ABC 30 investigation finds dangerous recalled cars for sale on dealer lots

“A record number of vehicles are getting recalled this year. Car makers have pulled about one of every five vehicles on the road, 58 million of them. But many of the potentially dangerous cars are hiding in plain sight on used car lots here in the [Central] Valley.

The truth is: they’re all over the place, and you may never know it until it’s too late.”

ABC 30 investigation finds dangerous recalled cars for sale on dealer lots

 

CarMax — caught on Camera AGAIN selling unsafe, recalled cars

An undercover investigation by WSB-TV in Atlanta, GA found CarMax is still selling unsafe, recalled cars — while claiming they take care of safety recalls.

Instead of cleaning up their act, and ensuring the cars they sell are safe, CarMax says they plan to keep leaving it up to car buyers to get the safety recall repairs done — AFTER they buy the car. For millions of recalled cars, it could take months before repair parts are available, and meanwhile CarMax customers will be stuck driving ticking time bombs.

Watch video: WSB-TV report: CarMax under Fire over Recall Policy

CarMax sells unsafe, recalled cars

CARS continues to hear from more consumers who bought cars from CarMax, believing that they were safe. They were astonished and dismayed to find out that their car or truck was so unsafe, it was being recalled by the manufacturer due to safety defects.

One consumer in Richmond, VA called to say that he bought a GM car from CarMax, which advertises that all its cars must pass a rigorous “125+-point inspection” and be “CarMax Quality Certified” to be offered for sale. Then he found it that GM had recalled it because of the notorious ignition switch defect, which causes the car to die in traffic without warning, and also disables the power steering, power brakes, and air bag. A local GM dealer told him that it could take months before repair parts are available.

CarMax told him that was his problem, not theirs.

Meanwhile, he is afraid to drive the car. So he and his partner have a very expensive lawn ornament in their back yard.

Did CarMax sell you an unsafe, recalled car? Here’s what you can do:

1. Contact CARS. We want to hear your story. The only way we’re going to get CarMax to stop selling unsafe, recalled cars is for enough consumers whose lives are being put at risk, to speak up.

Contact CARS

2. File a complaint with the Federal Trade Commission. The FTC has the authority to crack down on CarMax over its false, misleading advertising, that claims its cars are so safe, they passed a 125+-point inspection. But — CarMax does not even check for safety recalls.

Complain to the FTC

 

 

Car Title Loans — Get a Loan, Lose Your Car

Thinking about getting a car title loan, to tide you over? Don’t do it — unless you can afford to lose your car. Car title lenders trap consumers in loans they can’t afford, then take their cars.

Warns Tiffany Richardson, a Houston, Texas area nurse who lost both of her cars to a car title lender: “No matter how bad it gets, do not go.” — Texas Tribune, August 23, 2014.

Sometimes they refuse to accept payments made via phone or other means, in hopes you will default. Then they pounce, and grab your car. They make a killing when they get to collect payments from you, plus end up owning your car.

Car title lenders in California often lure consumers into loans bigger then they need. Why?  Because there is no cap on the interest they can charge for loans over $2500. So even if you want a loan of only $600, they will tell you that you should get a bigger loan, over $2500. That way,  they can charge you absurdly high interest rates — and are more likely to end up seizing your car.

Better alternatives:

Borrow from relatives

Get credit counseling from a non-profit credit counselor approved by the Federal Trade Commission who can help you figure out a better way to deal with debt

Sell your car and get a less expensive car, take public transportation, or rent a car while you get back on your feet

Read more:

Texas Tribune / NY Times report “Thousands in Texas lose cars to car title lenders”

 

Honda: “Oh, and by the way, this Honda’s air bags may explode in your face”

In case you thought that other auto manufacturers were smarter than GM, or at least capable of learning from GM’s mistakes, here’s a reality check:

Honda is now specifically allowing its dealers to sell unsafe, recalled used cars with faulty air bags that are prone to spewing metal fragments that become sometimes-lethal projectiles — as long as they get the used car buyer’s signature on a written “disclosure”  — which the dealer can hide in a stack of documents and slip in AFTER you have already agreed to buy the car, settled on a price, and spent 4 hours at the dealership.

Safety Research and Strategies writes about why cars equipped with  these defective air bags are finally being recalled — because of horrific incidents like these:

“In May 2009, 18-year-old Ashley Nicole Parham.of Oklahoma died in a 2001 Honda Accord, after her vehicle [collided with] another car in the school parking lot, tripping an explosion that sent a piece of metal right into her carotid artery.

In 2010, Kristy Williams, a Georgia college student, was stopped at a light, when her airbags deployed, expelling metal shards, which severed her neck and carotid artery and required two weeks in intensive care. Williams’ case against Honda was settled for an undisclosed sum.

On Christmas Eve, Guddi Rathore was at the wheel of her 2001 Honda Accord, when a U.S. postal service truck pulled out in front of her. The minor fender bender caused the airbag to explode. The metal shards severed the arteries in her neck, killing Rathore in front of her three young children, also occupants in the Accord.”

One of the complaints SRS documents, that was filed with the National Highway Traffic Safety Administration:

“Oncoming driver crossed center line making a left turn in front of Honda driver. Honda struck passenger side of turning vehicle. Both driver and passenger side airbags deployed. However, the diver side airbag inflator ruptured and propelled a one-inch piece of shrapnel into the driver’s right eye. Loss of sight and severe lacerations to nose requiring 100 stitches.”

Even if those disclosures would pass legal muster — and some legal experts think they may be worse than no disclosure at all — what sort of car dealer would deliberately sell their customers a car with an air bag that may explode in their face and blind or kill them?

Read more:

Automotive News: Honda pushes dealers for buyer’s signatures on air bag liability

Safety Research and Strategies: NHTSA finally gets curious about exploding air bags

 

 

 

 

 

 

 

 

 

 

 

CarMax sells unsafe, recalled used cars

CarMax advertises that each vehicle they offer for sale must pass a rigorous 125+ point inspection. But — does that include ensuring that safety recall repairs have been performed? The answer may surprise you.

Check out this recent news report:

WFMY-TV: Consumer Groups Warn CarMax Has Misleading Ads

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 ticking time bomb.

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).

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).

GM issues safety recall over faulty ignition switches

General Motors is recalling nearly 780,000 compact cars in the US and Canada due to a faulty ignition switch. The switch can make the engine shut off without warning, causing a crash. The recalled vehicles are 2005 – 2007 Chevrolet Cobalts and 2007 Pontiac G-5s.

GM has acknowledged that 6 people have died in 22 crashes, linked to the problem.

Even something as simple as riding on rough roads or having other keys on the key ring can trigger the ignition switch to move out of the “run” position, cutting off both the engine and electrical power.

As required under federal law, GM will replace the ignition switches for free, through their franchised car dealers. However, it remains to be seen when the dealers will obtain sufficient parts to perform the safety recall repairs.

Meanwhile, GM is urging owners of the recalled vehicles to remove other items from the key rings for the ignition keys, pending repairs.

NOTE: If you are shopping for a used car, NEVER trust the dealer to ensure that the safety recall repairs have been performed. Dealers keep being caught selling unsafe, recalled vehicles to consumers — including so-called “certified” used cars.

Plus — dealers are actively opposing legislation in Washington, DC and in California that would prohibit them from renting, selling, leasing, or loaning unsafe, recalled vehicles to consumers, unless the safety recall repairs have been performed first.

CARS’ tips on how to buy a safe, reliable used car — without having to risk going to a dealer:

Top 12 used car buying tips

Dealers playing “used car roulette” with customers’ lives — and opposing legislation to make them stop

Did a dealer sell you an unsafe, recalled car?  We want to hear your story.  Contact CARS

 

 

 

 

Graco recalls child safety seats

Graco Children’s Products announced that it’s recalling almost 3.8 million car seats because faulty buckles can stick, leaving children trapped. Some parents have had to cut the straps in order to get their children out of the seats. In addition to being a pain to deal with, the child seats pose a serious hazard to infants and children if the vehicle is in a crash or catches fire.

The National Highway Traffic Safety Administration says that the recall does not include an additional 1.8 million Graco child seats that have the same buckles, and should also be recalled and repaired. NHTSA has indicated that if Graco does not recall the rest of the affected seats, the agency may take legal action to force a wider recall.

The seats in the recall are the 2009 to 2013 model years of the Cozy Cline, Comfort Sport, Classic Ride 50, My Ride 65, My Ride with Safety Surround, My Ride 70, Size 4 Me 70, Smartseat, Nautilus, Nautilus Elite and Argos 70.

Read more: New York Times: Graco recalls child safety seats

WARNING!! Unfortunately, you can’t trust car dealers to make sure that safety recalls are performed before they sell you a used car. Dealers keep getting caught selling unsafe, recalled vehicles to consumers, claiming they’re perfectly safe, when they are not. Dealers are opposing legislation in Congress and in California that would help protect car buyers and their families from unsafe, recalled automobiles.

Read more:  Car dealers play “Used Car Roulette” with customers’ lives

FTC takes action against 9 car dealers over “deceptive” ads

In a rare move, the Federal Trade Commission (FTC) recently zeroed in on how auto dealers sell, finance, and lease both new and used motor vehicles. The agency called their nationwide sweep “Operation Steer Clear.”

As a result of the FTC’s taking action, nine auto dealers agreed to settle deceptive advertising charges.  The agency alleged that the dealers made a variety of false claims in print, Internet, and video advertisements that violated the FTC Act, deceiving the public about the actual costs of purchasing, leasing, or financing vehicles. One dealer even advertised that consumers had won prizes they could collect at the dealership — only to find, when they arrived on the lot, they had not won.

“Buying or leasing a car is a big deal, and car ads are an important source of information for serious shoppers,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. “Dealers’ ads need to spell out costs and other important terms customers can count on. If they don’t, dealers can count on the FTC to take action.”

According to the FTC, the agency’s ‘Operation Steer Clear’ led to settlements with these dealerships in California:

Casino Auto Sales of La Puente, CA and Rainbow Auto Sales of South Gate, CA. Both allegedly violated the FTC Act by “deceptively advertising that consumers could purchase vehicles at specific low prices when, in fact, the price was $5,000 higher. Both dealers’ ads involved a mix of English and Spanish.

Honda of Hollywood in Los Angeles, CA, and Norm Reeves Honda of Cerritos, CA, violated the FTC Act by deceptively advertising that consumers could pay $0 up-front to lease a vehicle when, in fact, the advertised amounts excluded substantial fees and other amounts. The ads also allegedly violated the Consumer Leasing Act (CLA) and Regulation M, by failing to disclose certain lease related terms. Norm Reeves Honda’s ads also allegedly violated the Truth in Lending Act (TILA) and Regulation Z, by failing to disclose certain credit related terms.

The FTC also settled similar cases with dealerships in Georgia, Illinois, North Carolina, Michigan, and Texas. The Los Angeles Department of Consumer Affairs and the Michigan Department of Attorney General assisted the agency by investigating dealers in those states.

The FTC deserves credit for focusing on harmful auto dealer practices, including at politically potent new car dealerships.  However, no dealer agreed to pay a fine or any restitution to victims. Instead, the dealers agreed to behave better in the future.

The public is invited to comment to the FTC about the settlements, until Feb. 10.

Read more:  FTC Announces settlements with auto dealers

 

 

2011 – 2012 Ford Explorers recalled due to steering defects

Ford Motor Company is recalling 300 model year 2011-2012 Explorers equipped with steering gear replacement parts that were installed in September 2013 and January 2014. The  gears may lock, resulting in steering loss and an increased risk of being in a crash.

As required by federal law, Ford will notify owners about the safety recall. Ford dealers will replace the defective steering gears with new steering gears, free of charge to the owners of the Explorers.

The recall was expected to begin on January 24, 2014. Customers who have questions may contact Ford at 1-800-392-3673. Ford’s number for this recall is #13S14. Owners may also contact the National Highway Traffic Safety Administration Vehicle Safety Hotline at 1-888-327-4236 (TTY 1-800-424-9153), or go to:

 National Highway Traffic Safety Administration

If you are shopping for a used Explorer, NEVER trust the dealer to tell you whether or not this safety recall has been performed.  Lobbyists for new and used car dealers claim they cannot tell if a car is safe or not, and say it’s too much bother to check safety recalls prior to selling a used car to the public.

They also say that if there is a delay in getting repair parts, they should be able to sell the unsafe car to a consumer, rather than having to wait until the repairs have been performed.

Want to see for yourself what dealers have to say about their right to sell unsafe, recalled used cars to consumers?  Check out YouTube video from official CA legislative hearing:

car dealer lobbyists trying to kill auto safety legislation

 

 

 

 

 

 

 

 

 

NY Times: Ford issues safety recall, NHTSA upgrades investigation into Jeep fires

WARNING — FORD EDGE and CRYSLER JEEP owners:

“Ford recalled about 28,000 of its 2012-13 Edge crossover utility vehicles for possible fuel leaks on models equipped with the 2-liter 4-cylinder EcoBoost engine, according to a report posted on the National Highway Traffic Safety Administration website. The automaker said the fuel line pulse damper was not manufactured properly by a Michigan supplier, which could allow ‘fuel odor, seepage or a small fuel leak.’ ”

Caution: If you are buying a used vehicle, NEVER  rely on the auto dealer to ensure that the safety recall repairs have been performed. Car dealers have been caught over and over again selling unsafe, recalled cars, pickups, and SUVs.

One large new car dealership in California even sold one that was supposedly a  “certified” used car — that nearly killed the buyer when the safety defect occurred.

How can you find out if a vehicle has a pending safety recall? It’s easy — write down the Vehicle Identification Number and call a local dealer, or check the manufacturer’s website.

Read more: “NY Times report”

Dealers selling unsafe, recalled used cars