Does the car dealership have a legal right to do this?

Question

I bought a car in August of 06 from what I have found out is a piss-poor dealership. Anyway, I did not have good credit, and no co-signer. But I have an excellent income, so the dealership decided they would finance me. I admit, I bought the car on a whim. I now wish I didn't, although I love my car. Anyway, I have been paying $436.50 a month on this vehicle. Never late. I mail checks, there has never been a bounced check. Payments have been 100% satisfied for a year now. The other day I got a call from the dealership stating there was a cancellation on my car insurance, which was not true. What had happened was they changed their address and it was time for my insurance to renew so the renewal never got sent to the dealership. But I contacted my broker who called the dealership and verified I have never had a lapse in coverage. The next day the dealership called me back and asked me to bring my car in and update my records as they were remodeling their business and turning

my loan over to another one of THEIR finance companies. The man was telling me they wanted to install some sort of payment reminder device on my car...something that would beep when I started my car to remind me I have a payment. I didn't think much of it but got to talking to other people, who were concerned it may be a tracking device. And then I came home and researched it and apparantly it is this thing called On Time. It's a device that has the ability to interrupt your car's starter. So if you miss a payment, they can basically turn your car off. I have never missed a payment, but I still do not want the thing installed on my car. Too many things could go wrong...it could interrupt my car's starter in error. I may go get in my car to drive to work and it may not start. I may be on a trip and find that my car doesn't start. I simply will not allow that device to go on my car. I got into a screaming match with a girl at the office today because of it. Why, after a year,

do they suddenly want me to do this? It is offensive, as I have never missed a payment. Prior to this, the car I traded in...I had it financed for two years and never missed a payment. Do they have the authority to reposess my vehicle if I do not comply with their demand? Do they have a legal right to do this to my car since this was not in my sales contract? What should I do? By the way, I am in the state of Tennessee.

Thanks for the answers. Yes, it is financed directly through the dealership and you know what? They are not reporting it to the credit bureau either! So here I am paying on a $30,000 loan that I am not getting credit for. So getting a loan elsewhere is highly unlikely.

Answer 1

That is interesting. I've never hear of this before. Did you finance it through the dealership and not through an outside source? From reading your description I would assume you financed the vehicle through the dealership. So if that is the case legally they can put the device on your car. It legally belongs to them until you pay it off.
However in your defense you have had a great record of payments and if you have fixed your credit I would suggest going to your bank and see about getting a loan to pay off the dealership for the vehicle if you don't want to fight with them about the device.
Than you will have to make payments to your bank, probably a lot less of a mess doing it that way, or trade in the car at another dealership but fin-ace the car through an outside agency, many dealerships offer finance specialist, this way your not dealing with the dealership any more.
A repossesion can only happen if you go into defualt on your payments so I don't belive they could do that.
You can contact the attorney generals office in your state and ask about laws on this device. I am not familar with them becuase this is the first time I heard of such.
Of course another thing you could do is have some one remove it after they install it, but this may be very expensive to do.
As far as insurance they can charge you for insurance, becuase your are finacing the vehicle you must retain insurance on it or they can add it on to your loan.

Answer 2

I don't know. Find your contract and read it carefully. If you don't understand it, get an attorney. I don't see the necessity of inconveniencing you to come into their office to fill out anything. If nothing has changed, that's what I would tell them or have them email you a form to email back. I would not allow anyone to tamper with my car under any circumstances and I think your worries have a basis. I would tell them that you don't want anything installed on your car that isn't supplied as part of the original car.They sound like real fly by nighters and think they can do whatever they want. I would even contact the car company(get the telephone number on line and call) and tell them what this dealer is attempting and that you find it offensive and also wonder if it will void your warranty with them and do they support the adding of this equipment. I just bought a new car and changed insurance brokers and neither of them furnished a copy of my insurance to the holders of my loan. And then I made an online payment and put in the wrong account number and so I didn't realize my payment wasn't made and it was really late. If they had asked me to install anything like that, I would have told them to kiss my *ss! Your a lot nicer than I am. And if you go by the dealership, don't give them your keys. And if you need work done, they have to tell you exactly what they are doing. If they do anything else, get an attorney and report them to the attorney general of your state. The attorney general will bring suit against people you think have wronged you. You fill out all their forms and provide evidence to support your claim and tell them what resolution you expect. They do it for free. . .

Answer 3

As long as you've made all of your payments, and never late, they can't do anything to you! Let them flap in the breeze all they want and just ignore them.
I would never allow someone to put some type of 'payment reminder' device on my vehicle (especially if I'd never missed a payment). If the car came from the factory with it - then ok but if it didn't - no one can force you to have it installed.
They probably have tons of customer who miss payments and have decided to do this to everyone (on matter what their payment schedule has been). Tell them "if it didn't come equiped with one, from the factory, then your'e up a creek without a paddle!"

Answer 4

Look over the original loan documents. I'm betting there is nothing in there about them having the right to demand such a device installed in your car.

If not, tell them to take a flying leap. If so, then comply.

Answer 5

WTF?!?!?!? I have never hear of this....ever. I doubt they have any legal right to do such a thing. Refuse!! What can they do?? You are not behind on your payments.