I bought a vehicle jan.12th,this year...I have bad credit therefore I had to get my dad to co sign for me..I put $1500 down. We signed all the papers, were given the keys and drove off. 3 weeks later I'm getting a call from the dealership telling me that the lender (capital one) has a new stipulation that you have to be current on your mortgage. I was not, so they are trying to retrieve the car from me. I need to know if this is legal? They knew that my credit was poor thus the reason for the cosigner and this information should have been checked while we were there at the dealership not three weeks later. Can you help me?
This is quite common. The dealership wants to make the sale so bad they will have you sign a contract with "projected" monthly payment and interest rates; let you take the car home; and then try to get the financing at the terms they projected. Sometimes they can't get that done and multiple credit applications are made on your behalf which drops your credit score in the process. Some Toyota dealerships have a special notice page warning that this may happen. You should check your contract for such warning. If it is there, you may have already agreed that you would sign a new contract in this situation. If you are unsure, use the "Find a Lawyer" feature to connect with an attorney in your area. Many will offer free initial consultation.
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