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The California Car Buyer's Bill of Rights
If you bought a new or used car from a dealer in California, then you should make sure the dealer gave you an itemized price list for warranties, insurance and such other items. The dealer is required to provide details of the cost of monthly installment payments with and without these items.
According the new law that came into force on July 1, 2006, dealer compensation from the financing institution can only be up to two percent if the loan term is more than sixty months and two and half percent if the term is less. [you may see the brochure on the California DMV Site
If you have a lemon law claim under the California Lemon Laws, then
- Check the product’s warranty to know what steps to take for guaranteed legal recourse;
- Determine the number of times the product has been in for a repair.
There are many other changes effected in the new law. Buyers of used cars for less than $40,000 can now get an option of 2-day sales contract cancellation. You may have to pay anything from $75 up to one percent of the cost of the car if it is more than $30,000. And on returning the car, the charges could be from $175 to $500 depending on the cost of the car. You will get back the cancellation option fee when you return the car under this option. If you do not obtain a cancellation option, then there is no cooling off period.
Remember that you will have to return the car in condition to the same dealer within two days and with less than 250 miles usage, unless the contract provided for more time or mileage. All the original papers of the sale and the cancellation option have to be returned with the car. There should not be any liens or encumbrances on the car.
You can get rid of your problem consumer product and pursue your lemon law claim now by submitting your information for a Free* Case Review under the California Lemon Laws.
The dealer will give you full refund, along with sales tax, registration fees and other deposits, and your trade-in car, too, if you had given the dealer one.
It may not always be possible for you to ensure that the dealer has given you the correct and complete details required by the law. Remember that in most cases, the dealer is not the one concerned with your consumer rights: it is usually the manufacturers. When you feel that you are not satisfied with the information or documents provided by the dealer, or you are not able to resolve any issues, it is always advisable to contact qualified attorneys practicing the related law in California.
The new Car Buyer's Bill of Rights also deals with several other aspects related to buying and leasing new and used vehicles. For a free evaluation of your case or for consumer information, you can talk with the attorneys of Krohn & Moss, Ltd. Consumer Law Center® .