Business Debt, Collections Auto Dealership Breach in Contract?

[dfer6]

My husband and I purchased a vehicle from a dealership 3 months ago. They were eager to take our trade-in so let us go with signed contract & the car, telling us to turn in our proof of income and residency the following week. Ok, sent in all the documents. Upon receiving my husband's documents they said his pay stub wasn't acceptable because it lacked a YTD amount on the check (he's a contractor). They assumed he was a regular W-2 employee. Now they're asking us to return the car and take back our trade-in that's now 3 months late on payments. All the information we provided on the contract was true, the issue was on their end with the assumption that our paperwork would be acceptable. Can we sue them?

Read our agreement, it basically says what we're liable for, not what they're liable for in this case. Is there anything we can do?

 

[army judge]

My husband and I purchased a vehicle from a dealership 3 months ago. They were eager to take our trade-in so let us go with signed contract & the car, telling us to turn in our proof of income and residency the following week. Ok, sent in all the documents. Upon receiving my husband's documents they said his pay stub wasn't acceptable because it lacked a YTD amount on the check (he's a contractor). They assumed he was a regular W-2 employee. Now they're asking us to return the car and take back our trade-in that's now 3 months late on payments. All the information we provided on the contract was true, the issue was on their end with the assumption that our paperwork would be acceptable. Can we sue them?

Read our agreement, it basically says what we're liable for, not what they're liable for in this case. Is there anything we can do?

Yes, there is certainly something you can do.

But, it'll be costly, and fraught with difficulties.

You can hire a lawyer and direct said lawyer to litigate the matter before the court.

The matter being the three months of missed payments on your former car, the three months of payments you made on your new car (YOU HAVE BEEN FAITHFULLY MAKING PAYMENTS FOR THE PAST THREE MONTHS, RIGHT??), and the delta between the two.

Why? Because the ONLY way you will get the dealership to do what you want, rather than what they want is to prevail in a lawsuit, and have the judge order them to complete the deal.

But, there's a problem with that, who's going to order the bank to finance you?

Yous see, this is like Swiss cheese, full of big, old, smelly holes; or Limburger cheese full of smelly mold.

I suggest you work out an arrangement to return the car, because eventually some dealers report the cars stolen, if they aren't returned.

I don't know what your finance contract says, so you might wish to contact your former and yoru alleged current lender.

See, if you can arrange your own financing.

If you can't, and as a contractor (heck, not much difference these days, employee or contractor with limited job stability anyway) better to not seek financing for something that you could end up losing if the job went south.

This is a mess, and you should never take a new car unless you are sure the financing has been approved, and you get PROOF of that in writing.

I don't think this is so much about rights, as it is what the contract(s) require and provide

Start talking to the dealer, the lenders, negotiate, don't threaten or demand, negotiating and compromising can work wonders.

 

[disagreeable]

Many states allow a brief window for financing to be rejected by a lender before the deal falls back and the dealer is required to cover the loan.