Premier Honda of New Orleans and FRAUD

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Aug 15, 2018
8
0
1
49
New Orleans
#1
Premier Honda’s sales reps David and Moses doubled the sale price of a vehicle purchased by my husband and took advantage of the fact that he was easily distracted after sending me home to supposedly get information that they would need to be able to sell us the car. Well, they got him to sign documents with incorrect information by more than doubling the purchase price and then they sent that off to the credit agency that was going to help finance the vehicle .. now Premier Honda I just want to know .. why would you say to him that if he could pay off this vehicle that he would be able to buy any car on the lot ???? Was it out of understanding that we wouldn’t be able to afford this 2006 Scion because we both remember the vehicle with a purchase price of $4100 not over $8000 and on top of that it wasn’t the first vehicle we looked at in this price range .. and furthermore still the kelly blue book value of a 2006 Scion is nowhere near $8900 which is what was put on the documents that were sent to the finance company. Like I said I’ve tried to contact the sales manager once a week since May 15th and still with no luck. I called again today and now my voice messages I’m leaving are becoming ugly and I don’t want to be that person
 
Mar 17, 2015
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#2
If they truly doubled the price, then you should contact the attorney general. Be sure to look closely at the contract, as some of the extra may be tax, title, license, etc. I do not think that should be the half the price of the car, but they may not be cheap either. You can also try to use the company contacts link at the top of the page and follow the advice, writing to one person at a time, leaving a week in between each. Leaving voice messages will not help, you need to start a paper trail.
 
Aug 15, 2018
8
0
1
49
New Orleans
#4
T
Premier Honda’s sales reps David and Moses doubled the sale price of a vehicle purchased by my husband and took advantage of the fact that he was easily distracted after sending me home to supposedly get information that they would need to be able to sell us the car. Well, they got him to sign documents with incorrect information by more than doubling the purchase price and then they sent that off to the credit agency that was going to help finance the vehicle .. now Premier Honda I just want to know .. why would you say to him that if he could pay off this vehicle that he would be able to buy any car on the lot ???? Was it out of understanding that we wouldn’t be able to afford this 2006 Scion because we both remember the vehicle with a purchase price of $4100 not over $8000 and on top of that it wasn’t the first vehicle we looked at in this price range .. and furthermore still the kelly blue book value of a 2006 Scion is nowhere near $8900 which is what was put on the documents that were sent to the finance company. Like I said I’ve tried to contact the sales manager once a week since May 15th and still with no luck. I called again today and now my voice messages I’m leaving are becoming ugly and I don’t want to be that person
 
Aug 15, 2018
8
0
1
49
New Orleans
#5
Thank you Tanya, I appreciate your input very much. I hadn’t considered the attorney general. I did however, already contact the better business bureau of New Orleans and I filed a complaint with The Federal Trade Commission. I’ve typed up an email that is still in Drafts, that I planned on sending as many corporate employees of Honda of North America. I like the suggestions you’ve made about the time in between sending each person I’m addressing. Again, very much appreciated.
 
Nov 20, 2015
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#6
Banks and other lenders don't typically make car loans for close to 200% of the KBB value of the car. If the borrower defaults on the loan, the lender can't come close to getting its money back by repossessing the car. Are you sure that the $8000 amount doesn't include the finance charges on a loan with pre-computed interest? A loan with a high interest rate can easily double the total amount you pay even after only 4-5years. The paperwork can be very confusing. I just don't see the bank being fooled by the dealership into loaning out that much money on a car that isn't worth it.
 

Neil Maley

Moderator
Staff Member
Advocate
Dec 27, 2014
13,373
13,044
113
New York
www.promalvacations.com
#8
Thank you Tanya, I appreciate your input very much. I hadn’t considered the attorney general. I did however, already contact the better business bureau of New Orleans and I filed a complaint with The Federal Trade Commission. I’ve typed up an email that is still in Drafts, that I planned on sending as many corporate employees of Honda of North America. I like the suggestions you’ve made about the time in between sending each person I’m addressing. Again, very much appreciated.
The BBB is useless. They have absolutely no
power to force the dealership to do anything.

File with the AG.
 

jsn55

Verified Member
Dec 26, 2014
6,856
6,779
113
San Francisco
#10
Banks and other lenders don't typically make car loans for close to 200% of the KBB value of the car. If the borrower defaults on the loan, the lender can't come close to getting its money back by repossessing the car. Are you sure that the $8000 amount doesn't include the finance charges on a loan with pre-computed interest? A loan with a high interest rate can easily double the total amount you pay even after only 4-5years. The paperwork can be very confusing. I just don't see the bank being fooled by the dealership into loaning out that much money on a car that isn't worth it.
A very good point, the bank won't finance a vehicle, especially one this old, if the true market value can't be established at the price she paid for the car. If our OP has proof that the price was doubled between the verbal agreement and the paperwork, I would think filing in small claims court might be the most expeditious way to deal with this.
 
Jun 30, 2017
378
406
63
Maui Hawaii
#11
Before contacting the AG you need to review the contract that you have. You may have the TOTAL of all fees, including, title, taxes, dealer conveyance fees etc. and interest charges confused with the actual price of the car. Depending on how long the finance period is and the interest rate paid, the TOTAL COST (not PRICE) of a car $4000+ car may actually reach $8000 over the life of the loan. If the contract says $4100 you need to look at all the additional fees. What is the actual PRICE listed for the car on the contract?
 
Sep 27, 2017
35
39
18
49
#12
A few questions:

1/ Was there a negative trade balance on the trade-in (assuming you did trade in)? This would have added to the amount financed.

2/ Who was the car financed through? I used to sell used cars, and the dealership had a third-party financier for people with poor credit. This financier was the reason used car dealers get their reputation. The financier would only loan the money for 110% of the blue book value AT A 25% INTEREST RATE. (NOTE -- blue book values on a used car are already highly inflated and hardly ever sell for that price - most sales are well below the blue book).

3/ Are you sure you are looking at the sale price of the car, and not the total amount (which would include the total amount financed plus interest)?

Also, it may be better to write the Premier group rather than Honda itself. I had an issue with Toyota Motor Credit that originated with a Toyota dealer. When I tried to plead with Toyota about the issue, all they did was wash their hands and gave me some boilerplate corporate B.S. about how dealers are independent businesses. Yep, a Toyota dealer run by a sales staff wearing Toyota uniforms that sold new Toyotas and could finance me through Toyota Motor Credit Corp somehow had nothing to do with the manufacturer according to Toyota, Inc. when it came time to fess up to the mistake.

Of course, get in touch with the state AG, by all means.

Best of luck to you! I live in NOLA, and have had my share of runarounds with the lots.
 
Aug 15, 2018
8
0
1
49
New Orleans
#13
Banks and other lenders don't typically make car loans for close to 200% of the KBB value of the car. If the borrower defaults on the loan, the lender can't come close to getting its money back by repossessing the car. Are you sure that the $8000 amount doesn't include the finance charges on a loan with pre-computed interest? A loan with a high interest rate can easily double the total amount you pay even after only 4-5years. The paperwork can be very confusing. I just don't see the bank being fooled by the dealership into loaning out that much money on a car that isn't worth it.
Thank you CCGORMAND I really thank you for the time to post your thoughts to me here. I spoke to the finance company and they stated that they get the contract with the numbers already filled in and that I would need to take it up with Premier Honda. The two different people I spoke with at Credit Acceptance both told me the same thing and I still can’t get anyone from Premier to talk to me. I understand finance charges and what not but what I don’t undetstand is why the purchase price for the car would have been entered the way it was. All I know is that we should have on paper been shown to be financing 2400.00 dollars not 11000.00 and even the down payment is incorrect. It just frustrates me that they waited till I left to get Frederique to sign the paperwork when they sent me home for something I was told they would need almost to get me out of there .
 
Aug 15, 2018
8
0
1
49
New Orleans
#14
A few questions:

1/ Was there a negative trade balance on the trade-in (assuming you did trade in)? This would have added to the amount financed.

2/ Who was the car financed through? I used to sell used cars, and the dealership had a third-party financier for people with poor credit. This financier was the reason used car dealers get their reputation. The financier would only loan the money for 110% of the blue book value AT A 25% INTEREST RATE. (NOTE -- blue book values on a used car are already highly inflated and hardly ever sell for that price - most sales are well below the blue book).

3/ Are you sure you are looking at the sale price of the car, and not the total amount (which would include the total amount financed plus interest)?

Also, it may be better to write the Premier group rather than Honda itself. I had an issue with Toyota Motor Credit that originated with a Toyota dealer. When I tried to plead with Toyota about the issue, all they did was wash their hands and gave me some boilerplate corporate B.S. about how dealers are independent businesses. Yep, a Toyota dealer run by a sales staff wearing Toyota uniforms that sold new Toyotas and could finance me through Toyota Motor Credit Corp somehow had nothing to do with the manufacturer according to Toyota, Inc. when it came time to fess up to the mistake.

Of course, get in touch with the state AG, by all means.

Best of luck to you! I live in NOLA, and have had my share of runarounds with the lots.
A few questions:

1/ Was there a negative trade balance on the trade-in (assuming you did trade in)? This would have added to the amount financed.

2/ Who was the car financed through? I used to sell used cars, and the dealership had a third-party financier for people with poor credit. This financier was the reason used car dealers get their reputation. The financier would only loan the money for 110% of the blue book value AT A 25% INTEREST RATE. (NOTE -- blue book values on a used car are already highly inflated and hardly ever sell for that price - most sales are well below the blue book).

3/ Are you sure you are looking at the sale price of the car, and not the total amount (which would include the total amount financed plus interest)?

Also, it may be better to write the Premier group rather than Honda itself. I had an issue with Toyota Motor Credit that originated with a Toyota dealer. When I tried to plead with Toyota about the issue, all they did was wash their hands and gave me some boilerplate corporate B.S. about how dealers are independent businesses. Yep, a Toyota dealer run by a sales staff wearing Toyota uniforms that sold new Toyotas and could finance me through Toyota Motor Credit Corp somehow had nothing to do with the manufacturer according to Toyota, Inc. when it came time to fess up to the mistake.

Of course, get in touch with the state AG, by all means.

Best of luck to you! I live in NOLA, and have had my share of runarounds with the lots.
Thank you Riroon there was no negative balance we were offered $1000.00 on the trade in and we put $700 cash down on a vehicle that was $4100.00 so without taxes those numbers put us financing $2400 over two years and no way can I see that coming out to just over 11000.00. So here’s the thing the two sales reps knew without a doubt that we could not and would not afford anything over $4000.00 And the sale price on the contract for Credit Acceptance was listed for $8900 and I was told by credit acceptance that Premier Honda sent the contract with that as the purchase price . Thanks for sharing with me about Premier Group
 
Aug 15, 2018
8
0
1
49
New Orleans
#15
Before contacting the AG you need to review the contract that you have. You may have the TOTAL of all fees, including, title, taxes, dealer conveyance fees etc. and interest charges confused with the actual price of the car. Depending on how long the finance period is and the interest rate paid, the TOTAL COST (not PRICE) of a car $4000+ car may actually reach $8000 over the life of the loan. If the contract says $4100 you need to look at all the additional fees. What is the actual PRICE listed for the car on the contract?
Thank you weihlac I will make sure to have that contract that Credit Acceptance sent to me and I will check and then double check those figures before I contact the AG and Premier Group ...
 
Aug 15, 2018
8
0
1
49
New Orleans
#16
The BBB is useless. It is a pay to play system and has very little, if any, clout with the companies it takes money from to be part of the club. Good luck!
Tanya thank you for sharing your regards concerning the BBB I may still keep some of the energy I’ve put out to contact them only because I started that and don’t like to leave things unfinished, but I will put more efforts into what all you guys here have shared with me. Wow I am floored with all of the responses I’ve been getting here ..You guys have truly helped to renew my faith in mankind, really.
 

jsn55

Verified Member
Dec 26, 2014
6,856
6,779
113
San Francisco
#18
All of what I am getting from you guys here is great and I’m learning a whole lot .. like it’s not me against the world
You are so sweet to tell us ... we are all volunteers who truly enjoy helping, each in our own way and area of expertise. I had a run-in with a car dealership when I was about 22 and I've never gotten over it. Those guys can be just scum, but thankfully not all of them. I'm so glad you found us!