It’s Financial Literacy Month! Interested in buying a new or used car? As November comes to an end and the holiday shopping season intensifies, it’s important that consumers are aware of the dangers of “…Being a Monthly Payment Junkie.”  Read more to learn about negative equity. #FLM2015 

Thinking about buying a car? Do you know what additional fees a dealer can add to an advertised price? Do you know exactly what a dealer must tell you about a vehicle’s past-use or condition? Do you know what protections are available if you choose to buy a vehicle privately? If you answered no to any of these questions, you probably need to sharpen your car-buying knowledge before signing any contracts or paying any deposits.

All-in price advertising is the law; a law meant to provide transparency to consumers and create a fair and level playing field for car dealers. Through OMVIC’s continuous consumer awareness efforts, the public is becoming more informed on the rules surrounding all-in price advertising when purchasing a car from an OMVIC-Registered Dealer — but there is still some confusion…

Many consumers in Ontario don’t know where to turn when something goes wrong with a vehicle purchase; they mistakenly believe that car dealerships are akin to the Wild Wild West where lawlessness was commonplace and bandits plentiful. But the truth of the matter is quite the opposite. Car dealers and salespersons must be licensed and abide by the rules and regulations of the Motor Vehicle Dealers Act (MVDA), the Consumer Protection Act (CPA) and a strict Code of Ethics; and the “sheriff” administering and enforcing the laws is OMVIC – Ontario’s vehicle sales regulator.

Do you remember trick-or-treating? Can you recall the tangible excitement of running from house to house; trying not to trip, or worse, lose some of the candies stashed in your pillow case. And there was a secret communication shared by the young ghouls, witches and ghosts as they transited the neighborhood – where to find the best ”loot”…

There’s a common expression shared by carpenters: measure twice, cut once. In other words, do your research before you act. That’s good advice – especially when the action involves making an expensive purchase – like a car. Unfortunately many consumers get caught up in the emotion of buying a new set of wheels and make decisions without doing all their research – they only measure once – and that can lead to “buyer’s remorse.”

It’s one of the most common complaints OMVIC receives – a consumer signed a contract to buy a car but a few hours or days later, has a change of heart…or mind; and wants to back out of the deal. Often it happens when the buyer works out the myriad of extra costs that are attached to car ownership – some, like insurance, can come with a monthly cost as similar to (or greater) than the car loan payment.

OMVIC (Ontario Motor Vehicle Industry Council) is Ontario’s vehicle sales regulator. With a mandate to protect consumers OMVIC enforces the Motor Vehicle Dealers Act and other consumer protection statutes on behalf of the Ministry of Government and Consumer Services.

How Does OMVIC Protect Consumers?

Maintaining a fair and informed marketplace by protecting the rights of consumers, enhancing industry professionalism and ensuring fair, honest and open competition for registered motor vehicle dealers is OMVIC’s mission. This is accomplished through these initiatives:...

Sales Are Final When Buying A Car

“What’s your return policy?” – It’s a common question asked when making a purchase. As consumers, we are familiar with responses like: “10 days to return or exchange, so long as you have the receipt”. And while those return policies are set by the retailer (that’s right they’re not mandated by law) there are some purchases that have a legally mandated ‘cooling-off period’ – a chance to cancel and get out of the contract. Gym memberships and door-to-door sales are two such examples. So, some would assume the same applies when buying a car. There’s got to be 24 or 48 hours in which you can change your mind, cancel the deal and get back your deposit, right? Wrong—In Ontario, there is no cooling-off period when purchasing a vehicle from a registered dealer.

If you’re looking to purchase a late model used car or truck, chances are you’ve checked out some of the online auto marketplaces such as Kijiji, AutoTRADER, Craigslist or others. While there are a lot of legitimate vehicles available through these sites, there are also a number of sophisticated online scams you should watch out for. 

Know A Scam When You See One

Recently, OMVIC has warned Canadian online car shoppers about two notorious scams designed to separate consumers from their hard-earned money: the phony private seller; and the phantom US dealer. Both have tell-tale signs that, if spotted, will alert the potential buyer to the dangers posed by these rip-off artists.

Sending a ‘child’ off to university or college can be traumatic – for the parents of course; the kid will be just fine. So to make it easier to keep ‘em coming home for more than just Thanksgiving and spring break, some parents will head out with their teens on an elusive hunt for a decent, but cheap, set of wheels. It’s worth noting decent and cheap can be difficult to find in peaceful coexistence in the automotive jungle.

“Many consumers looking for an inexpensive vehicle assume their best bet is to buy privately,” explained Terry O’Keefe, Director of Communications and Education for OMVIC ...