00:00:00
if you purchase any of these 12 things
00:00:02
from a car dealership you're getting
00:00:03
scammed I've been selling cars since the
00:00:05
year 2000 and nothing has changed in all
00:00:08
of those years but you still keep paying
00:00:10
for these ridiculous items that
00:00:11
dealerships try to sell you and now as
00:00:14
the owner of a dealership there is a
00:00:16
huge difference from you learning from
00:00:18
somebody who is actively in the business
00:00:21
versus being a former industry
00:00:23
professional because this industry even
00:00:26
though the scams have all stayed the
00:00:27
same there's a whole lot new tactics
00:00:30
that you do not know about number one is
00:00:32
probably in my top three that I talk
00:00:33
about the most off camera and that's
00:00:35
paint protection and I'm not a big fan
00:00:38
of someone who uses pronouns like
00:00:39
everyone or always or everybody it's
00:00:42
it's just not in my vocabulary but I
00:00:45
will say this that every single
00:00:47
dealership in America that is offering
00:00:49
you a paint protection plan is doing it
00:00:51
for one reason and that's to line their
00:00:53
pocket books there is virtually no cost
00:00:56
of to the dealership for a paint
00:00:58
protection product they're all inferior
00:01:01
they don't last and there's no followup
00:01:02
from the salese or the sales staff to
00:01:05
make sure that you are happy with it so
00:01:07
typically speaking the finance manager
00:01:09
is the person selling this stuff and the
00:01:11
salespeople will pitch it to you or
00:01:13
plant the seed as they like to say in
00:01:14
the automotive industry to let you know
00:01:16
that that's coming up and that's when
00:01:18
you know you're going to get pitched a
00:01:20
paint protection plan so this video
00:01:22
right here I found this on Facebook of a
00:01:24
vendor talking to dealers saying hey
00:01:27
this is the easiest paint protection
00:01:28
they call it a ceramic it's not a
00:01:30
ceramic that you can put on to a car and
00:01:32
make major profits they even talk about
00:01:34
how there's no chargebacks in their text
00:01:37
of the post and I can tell you right now
00:01:40
that if you are paying $700 for somebody
00:01:43
in the service department or their
00:01:44
detail Department to put a product in a
00:01:47
foam Cannon and then spray it off with a
00:01:49
garden hose you know you're getting
00:01:51
scammed if you're looking for paint
00:01:52
protection the only way to do it is to
00:01:55
use a third party company outside of the
00:01:57
dealership and to use ceramic coating
00:01:59
nothing else out there works if you can
00:02:01
buy it on the open market on Amazon on a
00:02:04
website on a Facebook ad it's pretty
00:02:06
much junk out there and if you are in
00:02:08
the Southern Indiana area or Louisville
00:02:10
Kentucky I personally use five Diamond
00:02:12
detailing who's a big sponsor of this
00:02:14
Channel and they're right here in
00:02:15
Georgetown Indiana where I'm from and
00:02:17
they do a phenomenal job and so if you
00:02:19
want ceramic Cody in your car use
00:02:21
something from a professional that's
00:02:23
available not at a dealership number two
00:02:25
is delivery and destination charges now
00:02:28
every single new car has a destination
00:02:31
charge on it and you have to pay that
00:02:32
when you're negotiating the new car you
00:02:35
negotiate the total vehicle price or the
00:02:37
MSRP whatever the manufacturer wants to
00:02:39
call it that's what you negotiate but
00:02:42
these dealers like to put ripoff
00:02:44
stickers on their vehicles that gets you
00:02:46
to pay a destination charge two times
00:02:49
don't ever pay them they're worthless
00:02:51
they don't do anything it's just an up
00:02:52
charge and obviously we know it's 100%
00:02:54
profit number three and all you have to
00:02:56
do is drive down the road and look at
00:02:58
when someone hits their brakes to know
00:02:59
that they got scammed when they bought
00:03:01
their brand new car and that is the
00:03:03
third blinking brake light yes if the
00:03:05
dealership pitches you hey this is for
00:03:08
safety it reduces crashes just ask them
00:03:11
one simple question show me the data
00:03:13
that shows that it reduces crashes they
00:03:15
can't even Google it it's not even on
00:03:16
Google it doesn't exist and it actually
00:03:18
if you go back to the 90s that shows
00:03:20
that it doesn't help or reduce the a
00:03:23
likelihood of getting a rear end
00:03:25
collision so this is all a dealer markup
00:03:28
if you do want this on your car which I
00:03:30
don't recommend you can buy it on Amazon
00:03:31
for really really cheap and then also
00:03:34
most importantly when dealers put this
00:03:36
on your car there is a strong
00:03:38
possibility that it actually voids your
00:03:40
warranty and when you look at your
00:03:42
warranty supplement guide it states in
00:03:44
there that if you have any additional
00:03:47
ads to your vehicle that are non OEM it
00:03:51
does void your warranty so every
00:03:53
manufacturer has that so the dealerships
00:03:55
will Avid your warranty and I've ran
00:03:56
into this before in the past because the
00:03:58
manufacturer has as hey is there any
00:04:01
other objects on this car that could be
00:04:03
causing this issue because this does tie
00:04:05
into your electrical system they splice
00:04:07
the wires to ensure that there's power
00:04:09
and it pulses the brake light the third
00:04:11
blinking brake light say that three
00:04:13
times real quick it's very difficult but
00:04:15
don't pay for this they're usually
00:04:16
around 500 bucks number four this is
00:04:18
credit life and disability insurance
00:04:21
typically the finance manager has to
00:04:23
sell this because it is something they
00:04:24
have to be licensed to do 100% a scam
00:04:27
it's way too expensive for the coverage
00:04:29
that you get and the best way to know
00:04:31
that a dealership is actually going to
00:04:33
try to pitch this to you is when the
00:04:34
finance manager asks you in the event of
00:04:36
your untimely death who would you prefer
00:04:39
the free and clear title to go to and
00:04:41
you would answer that question and uh
00:04:44
you just just say the bank yeah just
00:04:46
just send it to the bank we'll let him
00:04:47
repo it if I'm dead who cares right
00:04:49
you're dead but this is a big scam and
00:04:51
it typically can cost you 3050 and
00:04:53
sometimes $60 a month and when you add
00:04:56
that up over 72 months that's a huge
00:04:58
scam number five is dealership prep and
00:05:00
reconditioning fees I see this on new
00:05:03
and used cars new car dealers typically
00:05:05
call this dealer prep used car dealers
00:05:08
typically call this reconditioning fees
00:05:10
they don't tell you that they're on the
00:05:11
website they don't tell you anything
00:05:12
about it they do it when you get to the
00:05:15
showroom and that's another reason why
00:05:17
you don't negotiate on the showroom
00:05:18
floor you negotiate at home or your work
00:05:21
or whatever the case may be it's totally
00:05:22
different video so make sure you
00:05:23
subscribe but dealer prep fees they're
00:05:25
typically putting those on new cars to
00:05:27
say hey we cleaned it up we're filling
00:05:29
with a gas or blah blah blah whatever
00:05:31
it's all Bs whatever they tell you and
00:05:33
because all of those pdis and fees and
00:05:36
stuff like that including the gas is
00:05:38
reimbursed by the manufacturer that they
00:05:40
represent on reconditioning fees you can
00:05:42
see behind me as I'm a used car
00:05:44
dealership when I buy these cars or a
00:05:46
new car dealer has a trade in or I have
00:05:48
a trade in we have to recondition them
00:05:50
before sale that's just part of the
00:05:52
process that is why we have a wholesale
00:05:55
value and a retail value on used cars
00:05:58
and when we have to trade something in
00:06:00
or we buy something at auction we just
00:06:02
have to eat that cost but dealerships
00:06:04
are out there trying to get you to pay
00:06:06
for that and I've seen some dealers say
00:06:08
Hey listen this is the price and if you
00:06:10
want it recondition it's $3,000 they
00:06:12
won't let you out of that don't pay for
00:06:14
reconditioning fees and if a dealership
00:06:16
refuses to change the oil clean the car
00:06:19
prior to you seeing it or taking
00:06:20
delivery of it don't do business with
00:06:22
them because there's probably some
00:06:24
hidden underlying issues especially in
00:06:26
the used car market number six is where
00:06:28
dealerships really try to get your
00:06:30
emotion way up and get the fear Insight
00:06:33
going on and that is GPS systems
00:06:35
dealerships love to sell these GPS
00:06:37
systems to you because again they're
00:06:39
nothing but pure profit they get them
00:06:40
for pennies on the dollars and they sell
00:06:42
them for Big Ticket items especially
00:06:44
like low Jack that only sells at car
00:06:46
dealerships only sells at car
00:06:47
dealerships if lowjack was so
00:06:49
professional and so big why aren't they
00:06:51
selling it direct to the consumers
00:06:52
because they know nobody's going to buy
00:06:54
it and they can count on the dealerships
00:06:55
to try to sell it to you for big profit
00:06:58
so don't do it all of our brand new cars
00:07:00
nowadays come with a telematic system so
00:07:02
if you do want something like this you
00:07:04
can pay the manufacturer's third party
00:07:06
company to activate that telematic
00:07:08
system and you can track it right on
00:07:09
your phone I just bought a brand new
00:07:11
Audi and Audi and German cars are just
00:07:13
so crazy that I don't even have a remote
00:07:14
started my key fob by at least have an
00:07:16
app where I can remote start my car and
00:07:18
also track it in the event that I've
00:07:20
stolen if you want to go on an
00:07:22
additional security level you can buy
00:07:24
GPS systems on Amazon that are super
00:07:26
cheap you can hide them they're not
00:07:28
going to notify anybody that's on the
00:07:29
car that there's something like that and
00:07:31
you can track it and let the police know
00:07:33
as well number seven has to kind of go
00:07:35
right along with number six and that's
00:07:37
Theft Protection dealerships will also
00:07:39
try to sell you protection packages in
00:07:41
results of theft and they'll go out
00:07:43
there and like hey if your car ever does
00:07:44
get stolen it pays you $2,500 it pays
00:07:47
you $5,000 well tell them to give you
00:07:50
four references of customers who've ever
00:07:52
made that claim and they can't they're
00:07:54
zero they'll tell you that there's a
00:07:55
story from 20 years ago but it's exactly
00:07:57
that it's a story it can't be validifi
00:07:59
that's not their customer they heard it
00:08:01
from someone else these stuff protection
00:08:02
packages are typically called Vin
00:08:04
etching which you can get if you want
00:08:06
your VIN etched or identifier mark on
00:08:08
your car etched onto the glass you can
00:08:10
buy it for pennies on the dollar at
00:08:12
Amazon but they also have data dots
00:08:14
which is trash and they also have what I
00:08:16
just recently did a video on was
00:08:18
catalytic converter theft etching that's
00:08:21
another new fear you don't need it
00:08:23
number one police officers don't have
00:08:25
any type of equipment to show that this
00:08:28
car belongs to you they're not going to
00:08:30
do it police officers I know you follow
00:08:32
me I have a Thin Blue Line flag right up
00:08:34
there for a reason I have police
00:08:36
officers in my family they don't look
00:08:38
for stuff like this thieves don't care
00:08:40
about anything like this it's usually
00:08:42
three4 $500 and it's just again a pure
00:08:45
profit center for the dealership but you
00:08:47
fall for it every time she'll just say
00:08:48
no truck owners this one's for you
00:08:50
specifically because number eight has to
00:08:52
do with what probably is the most
00:08:54
accessorized vehicle on the market and
00:08:55
that's trucks now these steps are pretty
00:08:58
nice and I got to say the OEM do make
00:09:00
really good steps but these steps
00:09:02
sometimes are $8
00:09:04
900,000 that's a ripoff you can get them
00:09:06
online and have very similar uh quality
00:09:09
and size and look and not even pay a
00:09:12
fraction of that Subaru customers we got
00:09:13
the Subaru right here Subaru is really
00:09:15
big on that too and the biggest ones who
00:09:17
love to rip you off on accessories are
00:09:19
Kia and Hyundai out there they
00:09:21
absolutely try to put mud flaps on there
00:09:23
they do window tting they do all sorts
00:09:25
of different packages and 100% of
00:09:28
accessories and my opinion is a ripoff
00:09:31
and don't buy them at the dealership
00:09:32
because those steps or a tunnel cover
00:09:34
that's on this GMC right here if you buy
00:09:36
it from the manufacturer it's just
00:09:38
remarketed with a different name from
00:09:40
The True Manufacturer and if you go out
00:09:42
there and look for those tunnel covers
00:09:44
or steps or whatever the case may be
00:09:46
you're going to find them for a little
00:09:47
bit cheaper number nine has to do with
00:09:49
these bad boys right here Tire and Wheel
00:09:51
Finance managers will try to sell you
00:09:53
this stuff for anywhere from $700 up to
00:09:56
$1,500 a lot of times less than 1,000
00:09:59
bucks but it basically States if you get
00:10:01
a flat tire caused by a road hazard or
00:10:03
you crack a rim or t a chunk out of a
00:10:05
rim that they'll cover this for you when
00:10:07
you read that contract it states exactly
00:10:09
what I just said roadh hasard and you
00:10:11
don't think that way through right it's
00:10:14
completely understandable but when you
00:10:15
read that road hazard if you curb a
00:10:17
wheel it's not going to fix to curb that
00:10:19
wheel if you take a chunk out of your
00:10:21
sidewall it's not going to fix that
00:10:23
right there it literally means if you
00:10:24
run something over on the road and that
00:10:27
doesn't happen a ton it certainly can
00:10:29
and it's very possible that happens but
00:10:32
for $800,000 $1,500 and sometimes more
00:10:35
how many $250 tires do you have to
00:10:38
flatten in order to get your money back
00:10:40
on that I'm telling you it's absolutely
00:10:41
worthless don't do it they typically
00:10:43
only cost them $250 to $350 for them to
00:10:47
purchase that contract and they give you
00:10:48
a big up sale for profit in their pocket
00:10:51
number 10 is what gets me fired up the
00:10:53
most that happens in this automotive
00:10:54
industry and that's the additional
00:10:55
dealer markups that's the adms the loas
00:10:58
the lack of avail ilities that where the
00:11:00
dealer says hey we're going to charge
00:11:02
you above what the manufacturers suggest
00:11:04
that we charge you Camaro and Corvette
00:11:06
are probably some of the biggest ones
00:11:07
out there in my world since I've been a
00:11:09
huge Chevy Enthusiast that happens
00:11:11
because we're done with Camaros this is
00:11:13
the last year and the lack of
00:11:14
availability on the Corvette has always
00:11:16
been there as well since the C8 came out
00:11:19
dealers upcharge you and you lose that
00:11:21
money 100% And we see anywhere from 10
00:11:25
15
00:11:26
$50,000 and up and we've seen those
00:11:28
crazy ones for $100,000 plus every penny
00:11:32
that you spend on an additional dealer
00:11:34
markup is money that you burn literally
00:11:36
it's not worth it don't do it because
00:11:39
time will be your friend that you can
00:11:40
get into something like this for much
00:11:42
cheaper than paying a dealer all that
00:11:44
profit number 11 has to do with this
00:11:46
little guy right here a dent in your car
00:11:48
dealerships love to point out how you
00:11:50
want to keep your brand new car looking
00:11:52
flawless and we all know that down the
00:11:54
road especially after about 60 90 days
00:11:57
we kind of just tend to let our cars go
00:11:59
and and not care about what they look
00:12:00
like as much as we did the day we
00:12:02
purchased it dealerships know this and
00:12:05
they will try to sell you what's called
00:12:06
a dent D package and for 500 bucks or
00:12:09
maybe a little bit more they'll sell you
00:12:11
this and say hey if you ever get a
00:12:12
dentor ding uh we'll just just bring it
00:12:15
in and we'll get it taken care of it's
00:12:16
not that easy folks read the back of the
00:12:18
contract ask the finance manager who
00:12:20
sells this to you to read the contract
00:12:22
you have a process to go through in
00:12:24
order to get this reimbursed and in some
00:12:26
cases you have to pay to get it done and
00:12:29
then that warranty manufacturer
00:12:30
reimburses you so that's not very good
00:12:32
either and a good side tip to understand
00:12:35
how if you do want these out like I
00:12:37
would get them out ask your salesperson
00:12:39
hey who does your dents and dings who
00:12:41
does your paintless dent repair around
00:12:43
here and they're going to give you their
00:12:44
name and number and you can call them up
00:12:46
and and name drop your dealership and
00:12:47
they'll like oh yeah we do a lot of work
00:12:49
for them and you probably can get this
00:12:51
done for $40 to $60 very simple to do
00:12:54
number 12 has to do with these guys
00:12:55
right here dealerships love to tell you
00:12:57
how expensive these keys are once you
00:12:59
ask them to give you a second key a used
00:13:01
car they probably a't going to do it
00:13:02
which is a little bit different here at
00:13:04
Mike's Car Store we always give our
00:13:05
customers second keys if we can obtain
00:13:07
them Keys nowadays are way overpriced
00:13:10
they they are crazy priced $150 $200
00:13:12
$250 if you go German like Audi Mercedes
00:13:16
450 bucks absolutely crazy and the
00:13:19
dealerships know this and they love to
00:13:21
use this as a tool to get you to buy
00:13:24
these worthless programs they're usually
00:13:26
somewhere in the $500 to $11,000 range
00:13:28
generally speaking on that lower range
00:13:30
because they know that uh uh they want
00:13:32
you to use this or have an idea that you
00:13:34
can use this and it's going to save you
00:13:36
money well first of all uh they limit
00:13:38
how much the replacement cost is that
00:13:41
they'll pay out read the contract on
00:13:43
that and secondly you just got to go
00:13:45
backwards in your time how how many
00:13:47
times have you lost a key uh of your car
00:13:50
or if it matters if you did lose that
00:13:51
key for your car if it cost so much so
00:13:54
be careful on these it's up to you if
00:13:55
you buy them me personally I don't think
00:13:56
you should because if you go to Chev
00:13:58
keys.com
00:14:00
you can actually get keys real cheap and
00:14:01
have them programmed at home and you
00:14:03
don't even have to go to the dealership
00:14:04
that cost you hours and hours on end to
00:14:06
get this done another tip is if you do
00:14:08
want to get a key from the dealership
00:14:09
walk to the parts department and ask
00:14:11
them to put on a wholesale Cash ticket
00:14:14
they'll save you a little bit of money
00:14:15
and then you walk over to the service
00:14:17
department and have them program the key
00:14:20
you do it in two separate steps because
00:14:22
the parks department sells it to the
00:14:23
service department the service
00:14:24
department sells it to you so you're
00:14:26
actively acting as a middleman for them
00:14:29
out there so don't do it in one
00:14:31
transaction with the service department
00:14:33
do it separately buying a car doesn't
00:14:34
have to suck and now that you know the
00:14:36
12 fees to never pay a car dealership
00:14:38
you need to know how to negotiate those
00:14:40
fees out because dealerships are very
00:14:42
good at making sure you will pay these
00:14:45
erroneous fees so make sure you
00:14:47
subscribe for more