Some Car Dealer Tricks Revealed

Once you have decided on a car to purchase, you need to still do some more research. The first thing you want to do is find out more about the car that you want. The first place to look is your local newspapers to see what sales price is listed in advertisements. By doing this it can give you an idea of what your auto will cost. It may not be your final cost but it is a good place to start. Keep in mind, all dealers will advertise a car that they can sell at the cheapest price. Generally, they will take the cheapest level of car and discount it as far as they can go. This is what is referred to as the "teaser" price. It is designed to get customers in the door so they can ask about this vehicle but then find out that it is not the car they want or that it was "sold." This allows the salesperson to begin his “pitch”. If you look closely at these ads, they legally have to print at least one stock number on the ad to show that this car exists in order for this not to be considered false advertising. If a dealer advertises a monthly payment with this vehicle then you need to look carefully at the fine print. These payments will sound good because they are actually a payment that figures in something such as a $7000 trade-in and a $7000 cash down payment with a 72 month payment loan, for example. These are also considered "teaser" payments. When these are advertised on the radio you will hear disclaimers at the end of the commercial by some guy who speaks really fast. The dealer is hoping that you do not pay attention to it. They want you to hear the good price and great payments so you will come in to try to get that deal. It is the classic “bait and switch”. When a customer comes into the dealer and says "I saw your ad for $399 a month for the Odyssey," the salesperson will show them the car and then ask them "Do you plan on putting $5000 down and do you have a trade that could be worth $5000?" When they say "No," as most customers do, then the salesperson says "Well that is what that payment was based upon." Or he might say, "That payment was for another trim level than the one you are looking at," therefore the payment is higher. This process is the actual "bait and switch." The bait is the low payment for a nice auto that brings you into the showroom while the switch is when they tell you that the payment was for a cheaper model. Then they "lead" you into a more expensive model that is more profitable for them. There is another trick when it comes to advertising. What a dealer may try to do is make a used new car look new. How they do this is advertise a used car but make it look new by the way they word the ad. For example, the ad may read something like "2008 Honda Odysseys as low as $22,995." Since a brand new 2008 Odyssey sells for $30,000 or more. This sounds like a great deal. The reality is that the Odyssey that is selling for $22,995 is a used 2008 model with 20,000 miles on it. The point of the ad is not necessarily to sell the used Odyssey, but to get people in the door for the new Odyssey. Conveniently, the "New" is left out of the ad except in the fine print.