What happens when you buy a car from a dealership and 1 month later they want it back because of no financing?

Your rights are highly dependent upon what specific language was in the contract you signed when you bought the car. Transactions like this are known as "yo-yos", and not common problems consumers experience with auto dealerships. Typically this situation arises when a person buying a car has less than perfect credit. This is how it works - After choosing a particular car and permitting them to appraise your trade-in, and completing all the usual paperwork including a buyer's order, a retain installment contract, a title application, a promise to obtain insurance sheet and odometer disclosure, the consumer is asked to sign a document referred to as a "bailment agreement" or a "courtesy delivery agreement". In these "bailment agreements" they dealer typically promises to seek financing on the terms set forth in the other documents, but if the dealer is unable to obtain financing on those terms, then the consumer is obligated to return vehicle upon request and the dealer can apply daily mileage use charges against any cash down payment provided by the consumer. Many of these agreements even allow the dealer to sell the trade-in immediately, even if the dealer later claims that the deal was not completed due to failure to "obtain financing". Many times the consumer is allowed only to keep a copy of one document, the "bailment agreement". If the dealer is unsuccessful at obtaining financing and/or sell the installment contract, they will call the consumer and ask them to return the car or to sign a new installment contract, with terms that are often much higher than the original contract that was signed, or require that they add a co-signor. In many cases, by the time you bring the car back, they have charged you for mileage that is equal to or greater than the amount of money you put down on the new car, and they will refuse to return your down payment. Again, each case is different, and it is all dependent upon what contracts you signed. More than likely, if they cannot obtain financing for your purchase, they will demand you return the car to them, and they will deny returning your down payment because it is all applied to the mileage you spent on the vehicle. If they have failed to comply with some part of their obligations under the contract, there may be ways to rescind the contract and get all of your down payment back. Texas has a statute called the Deceptive Trade Practices Act which sometimes covers these situations and may offer some remedies in your situation, but it honestly depends heavily on the contract you signed and what specific actions have been taken by the dealer.