BBB Tips: Avoid scams when buying a new or used car

( WHNT ) — What comes to mind when you think about purchasing a car? For many, it’s driving from dealer to dealer in search of the right vehicle.

Then, when you find the car you want, you must spend hours in an office haggling for the best price while trying to understand the financing and payment terms. Given the stress often involved in buying a car in person, many dealers are figuring out ways to simplify the process by moving it online. This has caused a rise in scammers trying to take advantage of people.

Karen Reeves, President and CEO of the Better Business Bureau of North Alabama, said she has seen several of these types of scams target people in our area.

“In the past few weeks, we’ve had two consumers contact us about online car sales that did not appear to be legitimate so I thought a good timely topic would be to talk about Buying a Car Online.”

She went on to say, “One of the consumers was from New York and thought he was purchasing a used Lexus from a Dealership in Albertville- the car dealership is real, but their name was being used by the scammer and the person lost $21,500. The Albertville Police Dept has had two other reports about this, but this consumer was the only one who lost money.”

Some tips the BBB on buying a new or used car and to avoid getting scammed are:

• Watch out for too-good-to-be-true deals. They are most likely a scam. Scammers often steal consumers’ personal information and money by offering them high-value goods at extremely discounted prices.
• Be cautious about wiring funds or completing bank-to-bank transactions. Scammers love this kind of transaction because you cannot get your money back once it is completed. Instead, make legitimate purchases by check or credit card.
• Contact the seller by phone. During your negotiations, speak with the sales manager on the phone. If they are unusually vague about specific details of the sale or cannot confirm their location or the vehicle’s location, it’s most likely a scam.
• See the car first. Never buy a car without making an in-person inspection and taking a test drive first.
• Don’t give in to pressure. Scammers often pressure you to give up your personal information or make a down payment before you have time to consider the purchase. Take your time and think a deal over before agreeing to anything. If you get a bad feeling, listen to your gut.
• Don’t trust a seller or buyer who says the transaction is “guaranteed” by eBay, PayPal, Craigslist, or another online marketplace. These sites explicitly explain they cannot guarantee that people using their services are legitimate. Anyone who says otherwise is lying.

Be sure that you check each dealer’s business ratings, reviews, and complaint history on BBB.org before you reach out to them. And Look for the BBB Seal: It’s the Sign of a Better Business! Here is the link to the North Alabama BBB https://www.bbb.org/local-bbb/bbb-serving-north-alabama

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