Investigation into New Jersey car dealership for scamming customers by leaving them with higher loans

Prosecutors are investigating a Burlington County, New Jersey car dealership, Autosmart, after receiving complaints of customers being scammed. NBC 10 was already investigating Autosmart after a viewer reached out with a problem, possibly related to the recent investigation. A customer, Susan Noble, faced issues with her car loan and refinancing, leaving her with two loans totaling over $50,000.

Autosmart, under investigation, has an “F” rating with the Better Business Bureau and multiple complaints filed against it. Noble’s experience may highlight mismanagement of funds or fraud, a common issue with auto loan refinancing scams. Scammers promise lower payments or offer to pay lenders while pocketing the money themselves, leaving borrowers in financial distress.

Auto dealerships may use various tactics to lure in buyers, such as promising low prices and financing rates but adding surprise costs later. To avoid scams, read loan documentation carefully, watch out for hidden fees, and be cautious of rushed decisions. Shopping around for auto loans and researching dealerships can help protect against fraud.

If you suspect you’ve been scammed, report it to the FTC and your state attorney general’s office. Being vigilant and informed about auto loan scams can help safeguard your finances and prevent falling victim to fraudulent practices.

Read more at Yahoo Finance: Single mom says she was left on the hook for $50K after she thought she’d refinanced her loan with dealership