Can a car dealer request to change car after financing approved and contract signed?

Question

I recently purchased a car. After a few weeks of getting everything in to get financing approved the dealer has now called and said that the APR was a promotion for a 2007 model and they sold me a 2008. Do I have to sign a new contract and change cars after the financing has been approved and the contract has been signed?

Thanks so much...I do have possession of the car and I am currently at school 200 miles from the dealership and they want me to come back to sign these new papers...they didn't even want to tell me what I was signing papers until I continued to ask my reason for coming 200 miles.

Answer 1

If they erred, it's their problem. You aren't obligated to this swap, you have all the documentation that shows it's all good. They will simply have to pay the rate difference themselves and they dont want to do that. Sucks to be them.... if they accidentally overcharged you because they forgot about a selling credit or something do you think you'd have gotten the same phone call?

Answer 2

While I tend to lean towards the gist of what the other people answered, you need to clarify something in your mind.

Often, people sign something with their dealer that seems like a contract, but is actually something like a purchase order, and is basically an agreement that you are buying something for some amount of renumeration, but is not the actual sales contract, which usually accompanies the finance paperwork. What you need to ensure that you have correct is that you in fact have the contract signed by both you and someone at the dealership that is authorized to commit them to a financial deal.

I have always done the two actions (financial and contractual) at the same time, or bought the car for cash, where you only have the contract, and a bill of sale (title) - which is why I am a little confused. If you just have the contract, you need to make sure that it is the real contract, which is usually multi-page and quite explicit in who does what and who is responsible for what. Conceivably, you have a contingency contract, which says that the sale is valid if certain milestones are met, like getting finance approval. That all may be wrapped up together.

I'm not trying to disparage the other answers, I just want you to be cautious and not get yourself in any legal or financial hot water. You didn't sound like you had done a lot of this before, so the tricks they use may not be familiar to you.

The very best of luck to you, and I hope all works out well.

Answer 3

Everyone else is under the assumption that the dealer did something deliberate. I am going to say that I think they made an error that has not come till now when they tried to cash the contract. The Sales Manager & Finance Manager should have caught the fact that this was a 2008 instead of the 2007 that qualifies for the subventive rates. The error could have happened anytime during the sales process especially if you were payment minded or you were asking for the low rate.
What to do about it? If you are an honest person and know that people make mistakes, you would drive the car back and trade for the 2007 model that qualifies. However, if you want to hold to your guns, the dealer can buy down the rate to keep you in the car you are currently driving. It was their mistake and they may have to eat this one. Depending on who they determine was at fault, this one is going to come out of someone's check.
It's your decision, but in all fairness I would swap out for the correct car.

Answer 4

I see this as the dealer's mistake. I think as long as the contract has been signed and the title is in your name, you should NOT go back and sign a new contract and change cars.

I'm glad you posed this question because I purchased a new car 2 weeks ago w/ a $500 rebate promotion and paid cash. The dealer called me back a week later and told me that I needed to finance the car through them in order to qualify for the rebate through the manufacturer. They said they lost $500 on the car and now I need to go back and finance it. I already paid cash for the car, and in fact, they already cashed my check! The dealer is still calling me daily and I keep telling them that I will not finance the car and the deal is done. I think I will take the next step as many have recommended-- report this to the BBB! Thanks!

Answer 5

If you signed the contract already, its not your problem. The dealership is the one who screwed up.

I wouldn't even play around with this. Just document everything (including any phone conversations you have had) and go directly to the Better Business Bureau or your state's department of Consumer Affairs.

Answer 6

No, it's his dumb luck. If he tries to pressure you further, report him to your state's attorney general, or whoever is in charge of consumer affairs in your area. I just hope you do actually have the car in your driveway, or else you may have to hire a lawyer to either get the car or to get out of your contract and finance deal.

Answer 7

No, I think it is time to report what is called "Bait and switch" to the appropriate authorities.
The dealer pulled pulling a switch on you after they baited you (and sunk the hook real good).
If this happened to me I would just call the deal off and look for an honest dealer, this one is not.

Answer 8

If you have a copy of your contract, show that to them. If they still refuse to honor it, contact your local BBB and your state's attorney general.

Answer 9

read the small print if it doesnt say anything about it then no