BROOKLYN CAR DEALERSHIP PAYS $45,000
CHARGES OF DECEPTIVE AND MISLEADING ADS
FOR IMMEDIATE RELEASE
August 17, 2004
DCA Continues Monitoring Dealerships Citywide;
Legal Action Improves Compliance
The New York City Department of Consumer
Affairs (DCA) today announced its latest agreement in which
Kings Plaza Jeep Chrysler Inc. d/b/a Kings Plaza Jeep Chrysler,
(2286 Flatbush Avenue, Brooklyn) paid a total of $45,000
to settle charges of deceptive and misleading advertisements.
The agreement is part of the DCAs ongoing efforts
to crackdown on deceptive advertisements that lure consumers
purchasing both new and used cars. Over the past year, the
DCA cited 20 auto dealerships citywide and established agreements
totaling more than $360,000, with $64,000 from Brooklyn
Car sales are one of our top complaints,
with many consumers getting duped by hundreds, sometimes
thousands of dollars in extra fees. This latest agreement
is just one more reason for dealers to take notice,
said DCA Commissioner Gretchen Dykstra.
Kings Plaza Jeep Chrysler was charged with
numerous violations of the Citys Consumer Protection
Law including: basing advertised prices on required financing
through the dealer; engaging in deceptive trade practice
by stating credit terms as "daily" when daily
payments are not available; misrepresenting prices and
actual cost (i.e. advertised costs were based on restricted
rebates that very few qualify for); and misrepresenting
credit claims (i.e. advertising bold headlines such
as $19 DOWN & $4 PER DAY," and INSTANT
CREDIT! BAD CREDIT NO CREDIT BANKRUPTCY REPOSESSION NO PROBLEM!
WANTED - GOOD PEOPLE WITH BAD CREDIT!) suggesting
that all applicants will be approved while omitting the
credit terms or criteria used to determine if qualified
for a loan.
An advertisement is the first place
shoppers can go to compare prices, and consumers need to
be able to make decisions based on truthful information.
DCAs vigilance over the last year has improved compliance
in car ads, but our work is not done. We are constantly
scouring local ads and will continue to take aggressive
action against dealers who dont follow the law,
Commissioner Dykstra added.
Other dealerships that have settled similar
charges over the past year include Bronx Hyundai (4353 Bronx
Blvd.), Bronx Automobile Group, Inc., (2 locations - 3305
and 3329 Boston Rd.) and H.B. Automotive Group, Inc. d/b/a
Kia of the Bronx (3350 Boston Post Rd.) Star Nissan, Inc.
(Bayside), Star Mitsubishi (Queens Village), Star Toyota
of Bayside, Metro Chrysler Plymouth, Inc. (Queens Village),
Cox Nissan, Inc. (2 locations: 1235 E. Tremont Ave. and
3700 Boston Rd., Bronx); Northern Boulevard Dodge Inc. (2
locations: 209-01 Northern Blvd. and 209-35 Northern Blvd.,
Bayside); Kia of Bayside (211-08 Northern Blvd., Bayside);
Bayside Chrysler Plymouth / Jeep Eagle, Inc. (212-19 Northern
Blvd., Bayside); and Hyundai of Manhattan (646 Eleventh
DCA enforces the Citys Consumer Protection
Law and other related laws at thousands of businesses throughout
New York City. Fostering a marketplace where consumers are
protected and businesses can thrive, DCA licenses more than
60,000 businesses in 55 different categories citywide.
To file a complaint or for copies of the DCAs
Guide to Used Car Purchases or DCAs Advertising Guide,
call 311 or visit the Department of Consumer Affairs
web site at www.nyc.gov/consumers.
Watch out for footnotes and asteriks (*).
The fine print in an advertisement sometimes changes an
offer made in the large print.
Beware advertised prices based on financing.
Many are so restrictive that most average consumers dont
Shop around for best financing option.
Consumers that wish to finance may be able to obtain better
options from financial institutions besides the dealer
they are purchasing from.
Photos and illustrations should match
the products being advertised.
Prices quoted in an ad must match the
actual purchase price.
Beware of ads using phrases like as
low as, starting at, or
up next to the listed price.