How To Know If The Car Buying Company Is Genuine Or Fake?
Whether you’re selling or buying a vehicle, it’s important to identify if you’re dealing with an authentic dealer or a fake. The first thing you should check is a valid LMCT (licensed motor car trader) number. You can easily verify the details online by entering the name of the car buying company along with the license number. An established dealership will display its license in plain view for everyone to see. When searching for a trustworthy company, an excellent place to start is a local dealership advertised in the local newspaper.
Dealing with a genuine dealer will give you the satisfaction of knowing that you are not going to be cheated. An LMCT is more likely to have a reliable mode of payment. They’re also obliged by law to guarantee a clear title on every vehicle they sell. This means that they must declare and make good the title if there are any issues, such as missing documents, whether it was stolen, or if a finance company has security registered against it. For your protection, always go to an LMCT used car dealer.
Signs you’re at a good- or bad – dealership
Even the best of us can get caught up in the sales gimmicks of a car dealer. Many fraudulent dealers are waiting to make a sweet deal off of unsuspecting customers. Being aware of the signs of a scammer will let you identify their high-pressure sales tactics from a distance. The job of a car buying company is to look for vehicles that are easy to fix and resell it with a good profit. Therefore, you need to take the time to check and observe a few things critically. In a manner of speaking, it’s best not to rush into a deal, especially if you want to buy a used car.
Watch out for the following red flags:
Quality of inventory
Have a good look at the cars at the dealership. Everyone wants the best deal either by buying a great, cheap vehicle or a getting good bargain on selling one. The problem is, by the time cars are on the road long enough to become affordable, there could be several things wrong with them, ranging from maintenance neglect, abuse, or too many encounters with potholes. If you see a selection of older cars that look a bit run down, it may be wiser to take a walk to another dealer. Used cars that have been left standing are more likely to have problems of their own. So buying an automobile from here is not advisable. Nor is suitable to sell your car here. They may not be able to provide the complete or prompt payment because of slow business turnover. It’s always best to go to a dealership that is adept at selling and buying cars quickly. As a tip, a car buying company with a small car lot is riskier than a larger, more established one.
Does it have a garage
Car buying companies that have their own garage and employ certified mechanics are more likely to be able to conduct thorough inspections. The vehicles that you buy or sell are more likely to be maintained. They have the facilities to address any problems they find. The bigger the shop and the more mechanics that are employed, the better the chance that the automobile is in good hands.
Remember, just because a dealer has a garage doesn’t necessarily mean that the staff is the most capable. Repairs are expensive, but a car dealer does them to maintain a profit and keep the business running. It’s important that the car pass state safety and emissions inspections.
It’s better to deal with a car buying company that offers its own warranty on used cars. They can’t afford to provide one as good as those of new cars, but the longer the warranty coverage, the better the company. Only genuine dealers concentrate on providing clients with quality service.
Observe the dealer’s attitude and tone when conversing with the dealer. If they’re compliant, it’ll be easier to avail the warranty service. But if they’re reluctant to agree to abide by the state law, they are not trustworthy.
Most car buying companies try to sell third-party extended warranties. This is almost never a good idea. Those companies are out to make money through premiums rather than services that they will have to pay out. It’s wiser to choose the dealer’s warranty, where there is confidence and willingness to back the product they are selling.
A recall is when a company calls back a vehicle because there is a defect that compromises safety. Ask the dealership about their policy on selling recall vehicles. If they are willing to sell you an unsafe car, you need to question whether they are sincere about your safety.
Make sure to see the complete documents, especially the title. Don’t take the dealer’s word for it. It’s quite common for customers to overlook this step, and end up with a car who’s loan hasn’t been paid off. The bank holds the title until all dues are cleared. Similarly, if there are any unsettled police reports or unpaid fines, you won’t be able to register the car on your name. A genuine dealer will have a proper file on the car they are selling nor will they entertain buying a vehicle that has any missing documents.
Mode of payment
Check to see if the dealer has good credit. If the car buying company doesn’t have a set standard of payment, you should look elsewhere. When you sell your car, do not accept any plan where money is paid back in installments. Accept cash, certified checks, or online bank account transfers. Similarly, when buying a car, don’t agree to any financial services provided by the dealer. Making payments with high-interest rates may be difficult. If you miss a single payment, the dealer could repossess your car.
Any dealership with poor customer reviews is not worth the time or a headache. It’s a sign that the car buying company will not make the transaction smooth.
Every person has the right to take a car to their own mechanic for an independent inspection. This is vital in deciding whether it’s worth paying for the vehicle. A genuine dealer will cooperate and let you take the car to another mechanic. If they don’t facilitate an honest sale, then you should find someone who will.