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Dealer Wants Car Back - Wants More Money Potomac MD

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.

Fairfax Autobody
(703) 273-1850
9610 Lee Highway
Fairfax, VA
Services
Collision Repair,Auto Dealers

Rosenthal Honda Tyson's Corner
(703) 749-6600
1580 Spring Hill Rd
Mc Lean, VA

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Lexus Of Rockville
(301) 762-9009
15501 Frederick Rd
Rockville, MD

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Eurowerks Competition
(301) 990-4940
7558 Rickenbacker Dr
Gaithersburg, MD
 
Falls Church Motors
(703) 205-9500
2994 Lee Highway
Falls Church, VA
 
CSA towing and recovery
(240) 464-6713
7324 westmore rd
rockville , MD
 
Patriot Motor Sports
(703) 532-2576
30 Hillwood Ave
Falls Church, VA

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Honda Arlington
(703) 522-8808
3910 Lee Hwy
Arlington, VA

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DP Auto Service
(202) 966-0408
4940 Connecticut Ave
Washington, DC
 
Auto Toy Store
(703) 527-0729
1105 N Glebe Rd
Arlington, VA

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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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