Before buying in Colorado, verify a dealer's license and reputation, get vehicle history and recall checks, insist on written pricing and warranty terms, and watch for common scams like changed financing, hidden add-ons, and fake online listings.

Shop with standards before you visit

If you live in Colorado and are shopping for a car, start by deciding your budget, must-have features, and whether you want new or used. That will focus your search and save time.

Check dealer legitimacy and reputation

Ask to see the dealer license and verify it with the state. Also search for the dealer on the Colorado Attorney General's consumer pages and review sites. Look for consistent, recent reviews rather than isolated one-off complaints.

What to expect from a good dealer

  • Clear licensing and posted business information.
  • A visible, reasonably varied inventory (or the ability to order a model you want).
  • Professional, patient sales staff who explain pricing, fees, and financing options in writing.
If a salesperson pressures you or refuses to put key terms in writing, walk away.

Used cars: extra steps

Most Colorado buyers will find many reputable independent used-car lots and franchise dealerships. Before you buy:
  • Get the vehicle history report (Carfax, AutoCheck or similar).
  • Check NHTSA recalls at nhtsa.gov and confirm any recalls were repaired.
  • Consider an independent pre-purchase inspection, especially for higher-mileage cars.
  • Ask for the title history and verify there's no salvage branding or lien.

Online shopping and remote sales

Many Colorado dealers list inventory online and will do remote delivery. Treat online listings like in-person ones: verify the VIN, confirm the vehicle's condition with recent photos, and avoid wire transfers to private accounts. If a deal seems too good, it may be a phishing or fake-listing scam.

Common scams and hidden fees to avoid

Reported problems involving dealers nationwide and in Colorado include:
  • Charging high fees for VIN/window etching.
  • Changing or worsening the financing terms after you take the car ("yo-yo" or spot-delivery).
  • Inflating your interest rate by misrepresenting your credit.
  • Pressuring you into unnecessary extended warranties or add-ons.
  • Excessive dealer prep, advertising, or "market adjustment" charges.
  • Not disclosing title issues, odometer rollback, or major prior damage.
  • Fake online ads that request deposits or wire transfers before inspection.
Always ask for an itemized purchase contract and read every line. Compare the out-the-door price (total cost) across dealers rather than monthly payment only.

Practical buying tips

  • Get loan preapproval from your bank or credit union so you know the interest rate you qualify for.
  • Test-drive the vehicle and try to inspect it in daylight.
  • Ask for any promises in writing, including warranties and repair commitments.
  • If buying used, insist on a short written warranty or a return period when possible.
If something feels off, take time to verify. Consumer protection outlets such as the Colorado Attorney General and state motor-vehicle licensing authority can help with complaints and license checks. 1
  1. Confirm the exact Colorado state office that issues and verifies motor-vehicle dealer licenses (current agency name and URL).
  2. Confirm recommended consumer complaint channels for vehicle sales in Colorado (Attorney General office pages and any state DMV dealer-license lookup URL).

FAQs about Colorado Car Dealerships

How do I confirm a Colorado dealer is licensed?
Ask to see the dealer license and verify it through the state motor-vehicle licensing authority or the Colorado Attorney General's consumer pages. If the dealer won't show a license, don't do business with them.
Should I get a vehicle history report?
Yes. A Carfax or AutoCheck report can show title brands, reported accidents, and odometer issues. Follow that with a NHTSA recall check and, when in doubt, an independent inspection.
What fees should I question on the contract?
Ask for explanations of documentation, dealer prep, advertising, VIN etching, market adjustment, and extended-warranty charges. Ask for an itemized invoice and comparison between dealers.
Is online buying safe?
You can buy online from dealerships, but verify the VIN and photos, avoid wire transfers to unknown accounts, and request a clear return or inspection policy before paying a deposit.
What if the dealer changes my financing after I take the car?
This "yo-yo" financing is a known risk. Ask for financing approval terms in writing before you take possession, and if the dealer pressures you, contact your lender and state consumer protection offices.

News about Colorado Car Dealerships

In EV-crazed Colorado, drivers rush to dealerships before tax credits disappear - Colorado Public Radio [Visit Site | Read More]

Beyond Salvage: AutoSavvy faces fraud allegations as Colorado customers speak out - Denver7 [Visit Site | Read More]

Local car dealerships say car prices are steady for now despite auto tariffs - KOAA News 5 [Visit Site | Read More]

Colorado car dealership to pay some employees to settle harassment allegations - CBS News [Visit Site | Read More]

Colorado Springs Ford dealerships collecting food donations - KKTV [Visit Site | Read More]

Colorado EV sales continue to slump as subsidies wane and tariffs spike - The Colorado Sun [Visit Site | Read More]

Legislators consider law change that would require VW-backed electric truck to be sold by VW dealers - The Sum and Substance [Visit Site | Read More]