Auto dealerships are often the first place people go when they need a new car. They represent a major source of income for many small businesses, which means they have a lot of power to influence people's driving habits and purchase decisions. As a result, many auto dealers have been accused of taking advantage of their customers.

Today, we will learn about auto dealer fraud and the law introduced to protect innocent customers:

1- What is auto dealer fraud?

Auto dealer fraud is a serious problem in the US. It occurs when a car dealership commits fraud or a false advertisement to sell a vehicle to a customer. This can include making false promises about the vehicle's performance or other features or lying about the car buying contract. It can also include lying about a vehicle's condition, such as saying a vehicle needs new tires when it doesn't.

2- What is auto dealer fraud law?

Auto dealer fraud laws are intended to protect consumers from being cheated by their car dealers for car buying contracts. Under current laws, auto dealers are required to make truthful, accurate, and timely disclosures when selling vehicles. Auto dealer fraud laws also protect consumers from being charged for services that were not provided or from being sold a vehicle that has been stolen.

3- How does auto dealer fraud law work?

The dealers normally charge an upfront reservation fee' to customers as a way to recoup the cost of the car and the money they have invested in the car that they want to keep. This is called a 'dealer reserve' fee. This fee is generally a very small percentage of the purchase price. It is also called 'dealer markup.'

Many times happens that we pay for something that we did not even intend to buy. Hence, in that case, if you feel you've been cheated on or misled with information, you can reach out to Allen Stewart's attorney instantly. Their expert team can help you get out of this miserable situation.

For more information, log in to:

https://www.allenstewart.com/practice-areas/auto-fraud-attorneys/what-is-payment-packing-fraud/

About the company 

Allen Stewart is your first go-to place for any legal services, including bankruptcy, lemon law, personal injury, or fraud. If you have purchased a lemon car, there is nothing to worry about. They have the most trained and experienced lawyers who can easily get you compensated and help you get the justice you deserve. They have helped hundreds of clients in lemon cases. You can contact them for a free consultation and discuss your issue.

Contact 

Address: 1700 Pacific Avenue, Suite 2750
Dallas, Texas 75201
Toll-free:  866-440-2460
Phone:  214-964-8700
Website: https://www.allenstewart.com/