The Washington State Attorney General’s Office hopes an agreement with two Eastern Washington businesses will drive home an important message to all car dealers: When encouraging buyers to sign on the dotted line, employees must play it straight.
Our Consumer Protection Division announced a settlement today with Kane Automotive Group, Inc., and Wenatchee Valley Truck and Auto Outlet, Inc., which operate several KIA and Suzuki dealerships. We alleged they submitted false credit applications to banks by inflating salaries and lowering housing costs on customer credit applications -- sometimes without the customer’s knowledge, sometimes with. As a result, at least four cars were repossessed because buyers couldn't make the payments on cars they should not have been able to buy in the first place. We also alleged the businesses routinely failed to pay off liens on customers’ trade-ins within two business days, as required.
The agreement entered today in Douglas County Superior Court doesn’t include an admission of wrongdoing, but requires the dealerships to comply with consumer protection laws, work to resolve consumer complaints in good faith and pay $20,000 in attorneys’ fees and costs.