Question

car dealer scams
buying a new or used car can be a stressful and scary process. there is a lot at stake. some dealerships and/or car sales persons will try to take advantage of you. there are several common tricks and scams used by unscrupulous dealerships.
bait and switch
a bait and switch is when a dealer advertises a car at a very low price to lure you in. however, when you show up at the car lot, they say it’s already been sold. the whole point is to try and get you in the showroom. when they get you in, they will use high pressure sales tactics to buy a more expensive car.
focusing on monthly payments
a common sales tactic used by many dealers is where they try and get you to focus on the monthly car payment and not the purchase price. this is one of the most common and profitable sales tactics. for instance, they may ask a question like, \if i could get you in this car for $325 per month, would you take the car today?\ the offer may seem attractive but if you add all the costs over the years you would be over paying. its easy for a dealer to get you practically any monthly payment you want. always negotiate a car deal based on the actual total price that you want to pay for the vehicle.
the warranty scam
there are two warranty scams that are fairly common. in the first, dealers try and hit you with a forced warranty for several thousands of dollars. they tell you that the bank requires you to have a warranty on the car. in the second warranty scam, the dealer tries to sneak a warranty into the terms of your deal so it inflates the monthly price. any forced warranty is illegal and should not be accepted
these are the three of the top scams used by dealers but are not the only ones. there are many ways dealers may try and scam you. therefore, it is important to do your research before buying a car and read your contact carefully before signing.
answer each question with a complete sentence on a separate piece of paper.

1. what is a bait and switch?
2. in a bait and switch what will the dealer try and do?
3. what is one of the most common sales tactics used by dealers?
4. what should you always negotiate a car deal on?
5. what is a forced warranty scam?
6. what may the dealer try in sneak into the terms of a car deal?
7. in order to avoid dealer scams what is it important to do before buying car?

Explanation:

The problem involves understanding and answering questions about car dealer scams, which relates to consumer awareness and business practices. The subfield of Business (specifically related to consumer behavior and sales tactics) is most applicable. For each question, we extract the relevant information from the text:

1. From the "Bait and Switch" section: A bait and switch is when a dealer advertises a car at a very low price to lure you in, but says it's sold when you arrive and tries to get you to buy a more expensive car.
2. From the "Bait and Switch" section: In a bait and switch, the dealer will try to use high pressure sales tactics to get you to buy a more expensive car.
3. From the "Focusing on Monthly Payments" section: One of the most common sales tactics used by dealers is getting you to focus on the monthly car payment and not the purchase price.
4. From the "Focusing on Monthly Payments" section: You should always negotiate a car deal based on the actual total price you want to pay for the vehicle.
5. From the "The Warranty Scam" section: A forced warranty scam is when dealers try to hit you with a forced warranty for several thousands of dollars, falsely claiming the bank requires it.
6. From the "The Warranty Scam" section: The dealer may try to sneak a warranty into the terms of your deal to inflate the monthly price.
7. From the last paragraph: To avoid dealer scams, it is important to do your research before buying a car and read your contract carefully before signing.

Answer:

1. A bait and switch is when a dealer advertises a car at a very low price to lure you in, but says it's sold when you arrive and tries to get you to buy a more expensive car.
2. In a bait and switch, the dealer will try to use high pressure sales tactics to get you to buy a more expensive car.
3. One of the most common sales tactics used by dealers is getting you to focus on the monthly car payment and not the purchase price.
4. You should always negotiate a car deal based on the actual total price you want to pay for the vehicle.
5. A forced warranty scam is when dealers try to hit you with a forced warranty for several thousands of dollars, falsely claiming the bank requires it.
6. The dealer may try to sneak a warranty into the terms of your deal to inflate the monthly price.
7. To avoid dealer scams, it is important to do your research before buying a car and read your contract carefully before signing.