Borne of well intentioned but under-informed consumer advocacy groups, the CA Car Buyers Bill of Rights actually creates new loopholes for predatory dealers to exploit. By appearing to offer protections to consumers, the Bill may actually reduce vigilance and help create new victims. Key features of the bill include: * Imposing a limit on the interest rate markup allowed to dealers when arranging an auto loan. * Setting more specific criteria for cars that are to be sold as 'certified'. * Establishing a two-day return option for buyers of used vehicles.

* Requiring dealerships to disclose to customers, in writing, their credit scores and the source of the information. The GOOD: Capping the interest rate markup on loans arranged by dealers is the most important feature of this bill. This legislation places a markup limit of 2 1/2 percent on loans of 60 months or less, and 2 percent for longer terms. Many respectable dealers had already placed a similar limit on mark-ups themselves. The legislation originally called for the elimination of this fee altogether.

The Finance department would have then been acting as a non-compensated loan broker. The BAD: This legislation was originally aimed at all car dealers, but the 'cooling off period' is available only to used car buyers. So, if your new car does not please you.too bad! The 'cooling off period' does not apply to new car buyers. Being 'forced' to reveal the credit score to someone who did not check it out before trying to buy a car seems.

well, let's face it: If you did not check your credit before going out to buy a CAR, either you are A) rich and don't care, or B) have perfect credit, or C) Your credit is so bad that it doesn't matter what the number is.you just want to buy a car!! A raw credit score does not mean anything whatsoever to someone who does not approve loans for a living. The UGLY: Talk about "fine print"! Car dealers are allowed to charge for the two-day return option! In other words, instead of creating a protection for buyers who feel they have been victimized , this bill has created another profit source for the dealership! " Mr. Smith, you can have some piece of mind for only $300.

" For a vehicle priced at more than $10,000 , a $500 restocking fee may be charged. Of course, this assumes that you were back within 48 hours, drove less than 250 miles, and complied with all other the other small-type provisions. Who will go through all of that? Not many, even if they are not happy with their deal. Who will pay for the 'concept' of the right to go through all of that? Quite a few do.

It is difficult for folks to consider the implications of these "only $5 dollars a month" options when they come flying at them out of the blue. "This is only to protect YOU" or " This is an option the state requires us to offer for your protection". See what I mean? AS ALWAYS, the best advice is to deal with people you know and trust. The typical car buyer will spend hundreds of thousands of dollars buying cars in their lifetime. Developing relationships with the sellers of vehicles is essential.

Do your due diligence, check on the dealer, talk to the Better Business Bureau, know where you will be buying the car before setting out to do so!. DO NOT go driving from lot to lot hoping to find a car that "speaks to you". If the car really could speak to you, it might tell you to run away.

It is the mission of Peter W. Robinson to bring sanity and serenity to the car buying process for as many folks as possible. He is the founder of Movinmetal,Inc., a car buying and consulting service located north of San Diego, and the creator of the 'CAR FU: Self-Defense for Car Buyers' system. Claim your free copy of the blockbuster report 'The 7 Biggest Mistakes that Car Buyers Make' at http://www.car-fu.com