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Dealer Wants Car Back - Wants More Money Coventry RI

When you sign a contract to buy with a loan, or to lease, the dealer attempts to find a finance company or bank that will approve you under the terms you agreed to in your contract. Somewhere in your contract or in a separate document, often called a bailment agreement, this condition is spelled.

Laura's Auto Sales
(401) 828-5432
673 Tiogue Ave
Coventry, RI

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International Motor Group
(401) 885-5355
4657 Post Rd
East Greenwich, RI

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Stamas Auto & Truck Center
(401) 946-9594
1045 Cranston St
Cranston, RI

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Frenchtown Auto Sales
(401) 885-4448
171 Frenchtown Rd
North Kingstown, RI

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J D Byrider Auto Sales
(401) 781-8500
615 Reservoir Ave
Cranston, RI

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Route 3 Auto Sales
(401) 822-2001
2 Tiogue Ave
West Warwick, RI

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Tarbox Big Lot
(401) 826-1500
870 Quaker Ln
Warwick, RI

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Toro Auto Sales
(401) 946-6000
391 Dyer Ave
Cranston, RI

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Shannon Motors
(401) 734-9800
2625 W Shore Rd
Warwick, RI

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Global Auto Medic
(401) 232-7779
159 Putnum Pike
Johnston, RI

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Dealer Wants Car Back - Wants More Money

It happens every day. You buy or lease a car from a dealer. He calls you a few days or a couple of weeks later and wants his car back, or asks you to sign a new contract with higher payments. Is this a scam? Is it legal?

First, let's understand some fundamentals of car financing. Car dealers don't finance or lease cars. When you sign a contract to buy with a loan, or to lease, the dealer attempts to find a finance company or bank that will approve you under the terms you agreed to in your contract. Somewhere in your contract or in a separate document, often called a bailment agreement, this condition is spelled out.

Essentially, it says that you agree to let the dealer arrange your car financing on your behalf, and that, if he can't find a finance company or bank to approve you and accept your loan or lease, then the deal isn't final. In this case, you will either be asked to return your car, get a co-signer, or sign a new contract for new terms that are acceptable to a finance company the dealer has contacted. Most likely, the option to return your vehicle won't be mentioned because the dealer does not want to lose this deal.

This is perfectly logical since the dealer wants to paid for his car and if a finance company can't be found who will accept the deal and pay him, the car still belongs to the dealer.

We often get emails from consumers who are in this situation and they frequently ask if they can simply keep the car and refuse to sign a n...

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