Industry Tips
Car Purchase
Many consumers are under the false impression that there is a law, which entitles them to a refund made on a car deposit if they choose not to buy the car. There is no such law. Car deposits are non-refundable, unless the contract or sales receipt specifically contains a refund policy. Before signing on the dotted line or making a deposit, inquire what the dealership's policy is. If the contract does not contain a refund policy on car deposits, you may request one be written in the contract, or be written on an addendum attached to the contract.
Buying a New Car
If you are buying a new car, consider your needs first. After you determine what size car fills your needs, you should gather facts and information about the specific type. At this point, make a simple balance sheet of fixed and flexible costs. When the balance sheet is completed, you will have a good idea of what price car you can afford and whether or not the car is right for what you need. After you have completed a balance sheet and considered the other options, spend some time shopping for a quality new car dealer. The dealer should be dependable, located fairly near you, and dealer's place of business should be neat and clean. Ask the dealer about options and manufacturers warranties and get the offer in writing. Warranties must tell you what is covered, who covers it, for how long and labeled either full or limited. Claims made by salespersons are considered warranties but it is best to get these put in writing.
Always test drive the car and try to vary the road conditions. Once you decide you want the car the best way to pay for a new car is with cash. There are two basic types of transactions of ordering your new car. You can buy a car in the dealer's inventory, or order one from the factory. Buying from stock can often save you money. If you do not mind spending a little more, and are willing to wait six to eight weeks for delivery, then have the dealer order a car for you. Be sure to study the order carefully, the list should contain every item that you are buying. Do not sign the order form unless you are absolutely sure that you want the car. Do not sign any final papers until you have inspected the car. Look for any body damage, any loose or missing parts and take the car for a test drive.
Auto Line
Auto Line is a mediation/arbitration program in which certain car manufacturers are "pre-committed" to arbitrate certain unresolved claims alleging defects in the vehicle's material or workmanship, or the inability to repair a vehicle so that it conforms to the written warranty. Customers can seek repairs to their vehicle, reimbursement for past repairs or a repurchase or replacement of the vehicle. There are specific age and mileage limitations for each manufacturer. When a claim is filed, detailed information is mailed to the consumer. Participating manufacturers are: Acura, Alfa Romeo, Audi, General Motors (Buick, Cadillac, Chevrolet, GMC Truck, Oldsmobile, Pontiac), Honda, Hummer, Hyundai, Infiniti, Isuzu. Kia, Lexus, Nissan, Porsche, Saturn, Toyota and Volkswagen. To begin a claim the customer should call (800) 955-5100.