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Dealer Wants Car Back - Wants More Money Shirley NY

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.

Rose Auto Sales
59 SHERMAN ST
Patchogue, NY
 
Gabrielli Truck Sales Ltd
3200 HORSEBLOCK RD
Medford, NY
 
V&K Auto Sales
67A KENNEDY AVE
Blue Point, NY
 
Executive Limousine Sales Co
19 DAYTONA BCH PLACE
Coram, NY
 
Enw Auto Sales
8 HEMLOCK ST
Selden, NY
 
Gabrielli Ford Truck Sales & Service Inc
3200 HORSEBLOCK RD
Medford, NY
 
Edward Barrett Auto Sales
PB113 188MONTAUK HY
Speonk, NY
 
Hallahan Truck Sales Inc
763 BLUE POINT RD
Holtsville, NY
 
Blue Point Auto Sales Inc
66 MONTAUK HWY
Blue Point, NY
 
Jmc Auto Sales Inc
186 VANHORN AVE
Holbrook, NY
 

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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