SALT LAKE CITY — Utah’s Division of Consumer Protection is putting used car dealers across the state on notice: “as is” means “as is.”
The meaning of 'as is'
Dealers are required to post the Federal Trade Commission’s Buyer’s Guide in the window of every used car. That’s the sticker that tells potential buyers whether the car has a warranty or if it’s being sold “as is.”
“As is” means if the car needs any sort of repair after you buy it — even if it’s just hours later — it’s your responsibility.
Verbal promises undermine disclaimers
But Katie Hass, who leads Utah’s Division of Consumer Protection, said there is a problem when the sticker says one thing and the salesperson says the other.
“When you say ‘as is’, you cannot in writing or verbally say anything that undermines that,” Hass said.
In other words, a dealer can't have you sign an “as is” form but then tell you, “Don't worry if there’s a problem. Bring it back next week and we'll fix it.”
“That’s a warranty,” said Hass. “So now, you're not selling that car ‘as is.’”
Regulators issuing dealer warnings
She said her office has received enough complaints that they are now sending out a notice to used car dealers in the Beehive State.
“If you do anything to undermine the fact that it’s ‘as is’ – to make a customer feel like they can come back and get any kind of repair or replacement or exchange, and you made them check that ‘as is’ box as this box does not come into play, and we're going to on the side of believing the consumer than the dealership.”
Advice for potential car buyers
Her advice to buyers is to look for the FTC Buyer’s Guide and read it before you sign. If the dealer promises repairs or other options if the car you've bought turns out to have a problem, then get those promises in writing.
Also, get a vehicle history and take the car to an independent mechanic before the deal is done. If the dealer balks at that, that's a red flag.