I purchased a vehicle by trading in my old vehicle and a down payment. I have a bill of sale signed by the dealer that I gave them the money down, however they never actually collected it. I found out that I have not yet been approved by the lender and in fact don't own the car even though they let me take it. They want their down payment, but I want proof the title isn't in the dealers name anymore so they cant take the car back.
You took the car, were you able to register it? You're already in title, with a lien, no? I'm not sure I understand the question. You need to give them their deposit, regardless of whether you get the loan. That's how they get you. If you're denied the first loan at the rate you wanted, eventually they will get you a loan, though you'll pay a much higher interest rate. Read the fine print.
One might assume that even though you have a bill of sale, you do not yet have title. In the future, do not leave with a transaction half completed. It seems that you are driving a car without title, without closing on a car loan and making a down payment. One might also wonder about the car dealer involved. It is crucial to get the situation resolved immediately. Do not let the dealer file a stolen vehicle complaint. You should seek legal assistance if the situation cannot be settled.
As my colleagues suggested, you should definitely resolve this with the dealership as soon as possible, because you are putting yourself in a potentially bad predicament. You do not want to be in possession or driving a vehicle when the financing has not been finalized, because as was mentioned, you could end up qualifying for much less desirable financing then you initially hoped for. The longer you keep the car and the more you drive it, the less likely that you will just be able to return it to the dealership without some type of expense to you. I have also heard of dealerships filing stolen car reports when things go sour and they do not have their vehicle. I would suggest returning to the dealership with the car right away and getting the financing completely figured out before taking that vehicle back off the lot.
Good luck!
Grant Reilly GillenwaterCar / Auto Accident LawyerVero Beach, FL ·
In almost all Retail Sales Installment Contracts, there is a provision giving the dealership 30 days to obtain financing on your behalf. If the dealership is unable to obtain financing for the amount and term length that you agreed to, they have the right to request that you return the vehicle. If they do this, they must return your trade in vehicle or give you the value of the trade in vehicle.
