Watch Out for These Car Dealership Tricks! Kevin Hunter The Homework Guy

10 signs a car dealership is trying to scam you. You've probably felt it, that uneasy gut feeling when a car dealership starts playing games. And if you've watched the Homework Guy show, you already know we expose the tricks dealers hope you don't catch. But not everyone walks in with a backup. Hello folks, I'm Kevin Hunter. For the last 16 years, we've been helping car buyers just like you do battle with car dealerships and come out on top. Today we are talking about 10 signs a dealership is trying to scam you and what to do if you see these signs. The amazing Elizabeth joins me now. Thanks Kevin. Number one, they won't give you a written out the door price. That is a bad one. That's for sure. If they say we'll go over that when you come in or we can't give you OTD pricing until you're in the store, red flag. They're trying to trap you into showing up so they can wear you down. Here's what to do. Tell them no OTD, no deal, then walk away. Number two, mystery fees start popping up. Ever heard of reconditioning fee, market adjustment protection package, appearance package, theft recovery fee, nitrogen tire fee, window etching fee. No, I'm not done. Paint and fabric guard, document fee, dealer prep fee, key replacement program, VING guard, pulse brake light system, environmental fee, electronic filing fee known as the e filing fee, destination or delivery charge already included in MSRP on new cars, but added once again. Wow. These are usually high markup add-ons dealers pre-install or preprint into contracts to inflate profits. Most buyers don't realize many of these are optional, but the dealer makes them sound mandatory. Some are flatout fake or renamed so you don't question them. That's why I shared that big laundry list. They often appear after you've negotiated the vehicle price. That's right. Number three, they pressure you not to shop around. Here's the truth. What they tell you is almost never true. If a dealer is offering a reasonable discount today, chances are they can offer it again tomorrow and again later in the month, especially if it's near a quota deadline. It's a pressure tactic to make you feel like walking away will cost you something big. And it never does. Here's what's really going on. They're afraid you'll go to another dealer or look up competing prices online, which you should. The deal they're giving you isn't gone. Your leverage is simply increasing. If you don't buy now, someone else will. That's what they tell you. In truth, it could happen, but it's usually said to create urgency, not because a buyer is actually waiting in the wings. Unless it's a rare vehicle, like a limited production, a custom build, or a very hot model, this is typically dealer bluffing. What's really going on? They want you emotionally attached to the car and afraid you'll lose it. So, you'll stop negotiating and sign now. Here's what to do instead. Your approach should be, "That's okay. I just want to be sure it's exactly right." When you say this calmly, it shows your confidence. It throws the pressure back on them. If they start backtracking or suddenly find more flexibility to help you, it's proof the urgency was just a tactic. You can also say, "If it's meant to be, it'll still be here tomorrow. Thanks for the offer. I'd like to sleep on it and come back with a clear head." Oh, they love it when you say that. Number four, they ask you to sign before you understand the deal completely. They'll shove forms in front of you and say, "This is just standard stuff or template. It's just to get things started. If you sign anything you don't understand, you're already handing them all of the control." What to do? Say these words. Can you walk me through every item and explain what's required and what's optional? They're legally obligated to answer truthfully. Number five, they use confusing numbers or monthly payments only. If they avoid telling you the total cost, but obsess over your monthly payment, you're being set up. If they're fixated on just getting the payment right, you're not negotiating price, rate, or loan term, the things that actually matter. Friends, the dealer has taken control. They might extend your loan term to 84 months just to fit your budget while stacking on high interest and junk. Now, how to shut down the monthly payment trick? First, control the conversation. You say, "I'm not discussing monthly payments. I want the full out the-do price with everything included." Make them give you the bottom line number, tax, title, license, dock fee, and all included. And then number two, break down the deal before you discuss financing. Negotiate the price of the car first, then talk about financing options. If they ask for a payment target, just say, "Let's lock down the sale price first. The payment depends on the rate and term, which I'll decide later." And then thirdly, get preapproved elsewhere before you're at the dealership. Bring your own financing from a credit union or bank and then tell the dealer. Match it or beat it, but I'm not basing anything on payment alone. That gives you leverage and blocks them from playing payment games. And fourth, use the OTD method. This is the homework guy strategy. Always ask for a written OTD out the door quote before visiting. That quote must include vehicle sale price, all taxes and registration, all fees, any dealer installed items, including any dealer fees. If they refuse, you already know they're trying to play games. So, the homework guy tip here, if a dealer insists on talking payments only, stop them and say this. If you won't give me the full breakdown, I'm not doing business with you. Then walk. Only negotiate with real numbers. So, the sixth issue, they say your credit score dropped. Oh, wow. after you arrived. Yep. Some dealers claim your credit score just came in lower than expected. So now you don't qualify for the advertised rate. This is called a yo-yo financing scam. What to do about this? Pull your own credit report before you shop. If they claim something different, just get up and walk out. Number seven, they lowball your trade and hide it in the paperwork. The trick is called the trade bump and then bury it. Here's how it works. First, you get a laughably low offer on your trade. Let's say $6,000 for a car that's worth 10 grand. Yep, it gets that bad. Number two, you push back and they magically bump it up to 9500. And then you think, "Wow, I negotiated hard." But here's what they actually did. They simply buried the $3,500 difference somewhere else. They overcharged you on the sale price of the new car, packed in bogus fees or worthless add-ons. They inflated the interest rate, especially if you're financing. Extend your loan term to stretch your monthly payment out or or even moved numbers around in the final contract that don't match what was discussed. You won the trade negotiation, but you lost elsewhere, too. And you didn't notice because the monthly payment still looked okay. Here's why it's so dirty. It creates the illusion of a win while actually costing you thousands. It takes advantage of people who focus on one part of the deal instead of the whole picture. It's often disguised by fast talk, verbal only numbers, and a refusal to provide breakdowns. Number eight, they won't let you take the contract home. If they say it has to be signed right now, they don't want you thinking clearly. Good dealerships are transparent. Scammers push you into decisions. What to do about this? Ask for a copy of the contract to review on your own. If they say no, that's a deal breakaker. There are three key reasons dealers don't want you taking your contract home. First, you'll think, and that's bad for them. High pressure sales rely on emotional momentum. When you leave the showroom, that adrenaline wears off. You might rethink your decision, compare prices online, show the contract to someone smarter like us, and we'll give you some good feedback on it, or even not come back at all. So, they'll say things like, "We can't let paperwork leave the store." That's nonsense. That's a joke. This is just preliminary. Nothing to take home yet. If you're not serious about buying, we can't move forward. They'll say, "All psychological games." Second, the possibility that you might spot something shady. If you have the contract in hand in a quiet place to read it, you might notice undisclosed fees, an arbitration clause you didn't know you signed, and different numbers than what was verbally promised, add-ons you never agreed to. Dealers don't want you to compare the sales pitch to the paperwork. The longer you look, the more you're going to find. That's right. And thirdly, you might shop it around with that contract. You can now send it to another dealer for a better quote. Get third-party financing with the real sale price. Ask the homework guy, us, for a car deal review before signing. They know if you leave with the contract, you're no longer trapped in their carefully paved road to the sale. Number nine, they slip in the arbitration agreement. Buried in the fine print is a clause that says you wave your right to sue and must use arbitration instead. Arbitration almost always favors the car dealer in these situations, which is exactly why they want you to sign it. Here's what to do. Ask if the arbitration clause is legally optional, and in all 50 states, it will always be, and then decline to sign it if you're uncomfortable, which you should be. Using the word legally traps them into admitting there's no law stating that you must sign it. So, here are your options. You can refuse to sign it. You could also strike through the clause with your That's my favorite. Just take a pen and line right through it. That's right. You could ask for a version of the contract without it. If the dealer says you must sign, that's legally false. In fact, some state courts have ruled that forcing arbitration may violate public policy, especially when tied to consumer rights. And number 10, they refuse a pre-purchase inspection on a used car. This is a huge red flag to us if a dealer won't let you take the car to a mechanic even at your cost or have someone like Palm Car or Lemon Squad come in and do an independent inspection. Most of those will cost 150 to 200 bucks and can potentially save you thousands of dollars in repairs. With regard to these problems we shared today, if you should spot even one of these tricks, slow things down immediately. If you see three or more, get out of there. Dealers who use pressure and deception are hoping you'll fold, but you won't because you've done your homework. Now, let me ask you this. Do you need backup? Make the decision to hire the pros. If you're unsure about a deal, let us review it for you. Car deal review by professionals. We'll check every number, flag shady practices, and tell you exactly what to do next. And that's it for today's homework eye breakdown. We hope you feel just a little more powerful walking into the dealership. Because when you've got the facts, the games don't work and you don't get played. Don't forget, our car buying service was built for people who hate the runaround. No pressure, no tricks, just straight up help from professional people who know the game. We do all the work so you don't have to. We shop for and compare OTD offers, spot fake fees, and in the end, connect you with a dealer who has agreed to play fair so you can buy smart and skip the stress. If that sounds like your kind of deal, check the link in the video description box. And now, stick with us a moment as we scroll through our recent Google reviews. I'm Kevin Hunter with the Amazing Elizabeth. Thanks for watching. [Music] down. [Music] Ding ding ding dong. [Music]