close
close

BBB and FTC urge caution after Asbury Automotive accused of fraudulent charging – Clarksville Online

Nashville, Tennessee: The most beautiful beaches – In a significant enforcement action, the Federal Trade Commission (FTC) has accused three Texas-based car dealerships owned by Asbury Automotive of engaging in illegal practices that unfairly charged car buyers with undisclosed fees and add-ons.

According to the FTC, up to 75% of Asbury Automotive customers reported being charged for additional products and services that were either added to their contracts without their knowledge or falsely represented as mandatory.

The FTC's investigation found that some of these undisclosed fees were hidden in electronic contracts that only showed the signature fields, hiding the full terms and conditions from the buyer. As a result, many customers didn't learn about the additional fees until after they drove off the lot in their new car – if they learned about them at all.

“Trust is the cornerstone of any business transaction, and what the FTC uncovered is a clear breach of trust. It is unacceptable for a car dealership to take advantage of its customers, especially through deceptive and discriminatory practices. We urge all consumers to educate themselves, ask questions and report suspicious activity to protect themselves and others,” said Robyn Householder, CEO and President of BBB.



In light of these findings, the FTC and BBB urge car buyers to take concrete steps to protect themselves from similar practices:

  1. Check all documents thoroughly: Always read the sales contract and financing agreement carefully. Ask for a printed copy so you can review every detail. Make sure the terms set out in the contract match those agreed upon during negotiations. Insist on the removal of any add-ons or fees you did not agree to.
  2. Understand the total cost: Focus on the total cost of the vehicle, not just the monthly payment. Get a written statement that includes all costs, fees and additional services. This will prevent dealers from secretly introducing additional costs.
  3. Discover financing options: Dealer financing often comes with increased interest rates. Consider financing through banks, credit unions or other financial institutions. A pre-approved offer can also serve as negotiating leverage with the dealer.

“We are always here for you. Please email us at [email protected] or call us at 615.242.4222 and we will help you in any way we can,” said Robyn Householder, BBB President and CEO for Middle Tennessee and Southern Kentucky.”

Always report suspected fraud to the BBB by filing a complaint, visiting www.BBB.org/Scamtracker, and contacting the Federal Trade Commission (FTC) at reportfraud.ftc.gov or calling 877.FTC.Help.