Don’t get caught by a dodgy car salesman

The last thing anyone needs when looking for a new vehicle is a dodgy car salesman. A car is an expensive purchase for most people, so you want to ensure you are getting what you pay for.

Car dealers generally earn commission, meaning they get a percentage of the sale price of every car they sell on top of their base salary, so they have an incentive to upsell and get as much out of customers as they can.

That doesn’t mean they are doing anything wrong, but it does mean you need to have a clear idea of what you should be paying and what is included in that purchase.

The better informed you are, the less likely you are to fall prey to a dodgy car salesman or pressure sales tactics.

Spotting a dodgy dealer

As with any purchase, you go into a car dealership in good faith. You are hoping for a bargain but understand that the business has margins to make. What you don’t expect is to be ripped off. Here are some red flags to look for to help avoid a dodgy car salesman.

Bad reviews

 

 

Do some online research before you head into the dealership. Google the business name and see what people have to say about their experience. If there are lots of bad reviews about a dealership, chances are the people working there aren’t going to do the right thing by you.

Big difference in price

If you know the type of car you want to buy, do some online comparisons with others on the market. If a dealership’s pricing varies wildly – either way too high or too low – on the same make and model with similar mileage and condition advertised, that is a sign something isn’t right.

Bad vibes

Once you go into a dealership, trust your instincts. It may seem wrong to judge a book by its cover but if the cars don’t look clean or have obvious damage, they are probably not being well taken care of. Similarly, if a car salesman seems overtly pushy (bearing in mind selling is their bread and butter) and is steering you towards a rushed deal, take a step back. Say you need more time and if you are still interested, at the very least make sure the car has a full inspection before you sign anything.

 

 

Protect yourself

It isn’t always easy to spot a dodgy car salesman but there are ways to make it harder for them to sell you a lemon or get you to pay more than a car is worth.

Know your rights

Even if you are buying a secondhand car through a car dealership, you have protections under Australian Consumer Law (ACL). These include that the car being sold has no money owing on it, and that the dealer supplies information about the statutory warranty if it still applies. If a salesman has engaged in deceptive or misleading conduct, the ACCC can investigate and may compel the dealer to provide restitution.

Resist pressure sales tactics

Don’t let a car salesman talk you into spending more than you can afford. If a car is outside your budget, don’t let them upsell, no matter how attractive they make the financing. And that includes add-ons, such as window tinting and so-called junk insurance. Ask them to give you the driveaway price – that means everything is included – before you even think about looking at a contract.

Read before you sign

When you buy a car, you sign a contract that legally binds you to the purchase. Before you sign anything, make sure the contract clearly outlines everything you are paying for, including the total cost of the car; the trade-in (if any) for your old car; and other conditions you have agreed (for example, if you have brought it through dealer finance). In some parts of Australia, there is a cooling-off period of about three days, so check if that applies in your area.

 

 

What can I do about a dodgy sale?

If you think you have been ripped off by a dodgy car salesman, there are steps you can take for redress:

• • Make sure you keep notes of any conversations and/or emails about the issue, both with the salesman and anyone else you engage with at the dealership.
  • Ask to speak to the manager and express your concerns directly. Be clear about what you would like them to do.
  • If the manager does not resolve the issue to your satisfaction, seek advice from the consumer protection agency in your state or territory. Provide them with a copy of your contract for the sale of the car and all other evidence you have collected.
  • The agency may suggest mediation to help you get a satisfactory outcome sooner.
  • They may also direct you to the ACCC, depending on the nature of the complaint; for example, if they deem there has been deceptive or misleading conduct.
  • If the situation is still unresolved, you can seek legal advice. This can be an expensive process so explore Legal Aid options in your state or territory.

It can be time-consuming and stressful trying to get your money back if you believe you have been the victim of a dodgy car salesman. Lodge a complaint with us and let us help you handle it.