Buying a car can be a fun and exciting experience. Unfortunately, sometimes that experience can turn into a nightmare if it turns out that the car dealership acted fraudulently. Auto dealer fraud describes deceptive and illegal practices used by auto dealers. This type of fraud can occur at any stage of the vehicle purchase process, from advertising to negotiating vehicle price and financing terms.
Therefore, Ethnic Media Services addressed an informative session on the types of car dealer fraud, as well as tips for buying a used car. In addition, guests were given answers to the most frequently asked questions about car dealer fraud, as well as how to assert your rights if you are a victim of this type of fraud.
Fraud is covered by both criminal and civil laws. The most obvious difference has to do with who brings the legal case. Sometimes, a person who commits fraud is both criminally prosecuted and sued in a civil action.
Daniel Dwyer, an attorney with the Federal Trade Commission's Division of Financial Practices, said that "minority communities and low-income individuals" are vulnerable to being victims of this crime.
He noted that you should be wary if a stranger asks for digits from your social security number or previous address, that can be used for identity theft. Do not click on hyperlinks in an e-mail unless you are sure you know who is sending it. Be alert if you lose your credit or debit card and suspect it may be stolen or misused. Any time you receive promises from an unknown person or company that seem "too good to be true," it's a possible warning sign of a hidden scam.
Elizabeth Goodell, supervising attorney for Mid-Minnesota Legal Aid said the largest number of auto-related cases her organization handles involve used cars. "The scammer will continue to take advantage of others if you don't report it," she said.
Koe Jaramillo, an attorney with Housing and Economic Rights Advocates, HERA, said that "the dealer must provide credit scores and inspector reports."
If you believe you have been defrauded, be sure to speak with a consumer protection attorney who is familiar with fraud laws. Similarly, if you have been charged with the crime of fraud, contact a criminal defense attorney near you to protect your legal rights.
