Purchasing an automobile is among the largest investment decisions one makes. Problems with a new or even a used automobile can only be horrific. Understanding cases for auto fraud and lemon law is requisite in protection for one’s rights as a consumer, securing quality and performance for which one pays.
What is Auto Fraud?
Auto extortion happens when a merchant or vender intentioned hoodwinks a buyer almost the condition, history, or terms of a vehicle buy. Common sorts of auto extortion include:
Odometer Extortion: Rolling back the odometer to make it show up that the vehicle has less miles than it really does.
- Title Washing: Modifying a vehicle’s title to stow away its history of harm or rescue status.
- Concealment of Damage: The seller does not disclose any previous accidents or damage or secondary damage to the vehicle.
- Bait and Switch: Advertise the vehicle at unbelievable prices to have customers come in, then switch them over to a different higher-priced vehicle once they arrive.
- Financing Fraud: False financing claims on the vehicle, or unauthorized feeds getting added to the contract arguments on the loan.
Detecting Auto Fraud
Guard against auto extortion; this is what every dealership will do so you just don’t find out some bad news about the vehicle. So, you must be very alert and look for red flags throughout the buying process.
- Request a Vehicle History Report: Get safe vehicle history reports from places like CARFAX or AutoCheck.
- Inspect the Vehicle: Let the vehicle and, if possible, have your independent mechanic inspect the vehicle before you buy one, especially in pre-owned cars.
- Read the Contract: Go through the contract of the deals and financing terms. Make sure that all verbal guarantees should be on paper.
Check Odometer Reading: Compare the reading of the odometer with vehicle history report and benefit records.
What is Lemon Law?
These are specific provisions in state statutes purposed to offer protection to the customer if he purchases a defective vehicle. Principally, lemon laws apply to new cars, although some states extend them to used cars too. A “lemon” can be considered any vehicle that has significant defects either in safety, value, or use and cannot, after a reasonable number of attempts, be repaired.
Key Points about Lemon Law
- Reasonable Number of Repair Attempts: Usually, if your car cannot be repaired after three to four attempts for the same problem, presumption is lemon.
- Time Limit: Most lemon laws apply during the first year or warranty period, whichever comes first.
- Material Defects: Shall substantially impair either the use of the vehicle, its safety, or its value.
- Remedies Available to Buyer: If unfortunately, the new car you purchased turns out to be a lemon, you shall be entitled for a replacement vehicle with similar vehicle or refunded money equivalent to the full consideration paid to the vehicle inclusive of by way of cost and charges, the amount of registration fee and all other incidental costs of registering an expenses required under law relating to operation of a vehicle.
How to Process a Lemon Law Claim:
- Extensive Record Keeping: Keep detailed records of all repairs to be done, dates, and description of problems and attempted repairs.
- Notify the Manufacturer: This you do by letter to the manufacturer regarding all diligent problems using the procedure provided in your warranty.
- Consult with an Attorney: Finally, consult with an attorney who has a practice focusing on legal lemon cases.