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Officials Target Car Dealers that Close Doors
SPRINGFIELD, Ill. (AP) -- Illinois officials are considering a fee on car dealerships to pay for new consumer protection.

The fee of up to $500 would go into a trust fund. The fund would pay off any remaining costs on cars traded in before a dealership closed its doors.

Attorney General Lisa Madigan says at least 60 dealerships have closed since 2000 without paying off the loans on cars taken as trade-ins. There have been reports of loan companies going after the person who previously owned the car. Such action can put the consumer's credit rating at risk.

Buyers end up paying for both their new car and the one they just traded in.
The measure has passed the House and now awaits Senate action.

(Copyright 2011 by The Associated Press. All Rights Reserved.)
04 19 11 by Newsroom
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