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Car buyers forced to return cars and lose downpayments

Posted: 7:40 PM, Jul 28, 2016
Updated: 2016-07-28 22:40:30-04
Some dealers are letting buyers drive cars off lots when financing hasn't been worked out.
 
It's called "yo-yo" or "spot" financing.
 
It could be a weekend when banks aren't open.
 
The dealer takes a deposit and then let's you take the car for a few days until financing can be finalized
 
It is legal, but don't do it.
 
We've seen consumers who get calls later that financing could not be worked out.
 
They have to bring the car back AND can't get their deposits back.
 
Or they're being told the interest rate is double or triple what buyers expected.
 
Buyers could also be talked into buying lesser cars they never wanted.
 
Before you take that car off the lot, make sure ALL financing details have been worked out.
 
Make sure all details are spelled out in a written contract signed by both parties.
 
Better yet, try getting your own financing before you go to the dealer.
 
That way you can compare it with whatever they offer.
 
Click here for more tips on buying cars safely.
 
Check out the latest scams we're seeing. Sign up for our monthly email newsletter by clicking here .
 
Need my help? Call the Assistance League of Phoenix volunteers at 1-855-323-1515. You can also send me an email or a video email where you attach a video explaining the problem.
 
And you can reach me on Twitter , "like" the Let Joe Know Facebook  page and tell me about it there.
 
AND WE NEED YOUR HELP!  If you want to be a volunteer and help other consumers, let me know.