The Pitfalls of Unauthorized Credit Inquiries by Auto Dealers
The Issue of Unauthorized Credit Checks
When an auto dealer runs your credit without your explicit consent, it may constitute a violation of your consumer rights. This practice can affect your credit score and has legal implications, particularly if multiple financial institutions are involved without your knowledge.
Understanding Dealer Obligations
Auto dealers are required to obtain permission before initiating credit checks. If a dealer runs your credit through multiple finance companies without your permission, it is critical to understand your rights and the dealer's obligations.
Recognizing Unauthorized Credit Inquiries
If you notice multiple hard inquiries on your credit report connected to an auto purchase, investigate whether these checks were authorized. Keep an eye out for credit inquiries that occur outside the main window of dealership financing activities as they could indicate potential identity theft.
Actions to Take if Your Credit Has Been Run Without Authorization
If you find unauthorized credit inquiries, it may be advisable to contact the dealer for clarification and potentially report the behavior to regulatory bodies like the DMV. Consulting with an attorney can help determine if you have grounds for a legal claim against the dealership. For expert legal advice, visit The Law Office of Paul Mankin to explore your options.
