Finally got a new car

[NOMOREBADCREDIT]

Finally got a new car. 08 hyundai elantra se.I dont how long i will have it. the int rate is not good but can refi in the future if i keep the car? i check my credit reports dealer has made 20 inqs . i call the dealer and the F&I GUY says they have not got me approved . i tell the dealer that i will return the car but they will not take it back. can i take it there and leave it there?

[lrprn]

So, let's see if I understand your situation....

You went to the dealership and they made you an offer with high interest that you hope you can reduce in the future. You drove off the lot with the car, but the dealership hasn't been able to secure financing for you yet. And even though they haven't found financing for you yet, they insist you have to keep the car????

Now they are likely to come back with an even worse deal and hope you are so in love with the car after driving it around that you'll agree to it.

There's no guarantee you'll be able to refinance this car soon. Can you afford the payments if you can't refinance? If you can't, then keeping this car is going to land you right back into the financial mess you just escaped.

I'm curious...why you didn't look for a reasonably priced used car after your bankruptcy rather than a high-priced, high-interest rate new one?

[NOMOREBADCREDIT]

So, let's see if I understand your situation....

You went to the dealership and they made you an offer with high interest that you hope you can reduce in the future. You drove off the lot with the car, but the dealership hasn't been able to secure financing for you yet. And even though they haven't found financing for you yet, they insist you have to keep the car????

Now they are likely to come back with an even worse deal and hope you are so in love with the car after driving it around that you'll agree to it.

There's no guarantee you'll be able to refinance this car soon. Can you afford the payments if you can't refinance? If you can't, then keeping this car is going to land you right back into the financial mess you just escaped.

I'm curious...why you didn't look for a reasonably priced used car after your bankruptcy rather than a high-priced, high-interest rate new one?

i can afford the car but the intrest is to high i did the math i will be upside down with the car. and no dealer would even try to get me finance with a used car out of bk. the dealer still havent got financing on the car i have now.

[Stilltheone]

We had a dealership do this to us. We drove an Escalade, loved it, and they told us to keep it for the weekend while they tried to work out financing. We told them we wanted our payments to be no more than $300.

We took the car back "after the weekend" and they told us our payments were going to be $460. Our interest rate was only 9.84%.

We bought the car with the intentions of refinancing it in 6 months.

4 months later, dh's salary got cut and we filed for bk. Now, we are stuck with this high payment.

DON'T FALL FOR THE DEALERSHIPS SCAM!! If you don't like the interest rate, don't BUY IT!!

[Flamingo]

I responded to you on your other posting about your situation. Your BK and all your hard inquiries on your numerous tries to get a vehicle has and still is working against you. If you are not careful, you are going to end up not being able to afford this present vehicle if ithey actually do come back with financing (expect a high rate and possibly other charges). There was another poster in here who obtained a vehicle the same way but they could not get financing and he had to return the vehicle to the dealership and there were all sorts of issues concerning that as to his credit and some lender (Wachovia I believe). Even if you keep this vehicle with the intention to refinance, there is no guarantee that any lender will refinance you.

While I know you probably really need a vehicle, you could be really taken on this deal by the dealership since they can make a lot of money off the deal and need to push their inventory and sell cars.

I know it's probably hard or impossible for you to think about this, but you may have to save up enough cash to get some sort of vehicle for a while until your credit gets better after all these inquiry hits and you ar further past your discharge date by several years. Those inquiries are on your record for two years now (used to be one). Do you have any family that can help you out in any way during this time as to getting some cash together?

[NOMOREBADCREDIT]

i already have contract but the dealer cannot get funding for the deal and they are doing lot of inqs on my report. i offered to give them the car back but the dealer will not take it back. i did the math on this car and i will be upside down on it if they find funding. i just want out of it .

[Flamingo]

i already have contract but the dealer cannot get funding for the deal and they are doing lot of inqs on my report. i offered to give them the car back but the dealer will not take it back. i did the math on this car and i will be upside down on it if they find funding. i just want out of it .

Read the paperwork they gave you carefully; all the fine print, etc. There was a poster on here with a similar situatoin a few months back. If you research Wachovia on here, you might find the thread, or it may be under buying a car after BK or something similar. He ended up getting sued by the dealership if I remember the situation correctly. Your agreement probably states that you will keep the vehicle until they obtain financing for you. If they cannot obtain financing, you will have to return the vehicle and there are other probable related clauses as to fees you may have to pay for having the vehicle during that "take home" time. That fine print can get you if you don't read it prior to leaving that dealership lot with a vehicle.

The reason for all the inquiries is that they are having a hard time getting a yes so they keep trying high risk lenders. You may be lucky and get one but probably at a much higher rate than what they told you and added costs and fees.

We all learn the hard way with a lot of things...you just learned about a possible dealership scam. Hope things work out for you on this one...best of luck!

[NOMOREBADCREDIT]

Read the paperwork they gave you carefully; all the fine print, etc. There was a poster on here with a similar situatoin a few months back. If you research Wachovia on here, you might find the thread, or it may be under buying a car after BK or something similar. He ended up getting sued by the dealership if I remember the situation correctly. Your agreement probably states that you will keep the vehicle until they obtain financing for you. If they cannot obtain financing, you will have to return the vehicle and there are other probable related clauses as to fees you may have to pay for having the vehicle during that "take home" time. That fine print can get you if you don't read it prior to leaving that dealership lot with a vehicle.

The reason for all the inquiries is that they are having a hard time getting a yes so they keep trying high risk lenders. You may be lucky and get one but probably at a much higher rate than what they told you and added costs and fees.

We all learn the hard way with a lot of things...you just learned about a possible dealership scam. Hope things work out for you on this one...best of luck!

they cannot charge me more then the contract states? but it does have that if they cannot get financing i will have to pay fees i just want to give this car back now.

[Flamingo]

they cannot charge me more the the contract states?

I don't know. Read all the fine print involved. I believe it all depends on whatever lender, if any, they can get to approve you. If the lender wants a higher rate, I believe it can ge changed. If you don't agree to that, you will have to return the car and possibly pay fees/charges for the time you had it.

Best of luck.

[NOMOREBADCREDIT]

I don't know. Read all the fine print involved. I believe it all depends on whatever lender, if any, they can get to approve you. If the lender wants a higher rate, I believe it can ge changed. If you don't agree to that, you will have to return the car and possibly pay fees/charges for the time you had it.

Best of luck.

thanks

[dragonnfly]

Every NEW car, no matter what brand it is or how cheap you talk them down it upside down the minute you drive away with it. Once its considered used the value drops signifigantly. What state are you in? My credit rating is in the low to mid 600's and we had no trouble getting a used car financed. Not a good interest rate but good price. Good Luck, Dragonnfly

[NOMOREBADCREDIT]

I return the car to the dealership the sales manager was mad. then they tell me i got approved and they still are inq on my report when i told them to stop. i call all the banks and still have not got approved. the dealer lying just for i can keep the for the car and they keep charging me.they have the car back and canelled the ins.

[Flamingo]

As you know I have been following your thread and really feel bad that you are having such issues. I know you want a car badly but be sure you do your homework as to any situation before you accept it. There is just too much scam stuff out there and some sleazy car dealers want to move those cars no matter what they have to do. I hope things work out for you.

[NOMOREBADCREDIT]

Every NEW car, no matter what brand it is or how cheap you talk them down it upside down the minute you drive away with it. Once its considered used the value drops signifigantly. What state are you in? My credit rating is in the low to mid 600's and we had no trouble getting a used car financed. Not a good interest rate but good price. Good Luck, Dragonnfly

VIRGINIA

[HHM]

And lets not forget, given the short term of most car loans (relatively speaking), refinancing a car usually costs you more money than simply finishing out the term of the bad loan (there are some old posts on this subject where I do the math). The only time refinancing works is if they do not extend the "term" of the new note beyond the end date of the note being refinanced (which almost never happens), otherwise, you are practically buying the car twice and spending more money.

I applaud your choice on make and model for a "new" car, although generally I recommend against buying new cars (because as has already been pointed out, unless you buy down the depreciation with a down payment, you will be upside down as soon as you drive off the lot), the 08 Hyundai Elantra is a very economical, efficient car.

But I too, question the judgment on making a lousy deal now in the "hope" of making a better one later. Never pin your financial future on something that is out of your control...after all, it is that kind of thinking that has led to record foreclosures.