bsomm22

Has anyone ever heard of this? She bought a 2002 Altima two weeks ago, and got approved for the loan at the dealership. She needed her parents to co-sign. then yesterday she received a letter from the bank saying she was denied the loan money! wtf!

typeR

you may be jumping the gun...often dealers reach out to several lenders and that may just be one also...they may have first tried in her name alone and was denied but are awaiting a second app with co-sig
good luck tell her not to settle for less than the 3.5 altima

eclipse23

Did she apply alone first? If she did she was declined and then your dealership negotiated with the bank and decided to accept the loan with a co-signer. By law, any decline has to have a letter go out explaining why. this happened to me years ago when I tried getting a $26K Mitsu GSX when I was 19

Bill Faure

A similar thing happened to my g/f. She had her Suzuki Vitara for 2 weeks when the dealership called and said the loan was denied. However, they found another deal that cost $89 more a month. We said NO give us our trade back. When we got back to the dealership lot to give them their car back they magically came up with another loan that had the same exact payment. An old con game, or legit you make the call?

Water-S

as said before it depends if she needed a co-signer and if she failed to get a co-signer the car company(nissan) took back the car.
now if she got a co-signer and they still go back I'd be REALLY TICKED

bsomm22

at first she applied for the loan by herself, and got denied because her credit score was low. But her father was at the dealership with her, so he cosigned for her and got approved. then two weeks after she has the car she gets this letter from the bank saying that the bank won't approve the loan. it does sound fishy to me.

eclipse23

Read my post again. That's probably the reason. Call the dealer.

bsomm22

thanks eclipse.

Ashburner

That happened to one of my friends when he bought a Nissan Pathfinder. They called him 2 weeks after he drove it off the dealership and said they could not find anyone to finance him. He drove it back to the dealer that day and had to give it back. At least he got 1000 free miles out of the deal.

-Ash

Quincy

The Big question is Did the letter have just her name on it or both her and her fathers name on it.

Bill Faure

That's true, but speaking for my g/f she was devastated when she thought she had to give the new car back. She had already showed the car to her friends and family. Then all of a sudden she was going to have to turn around and tell everyone why she wasn't driving her new car anymore. That could have been very embarassing. Luckily, it worked out for her.

bsomm22

everything is OK now! she went back to the dealer and they said it was a mistake. But yes, the rejection letter had both her and her fathers name on it, thats why she was so worried.

mcdanjw

This exact thing happened with a friend of mine too... with an 02 maxima.

He decided to just keep the car.


Hasn't made a payment in almost a year.

Don't get me started on this one.

1SICKLEX

Damn, same thing happened to my friend in a Q45. Is it a Nissan thing? He just took the car back, even when they said it's okay (punks).

kensteele

No loan is approved until money changes hands. Even to protect you "the consumer" I don't even think the deal is legal even if you sign the contract until someone is paid--when you seek financing from the seller.

So you never know what "approved" means. But you sure do know what "declined" means when it happens, that's for sure.

Here's a good way to prevent the embarassment of taking a car home that's "yours" and then having to return it later: get your own financing or pay for the car yourself. Screw the dealership and their "games". Too many issues to deal with if you don't have good credit.

Pappy

Yes, that happens alot here in Florida, the scam capital of the country. Normally, it goes like this: You go into a dealership and pick out a car. They sell it to you on the spot with financing and your car trade. After you drive it for 1 week or so, you get a call from the dealership that your loan was denied and to please bring back the car. You bring the car back only to find that your car that you traded is gone and wholesaled out or sold. They either give you the money the car was wholesaled at (there word and phoney paperwork) or they find a bank willing to finance you at credit card interest. The way to avoid this is to tell the dealer that you won't accept the car until the loan is approved.

kensteele

Good point. Just like you mentioned, this is a scam. And it's nothing new, this has always been going on, all over the country. So how do you protect yourself:

1.Understand contract law.
2.Keep telling yourself that this verbal crap is not going to fly--get it in writing.
3.Don't sign over your title to anyone for a price that you are unwilling to part with it for. And that includes those fudged numbers that make your own contract and loan look "better."
4.Get your own financing. You can get straight answers that way.
5.Don't fall in love with cars. You can wait to drive it till you really own it.
6.Did I say understand contract law? You must know the laws of your state and you must know what you are signing up to and you must make this clear to the dealership that you are competent and that they should perhaps try to scam another easier "victim".
7.Know your rights and how to seek proper remedies. This includes negotiating, dealing, even going to court to sue. You have to know the laws of your State and you have to know how the courts work.
8.Understand the meaning and the definition of "good faith" and "intent". They are very important when it comes time for you to state your business--wherever and whenever.
9.Protect yourself from fraud. Do everything and anything you can to secure your own position and establish a clear meeting of the minds. None of this "I thought..." or "I was told..."
10.Know how to and where to seek competent advice, either from the experienced, the elder, or legal advice. No matter what you think, you don't know it all; do the right thing, don't go in it unarmed and alone. You'll be torn to pieces.

So what are the biggest areas most people get caught up in (if I miss anything others please feel free to chime in).

You've read it here, right? "I thought the dealer applied for my license plates?" Or, "I put down a deposit on that car and they sold it to someone else." What about "After I left the dealership last night, today I have buyer's remourse." Oh and "Why do I still owe money for the payoff on my trade-in, I traded the f*cking car it?" "You want how many Go**amn $$$ for sales tax" said the new CL owner to the State of Kansas? WTF? Finally what this thread is all about---if you traded in your vehicle and everything was done in good faith and your trade-in is now sold and in Mr. Johnson's driveway in Nebraska and you cannot pay for the new car that you've been driving for seven days, there are provisions in the law to handle this type of situation. But it doesn't include going over to Nebraska to reclaim your trade-in.

Bottom line is the car dealership business is made up of two kinds of animals: the sheep and the wolves. Which will you be?

Pappy

This was perfectly stated and should be put in the archives.