How to Avoid Dealer Scams
Looking for the best lease deals in town? Remember that dealer scams are aplenty--some car dealers will do everything in their power just to earn a lump-size profit. Here are two things that you need to remember in terms of dealer profit:
1. Car dealers are most often content with making at least $400 for every sale. This holds true for people who know how to negotiate the price of the car. Leasing is all about negotiating the price as some dealers will insist on using the MSRP as the basis for calculating lease payments.
2. Car dealers will make a profit on each and every aspect of the sale, including insurance, financing, optional accessories etc.
Here are some of the dealer scams that you need to be aware of:
1. Extremely low mileage limits - if a car lease will restrict your yearly mileage to only 10,000 miles then walk away and find yourself a new lease deal. You need to understand that mileage penalties will cost you a lot of money at the end of the lease.
2. Imposing a lower-than-usual residual value - this may sound confusing to some but keep in mind that a car with a higher residual value will be cheaper to lease. If car dealers tend to charge a lower estimated residual value then you will inevitably end up paying more for the car. This also holds true if you are planning to buy the car at the end of the lease term as car dealers will often impose a higher price tag for the depreciated car.
Avoid dealer scams by simply asking for a free new car lease quote. This will guarantee that you only get the best lease deals without any form of dealer scam.