Non-Disclosure of Certified Pre-Owned Status by Auto Dealer
Key Takeaways
- Certified pre-owned vehicles have gone through an inspection and have warranties from the dealership or manufacturer.
- Certified pre-owned status protections can depend on your state law.
- Before buying a used car, get an independent inspection to make sure you are making a sound investment.
Buying a used vehicle always carries a risk. You don’t know the vehicle history and can’t rely on the salesperson. New cars have the manufacturer’s warranty, but used cars may not. Buying a certified pre-owned vehicle provides some warranty protection. However, some dealers may misrepresent the vehicle’s history just to sell the car.
Before buying a used or new vehicle, make sure you do your due diligence. If you got ripped off buying a certified used car, an auto fraud lawyer can help. Contact a vehicle fraud lawyer for help getting your money back from a shady car dealership.
What Is a Certified Pre-Owned Car?
A certified pre-owned (CPO) vehicle is a previously inspected used vehicle with guarantees from the automaker or dealership. Generally, the car dealership or manufacturer provides extended warranties for CPO vehicles. Many used car buyers get peace of mind when buying a car with a certified status. However, certification laws vary depending on where you live.
Certified status can depend on whether you buy the used vehicle from a dealership associated with the automaker. CPO car protections also depend on state lemon laws. Read the fine print when buying a CPO vehicle. Some certifications come with other benefits, including:
- Extended powertrain warranty
- Roadside assistance
- Service contracts
The Federal Trade Commission (FTC) provides some protections for certified vehicles. Under the Used Car Rule, dealers must display a Buyers Guide window sticker on used car purchases. This sticker includes warranty disclosures, terms and conditions, and warranty coverage limits.
What Does a Dealership Have To Tell You About a Pre-Owned Vehicle?
Generally, a dealership doesn’t have to tell you about the vehicle’s history. But if they know about serious safety issues, they have to tell you before you buy the car. Used car disclosure depends on state law. Some states have much stronger lemon laws to protect consumers.
California has some of the strongest consumer protection laws for car buyers. Auto dealers must do a safety inspection before selling a used car. Dealerships can’t sell a certified vehicle if:
- There was odometer tampering
- The vehicle was reacquired
- The vehicle had fire, accident, or flood damage
- The title was washed or rebranded from buyback, salvage, or reconditioning
- There is frame damage or an as-is sale
- There is no complete inspection report of all components inspected
Unfortunately, not all states have such strict requirements for used vehicle sales. To protect your investment, make sure you get an independent inspection before buying a car. Ask about the vehicle warranty before buying CPO vehicles.
How Can I Find Out About the Pre-Owned Status of a Vehicle?
Don’t rely on a car dealership’s word to find out about the pre-owned status. The dealer may not know what happened with the car before they got it. Take steps to protect your investment before buying a car. This can start with a vehicle history report.
Services like Carfax and AutoCheck can give you information about prior ownership, repairs, and title status. But these vehicle histories may not be accurate or up-to-date. They only show what repair shops and dealerships have reported.
Get an independent vehicle inspection by a trusted mechanic. An independent mechanic can look over the vehicle for signs of damage, wear, and tear, and what might need fixing. If the dealership discourages a full inspection before buying the car, you may want to reconsider buying from that dealer.
Can You Sue a Dealership for Pre-Owned Status Fraud?
Car dealers can pull all kinds of tricks. But they can’t sell you a used car by committing fraud. State and federal laws prohibit making material misrepresentations about a vehicle’s history when selling the car. You cansue a dealership for fraud if they lied about a used car’s pre-owned status. An auto fraud lawsuit can help you:
- Recover actual damages
- Get your money back
- Get your trade-in vehicle back
- Pay for attorneys’ fees
Can an Auto Fraud Lawyer Help Me Get My Money Back?
A dealer fraud lawyer is familiar with the tricks dealerships use to rip off buyers. Some of these add-ons may be from good sales tactics. Others are illegal fraud. A dealer fraud attorney can review your case and explain your legal options. They can help you get a refund or recover money after a car warranty scam. Contact a dealership fraud lawyer for legal advice.
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