In 2025, car buyers aren’t just cautious, they’re savvy. With 71% reporting surprise fees, buyers are becoming hypersensitive to hidden costs and non-transparent practices. Conversely, when dealerships offer transparency, like upfront out-the-door pricing and integrated online tools, buyer satisfaction rates surge (>75%). This also aligns with the growing 95% of shoppers who start their search online. Still, dealers often misread the mood: while 75% feel optimistic, the reality is that customers remain hesitant. These dynamics make awareness and avoidance of “red flags” more pivotal than ever for building trust, not just closing deals.

Understanding that certain car dealership practices can either inspire confidence or send customers running for the door, CarEdge has identified five red flags that most often cause deals to fall apart … and not just because of price. These are actions that can leave buyers feeling pressured, uncertain or undervalued. For forward-thinking dealers, they represent a trust checklist: a chance to see exactly what today’s buyers view as deal-breakers and how addressing them can close more deals, turn one-time shoppers into lifelong customers and stand out from competitors.

CarEdge CEO Zach Shefska is available to discuss why the 5 consumer red flags listed below often become deal-killers—and how these undermine industry transparency at large. He can also discuss related topics that include why FTC enforcement and online transparency are changing buyer expectations; the “bonus” practice that instantly builds rapport before a test drive, how top-performing dealers can flip these moments into trust-building wins; and more:

5 Car-Buying Red Flags that Make-or-Break Customer Confidence

• Withholding the Out-the-Door Price
  
  • Consumer view: Buyers want transparency. When a dealer won’t share the total cost—including taxes and fees—before they arrive, it raises suspicion and makes them fear hidden add-ons.
    
  • Dealer impact: Failing to provide a clear, itemized price erodes trust early and can cost you high-intent shoppers before they even walk in the door.

• Pushing Add-Ons Without Consent
  
  • Consumer view: Pre-loading protection packages, service contracts, or accessories without explanation feels like a money grab.
    
  • Dealer impact: Unrequested add-ons lead to stalled negotiations, negative reviews, and lost lifetime customers—especially in an age where buyers share their experiences instantly online.

• Refusing to Negotiate or Honor Advertised Pricing
  
  • Consumer view: When the price on the lot doesn’t match the ad—or when negotiation is dismissed outright—buyers feel misled and disrespected.
    
  • Dealer impact: This behavior creates a reputation risk and drives customers toward competitors who are perceived as more flexible and fair.

• Slow or Poor Communication
  
  • Consumer view: Delays in returning calls, vague email replies, or unanswered online inquiries make buyers question how they’ll be treated after the sale.
    
  • Dealer impact: Unresponsiveness not only kills hot leads but also signals to customers that their time isn’t valued, damaging both sales and service retention.

• Creating High-Pressure Sales Environments
  
  • Consumer view: Overly aggressive tactics—like “buy now or lose it” ultimatums—trigger buyer anxiety and cause walkouts.
    
  • Dealer impact: While urgency can close deals, excessive pressure can backfire, resulting in abandoned transactions, poor CSI scores, and a shrinking referral pipeline.
    

Image Courtesy of: CarEdge

About the Expert
Zach Shefska is Co-Founder and CEO of CarEdge, a leading platform—founded by father-and-son team Ray and Zach Shefska—dedicated to empowering car shoppers with free expert advice, in-depth market insights and tools to navigate every step of the car-buying journey. From researching vehicles to negotiating deals, CarEdge helps consumers save money, time and hassle. Also with trusted resources like the CarEdge Research Center, Vehicle Rankings and Reviews and hundreds of guides on YouTube, CarEdge is redefining transparency and fairness in the automotive industry. Connect with Shefska at www.CarEdge.com or on social media on  YouTube,  TikTok, X, Facebook, and Instagram.

Feature Image Courtesy of: CarEdge