Federal Judge warns children not to buy from CarMax

During a hearing before the U.S. Federal District Court in Pasadena, California, Federal Judge Wardlaw tells CarMax’s attorney, “I have to tell you, having read what CarMax does, I have told both my children, don’t you buy a ‘certified’ car from CarMax.”

Watch video: Judge warns children about CarMax

Did CarMax sell you an unsafe recalled car?  We want to hear your story.  The only way to get CarMax to stop selling cars with lethal safety defects is for courageous consumers to speak up.  Contact us at:

http://carconsumers.org/contact.htm

 

Buy a car – surrender your rights?

One more reason not to buy a car from a car dealer:  when you do, they force you to give up your right to sue them if they cheat you.  So say good-bye to being able to take advantage of consumer protection laws.

Think a dealer wouldn’t dare roll back the odometer? Think again. They just slip a clause in your contract that says you can’t sue. Then when you find out your low-mileage car actually has over 100,000 extra miles that “disappeared” from the odometer — good luck trying to sue them under the Federal Odometer Act.

Car dealers used to face tough sanctions, including punitive damages, for ripping off consumers. But with rare exceptions, those days are gone.  That’s because car dealers insert “arbitration” clauses into their contracts. Then, after you’ve been shopping, test-driving cars, and negotiating for an average of 4 hours, they shove a stack of documents across a desk and tell you to “sign here, here and here.”

What they don’t tell you is that when you sign, you are giving up your rights under state and federal consumer protection laws. So forget hauling them before a judge or jury, who can throw the book at them. Instead, if you get any hearing at all, it’s before an “arbitrator” whose company just happens to be paid by — you guessed it — the dealer.

Under rulings by the Republican majority on the U.S. Supreme Court, this is perfectly legal.

Ironically, the dealers got a special exemption from Congress that allows them to sue anyone they please. They’re free to use the courts. But you can’t.

Evidence is mounting about how biased and unfair arbitration is. Check out this new report, issued by the Consumer Financial Protection Bureau. No wonder car dealers HATE this consumer watchdog agency. It shows how rigged the game is, when you buy a car from a dealer:

Consumer Financial Protection Bureau report

Don’t end up like Jon Perz, who has been waiting over 7 years for justice, after a car dealer in San Diego sold him an unsafe car.

YouTube Video of used car nightmare — over 1.3 million views

Be a smart shopper. Check out CARS’ car-buying tips for how to get a safe, reliable used car — without having the hassle or risk of buying from a dealer:

CARS Used Car Buying Tips

Happy, safe car shopping!

 

 

 

 

 

 

 

 

One more reason NOT to buy a car from a car dealer

Even the auto dealers themselves have to admit:  many car buyers dread buying cars from auto dealers. Young people are especially wary.  And for good reason.

Car dealers keep selling unsafe, recalled used cars to consumers, putting them, their friends and family, and other motorists at risk of death or serious, debilitating injuries.

And as if that weren’t bad enough, they also insist that you surrender your Constitutional rights as part of the price of buying a car from them.

Good luck trying to buy a car from a dealer without a “gotcha” clause hidden in the contract that says you give up your Constitutional right to take them to court, and benefit from  our nation’s hard-won consumer protection laws. Like laws against rolling back odometers, selling “junk” cars that are advertised as being “in mint condition,” or engaging in other forms of cheating, lying, fraud, and thievery.

And get this:  the dealers got a special exemption from Congress — just for car dealers —  that allows them to keep THEIR Constitutional rights. So they can take anyone they want to court, and use the laws that benefit THEM. But they killed a bill that would have protected YOU from losing your rights when you sign on the dotted line to buy a car from them.

If you’re fed up with car dealers and their scams, check this out:

Cleveland Plain Dealer: Arbitration: What you don’t know about fine print can hurt you

And let your local car dealers know you’re not buying from them until they clean up their act, and you don’t have to surrender your rights to buy a car from them.

CarMax sells recalled used cars

Auto retailing giant CarMax advertises that all of its cars have to pass a rigorous, 125+ point inspection before they are fit to sell. But ever wonder if that inspection includes safety recalls?

Huh?  How could a car pass CarMax’s rigorous inspection and still have a major safety defect that makes it so unsafe, it would be a violation of federal law for it to be sold as a “new” car?

Wellll…  that’s a very good question.

Keep in mind — CarMax recently played a major role in killing first-in-the-nation legislation in California that was backed by consumer and safety organizations, to make it illegal for car dealers to sell recalled used cars to consumers.  Their excuse?  They are not authorized to perform safety recall repairs.

That’s right. Auto manufacturers don’t allow independent dealers like CarMax to perform safety recalls because under federal law, the manufacturers are responsible for ensuring that the recall repairs are done properly.  Which makes sense, since the manufacturer is the one that made the defective product, issues the recall, and oversees the repairs.  Ultimately, if the safety recall repair is inadequate, or isn’t performed properly, and someone is killed or injured as a result, the manufacturer is the one who is held liable. Witness what’s going on with GM.

So watch out. CarMax thinks it’s OK to sell unsafe, recalled used cars to consumers simply because they’re not authorized by auto manufacturers to perform safety recall repairs. Seriously.

See for yourself. Here’s the testimony of CarMax’s Counsel against the California auto safety recall bill:

CarMax:  Don’t make us stop selling unsafe, recalled used cars

Bottom line:  Don’t get snookered by those CarMax ads claiming that all their cars are “CarMax Quality Certified” and passed a “125+ point” inspection.  Unless you don’t mind the fact it could be a certified 125+ point deathtrap.

Did CarMax sell you a recalled used car? CARS wants to hear your story. Here’s how to get in touch:

Contact CARS

P.S. Even if you think your CarMax car is safe, it’s a good idea to check the manufacturer’s website for safety recalls, and enter in your car’s Vehicle Identification Number (VIN).

Federal Trade Commission — private car sellers often give “more reliable information” than auto dealers

We now have an official answer to the age-old question: Are you more likely to be misled if you buy a car from a private individual or from a used car dealer? Obviously, dealers want you to buy from them — and these days, they are boasting about their record profits.

But — auto sales remain the leading cause of consumer complaints to state and local consumer protection agencies. Year after year, new and used car dealers also rank #1 among the most-complained about businesses, in terms of consumer complaints to the Better Business Bureau.

To top it all off, the leading federal consumer protection agency for America’s car buyers recently stated flat-out that you’re more likely to get accurate information about a used car’s history when you buy a car from another consumer, rather than a used car dealer.

Here’s what the Federal Trade Commission stated:

“The Commission concluded that the [Used Car] Rule should not extend to private or casual sellers of used cars because the record failed to support a finding that deceptive sales practices were prevalent in private sales. The Commission noted that in private sales, prospective customers often receive more reliable information about mechanical condition than they do from dealers…” **

    ** Federal Register, Vol. 77, No. 242, Dec. 17, 2012, pages 74761-74762.

Of course, you still have to be on the lookout for “curbstoners” — dealers masquerading as consumers. Be sure to insist on seeing the title and registration, and past work orders from repairs, and make sure that the names on the documents match the seller’s name.

And ALWAYS, ALWAYS insist on getting the car inspected by an independent, reliable, trustworthy mechanic / body shop of YOUR choosing, before you buy. A good place to find an expert to perform the inspection? Car Talk’s Mechanics Files.

It’s a good idea to also check the National Motor Vehicle Title Information System and other vehicle history services before you buy. The more you know, the better. NEVER trust a car dealer to tell you the truth about a car.

Twelve tips for consumers on how to buy a safe, reliable used car — without being cheated by a shady car dealer:

CARS’ Twelve Tips for Used Car Buyers

Happy, safe car buying and Happy New Year!