Add-ons, warranties, and fees, oh my!

Answer: 34%

Questions:

• How might feeling pressured affect someone’s ability to make a smart financial decision?
• Why do you think people agree to extras they didn’t plan to buy, even when they know it’ll cost more?
• What strategies could a buyer use to resist sales pressure when making a big purchase?

Here are the ready-to-go slides for this Question of the Day that you can use in your classroom.

Behind the numbers (KPA): 

"The survey reveals that about one-third of Americans have experienced things like deceptive selling, hidden fees, or dishonest salespeople. Yet over three-quarters of Americans (76%) don’t trust dealerships to be honest about pricing. Americans said the following…

• 34% have felt pressured to purchase ‘add-ons.’
• 30% agreed on the price and when they went to sign the paperwork found there were hidden fees.
• 28% felt like the salesperson was trying to ”trick” them into a deal.
• 29% left one dealership and went to another because they didn’t think they were being honest in their pricing."

About the Author

Dave Martin

Dave joins NGPF with 15 years of teaching experience in math and computer science. After joining the New York City Teaching Fellows program and earning a Master's degree in Education from Pace University, his teaching career has taken him to New York, New Jersey and a summer in the north of Ghana. Dave firmly believes that financial literacy is vital to creating well-rounded students that are prepared for a complex and highly competitive world. During what free time two young daughters will allow, Dave enjoys video games, Dungeons & Dragons, cooking, gardening, and taking naps.

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