I just recently bought a car. When I bought the car I was considered on a fulltime income. So that was what was put in the paperwork. All the info was sent to the bank that was financing the car. They called me a week later letting me to verify everything. They told me that I was listed as a partime income of 1,233 a month...because thats what my job verified. At the dealership it was 2,466 a month. I asked the bank that financed my car if they were going to change their mind because the difference in income and she said she didnt know and that she would have to talk to her manager. What is going to happen. I have already had this vehicle for a week now. Can they come take it back? What about my old vehicle?
Can dealership change mind after already financing a vehicle?
Auto finance is what I do for a living and this is what happened.
The dealer had you approved obviously because the deal has been sent to the bank.
What most likely happened is your score was high enough that the dealer was not asked to prove your income and since you only make $1,233.00 a month, they lied about your monthly income. (No lender buys car deals with that low of income) You most likely signed a application that said you made $2,466.00 a month. So the dealer will say that it's your fault.
What the dealer did not realize is the bank was going to call your employer and verify your income. (H.S.B.C. doe's this all the time)
Now that the lender has verified that your income is 1/2 what the dealer told them you will not budget for the payment or meet the lenders minimum income requirements. (They will send the deal back to the dealer)
Expect a call from the dealer, if you are lucky they had another approval that they can resign you with that won't verify your income with your employer.
If not and you have to give the car back, the dealer must pay you what ever amount is shown on the contract if they have already sold your trade in. If not they have to give you your trade back plus any additional money you put down.
It was not the dealer that changed their minds it was the lender. Anytime the information that is submitted to the lender does not verify it kills the deal.
Can dealership change mind after already financing a vehicle?
no unless you miss to many payments
If contract is already signed then it's a commitment unless there is a clause in the contract specifying that a change in your employment/financial status releases them from the obligations.
Generally, if you are still making payments then you'll keep the car.
If you read the fine print in what you sign at the dealership, there are often clauses about stuff like this. The dealership often doesn't actually ahve the loan for you yet-- but they're so confident they can get one at a certain rate (they act as a middle man and sell the loan) they have you sign and send you on your way.
Its common for dealerships to change the terms (often shortening the loan) and call and ask you to come back.
Chances are the dealership didnt actually have the loan in place at the time they sent you on your way. So yes, its possible that they may ask for you to come back.
