Mother here need help again

I'm not understanding. Are you saying your friend signed a contract and the bank approved? Then the dealer wanted a higher price and the bank took back it's approval? Or was the situation this: Your friend drove the new car home before the financing was approved. The dealer decided he wanted a higher price and changed the contract. The bank didn't approve. Please explain indetail what happened.

 

First of all, I hope you're joking about suicidal. If not, I guess I don't need to tell you that your friend has more pressing problems than the car loan or any other situational precipitant.

Ok, I was obligated to say that just in case, lol.

When I bought my Honda Accord in 1997, the dealership called me up after the deal was done (or so I thought) and said that they had trouble with the loan but managed to get me terms that were almost as favorable and would only cost me $27/month more so I shouldn't worry and when would I like to pick up the keys, etc.

I told them to forget it. I said something like, "Look, we made a deal, and now you come up with this? I don't think that's honorable. Frankly, my wife likes the car more than I do, and this is going to be my car. I'm cancelling the deal. Forget it. Goodbye." And I hung up. LOL! Even I was dizzy when I hung up, realizing that I might just have to start at square one with the car buying. Regardless, I was so angry with the dealership that even the idea of starting over brought me some satisfaction.

What happened next... They called me back within 30 minutes saying that they could honor the terms of the original deal, that they'd found a way, etc.

Needless to say, this did nothing to increase my respect for car salesmen that day.

Doc

 

Hi Mom2 LTNS!

Sure, the original debt owner can refinance into a loan that is not co-signed if his/her credit is worthy.

However, the co-signer is sort of stuck, if the new loan "doesn't go through" (ie the original creditor is still to risky to hold the loan without a co-signer). That is the risk of co-signing on a loan, you are essentially taking more of the risk of default off the creditor...as they are equally responsible for re-payment of the entire loan.

-Peace, Dave

 

Re: OK Nave...I did that wrong

Back to the original question. I see two possibilities.

One. She signed some papers when she left the dealership saying that just in case the financing did not get final approval, she agrees to pay a certain (higher) rate. This happened to me when I had credit union approval and I needed the car that day. They said that just in case the CU check does not come, we need to have you obligated to pay us for the car. Effectively I signed a loan agreement at a certain rate with an agreement that it would be void when the CU check came. This was to protect the dealership and I got my car immediately.

If that happened to your friend, the primary financing was not approved and the back up financing kicked in. She may be stuck.

Two. In 1993, when I bought a new Altima, I signed the papers, gave them a CU check for payment and left. About a week later, the salesman called, saying his manager told him he sold the car too cheap and that he had to get another $1500 from me or they would take the car back and cancel the deal. I told him I had a written contract and they were obligated to follow it. I never heard from them again. Since that time, I have heard this is a not uncommon trick of dealers and that some people actually fall for it.

When I bought another Nissan the following year, I went to another dealership. Incidentally, the manager had signed off on the deal when I bought the car.

 

Re: OK Nave...I did that wrong

I have a similar story which is a little embarassing.
I bought a car, also upside down in the car I was trading in. A week later I got a very nasty call from the dealership wanting to know where their 2,000.00 was. I was dumbfounded. Had no idea what they were talking about. They yellled at me, called me a thief, you name it. I finally, oh so stupidly, let them put 1,000.00 on my credit card and promised them the other 1,000.00 over the next two months.
I then called my friend who had gone with me crying. She agreed that 2,000.00 had never been mentioned. I read over my contract with a fine tooth comb and there was nothing in there about an additional 2000.00. I called them back arguing this and they said they had my signature on a piece of paper promising them 2000.00. I told them to send me a copy, if I signed it I will honor it. They said no. The owner of the dealership even called me to tell me what a thief I was.
A few days later I was served with a small claims lawsuit. Now I was pissed!!!
I did massive reasearch. This was a lease and there is a law that says ALL terms must be on the lease paperwork. There cannot be any "riders" or verbal agreements, nothing like that. I made complaints from BBB, DMV, Dept of Consumer Affairs, AG's office & Nissan corporation. Every agency I could think of. I then filed a counter suit to get my 1000.00 back. About a week later (just enough time for them to be served and receive notifications of my numerous complaints) I received a call from a very sweet sounding person apologizing for the whole "misunderstanding" and asking what I wanted. I told them simply my 1000.00 back and to leave me alone. She quickly agreed as long as I was willing to withdraw my compalints and drop my counter suit. I agreed and I received the refund immediately.
The reason for my story is because they saw I was a HUGE sucker and thought they could bully me. It almost worked.

 

Re: OK Nave...I did that wrong

I had a bad situation with a new car dealer here in Florida. Traveled over 120 miles to buy the car at a big savings off the local price. Before I even left on the trip I faxed the exact deal I wanted to them (cash down, invoice price + $100, no extras, no credit life insurance, vehicle color, etc) and they said it was a go. When I got to the dealership they didn't have down the amount I was giving them, they had the check # from the credit union transposed.... so very shady. I mean come on this was a NEW car dealer but they really wanted to scr*w someone over so they thought they had an easy mark in me. HAH! They had to retype the contract several times to get it just right.

Ended up taking the vehicle home and discovered they DID scr*w me over. Never accounted for the fact I already had a license tag. They also charged a misc fee that they could not explain, for $300 at that. I threatened to sue them, they let me keep the day for a few days and they had to drive back to pick it up.

Any car dealer will back off if you threaten to sue if they made a mistake.

Robert