14 Million Settlement With Auto Dealerships For Deceptive Practices of Inflated Car Prices
canada goose coats Albany, NY June 17, 2015 Attorney General Eric T. Schneiderman today announced a multi million dollar settlement with three car dealerships, Paragon Motors of Woodside, Inc., d/b/a Paragon Honda; Worldwide Motors Ltd., d/b/a Paragon Acura; and Civic Center Motors Ltd., d/b/a White Plains Honda. The agreement, which returns more than $13.5 million in restitution to consumers, concludes an investigation buy canada goose jacket cheap into these dealerships for alleged unlawful sale of credit repair and identity theft prevention services, and other items to 15,000 consumers items that in some cases added more than $2,000 in hidden costs and fees onto the sale or lease price of a single vehicle. The Paragon dealerships, which are jointly owned, claim to be the largest combined Honda dealership in the country. Under a consent order agreement signed by the company, they will also pay $325,000 in penalties, fees and costs to New York State. canada goose coats
canada goose clearance consumers shop for a car, they deserve to be dealt with honestly and fairly and not to be misled by auto dealers who use deceptive tactics to fleece their own customers, Attorney General Schneiderman said. York consumers canada goose uk black friday must beware: Car dealerships sometimes pad their pockets by charging for worthless after sale items, which inflate the price of their car. These items are often ones that consumers don need, did not ask for and often canada goose coats are not even told about. Businesses need to make a profit to survive, but it illegal Canada Goose Jackets to do so by duping consumers. As part of the wider investigation, Attorney General Schneiderman Consumer Frauds Bureau recently obtained a consent order that shut down Credit Forget, Inc. (CFI), a New York company that sold the unlawful credit repair and identity theft prevention services to car dealerships. The dealerships turned around and canada goose black friday sale sold those service contracts at a higher price. It is a violation of state and federal law to charge upfront fees for services that promise to help consumers uk canada goose restore or improve their credit, and contracts that violate the law are void. Autoworld, Inc., d/b/a Generation Kia in Bohemia, Suffolk County, after an investigation found the company fraudulently sold CFI services and other after sale products. As part of that agreement, reached earlier this year, Generation Kia, made $16,000 in payments reimbursing 24 consumers. That restitution is profits the company made off consumers related to the unlawful CFI contracts they sold. In addition, the company paid more than $20,000 in restitution to a dozen other consumers who were subjected to deceptive business practices. Generation Kia also paid a $5,000 penalty. The settlement Canada Goose Outlet requires Generation Kia to stop using deceptive and misleading sales tactics and to provide documents and disclosures required by law, including the itemization of the cost of after sale items in sale and lease agreements. canada goose clearance
cheap Canada Goose car is one of the biggest purchases many consumers make and we must do everything we can to protect them from unscrupulous auto dealers, said Department of Consumer Affairs Commissioner, Julie Menin. has taken an innovative and aggressive approach, investigating dealers relationships with banks, creating a safe, affordable and transparent auto loan, and obtaining restitution for consumers harmed by predatory actors. We thankful to the Attorney General for his hard hitting actions against businesses that are deceiving New York see this page https://www.salecanadagooseoutlets.com Canada Goose UK City consumers. The Paragon dealers, all of which are owned by the same individuals, claim to sell or lease approximately 1,000 new and used vehicles a month. According to the investigation, and starting in at least March 2010, Paragon entered into an arrangement with CFI to sell its customers CFI credit repair and identify theft protection services. Every time Paragon charged a consumer for these services they violated state and federal laws banning upfront fees for these services. cheap Canada Goose
buy canada goose jacket The agreement requires Paragon to pay $6 million into a restitution fund administered by a third party administer to be distributed to Paragon consumers with CFI contracts and to provide each of the about 15,000 consumers with a $500 card that can be applied to one or more of the following from Paragon: buy canada goose jacket
Canada Goose sale the purchase or lease of any new or used vehicle; Canada Goose sale
canada goose clearance sale certain services or maintenance, such as oil changes, tire rotations, tire repairs, and wheel alignments; or canada goose clearance sale
Canada Goose online certain accessories, such as mats and replacement windshield wipers. Canada Goose online
The Attorney General investigation found that Paragon used fraudulent, deceptive, and illegal methods to sell the approximately 15,000 CFI contracts to consumers. After a consumer worked Canada Goose Online with a salesperson to choose a car, they met with a Insurance Manager Canada Goose Parka who attempted canada goose coats on sale to sell them additional products such Canada Goose Coats On Sale as extended warranties, a security system and credit repair services. cheap canada goose uk In many instances, the investigation showed, Paragon simply charged consumers for the credit repair services and concealed that they were charging consumers. In others instances, Paragon Canada Goose online allegedly falsely told consumers, who said they did not need or want the services, that buy canada goose jacket the services were free. Some consumers were sold the services without their knowledge despite the fact that they canada goose uk shop had excellent credit.
Canada Goose Jackets In addition to charging consumers for credit repair and identity theft prevention services without canada goose clearance their knowledge or consent, the Paragon dealers added on charges for other after sale items, like tire protection and Lo Jack, without clearly disclosing what they were charging for such items. The costs of these items were often bundled into the vehicle sale price and not separately itemized. As a result, often unbeknownst to the consumer, the price of the car stated on purchase and lease documents was inflated by the amount of these after sale items. Canada Goose Jackets
The Attorney General investigation further found that the dealerships failed to provide required disclosures, such as a consumer rights to cancel the credit repair services contract. In addition, the dealerships sometimes negotiated purchase and lease terms with consumers in Spanish and then only provided contracts and documents in English. New York City law requires that when the terms of an installment agreement are negotiated in Spanish, the seller must provide documents translated in Spanish.
buy canada goose jacket cheap The settlement prohibits Paragon from: buy canada goose jacket cheap
Canada Goose Outlet Selling, offering to sell or marketing credit repair and identity theft services canada goose factory sale in connection with the sale or lease of a vehicle; Canada Goose Outlet
canada goose store Selling, offering for sale, or providing to consumers any after sale product or service unless, prior to such sale, certain material terms, including price, are disclosed verbally and in writing; canada goose store
canada goose black friday sale Misrepresenting the price of the vehicle in final lease or sale contracts; canada goose black friday sale
canada goose coats on sale Negotiatingany terms of a sale or lease with a consumer in a language other than English without providing a translation of certain material documents in the language in which the terms were negotiated before the consumer signs these documents; canada goose coats on sale
Failing to provide consumers with sales or lease Canada Goose sale agreements that clearly and conspicuously itemize each after sale product or service and its price.
canada goose The Attorney General consent order with Credit Forget It and its two principals, Damien Bullard and Michael canada goose store E. Morgan, dissolves the company, enjoins it and its principals from marketing, promoting, selling, or engaging in the services business in violation of the law uk canada goose outlet or from misrepresenting the services they offer. It requires Credit Forget It and its principals to instruct all dealerships to whom they distributed contracts for credit repair services for sale to consumers to stop selling these services and to remove all promotional materials and contracts from their dealerships. It further orders the dissolution of Credit Forget It. If Credit Forget It and its principals do not comply with these terms, they must pay $2 million. They failed to provide sufficient time for consumers to review their financing documents and sometimes failed to give consumers copies of those documents, and enticed consumers to enter into high monthly payments with the false promise that the consumer could refinance in six months. canada goose
The Attorney General also served notice of his intent to sue eleven automobile dealerships who allegedly engaged in similar practices. They are:
canada goose deals Westchester Autoplex, Inc. d/b/a Honda of New Rochelle, 25 East Main Street, New Rochelle, NY; canada goose deals
G. Hylan Motors Corp d/b/a Staten Island Honda and Staten Island Nissan, 1232 and 1220 Hylan Boulevard, Staten Island, New York.