Buying a Car in Miami? Beware of the Yo-Yo Scam
The 2019 holiday season is fast approaching. Many Miamians will be buying cars because of the great holiday specials and discounts offered at various dealerships across the city and state. When we purchase vehicles, we need to obtain some sort of financing. Imagine being at the dealership with approved financing, then getting a call from the dealer about a week later saying “There’s a problem with the financing and we want the car back.” At this point, you may be a victim of what is known in consumer law as a yo-yo scam.
What is a Yo-Yo Scam?
Yo-yo scamming is a frequent deceptive practice in consumer protection law.
According to an article in the Tampa Bay Times, a yo-yo scam is when a dealer gives the buyer the impression that the vehicle is theirs to keep.
Days later, the dealer may use deceptive practices to pressure the buyer to return to the dealership to renegotiate. Sometimes, if the buyer refuses to return the vehicle, the dealer will have the car repossessed.
How to Avoid This Scam
This scam is terrifying and victims are often left out in the dark and don’t know what to do. The dealership has threatened them, possibly sold their trade-in vehicle, and feel like they have no rights in the matter.
According to the Florida Deceptive & Unfair Trade Practices Act, yo-yo scamming is illegal. Speak to a knowledgeable attorney familiar with consumer law.
Gather copies of any paperwork relating to the transaction and give them to your attorney. The attorney will be able to tell you whether the contract is legally binding.
If the contract is legally binding, allow the attorney to represent you. Do not concern yourself with the cost of the representation. Look for an attorney that offers a free consultation and works on a contingency fee basis. This type of fee arrangement allows you to pursue the issue without having to pay fees up front. No legal fees are paid until you win the dispute.
Often times, a dealership will back down with a phone call or letter from your attorney.
Yo-yo scamming happens often, but it is illegal in Miami, in the State of Florida and all states. The issue is enforcing the law. You can help enforce the consumer protection by obtaining proper legal representation against the dealership.
Do You Believe You’re A Victim of a Yo-Yo Scam in Miami? Call Spencer Morgan Law.
If you recently purchased a vehicle from a dealership and was later told your financing did not go through, contact the Miami personal injury attorneys at Spencer Morgan Law at 305-423-3800 for a free consultation. This is a common sign of a yo-yo scam and we will take the time to review the facts of the case and work to enforce the consumer laws that are in place to protect you. We work on a contingency fee basis, and there are no fees or costs if we cannot recover for you.