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The Car Buyer’s Bill of Rights gives you certain protections when you buy a new or used vehicle from a licensed California dealer:

  • Buyer Disclosures. No charges may be added to your contract without full disclosure and your consent. Dealers must give you an itemized price list for optional “add-on” items such as service contracts, insurance, anti-theft devices, or other products.
  • Credit Score Disclosures. If you are obtaining financing from the dealer, the dealer must provide you with your credit score and a written explanation of how it is used.
  • Limit on Markups. When a dealer obtains financing on your behalf, it sometimes adds a hidden markup to increase the interest rate on your loan. The law caps the amount of compensation a dealer can receive from the lender.
  • Certified Used Cars. Used cars advertised as “certified” must meet specific requirements. Dealers must perform a complete vehicle inspection and give you a copy of the inspection report.
  • Right to Cancel Used Car Purchase. When buying a used car or vehicle, you have the right to buy a two-day cancellation option (there are certain limited exceptions to this right). A cancellation option allows you to test drive the vehicle or have it checked out by a mechanic, with the right to a full refund within two days – for any reason. Dealers can charge you a nonrefundable fee for the contract cancellation option. If you are buying a motorcycle, off-highway vehicle, or higher priced used vehicle this cancellation option may not apply.

For more information about the Car Buyer’s Bill of Rights, visit the DMV website.

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