Ontario car dealerships are price gouging customers: survey
CTV
When you buy a car, you'll be pitched warranties, rust protection and other options you can usually accept or decline. But, a new survey finds that some dealers are forcing customers to buy adds-ons, and if they don't, they won't sell them the car.
When you buy a car, you'll be pitched warranties, rust protection and other add-ons you can usually accept or decline.
However, a new survey by Car Help Canada, a non-profit group that provides assistance to customers buying cars, finds that some car dealers are forcing customers to buy adds-ons, and if they don't, the dealer will refuse to sell them the car.
"Many dealerships are price gouging consumers charging them excessive fees and forcing them to pay for add-on products they don't necessarily want or need,” said Shari Prymak, executive director of Car Help Canada.
The Canadian Car Buyers Survey asked Canadians who purchased a car within the past two years about their car buying process.
Thirty-seven per cent of new car buyers said they were forced to pay a mark-up over the Manufactured Suggested Retail Price (MSRP) and 85 per cent of those profit mark-ups ranged from $1,000 to over $10,000.
Some of the options customers were forced to buy included extended warranties, paint protection, tinted windows, key fob insurance, rust protection, tire and rim protection and VIN etching.
According to the survey, some dealers told customers they had to pay for the add-ons or they couldn't buy the car.
