DealerRater - Car Dealer Reviews, Car Dealer Directory, Vehicles For Sale, Vehicle Recalls (2024)

FAQs

Do dealerships lose money on recalls? ›

They are reimbursed for making the repairs on recalls. They get less when they are paid by the factory for warranty and recall work than if they are making a regular repair for the customer, but it covers their costs with a little left over. They do not make a lot, but it keeps the shop active.

Confidence is the key to a good deal

Research multiple vehicles, know the value of your trade-in and get preapproved for financing before you go to the dealership. You don't need to be a pro. You just need to be firm on how much you're willing to spend and what you really need.

Their Reputation

Word of mouth goes a long way. If you've heard bad things about a dealer, especially from more than one person, then that dealer probably isn't so great. If the dealer has great reviews on their site and a good reputation with the community, then odds are you can trust them.

Make sure that the Total Cash Price on the written contract matches the price that you were told. If the prices are different, you may be the victim of fraud. If the dealership refuses to honor the representations made to you by the salesperson, refuse to sign the contract and walk away from the dealership.

Leading Recall Count

According to the report, Ford Motor Company leads recalls so far this year with 17 recalls. Ford is closely followed by Chrysler (FCA US) with 15. BMW and Mercedes-Benz each have 8 recalls.

NHTSA is the federal agency responsible for car safety and recalls. If you encounter problems with a recall and your dealership or manufacturer cannot help, you can always file a complaint with NHTSA.

Dealers also use 4-Squares to trick consumers into focusing on the down payment and monthly payments rather than the price of the vehicle. If you signed a 4-Square containing the price of a vehicle, payments, or other terms, the dealer may have broken the law.

Report Fraud and File Complaints With Federal Agencies

The Federal Trade Commission (FTC) enforces consumer laws that prevent deceptive business practices. You can report fraud, scams, and unfair business directly to the FTC. You can also file a complaint with the Better Business Bureau (BBB).

How do you tell if a used car is good or not? ›

Scammers need to get your money before you've thought things through. If a seller says they're moving soon, going overseas, or selling fast for a relative, there's a good chance it's a scam. If they want you to pay with gift cards, it's definitely a scam. Don't do it.

"So if you tell them up front you're paying cash, the dealer knows he has no opportunity to make money off you from financing. So, he might not be as moveable on purchase price if he already knows he isn't going to make any money off you from financing." This likely holds true if you've been preapproved for financing.

For decades now, car salespeople have constantly gone to “talk my manager” for permission to negotiate during the sales process. This tactic, paired with countless other dealer antics is very frustrating for customers. If you're unfamiliar with your salesperson saying “let me go check with my manager,” you're lucky!

The truth is, many car dealers are scrupulous business people who trade on their reputations and work hard to cultivate relationships with long-term customers. But buying a car can be confusing and overwhelming, and plenty of dealers earn their bad reps by leveraging that confusion to their advantage.

If you've already paid to have an issue fixed that is later subject to a recall, you may be eligible to get money back from an automaker. But the repair has to have been completed within a specific time frame, and the reimbursem*nt request must be filed very quickly after receiving a recall notice.

Yes, a history of recalls can impact the value of a vehicle under the California Lemon Law. Recalls often indicate defects that may affect the vehicle's safety, use, or value. If your car has unresolved issues despite repair attempts, this history can strengthen your Lemon Law claim by showing persistent problems.

Dealerships are prohibited from selling new cars with open recalls. Automakers are typically required to fix recall issues for vehicles up to 10 years old. So if you're buying a new car from a dealer, an open recall shouldn't be an issue because the dealer must resolve any issues before selling the car.

Safety, Compliance, and Emissions Recalls do not expire. Affected vehicles remain eligible until the repair is completed. Other types of vehicle programs, called Customer Satisfaction Programs, typically have expiration dates and/or mileage limitations.