New California car-buying rules take effect, adding protections for consumers

THOUSAND PALMS, Calif. (KESQ)- New rules are changing the car-buying process in California, with new protections aimed at giving buyers a clearer picture of what they are paying before they sign.

The California Combating Auto Retail Scams Act, or CARS Act, took effect Oct. 1.

Under the new law, dealers must be more upfront about a vehicle’s total price. Optional add-ons, such as warranties, GAP coverage or theft protection, must also be clearly disclosed as optional before a buyer signs.

Dan Jessup, executive manager of Jessup Auto Plaza, said transparency is one of the biggest changes buyers will notice.

“The biggest disparity has been a lack of transparency. When a consumer sees a price of a vehicle online and then may approach the vehicle in person or via email or on the phone, only to find out the price online is different than what they’re getting quoted,” Jessup said.

Another major change applies to qualifying used cars valued at $50,000 or less.

Buyers now have three days to cancel the deal for any reason. The vehicle must still meet mileage and condition requirements when it is returned, and a restocking fee may apply.

For local driver Nayeli Fonseca, having that option brings some peace of mind.

“I feel like it gives me like an ease of mind. Like, if anything, I change my mind, or I feel like, oh, this car doesn’t feel right for me, it gives me an ease to be able to come back and look at another option,” Fonseca said.

Fonseca said clearer pricing could also help take some of the uncertainty out of buying a car.

“It’s one of the worries that you have going in buying a car. Like, oh, they advertise it at 30-thousand, and then you walk out and you get, oh, it’s actually 35,” she said.

The new rules apply to licensed California dealers selling or leasing qualifying vehicles. Buyers can find additional information about the CARS Act through the California DMV.