Spot Delivery Scam

The spot delivery scam is one of the most commonly used car scams in the car business today. Even though, it’s not necessarily always a car buying scam, it is still very exasperating and can lead to a cruel surprise.

The auto fraud occurs when the consumer signs all the paperwork, including the loan application and the dealer allows him/her to leave the dealership with vehicle. However, car dealer does not inform the car buyer that the financing has not been approved yet.

A few days later the representatives of the dealership contact the consumer and inform him/her that the consumer has taken the vehicle from dealership without having an actual lender approval in place. The dealer will let you know that the loan you have discussed in the financing office of the dealership wasn’t approved at the interest rate you agreed to. However, you were approved at a higher rate.

Later, when you try to cancel the deal, the car dealer tell you that he has already sold your trade-in vehicle so you have no options, or may tell you that the dealership will sue you if you don’t agree to the new terms.

This way you become the victim of car dealer fraud and end up paying thousands of dollars more than you have planned.