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Advertising/Sales Practices

Q. What information should an automobile ad include?
A. This is an area largely regulated by statute, and it varies from state to state. In some
places, the ad must state the number available of that type of vehicle. Other items that may
be required include price, dealer and factory-installed options and warranty terms. In
addition, if the vehicle is "on sale," the ad should state the date the sale ends.

“Bait and Switch” Ads
"Bait and switch" is advertising a vehicle that the dealer does not intend to sell. Usually
this is done to lure the unsuspecting customer toward buying an unadvertised, often
higher-priced vehicle. The ad draws the customer into the showroom, but the advertised
car is not available at that time or stated price.

If you suspect that you have been the victim of such advertising, contact the consumer
protection division of your state attorney general's office. If they have received a number
of reports about this kind of advertising, they may file a claim against the dealer on behalf
of all of the duped customers. If they find that yours is an isolated incident, they may still
help you pursue an individual claim. In either case, it may be possible to hold the dealer to
providing the vehicle at the publicized price.

Q. What if the ad omits details?
A.
If the dealer knows of important facts about the vehicle, but fails to reveal them, the
law may consider that as a deceptive act that could enable you to cancel the deal and even
recover damages in court. Clearing up the missing facts later does not erase the dealer's
deceitful act. (For more information, see the "Lemon Laws and Other Consumer
Protection Statutes")

 

- The New Car Contract

- Bank Loan Versus Dealer Financing

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