CHICAGO–With many car buyers rushing to make a purchase before tariffs go into effect and raise prices on new and used vehicles, credit unions may want to warn members about some allegedly shady practices taking place in the market.

A new report by the car-buying platform CoPilot has found 71% of used-car buyers surveyed between July 2024 and February 2025 said they experienced “bait-and-switch” tactics, including excessive or unexpected fees, and fees that should not have even been charged to the buyer in the first place. 

The reported fees totaled $640 on average.  

“We’re in a situation where dealers, once again, have the leverage,” giving the dishonest ones more room to employ bait-and-switch tactics, CoPilot Chief Executive Pat Ryan told MarketWatch. 

Ryan said that is especially true for sellers of used cars, which may have less oversight from automakers.

Tight Inventories

“Already, used-car inventory is tightening as buyers seek to get ahead of tariff-related increases,” MarketWatch reported. “By late March, used retail inventory was down 1.2% compared to the same time in 2024, according to Cox Automotive.:

“I think we have officially started our roller-coaster ride,” Cox Automotive Chief Economist Jonathan Smoke said in a released statement. 

Low Prices Online, But…

CoPilot said it found the majority of used-car buyers saw low prices online, but after going to the dealership, faced a variety of additional fees beyond the standard title, license and registration fees that drove up the final “out-the-door” price of the car. 

Additional Charges

These included charges for VIN etching, wheels and locks ($1,795 on average); reconditioning fees to prepare the used car for sale ($1,582); exterior paint protection ($1,366); antitheft or lowjack fees ($1,227); and door-edge protection ($1,068), CoPilot reported, according to MarketWatch.

In other cases, dealers charged higher-than-standard rates for expected fees like title, license, plates, shipping and documentation fees, the report added.