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Dealer Wants Car Back - Wants More Money Dodge City KS

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.

Lawrence Automotive Diagnostics, Inc.
(785) 842-8665
2858 Four Wheel Dr.
Lawrence, KS
 
Miami County Import Auto Repair
(913) 294-9100
3 N Silver St
Paola, KS
 
Louisburg Auto Body
(913) 837-5244
5 St
Louisburg, KS
 
Davis-Moore Used Cars
(316) 685-5500
5927 E Kellogg Dr
Wichita, KS

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Benjie's Auto Sales
(913) 772-0993
1816 S 4th St
Leavenworth, KS

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Affordable Auto Co Inc
(913) 367-0777
1344 Skyway Hwy
Atchison, KS

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Earley Enterprises
(913) 831-2226
5208 W 65TH Ter
Mission, KS

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Calvin'S Amoco
(913) 755-3432
537 Brown Ave
Osawatomie, KS
 
Fdl Tire & Auto Repair
(913) 837-4448
106 Crestview Cir
Louisburg, KS
 
Hester Motors & Auto Polishing
(913) 432-9600
4945 Merriam Dr
Shawnee Mission, KS

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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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