealership to buy a new car, most buyers are sure that they will not be deceived there. Many motorists argue for buying a vehicle from an official dealer by the fact that there is no risk of spending extra money, getting a low-quality car, etc. In fact, many car dealerships have developed entire schemes to deceive gullible customers. Today we will talk about how dealers deceive you when buying a new car.
Very Low Price: Worth Watching
Often in print publications, online resources and on street banners you can find advertisements for the sale of cars at low prices, which may differ significantly from the market average and recommended by the manufacturer.
Even if doubts creep in about the catch, the desire to get a new car at a low price takes over, and the potential buyer goes to the car dealership. Further events can develop according to one of the following scenarios:
- The car dealership manager names a price that differs significantly from that indicated in the advertisement. He explains all this by the best equipment of a particular car: the presence of all-season tires, an alarm system, electric power steering, and so on. In such a situation, it is already difficult for a buyer to leave the car dealership with nothing.
- After the decision to purchase has been made, the buyer is asked to make an advance and wait for the paperwork to be completed. After some time, the contract brought by the manager may contain a price higher than originally agreed upon. Sellers will find many reasons for this. But the main problem will be that the contract will include a clause according to which, if the transaction is canceled, the advance will not be returned to the buyer.
- There is a scheme designed for the inattention and legal illiteracy of the buyer. The buyer reads the first page of the contract, where the main parameters of the transaction are indicated, including the price of the car. He skims through the remaining pages and puts his signature on each sheet of the contract. After asking when the long-awaited car will be given to him, it turns out that he needs to pay extra money for imposed accessories or unnecessary services.
- After choosing a car at an attractive price and making an advance payment, you may find that its equipment differs from the one that the buyer wanted to purchase.
- The price stated in the advertisement and specified in the contract may not include VAT.
The above methods of deceiving the buyer are among the most common. In fact, there are many more of them. The low price is actually the first reason to be wary and check. People don't buy a car every day. Before you go to a car dealership with the required amount of money, it is worth studying all the offers of car dealers in the region. Also, before making the final choice of a seller, you should try to find out as much information as possible about him and look for real reviews.
The following rules will help you avoid being scammed when buying a new car:
- You cannot deposit any funds before signing the contract. When paying, you must receive a receipt.
- You cannot tell the car dealership manager the amount of money that is intended for the purchase of a car. If it is higher than the cost of the car in the showroom, the client will definitely be given additional equipment.
- The purchase and sale agreement must be carefully reviewed. You should read all copies of the contract, even if it takes a long time. If the buyer is unsure of his own legal knowledge, it is better to take a lawyer with him.
- The contract must indicate that the price of the car is final. Otherwise, a situation may arise where the dealer demands an additional payment for additional equipment that was not discussed.
- The buyer should be wary of any delay associated with registration, attempts to divert attention, or artificial creation of red tape.
Used car at the price of a new one
Selling a used car as a new one is a common fraud scheme at car dealerships. It is very difficult to determine the condition of a car by its appearance, whether it is new or used. Even if the buyer has doubts, the dealership manager will give prepared answers to an uncomfortable question. For example, they may say that the car was used for test drives (this may also explain the lower price).
When buying a new car you should be wary of:
- presence of a “duplicate” mark on the vehicle passport;
- offer of longer warranty service compared to other dealers;
- an offer to do maintenance for free or at a big discount.
At the slightest suspicion that the car has been used, there is a serious reason to go to another car dealership.
Loan on “favorable” terms
Not all car enthusiasts can purchase a car with their own funds. Cooperation between a dealer and a certain bank is a common situation. If, during the first visit to the salon, the buyer mentions that he plans to take out a loan, they will begin to convince him that the conditions of the partner bank are the most favorable. As practice shows, this is not always true. For attracting a client, a car dealership can receive a commission from a credit institution, which the bank, in turn, veiledly shifts onto the client’s shoulders.
Exactly the same scheme of work can exist with an insurance company. The bank requires you to insure the collateral car, but this can only be done with a certain insurance company that cannot boast of low rates. The car dealer will receive commission income for attracting a client from the insurance company.
Based on this, it is worth independently monitoring bank offers for car loans and finding the most acceptable result in terms of interest rate, loan term, additional fees, etc.
In addition, car dealership managers often persuade the buyer to purchase a more expensive model than he expected. They actively offer to take out a loan for the missing amount. As a result, the client spends much more, since he has to pay a commission, insurance premium, etc.
Unfavorable trade-in
A common way to deceive a buyer is a trade-in scheme, which involves exchanging an old car for a new one with an additional payment. The essence of the scam is that the service station specialist convinces the car owner that there are numerous faults and external damage in the old car. This is done in order to buy the vehicle at the lowest price. A new car will be offered at a price higher than in other car dealerships. Therefore, if there is no particular urgency, it is better to sell the car yourself.
Own exchange rate
Despite the fact that, according to Russian law, all payments within the country must be made in rubles, some car dealers continue to operate with prices indicated in US dollars. The buyer may find out that the rate used in the salon is higher than the central bank rate. Moreover, the question may arise after the deposit has been paid, when refusal to purchase will lead to loss of funds. If the price of a vehicle is indicated in a contract in a foreign currency, then the buyer must also require that the equivalent in rubles be indicated in it.
Additional equipment
It is profitable for the salon to sell the car in the maximum configuration and with a large number of additional accessories. The manager will professionally convince you of the importance of additional options. As a result, even an experienced driver will believe that they are really needed. Therefore, before going to a car dealership, it is worth considering which elements are really needed and which will only be a waste of money. In addition, all additional equipment and accessories can be purchased elsewhere at lower prices.
Fictional hype
After choosing a car and its configuration, it turns out that there is only one copy left in the showroom, and it has already been reserved by another buyer. The waiting time, according to the salon manager, can last several months. Next, the representative of the car dealer will tell you that there is a long line in the showroom for such a car, but for a certain fee he is ready to negotiate with the first client, and he will refuse the deal. An additional argument will be speculation about a possible price increase. In fact, this is real extortion.
Test drive will reduce risks
After the choice is made, the car must be carefully inspected. It may have hidden defects and damage, even if the dealer is not deceiving and the vehicle is truly new. The car could have been damaged during unloading from a car transporter or unsuccessful parking by a dealership employee. Most often, defects in the paintwork occur, which are skillfully masked. If such shortcomings are identified, you can safely ask for a discount on the car.
During a test drive, you need to carefully listen to how the engine works: there should be no extraneous noise or knocking. It is worth checking the operation of all external lighting fixtures.
After a test drive, it is better not to turn off the engine immediately, but to open the hood and listen to the operation of all its components. If the driver does not have sufficient experience, it is advisable to invite a specialist with him.
Finally, you need to check the body number indicated in the vehicle passport with the number on the car.
When signing the transfer and acceptance certificate, you need to verify the presence of everything that is indicated in it. Otherwise, it will no longer be possible to make a claim to the car dealership.