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New “trust stickers” for car dealers in South Africa

The National Automobile Dealers’ Association (NADA) has launched a new dealership decal programme that aims to show consumers which vehicle retailers they can trust more than others.

The distinctive NADA decal, prominently displayed at NADA-accredited dealerships, is a “badge of assurance” which signals that the seller adheres to NADA’s Code of Ethics.

It features a QR code that, when scanned, provides access to:

  • NADA’s Code of Ethics
  • Dealer compliance and consumer protection guidelines.
  • Industry news and updates
  • Resources aimed at enhancing dealership standards and customer experience

“The initiative represents a significant step forward in ensuring transparency, professionalism, and trust across the automotive industry,” said Brandon Cohen, National Chairperson of NADA.

“Trust plays a pivotal role in the current automotive marketplace, brimming with options. Choosing a dealership with a proven reputation for trustworthiness ensures a smoother and more satisfying experience, backed by excellent service and professionalism.”

NADA represents nearly 1,500 franchised motor dealers nationwide, advocating for transparency and customer satisfaction while ensuring adherence to the Consumer Protection Act and industry standards.

By working with a NADA-accredited dealer, consumers benefit from up-to-date expert knowledge, the use of manufacturer-approved parts, and “fair and transparent” transactions, said the association.

“By introducing this programme, we aim to reassure consumers that they are dealing with reputable dealerships committed to their satisfaction and safety,” said NADA Vice Chairperson Thembinkosi Pantsi.

Buyers beware

While the decal programme indicates to buyers a higher class of dealer, individuals should still retain a cautious optimism when transacting with these retailers.

Malcolm Cavie, founder of View4You, recently highlighted that as much as 90% of the vehicles on the used market are not what they appear to be.

View4You is in the business of performing pre-purchase inspections of used cars on behalf of consumers who may not have the know-how to spot red flags on their own.

Out of the 100 vehicles the company scrutinises a week, Cavie said only about 10 are given the green light.

As for the rest, the defects range anywhere from manipulated service records to written-off cars that were cheaply repaired and put back on the market.

“There is no reputable dealer in South Africa. We’ve seen it from your Tyger Valleys, your Sandtons, to your Selby, your Joburg CBD, it’s all the same,” said Cavie.

“It’s just a facade of a reputable dealer.”

Cavie provided the following tips for consumers who are trying to navigate the treacherous used-car sector on their own:

  • Be well rested and do not rush the inspection
  • Check that the paperwork is legitimate
  • Never view a car under artificial light, take it outside into the sun to better spot imperfections
  • Test drive the car at various speeds, high and low, and pay attention to strange noises and feelings
  • Look underneath the car for damages
  • Start the motor and let it run while you’re inspecting the rest of the vehicle, once you’re done, any leaks or irregularities will be more visible

Alternatively, it might be wise to have an expert do it on your behalf for a fee, as it could save you from buying a dangerous money pit.

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