Has a dealer asked you to come back, tried to unwind a contract, or pulled your credit without your approval? There are all common ways dealers break the law.
While it has a funny name, yo-yo scams are anything but fun. When you drive off in the car you just bought, it is yours. But with a yo-yo scam, a week or two later the dealer calls you back, saying there were some problems and you need to come back in. At this meeting they say they can’t sell you this car, they have to put you in a different car, with different terms. You drive off, in another car. The dealer calls back in another week or two, asking you to come back in. After the same conversation, you drive off in another car. Meanwhile they sold your trade-in and you can’t get it back. Now you’re understanding why they call this a yo-yo scam.
Whats wrong with this is that when you bought the car in the first place, you own it. The dealer does not have any right to bring you back. Its a final sale. So whey do they? Money. They see an opportunity to make more money. How? They change the terms of the agreement to charge more interest. They can then sell your note to a bank for more money. Or if they don’t sell it, they can collect more money.
If you’ve been cheated by a car dealer, give us a call, we want to help.