Made mistake of taking car home

[rex444]

My wife and I purchased a 2004 Toyota Sequoia from a big dealership near DC. We negotiated a good price and a decent number for our trade in. I told the finance guy I was not leaving with the truck unless he was 100% sure the financing was done. He assured me it was. Rate was high at 20% but it was with Toyota Motor Credit so I felt good that it was not some other sleazy lender.

Fast forward two months...the dealership has still not gotten approval from TMC nor anyone else. They contacted us a few weeks after we were supposed to be done saying they needed some time and maybe more money down. What they really screwed up on was they thought that if TMC did not take it Capital One would....but we discharged Cap1 in our 7.

My wife has been driving the truck for 2 months now and we are going to be so embarraed if (most likely when) we have to give the truck back. They are now asking for an additional $4k and that still might not get the deal done.

I'm venting a bit but wanted others in our situation to be extrememly carefull when leaving with a vehicle that was approved at a dealership but not confirmed with the lender. Any advice on where to turn for financing would be great.

[AngelinaCatHub]

At this point, take your paperwork and make copies. Go to the salesman and in front of the OWNER of the dealership tell your story. Tell also that if they didn't like your offer, give your trade in back as well as any down payment. Your deal is this, "you bought the car in good faith and with a verbal contract (does not count but the sales person probably would not lie in front if the owner) that the salesman assure you all was wonderful. You will pay to the dealer, at a fair interest rate (simple interest) a monthly payment equal to or lessor than quoted on your paperwork. They (the dealer) have just become your mortgage company. It was their fault not yours and if they did not like this, you would picket every weekend in front of their business if they renege on their own deal".

Be firm and polite. Make it a business decision that they cannot refuse but do it in a professional way. You will be amazed at what a little pressure can do. 'Hub

[AngelinaCatHub]

BTW here is a horror story of my own. I was in my twenties and looked at a T-bird. I told the salesman I would leave my car and would like to test drive it that evening. Much paper flowed and I restated that why am I signing a title change document, I am test driving only. He assured me it was for "insurance" reasons. I did not like that car. It sucked gas like a fish. I brought it back and approached the salesman and told him I didn't want it. His response: "Sir, you bought that car". I was Pi$$ed. I left, purchased a screw driver, had a spare key to my own car, when the mechanic unlocked the gate, I casually took my tag off the T-bird walked over to my car, and drove it off the lot. I wrote a letter to the owner the next day and heard nothing more from them. I had to steal my own car back from that thieving dealership. 'Hub

[MSbklawyer]

Very interesting. Are you making your payments? To whom?

[HakunaMatata]

Gosh, I've never heard of such a scenario (and I live in the "Motor City"). I recently purchased a car and I couldn't leave the dealership without full financing, taxes, insurance, and plates.

I can't imagine a dealer permitting an "owner" to leave with a non-financed vehicle. How did they offer an interest rate if they were unsure who was going to finance the vehicle? Have you paid taxes, plate transfer, and insurance? Are you making payments? To whom and how were funds applied from your trade-in? Why are they now asking for an additional $4k? Did they decide the original deal was unsatisfactory AFTER two months? Very strange.

Please don't let embarrassment factor into this deal. Spare yourself this unneccessary emotion. This is business and like Hub demonstrated, you acted in good faith.

Hang in there!

[rex444]

Currently we are not making any payments. The dealership offered to give us our trade back (that has been sitting on their lot for 8 weeks) and return our original down payment which is great but what are we supposed to tell eveyone we know who saw us driving a newer car? Just sucks that they put us in this situation.

[AngelinaCatHub]

Currently we are not making any payments. The dealership offered to give us our trade back (that has been sitting on their lot for 8 weeks) and return our original down payment which is great but what are we supposed to tell eveyone we know who saw us driving a newer car? Just sucks that they put us in this situation.

Rex, you have heard this before........"pride goes before a fall". So who cares what anyone thinks? Tell them if anything at all, that the car was a lemon and you didn't like the deal. This is true isn't it? It sure did lemon you up.

Why are you adopting a stress problem when you could cure it so easy. Go back and get your old car. Here is something to be proud of. It has a clear Title, a feature most cars do not have. 'Hub

[HakunaMatata]

Currently we are not making any payments. The dealership offered to give us our trade back (that has been sitting on their lot for 8 weeks) and return our original down payment which is great but what are we supposed to tell eveyone we know who saw us driving a newer car? Just sucks that they put us in this situation.

While it's disappointing, I don't think you need to create a story for others. From the looks of it, you were offered a bad deal. You negotiated a deal, the dealer accepted, and then the dealer changed his mind/found a loophole/failed to properly communicate terms, etc. Personally, I would continue to explore this as something is, obviously, not right. Is there a clause in your agreement pertaining to securing funding?

If you decide to return the vehicle in exchange for your down payment and trade, you may become the envy of your friends. I don't know many people who have the opportunity to drive a FREE vehicle for two months! You may become bombarded with questions because your friends want temporary free upgrades too!

I'd also use the fact that your trade has been sitting on the lot for two months as leverage. You didn't have intentions of reassuming ownership of this vehicle (provided the title was transferred) and you surely would not have let it sit unused for two months had you been able to project this situation would occur.

This is business. This is transportation. Your focus should not be on pride (although, I understand). Don't let the dealership bully you. Don't worry about what others think.

[MSbklawyer]

I think you own that car, subject to making payments, of course.

The dealer can service your note on the car.

Go see a lawyer.

[rex444]

Well the dealer is beinig extra shady because they did not file all the paper work to transfer title over to me nor did they file the paperwork with the MVA to transfer my tags over. I have copies of everything but they just sat on them on their side.

If I could afford a lawyer (again) then I would probably not be in this situation. We filled for BK in Aug 08, discharged in March 09 and case was closed in July 09.

[StartingOver08]

Sounds like the dealer is/was working on the 'spot delivery' senerio. (Google Spot Delivery) Here is one article that explains it: http://www.consumeraffairs.com/autom..._delivery.html

He gets you in the car, you take it home and fall in love with it and then the dealer comes back with terms that put you in a bind (larger downpayment or higher interest rate or both!). As to the car salesman (or FI guy) promising you everything was ok....no such thing, remember they lie for a living.

This is a common senerio with shady dealerships, or really, any dealership. Call their bluff - take the car back to them and get your old car back. Or make them stick to the original deal.

[jadams]

Yep, it's a spot delivery.

And they're counting on exactly the reaction you're having -- attachment to the car and not wanting to be embarrassed by returning it. Don't let them use those feelings to bully you into a deal that you otherwise would not have taken and isn't good for you.

You have decent leverage here. They don't want the car back. Check your delivery paperwork, but at this point you should be able to unwind the deal with no cost to yourself (i.e. get your money and old trade back).

Remind them that you told the finance guy you didn't want a spot delivery and only wanted the vehicle if/when the deal was done. Tell them to find a way to finalize the deal within terms you clearly agree with, or you're coming back and they are going to have to unwind the deal at their loss.

Once they know you aren't easily going to come back with a large down payment they might suddenly have better luck filling the loan.

Good luck

[rex444]

I think I'm going to take everyone's advice and just get our older car back. Not the end of the world and not worth the emotional damage this is doing on my family.

Do you think I should tell the dealer to bring me back my car and pick their's up? The dealer is an hour from my house and I really don't feel like driving all the way there for the embarrassment. Sux.

[HakunaMatata]

I think I'm going to take everyone's advice and just get our older car back. Not the end of the world and not worth the emotional damage this is doing on my family.

Do you think I should tell the dealer to bring me back my car and pick their's up? The dealer is an hour from my house and I really don't feel like driving all the way there for the embarrassment. Sux.

Rex-

This is not about embarrassment. This is about business. Why would you waste your time and money (driving two different vehicles for two hours total) because you were misguided by the dealership?

If possible, demand they use their time, cost, and labor. Make this a win for YOU.

[rex444]

thx for the pep talk Hak ! ! !