Lemon Laws Dont Protect Used Car Buyers
Charles Essmeier
Most buyers of new cars are probably familiar with lemon
laws, which allow consumers a refund or replacement when their car
turns out to be defective. These laws generally cover leased cars as
well as purchased ones, and they have worked well as a consumer
protection tool. Unfortunately, no such laws exist for used cars, and
buyers should be careful when purchasing them.
Many car dealers offer ?certified used cars? that come with some sort
of warranty, but most independent used car dealers do not. In most
states, the law permits used car dealers to sell cars ?as is?, and in
that case, anything that goes wrong, even if it happens five minutes
after purchase, becomes the buyer?s problem. Dealers selling cars on an
?as is? basis often aren?t even required to disclose any problems a
vehicle might have to potential buyers.
Most independent car dealers sell older, less expensive cars than those
sold at major auto dealerships. A lot of the profits that independent
used car dealers make come from financing, particularly from financing
those with bad or poor credit. Those with problem credit often find
that such dealerships, which self-finance, are their only chance at
obtaining a car loan.
These loans, with their resulting high payments, often leave buyers
without any extra cash to pay for repairs of undisclosed problems.
Legislators in several states are considering laws that will require
used car dealers to have their cars inspected by certified mechanics
prior to their being offered for sale. This will help, in time, but
what can a potential buyer do now?
Ask to have a certified mechanic examine the car before
purchase. Any reasonable dealer should allow you to take the car to a
mechanic; if not, you should probably shop elsewhere.
Get a list of the car?s known problems in writing prior to
purchase. Inquire as to whether you have any recourse should something
go wrong after the sale.
Ask the salesperson if the car has any sort of warranty, and
if so, get it in writing. If they tell you the car is sold ?as is?, ask
them to define those terms exactly.
Contact your local Better Business Bureau to see if they have had any complaints about that particular dealer.
If possible, purchase a used car from a dealership that offers certified used cars with a written warranty.
Buying a used car is more problematic than buying a new one. After all,
a used car is one that someone else didn?t want anymore. Buyers who are
considering a purchase of a used car should be aware that their
protection under the laws of most states is quite limited. Asking a few
questions and doing some investigation prior to making the purchase may
save buyers thousands of dollars down the road.
©Copyright 2005 by Retro Marketing. Charles Essmeier is
the owner of Retro Marketing. Retro Marketing, established in 1978, is
a firm devoted to informational Websites, including LemonLawHelp.net, a
site devoted to automobile lemon laws and End-Your-Debt.com, a Website devoted to information about debt consolidation and credit counseling.
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