Dealer Advertising Scams to Watch Out For
These ads usually include small print that nobody reads, with statements such as "all units subject to prior sale", "prices starting at...", or "for qualified buyers only".
It's best to simply ignore all dealership advertising and just use our car negotiation method, but for kicks, here are some common ads you may see:
Huge Discounts ($5,000 and Over)
These ads are usually found on vehicles that aren't selling well and come with large manufacturer rebates. You can get this type of discount at any dealership selling these vehicles. A more sinister version of this advertising scam is when a dealer adds bogus fees on top of the MSRP, then makes it seem like they're offering a huge discount.
We'll Pay You Money If You Can Beat our Deals
An ad like this seems enticing, until you read the fine print. To get paid, you would have to find an EXACT vehicle match at a competing dealer. The likelihood of finding an exact match is small, but that's not all. You would also need to have a completed purchase order from that dealership showing the negotiated price. Dealers know most consumers aren't going to go through all this hassle to get the money.
Brand New Car for $99 per Month
Again, you need to read the fine print on deals like this. There is usually a huge down payment required, or a balloon payment at the end. If it sounds too good to be true, it is.
Bad Credit, No Problem
Dealers that advertise this kind of stuff are dealers you want to stay far away from. They prey on individuals with poor credit and make more profit than you can imagine.
3 Steps Every Car Buyer Needs to Take to Save Maximum MoneyThe key to getting the best deal is to gather price or lease bids from as many local dealers as possible. Then shop that best price around until no one can beat it. Here are the steps:
Step 1 Get Prices From My Trusted NetworkSelect the vehicle you're interested in to see if there are local dealers in my network who will provide you with their best upfront price. You will get direct access to an internet sales manager who you can further negotiate with online (no need to visit dealership).
Step 2 Get Prices From TrueCar / CarsDirectTrueCar, and CarsDirect are my top 2 online price quote recommendations. These services show you pre-negotiated prices from dealers closest to you - and the deals are usually pretty decent. But remember, you can still negotiate further.
Step 3 Complete my ChecklistFollow this up with my checklist to make sure you squeeze out every last bit of savings.
- Gregg Fidan
Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid