I purchased a pre-owned car from Honda dealer in Astoria last Wednesday. After signing all papers (and $5000 down), they told me that they have to keep the car for "a few days" because there was a lien on the car and they had to clear it. Now after a week, I am not sure If they are using car loan that I got for car. Is there anything we can do about that? Please advise,
Advise that you are filing a complaint with the NYS Attorney General's office immediately. That may get this matter resolved. If not, file the complaint and cc the dealership, Honda USA and the NYC Dept of Consumer Affairs, which will or should get the dealer to react quickly, as it could find its license revoked. Further, you should get the loan documents amended to reflect the financing begins on the date you receive the vehicle and not before.
It is not normal to pay money down, sign the sales papers, and then not drive the vehicle home because the dealer has to work on the paperwork some more - no matter what the excuse is. If they didn't hold title then they should not have tried to sell it. They have your money and you don't have the vehicle. Every state requires that the dealer deliver the vehicle and transfer title. If the dealer was not able to do both of those things, then you should be able to cancel the sale and get your money back and you may want to tell them that or you may want to talk to an attorney who will tell them that. When a car dealer sells a car, most states require that the dealer put the title into the name of the buyer within a maximum number of days, often just 30 or 40 days. If the dealer fails to do that on time, then most states say that the consumer-buyer has the absolute right to cancel the sale (this is often called a Title Defect Law). Because motor vehicles are “titled” property, in most states, the only way a person can have a legal interest in a motor vehicle is if their name is on the vehicle title. Nothing else counts. That means you have to have a title to be the owner. It also means that you can’t sell a car without having the title in your name either. Most states also have a law that says that a car dealer is only allowed to sell a car without having the title in their name as long as they have the legal ability to put the title into their name right away and they, in fact, do that and transfer title to the buyer within a limited amount of time, usually about 40 days after the sale. But each state law can be a little different on this. If you bought a vehicle from a dealer and did not get your title in time then you probably have the right to cancel the sale if you act quickly enough. If you have not gotten the title at all yet, then the first thing to do is contact the dealer and ask where it is and when you will get it or, if you are tired of waiting and the time limit has run out, then you can call the dealer and tell them you are cancelling the sale and you will return the vehicle to them just as soon as they tell you they will refund your down payment and return your trade in vehicle (if you paid them anything down or had a trade in). If the dealer is no longer in business, then you need to contact your state motor vehicle department right away and see a lawyer. In fact, to find out what all of this means in your situation and in your state you really need to talk to a local Consumer Law attorney near you. Call your local attorney's Bar Association and ask for a referral to a Consumer Law attorney near you or you can go to this web site page for a Free Online 50 State National List of Consumer Law Lawyers (http://www.ohiolemonlaw.com/ocll-site/ocll-locate_local.shtml) and find one near you (lawyers don’t pay to get listed here and most of them are members of the only national association for Consumer Law lawyers, NACA.net). But act quickly because for every legal right you have, there is only a limited amount of time to actually file a lawsuit in court or your rights expire (it's called the statute of limitations), so don't waste your time getting to a Consumer Law attorney and finding out what your rights are. If this answer was helpful, please give it a Vote Up below. Ron Burdge, www.CarSalesFraud.com, www.NewCarLemonLaw.com
These just do not seem like people you want to be doing business with.
I'd recommend getting out of this deal pronto and doing so in writing, certified mail, return receipt requested, keeping a copy of the note and if need be finding a local consumer protection attorney.