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Recent article on msnbc.com discusses Car Dealers’ latest deceptive sales tactic — “We’ll pay off your trade”

Recently, there was an article on msnbc.com discussing the latest deceptive practice used by car dealers. You’ve probably seen or heard the advertisements “We’ll pay off your trade-in — no matter what you owe.” Well, the FTC is cracking down on these advertisements:

http://bottomline.msnbc.msn.com/_news/2012/03/23/10815449-car-dealers-latest-deceptive-sales-tactic What a lot of people do not realize is that the amount used to pay off your trade-in is added to your new purchase contract. Thus, you are really financing your old and your new car together. It’s like consolidating debt or credit cards. If you continue to do this a number of times you end up financing a car that is worth a lot less than you owe on it.

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