Fox 5 in New York did one of their notorious "Shame, Shame, Shame" segments about the debacle, confronting the dealer with pictures of the car being accepted and the $1700 in parking tickets that racked up as they left it out on the street for several months.

The whole story began when Jessica bought the BMW from Planet Auto Mall in Queens for around $45,000. Soon after she bought the car, it began shaking when she drove it. Planet Auto Mall's mechanics tried to fix the car — but couldn't. When she took it to a BMW specialist they found that there were so many things wrong with the vehicle that it wasn't even safe to drive. Jessica filed a "lemon law" claim against the dealership and won — but that's when her real problems started.

The auto dealer filed a legal challenge to the arbitrator's decision — based on the fact that Jessica had not returned the car. So she did. And she took pictures. And now the dealer says they never got the car. Even though it was sitting outside their dealership for months:

Fox 5: "There were like, 17 or more tickets that were issued to the car... right on the street around here."

Dealership Manager: "Sure. Somebody can say 'OK, you know what? Hey. Here is... I'm bringing the car and I'm parking it over there.'"

Fox 5: "So you're saying she might have..."

Dealership Manager: "She might have. I'm not sure."

Fox 5: "She might have put the car on the street."

Dealership Manager: "She might have put the car wherever she wants to put it."

The dealership lost their case in May, but have still not paid up because they've filed an appeal. Fox 5 stormed in with their cameras and demanded answers of the dealership's owner, but, of course, got none.

Jessica's next payment is still due on the 14th.

Planet Auto Mall [MyFoxNY]

From Reuters:

Assuming defeat, GM would have to 'run on fumes' until the next Congress and Administration, unless Congress were to reconvene in December to address emergency compromise legislation," [Barclays Capital analyst Brian] Johnson said in a research note.

So, what do you think? Gonna buy a car to get those free shares?

UPDATE 1-GM shares at 66-yr low amid bailout doubt [Reuters]
[Jim Coleman Cadillac] ty(Thanks, Dan!)

Of all the metaphors we have seen for the current economic crisis — and yes, we've seen more than a few — this is clearly the most apt.

I have to imagine Henry Paulson feels a lot like Tom Hanks right now.

The dawn of Monday morning brought news that despite the sinking of $123 billion of taxpayer money into mega-insurer AIG, the company is nowhere near fixed. (Remember, AIG is in the business of offering credit-default swaps, which are essentially insurance plans for mortgage bonds.) So the U.S. government is revising the bailout and buying $40 billion of AIG’s stock through the $700 billion bailout fund. In all, taxpayers will have invested about $150 billion in AIG. (It’s not $163 billion because the government renegotiating some of the original loan’s terms.)

The article goes to speculate as to whether other "too big to fail" companies will turn into similar money pits — car companies for example.

The Money Pit [Slate]

CNN says:

Dave Cole, chairman of Michigan think-tank the Center for Automotive Research, said the chances that GM would be forced to file for bankruptcy were high unless Congress takes almost immediate action to bail out the industry.

"This is not something that can go on and be dealt with in the next year, it needs to be dealt with in the next few weeks," said Cole. "When your cash is gone, you're gone."

GM: Almost out of cash [CNN]
(AP Photo/Paul Sancya, File)

Here's a quick summary of the list:

1. Falling in love with a model.
   Becoming infatuated with a single model can blind you to alternative vehicles that may be better for your needs or make you skimp on thoroughly researching a vehicle's ratings, reviews, reliability, or safety and pricing information.
2. Skipping the test drive.
   A lot of vehicles look good on paper—especially in glossy brochure photos—but the test drive is your best chance to see how a vehicle measures up to expectations and how well it "fits" you and your family.
3. Negotiating down from the sticker price.
   "A salesperson may offer you a deal that's, say, $500 below the sticker price, and many consumers will conclude, often mistakenly, that they're getting a good deal. Unless the vehicle is in big demand and short supply, you can often get an even lower price by negotiating up from what the dealer paid for the vehicle."
4. Focusing only on the monthly payment when negotiating.
   "Salespeople like to focus on a monthly-payment figure while negotiating a deal. Indeed, "How much were you thinking of paying each month?" might be one of the first questions to greet you when you meet a salesperson. Don't take the bait. It's the first step down a slippery slope of being manipulated with numbers and overpaying for your vehicle."
5. Buying the "deal" instead of the vehicle.
   "...it's important to remember that any deal is only as good as the car that's attached to it. Just because you can get a good discount doesn't mean you should buy the vehicle."
6. Waiting until you're in the dealership to think about financing.
   "...it's critical to comparison shop for financing terms at different financial institutions and get prequalified for an auto loan before you go to the dealership to buy the vehicle. Check interest rates at banks, credit unions, or online financial sites to see which offers you the best rate."
7. Underestimating the value of modern safety features.
   "Today's vehicles offer an array of advanced safety features. But many buyers don't know which are most important or what to look for when comparing vehicles. Antilock brake systems (ABS), electronic stability control (ESC), and head-protecting side air bags, for instance, are effective and well worth the money."
8. Buying unnecessary extras.
   "Dealerships often try to sell you extras that boost their profit margin but are a waste of you money. They can include rustproofing, fabric protection, paint protectant, or VIN etching, in which the vehicle identification number is etched onto the windows to deter thieves. Don't accept those unnecessary services and fees. If you see those items on the bill of sale and you haven't agreed to them, simply cross them out and refuse to pay for them. "
9. Not researching the value of your current car.
   "Find out what both the used-car retail and wholesale prices are, so that you'll know what you should be able to get if you trade it in or if you sell it yourself. Typically, you'll get more money by selling it, as long as you're willing to put in the additional effort."
10. Not having a used car checked by an independent mechanic.
    "Before you buy a used vehicle, have it scrutinized by a repair shop that routinely does diagnostic work. A thorough diagnosis should cost around $100, but confirm the price in advance. "

10 common car-buying mistakes [Yahoo!] (Thanks, Stephen!)
(Photo: Bonita Sarita )

"I've been doing this for 25 years in some form or another, and I have never seen consolidation like this going on," said Peter Welch, association president.

The National Automobile Dealers Association says that they expect 600 dealerships to close this year, and domestic dealerships are going to be the hardest hit. There are just too many dealerships and not enough market share for domestic cars:

There were just too many GM dealers chasing dwindling market share, he said. GM commanded 40 percent of the market in the 1980s, selling cars through 7,000 dealerships. But while GM's slice of the market tumbled by 40 percent or more, the number of dealers has declined by 1 or 2 percent, Mattia said.

"The dealers will have to suck it up and go away," said Mattia, who now leads Auto Engage, a consulting firm for dealers and manufacturers. "It wouldn't surprise me if we didn't have a nationwide loss of 10 percent of the dealers."

Economy forcing more car dealers to close [SFGate] (Thanks, Big Keytee!)
(Photo: amanjo )

“The problem for domestic companies is that they now lag further behind their foreign counterparts,” said Claes Fornell, head of the ACSI at the University of Michigan. “This is not going to be helpful as the Big Three will lose more pricing power and be forced to continue dependence on rebates and discounting in a market where consumer preferences keep shifting away from domestic cars.”

The ACSI is a measure of overall satisfaction, (including customer service) and isn't necessarily indicative of the quality of the car. Ray Wert of our car-obsessed sister blog Jalopnik tells us what he thinks the results really mean:

It's actually just that consumers aren't happy with American cars — and it mostly has to do with high gas prices, and American car companies having built so many trucks.

He also notes that car manufacturers essentially have no control over the customer service that you experience at the dealership, because few (if any? Tesla?) dealerships are actually owned by the car company. Sigh.

Here are the results:

Top 5 Car Brands In Customer Satisfaction (starting with the best):

1. Lexus
2. BMW
3. Honda
4. Toyota
5. Cadillac

Bottom 5 Car Brands In Customer Satisfaction (starting with the worst):

1. Jeep
2. Dodge
3. Chevy
4. Kia
5. Ford

American Consumer Satisfaction Index
(Photo: Ben Popken )

11 Least Fuel Efficient Hybrid Vehicles

1-2) (tie) Chrysler Aspen Hybrid & Dodge Durango Hybrid 19 MPG

3-5) (tie) Chevy Tahoe Hybrid, Lexus LS 600h L, GMC Yukon Hybrid 21 MPG

6) Lexus GS 450h 23 MPG

7-8) (tie) Lexus RX 400h, Toyota Highlander Hybrid 26 MPG

9-11) (tie) Ford Escape Hybrid, Mercury Mariner Hybrid, Mazda Tribute Hybrid 32 MPG

Hybrid Cars [HybridCars]

The basic facts are correct, but the advice is not. Gasoline does expand and contract a little depending on its temperature. When gasoline rises from 60 to 75 degrees F, for instance, it increases in volume by 1 percent while the energy content remains the same.

But filling stations typically store their gasoline in underground tanks, where the temperature variation during the day is much less than in the air above. The result is that the temperature of the gasoline coming out of the fuel nozzle varies very little, if at all, during any 24-hour stretch at any particular station.

CR did some temperature testing at their auto test facility where they have an underground fuel tank similar to the ones that gas stations use. Here's what they found:

While the air temperature between filling varied by up to 12 degrees, the fuel in our underground tank stayed at a steady 62 degrees F. As a result, we found that after the first few gallons were pumped, the fuel temperature coming out of the nozzle varied very little between morning and afternoon.

Like a hose sitting in the sun, gasoline that was sitting in a pump and not being dispensed tended to warm up— but those few gallons didn't make much of a difference. Ultimately, CR found that there was no reason to pump in the morning.

Even with the temperature swings we saw in the first few gallons pumped at our facility, we didn’t see a big penalty for the consumer. A 15-degree difference, for example, would result in a one-percent gain in volume. Or, just a few cents difference on the first gallons pumped—not enough to change your schedule or routine in chasing costs, especially if it might increase your fuel consumption in the pursuit.

You can get the rest of the details of their testing by clicking here.

Save on gas with morning fill-ups? Don’t bet on it [CR]
(Photo: Listener42 )

Andrew writes (to Jiffy Lube):

My wife and I purchased a home this spring with a nice garage. I could finally change the oil in my wife's car. She needed her oil changed badly and had gone to you before. Your team had tightened the nut to the oil pan too tight (pneumatic tools I'm sure), so I mentioned to her to have your shop change the oil and to please ask them to not over tighten the nut so I could release it for the next change.

My wife spoke to a member of your team and asked them to not over tighten the oil plug if possible. Not only did she get a horrible look from both the team member and the employee standing next to him, the oil plug head was completely rounded off smooth.

In order to remove the plug without damaging the oil pan, I had to hammer a wrench head 1/16th size too small onto the plug head to kind of form it into the wrench. I then had to use that same hammer to hit the other end of the wrench in order to loosen the plug. I now had a ruined plug and ruined wrench.

The new Pontiac G6 has a new size plug different than most cars. I found this out when I had to run up to the car parts store to buy a new plug. They didn't have any of the new plugs and I had to wait a week for a new one, thus rendering the car un-drivable.

Neither my wife, myself, friends, or family will ever use your services again.

We asked Andrew if he was certain the oil plug had been purposefully tampered with, and he says he's sure:

Yes, they filed it by over tightening it with a pneumatic drill. The drill's pressure was so high that the tool stripped the ridges off the bolt, thus making it almost impossible for me to remove without bringing it back into their shop.

You could say it was job security for them since they saw a potential customer about to leave and do it themselves.

He also included a picture of the ruined plug. Yikes. What do you guys think? Would someone do this on purpose?

Motorists, residents and store owners in the area say a tow company waited until lots near the parade route were full of cars before posting towing notices and taking vehicles. Each owner had to shell out at least $170 to Rendered Services Inc. to retrieve their cars.

Police on the scene said they'd heard many radio calls about towing from vacant lots in the area, and most involved Rendered. Police said at one point they had to stop trucks from yanking the cars because the signage was erected after the 10 a.m. start of the parade.

Fun! The towing company claims that the signs were "posted and reposted and reposted," but a local business owner told the Sun-Times, "They just put it up no less than an hour ago."

Sweet home, Chicago.

Tow trucks swoop in on paradegoers' cars [Chicago Sun-Times]
(Photo: John J. Kim/Sun-Times)

For whatever reason, Chrysler is currently advertising a "Full Tank of Fuel" as a "free feature". That's right. ONE SINGLE TANK OF GAS. I can't imagine buying a car and being told "Thanks for spending $20,000!" then getting into the car... and find out it's riding on empty.

Hey, at least they won't let you uncheck it. (We tried.)

Gas stations fall under the watchful eye of New Jersey's Office of Weights and Measures, so we think Matt should report this gas station immediately. Unlike more lackadaisical government agencies, the folks at Weights and Measures are usually pretty enthusiastic about their jobs, particularly when the job involves busting shady gas stations for overcharging their customers. If something illegal is going on here, they're the ones to put a stop to it.

Here's an example of how one Consumerist reader brought down the sword of justice on a Wisconsin gas station. Now it's your turn.

New Jersey Office of Weights And Measures Contact Information [New Jersey]

UPDATE: Matt filed a report with the New Jersey Office of Weights And Measures (which he forwarded to the Consumerist), and, independently, Sunoco contacted us to confirm the location of the gas station so that they can conduct their own investigation.

I looked around the site and didn't see any handy guide for a situation that I, and I'm sure many others, are in. We have an older car that still runs, but occasionally needs work. At what point do you begin experiencing diminishing returns on your investment? I know there is no hard and fast rule but there has to be reasonable guide lines when it comes down to how much to put into an old car before its just not worth it anymore. I don't meant to make a request (especially since Consumerist helped me out before) but I think an article on this might not go unappreciated.

Brenden,

Essentially, what you have here is a math problem. There are several factors that you'll want to consider when making your calculations.

1) How much money have you been pouring in to the car? Grab all of your receipts and total them up. Then ask yourself this question: "What is the current state of my car?" If you've just fixed it up and it's going to be running great for some time, you might want to keep it for awhile. If you're barely keeping up as one thing after another breaks... it might be time to say goodbye. If you're unsure about this part of the process, call your mechanic or a trusted friend who knows something about cars. Ask if parts for your car are getting expensive, and if it is going to be worth maintaining.

2) Do you own this car? Your relationship with your car depends a lot on whether or not you actually own it. Everyone's situation is going to be different. What is the actual value of your car? Can you get anything for it if you sell it? If you're not used to paying a car payment, are you going to want to start? Run the numbers and see what this car means to you financially.

3) Does this car get good gas mileage, and what does it cost to insure? Calculate the operating expenses of your car. A newer car may save you money on gas, or it may not. It's probably going to cost more to insure. Once you know what your current car costs you, you can compare it to the numbers for your potential new(er) cars.

Now that you have an idea of what your car is actually costing you, you can start comparing it to what a different car might cost. You might find that your old car is very cost effective, despite the repairs. Or you might not. Generally speaking, however, a car you own is better than a car your bank owns. Personally, we enjoy buying slightly used cars (that we can afford) with cash. Good luck!

Anything we missed? Share your tips for Brenden in the comments.
(Photo: The Joy Of The Mundane )

Caruso told a House hearing in Washington on Wednesday that crude oil prices are likely to average $126 a barrel next year, $4 higher than this year. He said gasoline prices are expected to peak at $4.15 a gallon in August, but won’t go down much.

Can you sustain yourself on $4 gas? Time to sell the SUV?

Energy Dept. says oil, gas prices to stay high [MSNBC]

(Photo: Jb0 )

From the New York Times

Mr. Wagoner said that rising gasoline prices had forced a “structural shift” by American consumers away from truck-based vehicles built by G.M.

“These prices are changing consumer behavior and changing it rapidly,” Mr. Wagoner said in announcing the cuts before G.M.’s centennial shareholders meeting in Wilmington, Del. “We don’t believe it’s a spike or a temporary shift. We believe it is, by and large, permanent.”

G.M. Closing 4 Plants in Shift From Trucks Toward Cars [NYT]
(Photo: Getty)

Holiday travelers paying more for gas [CNNMoney]
(Photo: nsub1 )

#1. Fill your tank in the morning

Consumer Reports says that the temperature variation in a single day isn't really significant enough to affect the gas, so you might as well stay in bed.

#2. Change your air filter

"Modern engines have computer sensors that automatically adjust the fuel-air mixture as an increasingly clogged air filter chokes off the engine's air supply."

#3. Use premium fuel

"When sensors detect regular instead of premium fuel, the system automatically adjusts spark plug timing. The result is a slight reduction in peak horsepower - really, you'll never notice - but no reduction in fuel economy."

#4 Pump up your tires

"According to on-the-road driving tests by both Consumer Reports and auto information site Edmunds.com, underinflated tires reduce fuel economy, so proper inflation is key.

But you should never over-inflate your tires."

#5 To AC or Not To AC
At most speeds and in most vehicles, A/C use drains slightly more fuel than driving with the windows down, contends David Champion, head of auto testing for Consumer Reports. "My final take on is that it's very close," says Phil Reed, consumer advice editor for Edmunds.com. "It's hard to measure the difference and every vehicle is different."

#6. Bolt-ons and pour-ins

"... if there really was an additive that made gas burn up more slowly, it wouldn't be sold over the Internet one bottle at a time."

There's more detailed info at CNNMoney, but as far we're concerned, the best way to increase your fuel economy is to slow down, stop running up on people's ass and then slamming on the brakes, and don't weave from lane to lane trying to find the fast one. They're all slow. Such is life. Relax.

6 gas saving myths [CNNMoney] (Thanks, Aaron!)

(Photo: meghannmarco )

ABCNews explains:

The automaker unveiled a "gas card" program, guaranteeing $2.99-a-gallon gasoline for three years to people who buy or lease new cars from Wednesday through June 2, 2008. Customers will be limited to 700 gallons each year and must buy one of 23 models. Chrysler will pay for the cost of gas exceeding $2.99 — an incentive with a psychological twist.

Are you interested?

The Chicago Tribune says:

Chrysler's major competitors, Ford Motor Co., Toyota Motor Corp., General Motors Corp., and Honda Motor Co. all said they would not follow with their own subsidies, but Suzuki Motor Corp. has made a similar offer in the U.S. with free gas for the summer.

Chrysler tries luring buyers with gas deal as sales drop [Chicago Tribune]
Want $2.99 Gas? Buy a Chrysler [ABCNews]
(Photo: greefus groinks )

Buy used. It's fun! I buy used cars with cash, used furniture, used clothes. Whatever. If you are getting married, I will take your old cappuccino machine that is exactly like the new cappuccino machine I was going to buy, except that it's cheap or even free. Who cares? Used stuff has character. If I don't buy something that's used, I buy something that's high quality and will last a long time.

From Dumb Little Man:

Defensive Money Strategies from Real Millionaires

1. House Purchases. Real Millionaires do not get houses custom built, nor do they move into new developments. They live in clusters with each other in OLD neighborhoods, in OLD houses. Most are 15 years old and they often triple in price since their purchases.

2. Clothing Purchases. They aren't going to buy really expensive clothes. They may frequent thrift shops or even Walmart to get their clothes. So don't be embarrassed to go cheap, just think of it as acting like a millionaire. They will buy really expensive shoes, and resole them when necessary. Since they'll wear them for a couple of decades the cost per wear will be marginal compared to constantly replacing a cheap pair.

3. Furniture Purchases. Real millionaires do not buy the latest styled furniture. They'll go out and buy a $10,000 antique table made from REAL wood, not modern saw dust. They'll repair and refinish this table when needed. They can keep it for a lifetime, pass it on to their children, and not worry about upgrading to the latest. Guess what? Antiques raise in value, so their net worth doesn't take a hit at all! As far as other furniture goes, they re-upholster it a couple of times in their life time, which is way cheaper than buying new again.

4. Vehicle Purchases. Real millionaires will not buy the latest car while it's still sitting on the lot. They'll keep their cars well maintained for many years, and when it comes to make a new purchase they'll find a used car that is in good condition. This way they can avoid that initial depreciation that comes with driving a brand new car off the lot.

4 Defense Strategies For Becoming A Millionaire [Dumb Little Man]
(Photo:Seth Tisue)

When Normand and Kathy Girouard set out to buy a 2007 Toyota Prius hybrid last week, they had no idea they would end up with two.

They first went to Karl Malone Toyota, where they spotted a car they liked and signed what they thought was a preliminary "motor vehicle contract of sale," but did not yet take possession of the car, saying they wanted to set up their own financing through their credit union.

After they found a better deal at Brent Brown Toyota, they called the Karl Malone dealership and said they decided not to buy the car.

When they got home that evening, however, the car was in their driveway and the keys were in the ignition.

They called to let the dealer know of the "mistake" and were informed they had purchased the car.

They already purchased the other car from Brent Brown and are driving it; the Karl Malone car still sits in their driveway.

Kathy Girouard says she has filed a complaint with the state Consumer Protection Division. But Scott Christensen, Karl Malone Toyota's sales manager, says he has filed a complaint against the Girouards with the state Motor Vehicle Enforcement Division.

He said when you sign a contract of sale, you have purchased the car. Utah does not have a three-day right-of-recision law..

Paul Rolly: Couple's bargain buys extra troubles [Salt Lake Tribune] (Thanks, Chris!)
(Photo:Matt McGee)

Not surprisingly, the car dealers who sell the extended warranties disagree. A spokesman for the National Automobile Dealers Association likened the warranties to insurance for which, of course, policy holders as a group pay more than they get back to protect against the rare problem that is ruinously expensive.

Kenneth Weine, a vice president of Consumers Union, said the ad campaign is a way to further the group's mission, "to make the market a better and safer place for consumers."

From Consumer Reports:

But extended warranties sell costly "peace of mind" for repair nightmares that probably won't occur, according to a survey of more than 8,000 readers in December 2007 by the Consumer Reports National Research Center. We have long advised that extended warranties are a poor deal for almost every product. Now we have the first data showing that this advice applies to most new cars as well.

Bearer of Bad News Decides To Advertise It [NYT] (Thanks, Molly!)

RELATED: Extended Car Warranties Are A Ripoff

During a conference call with analysts and media, Chief Financial Officer Fritz Henderson said 2008 will be difficult, but the company sees the potential for significant earnings increases by 2010 or 2011 once it reduces its work force and labor costs and transfers its retiree health-care costs to a new UAW-run trust.

The Detroit-based automaker said it was offering a new round of buyouts to all 74,000 of its U.S. hourly workers who are represented by the United Auto Workers.

GM won't say how many workers it hopes to shed, but under its new contract with the UAW, it will be able to replace up to 16,000 workers doing non-assembly jobs with new employees who will be paid half the old wage of $28 per hour.

GM posts $38.7B loss for 2007, offers buyouts to 74,000 hourly workers [LA Times]
(Photo:RebekahSue)

Robert writes:

I've had a horrible consumer problem plaguing me for months now. But thanks to your help, all is well. Here's the short story:

In September 07, my wife's car was hit by another driver making an illegal U-turn. We had to get a rental and the other drivers insurance agreed to pay for it. When we picked up our car the insurance company billed us $856 for the rental bill. They claimed that they had never approved to cover a car rental and had "notes" in their logs to indicated they had explained this to me. Let's just say the other drivers insurance company is not always on YOUR side.

So we finally got fed up waiting for them and emailed consumerist. Theresa, your lovely intern emailed us back with a link for the ultimate consumerist guide to fighting back.

We decided to go the hard ball route and begin filing charges of mail fraud, since they had sent the bill to us via mail. We contacted the local attorneys general office and told them our story. They seemed quite upset about our issue and promised to get right on it. That was Friday. Today I came home to discover the following message on my answering machine:

"Hello, this message is for Jennifer and Robert [redacted]. My name is Mike and I'm with the billing department from [redacted]. I just wanted to let you know that I received your request for reimbursement in the amount of $856. I will process this immediately and will have a check in your mailbox for the full amount by the end of the week. If you have any questions please give me a call at [redacted]."

Oh the power. It feels good. That, and having my $856 back. Thanks consumerist!

-Robert

(Photo:Micah Taylor)

I've been an avid reader of Consumerist for quite some time. Reading the good/bad experiences other readers had and the shortcomings of some companies is an eye opener. Unfortunately, my recent experience at a nearby Sears Automotive Department is worth mentioning. I've noticed my car would pull to the left while driving on a straight road. My initial thought was to get the wheels aligned. I decided to have it done at Sears.

I walked in on Saturday January 19th and explained the problem I was experiencing with my car. The gentleman at the front desk agreed that an alignment should be done. He took my information, as well as the cars information and verified with the mechanic because he said some BMW's (I drive a '95 525i) are more difficult to align then others. I drove my car into the garage and parked it from the third space from the far left. It was 10:30AM and I was told it would take approximately an hour to complete.

I ended up walking around the store looking at BBQ sets (by the way they are on sale!), tools, clothes, etc... and by 11:25AM I walked back to the automotive section. There's a small waiting area with several windows allowing the customers to see their cars and mechanics. I noticed my car was parked in the same place where I originally parked. Thinking it was done I asked the gentleman at the front desk about my car. He said they were still working on it and would call my cell phone when they were ready.

I again walked aimlessly through the store and 15 minutes later I received a call from the automotive department. They stated I needed a new part costing $487 with labor. I asked if they did the alignment (my original request) and was told they did. I declined to have the part replaced and walked back to pay. The work order was filled out by the mechanic and gave them my credit card to pay. I then requested for a print out of my alignment. I was curious to know where and how far my alignment was off.

The front desk gentleman walked back to get the print out, but walked back out with the manager. I was told they did not do the alignment and voided my invoice. They canceled the charge and apologized for the mix up. If I had not requested the print out they would have charged me for a service they did not do and I would still be frustrated with my car. What I learned? I'm never going back to Sears and always ask for documentation detailing the service they performed and if possible the old/broken part.

Regards,
Jarome

Call your smartest friends and ask if they can recommend someone and then check with the BBB to see whether the shop has any complaints on file.

Do you have any tips for finding a good mechanic?

Gone are the days of the three-year car loan. The length of the average automobile loan hit five years, four months in October, up more than six months from 2002, according to the Federal Reserve. And nearly 45% of loans written today are for longer than six years. Even some staid lenders owned by the carmakers, such as Toyota Financial Services and Ford Credit, are offering seven-year financing. And a few credit unions, particularly in the West, are tinkering with the eight-year note.

At the same time, the amount of money drivers owe on their cars is soaring. In October, the average amount financed hit $30,738, up $3,500 in just a year and nearly 40% in the last decade, according to the Fed. More troubling, today's average car owner owes $4,221 more than the vehicle is worth at the time it's sold — up from $3,529 in 2002, according to industry analyst Edmunds.

The longer loans are directly related to the higher balances. By extending the length of loans, lenders keep monthly payments down. But because these loans take longer to pay off, a much larger piece of the principal remains unpaid at the time the car is traded in.

Cindy Gerhardt has rolled over so much debt on successive vehicle purchases — five in three years — that she now owes almost $43,000 on two trucks worth no more than $29,000 and, she says, perhaps as little as $22,000.

Faced with car payments that exceed her monthly mortgage, she tried to trade in the pair for a single vehicle. But with so much unpaid principal on the vehicle loans, the only offer she got from the dealer was to trade in one truck on yet another new vehicle — and increase her debt by another $25,000.

"It's our own fault that we traded in vehicles so many times, but we never thought it would get to this," said Gerhardt, a secretary who lives with her husband and two children in Clinton, Okla. She recently tried to refinance her mortgage, she said, but was declined because her car payments were too high. "Not one dealer ever said this was a problem. Ever. I never had a dealership say no."

New cars that are fully loaded — with debt [LA Times](Thanks, Arthur!)
(Photo:Ken Hurst/Associated Press)

If you have one of these trucks, expect a letter from Ford. or you can give them a call at 866-436-7332 or contact a local Ford dealer.

Ford recalling 1.2 million diesel trucks [CNNMoney]
(Photo:damageinc86)

From Mother Jones:

After much hassle, the dealership allowed us to bring home the sales paperwork so we could read it over without the salesman hovering over us. Everything seemed to be above board until we got to the end of the buyer's order and discovered that if we signed the contract, we would waive our rights to sue the dealership in court, before a jury, should any dispute arise after the sale. Instead, as a condition of buying the car, we had to agree to submit to mandatory pre-dispute binding arbitration, handled by the dealership's pre-selected company, the National Arbitration Forum (NAF).

After learning this, we called our sales guy, Carlton Cotton, and told him we wouldn't agree to an arbitration clause, but if they took it out, we'd write a check. "That's not negotiable," he said. Cotton explained that the dealership inserted the clause to make things simpler for everyone. "We think it's fair," he said, and then went on to inform me that we wouldn't be able to buy a car anywhere without agreeing to arbitration. Clauses like this are standard fare in car contracts throughout the region, he told us, so we should just sign the contract or lose the car to another customer.

So we walked. Because there is nothing fair about mandatory arbitration.

Suckers Wanted: How Car Dealers and Other Businesses are Taking Away Your Right to Sue [Mother Jones]
(Photo:smcgee)

A computer glich is causing every single Prius to fail the emissions test. It turns out that the computer that downloads the car's emissions history is incompatible with the hybrid, and the exhaust-testing system requires the car to be able to idle with the engine running— something the eco-friendly Pruis won't do.

From the Atlanta Journal-Constitution:

Scott Merritt bought his low polluting Toyota Prius to help save the planet, conserve energy and encourage others to go green. He's also a big believer in keeping dirty polluters off the road.

So imagine his surprise and frustration when his electric hybrid failed Georgia emissions testing — not once, but three times.

"I spent a total of three full days getting this resolved," said Merritt, 34, a public relations executive. "I went to three different places, and nobody was able to do the test."

"The woman behind the counter looked at me like I had three heads," Merritt said. "She had never heard of this problem."

Earth-friendly Prius struggling to overcome Ga emissions glitch [Atlanta J-C] (Thanks, Gregg!)
(Photo:Ben Gray/AJC)

Chrysler, which is facing sluggish U.S. sales because of housing-market weakness and high fuel prices, this month announced an expansion of a restructuring plan unveiled in February, saying it would cut its North American hourly work force almost in half by 2010. The company has also made several high-profile executive appointments since Cerberus took over.

Meantime, Chrysler executives have also now decided to kill the entire PT Cruiser line after the 2009 model year, according to a dealer who was told of the decision this past week. The move further expands the auto maker's push to eliminate slower-selling models. Chrysler, in announcing the expanded restructuring this month, said that it was dropping the PT Cruiser convertible, Chrysler Pacifica, Chrysler Crossfire and Dodge Magnum.

Chrysler Considers Slashing Number of Car Dealers [WSJ]
(Photo:susiewrites)

The IIHS said 34 vehicles earned the designation this year, up from 13 last year. To win the award, a model has to perform well in the institute's front and side crash tests, come with electronic stability control and offer protection from whiplash injuries.
The institute's tests are tougher than those run by the federal government, and automakers often make changes in the vehicles and pay the institute to re-run its tests to garner better scores for advertising. General Motors Corp. altered the side air bags in its 2008 Saturn Vue to earn a top pick after they failed to deploy correctly in the first test.

Another 23 models passed all of the institute's tests save for its whiplash prevention standard. While whiplash cases are often minor, the institute has made whiplash a priority because it's the most commonly reported injury from car crashes, costing insurers about $8.5 billion a year. Some automakers have been slow to adopt models to the IIHS standard, which requires changes to seats and head rests.

Here is the full list of winners:

Large cars
Audi A6
Ford Taurus with optional electronic stability control
Mercury Sable with optional electronic stability control
Volvo S80

Midsize cars
Audi A3, A4
Honda Accord
Saab 9-3
Subaru Legacy with optional electronic stability control

Midsize convertibles
Saab 9-3
Volvo C70

Small car
Subaru Impreza with optional electronic stability control

Minivans
Honda Odyssey
Hyundai Entourage
Kia Sedona

Midsize SUVs
Acura MDX, RDX
BMW X3, X5
Ford Edge, Taurus X
Honda Pilot
Hyundai Santa Fe
Hyundai Veracruz built after August 2007
Lincoln MKX
Mercedes M class
Saturn VUE built after December 2007
Subaru Tribeca
Toyota Highlander
Volvo XC90

Small SUVs
Honda CR-V, Element
Subaru Forester with optional electronic stability control

Large pickup
Toyota Tundra

2008 winners of Top Safety Pick award [IIHS]

More vehicles tops in safety [Detroit Free Press]

(Photo:all your picture are belong to us)

Mitsubishi Raider
Percent Discount: 29%
Average MSRP: $24,777
Average Discount from MSRP: $7,233

Jeep Commander
Percent Discount: 29%
Average MSRP: $35,527
Average Discount from MSRP: $10,232

Dodge Ram Pickup 1500
Percent Discount: 28%
Average MSRP: $34,995
Average Discount: $9,713

Chevrolet Silverado 1500 Classic
Percent Discount: 27%
Average MSRP: $24,850
Average Discount: $6,643

GMC Sierra 1500 Classic
Percent Discount: 26%
Average MSRP: $25,548
Average Discount: $6,687

Isuzu Ascender
Percent Discount: 26%
Average MSRP: $25,246
Average Discount: $6,584

Jeep Grand Cherokee
Percent Discount: 25%
Average MSRP: $33,466
Average Discount: $8,470

Lincoln Town Car
Percent Discount: 25%
Average MSRP: $46,711
Average Discount: $11,776

Dodge Durango
Percent Discount: 25%
Average MSRP: $34,769
Average Discount: $8,748

Dodge Dakota
Percent Discount: 24%
Average MSRP: $27,788
Average Discount: $6,674

Chrysler Aspen
Percent Discount: 24%
Average MSRP: $39,009
Average Discount: $9,199

Mercury Grand Marquis
Percent Discount: 23%
Average MSRP: $28,012
Average Discount: $6,468

Chevrolet Silverado 2500HD Classic
Percent Discount: 22%
Average MSRP: $34,553
Average Discount: $7,678

Chrysler Pacifica
Percent Discount: 22%
Average MSRP: $31,343
Average Discount: $6,918

Saab 9-7X
Percent Discount: 22%
Average MSRP: $40,664
Average Discount: $8,837

Dodge Grand Caravan
Percent Discount: 22%
Average MSRP: $28,986
Average Discount: $6,299

Buick Rendezvous
Percent Discount: 22%
Average MSRP: $28,893
Average Discount: $6,263

Isuzu i-Series
Percent Discount: 22%
Average MSRP: $20,603
Average Discount: $4,442

GMC Sierra 1500HD Classic
Percent Discount: 21%
Average MSRP: $35,845
Average Discount: $7,686

Chevrolet TrailBlazer
Percent Discount: 21%
Average MSRP: $31,128
Average Discount: $6,667

America's Most Discounted Cars [BusinessWeek]

The following cars are included in the recall: 2005-2008 Jetta models and 2006-2008 Rabbit, GTI and R32.

No injuries have been reported. Call Volkswagen with your questions: 1-800-822-8987.

Volkswagen recalls 340,000 cars [CNNMoney]

Affected vehicles include: 156,796 model-year 2006-2007 Jeep Grand Cherokee and Commander SUVs; 90,383 model year 2007 Jeep Wrangler SUVs; and 49,371 model year 2007 Dodge Nitro SUVs.

Chrysler says the defect may have caused one accident, but no injuries were reported. They're also recalling "72,333 model year 2008 Dodge Avenger sedans and Chrysler Sebring convertibles to ensure proper function of driver and passenger front door latches and locks," according to the Wall Street Journal.

Nobody managed to hurt themselves with the door latches either, just in case you were wondering.

Chrysler to Recall 300,000 Vehicles Over Potential Braking Problem [WSJ]

Other AMV credits will continue to exist for a while; for example, alternative fuel vehicles will score you a credit until at least 2010, while fuel-cell vehicles can qualify for credits as high as $12,000 until at least 2014. Which is good, considering that only one car so far meets either category—the Honda Civic GX and the not-available-for-purchase 2006 Honda FCX, respectively.

But remember, if you're subject to the alternative minimum tax, the credit won't apply.

"Tax Credits for Fuel-Saving Autos" [SmartMoney.com]

(Photo: Getty)