My girl got a car then...HELP PLEASE!!!

[IceCold]

My girlfriend reciently took delievery of a Lancer (2 weeks ago). She got approved for the loan, sign and it and all was good. Now the dealership is calling back and saying that the loan was cancelled. She is a server at a restaurant so her wages vary a little. Still though we quoted $1200 a month on the paperwork, which is easily made. Can they do this? Cancel the loan after we take delivery of the car? Any feedback would be awesome...Thanks

[Reynoma]

I read most of the paperwork that I signed when I picked up my car (financed through GMAC) and I do remember that the bank has the option of not accepting the "paper" or "loan" from the dealer. The dealer is making the sale under the premise that the bank will take the loan. In the event that the financing falls though, the dealer can take the car back.

[Hot Vibe]

The dealership will want its car back. You should get reimbursed for you time and trouble. Your deposit and call the insurance company. Most of the big companies will not even charge you if you have been with them for a long time. You will get reimbersed for the other two weeks of the month that you were billed on the insurance. Good luck with *****ing out the dealer and getting some satisfaction. Just look on the bright side...You drove a new car for free for 2 weeks. At least that it what should happen.

[AKLGT]

quote:At least that it what should happen.No, usually in the paperwork, there is a place that states if the bank recalls the pwk and does not write the loan, you will be billed a rental fee of usually $0.30/mile you put on the car plus any excessive wear or damage. I don't recommend you put a big dent in the side. Did you sign loan paperwork for the bank? I would call the bank and find out what's going on. At Work, do you work with dealer loans at all? I used to work at a bank, but not with dealer loans, so I'm not sure on how the underwriting works. I'll have to ask a friend over there and see what he thinks may have happened.

[yank dini]

As a mortgage underwriter I would say "HELL NO" once you sign the papers the deal is done. A similar thing happended to me with a use car before I got this one. It was more so the dealership and not the bank that was asking for more money. But I can tell you that if I were to make a mistake on a home loan and forget to ask for a paystub or something like that. I can only go back to the broker for the info and not the borrower. Nor can I rescind the loan either. I think that should be across the board since it should all fall under the Fair Lending Act

[AKLGT]

yank, i believe your right. under reg Z, fair lending, they have to disclose all the info up front. if the dealer doesn't make enough money because they undercharged, then they have to eat it. once the paperwork is signed and funds dispursed, then she should be locked in. i think we need to know what exactly she signed? bank loan paperwork or just the dealer app? Terms must be written in the fed box, so if she's got that, then should be OK. when i worked loans, i found out the dealer sends out the app to a dozen banks to see who comes back with an approval. then when a bank says, yes, we'll give you 8% to write the loan, they usually will tack on another % or 2. So, instead of paying the 8% the bank gives, you end up with 10%. so maybe the bank came back and said, they will only give them 10% and so now, the dealer doesn't get any or even less. Don't know, just throwing out possibilities.

[coratz]

could be a scam to get more money a month at a higher interest rate out of your girlfriend. its an old dealer trick to make the financing fall through a few weeks later. she may get suckered into a higher rate loan. dealer probably knows her fico score and is going to roll her into a 12 to 15 % loan . is she a first time car buyer? tell her to keep the car and keep the payments the way they are. as long as she pays no problem( i think) though i am no lawyer nor am i familer with the american legal system

[AKLGT]

right, that's kinda what i am thinking. as i said above, the dealer usually charges a higher rate. maybe they a. bank came back with a higher rate or b. want to add to the rate to make more money and scare her

[jake75]

Used car? New car? What was the loan length and % apr interest rate? I have heard that this was often a stunt pulled to get a higher interest rate out of the customer. If you traded something in that car might be gone so you are in a lurch. Since you are essentially being turned down for credit you are entitled to a free credit report so you can see why. With all the "instant credit approvals" you see advertised I can't understand why this is happening two weeks later.

[IceCold]

alright got back from the dealership. i guess the bank wanted proof of the $1200 monthly income she makes in tips. well any intelligent server knows not to claim all there tips; therefore she can only show she makes $800 monthly. This is what they said as to why the loan was cancelled. I told them that we have a lawyer, which we do, and that they better renegotiate the loan so our payments dont increase. When we were told we were approved for the loan we were mislead in to believing we could purchase the car at that price. My lawyer said the dealership would have a tough time winning a court case misleading us the way they did. In addition, if varifing income was an issue then they should have done so upfront before delivering the vehicle. So net in net we mentioned lawyers, they freaked out and got us a new loan with a higher interest rate (the dealer ate the difference so the payments are the same). P.S. They had an EVO 8 there in the showroom. It was badass. I told the saleman he should let me drive it because of my troubles, but he just laughed at me

[AKLGT]

hey, alright! glad it all worked out for you. always good to hit the dealerships where it hurts... in the pocketbook!

[micheles_bad_vibe]

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[Vibe Rater]

Lay a big turd on the back seat and take the car back to the dealer with a smile.

[msmyer]

quote:right, that's kinda what i am thinking. as i said above, the dealer usually charges a higher rate. maybe they a. bank came back with a higher rate or b. want to add to the rate to make more money and scare herThey usually do that at those "No Credit Needed" car lots! They are just trying to take your girlfriend "to the cleaners!" Tell her to let it go and get a co-signer and get a Vibe! Btw, micheles_bad_vibe, your new avatar...that a picture of you? I didn't see it in http://forums.genvibe.com/zerothread?id=2197

[Hot Vibe]

Good I am glad it happened the way it should have. Legal schmegal crap does not matter when it comes down to customer satisfaction. It is a buyers market out there with the economy in the crapper. The dealer was given a choice. Screw the customer and watch them walk or make them happy and get another one of their vehicles on the road.

[yank dini]

quote:alright got back from the dealership. i guess the bank wanted proof of the $1200 monthly income she makes in tips. well any intelligent server knows not to claim all there tips; therefore she can only show she makes $800 monthly. This is what they said as to why the loan was cancelled. I told them that we have a lawyer, which we do, and that they better renegotiate the loan so our payments dont increase. When we were told we were approved for the loan we were mislead in to believing we could purchase the car at that price. My lawyer said the dealership would have a tough time winning a court case misleading us the way they did. In addition, if varifing income was an issue then they should have done so upfront before delivering the vehicle. So net in net we mentioned lawyers, they freaked out and got us a new loan with a higher interest rate (the dealer ate the difference so the payments are the same). This is exactly what I thought... A classic case of an Underwriter error. The bank is gonna eat it. But they are gonna try and challenge you to see what you do. Dont back down and don't turn the car in. Make you payments as agreed in the original contract and have your lawyer call their lawyer. They are just tryin to make more money off of you since it's consider a higher risk due to debt to income ratios

[micheles_bad_vibe]

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