Screwed over by TWO Chevy dealers now

[SlingShot]

Originally Posted by Black1le

So I went back I read through the documents that I signed again. The "conditional delivery agreement" (the one that says I have to give the ZL1 back if they don't get the financing) says that it is VOID once a "retail installment sales contract" is signed. That is EXACTLY what I signed with the dealership, it says it right at the top and outlines the rate, the amortization schedule, the downpayment, everything. In addition to that, I also signed a "purchase agreement." As far as I see it, I have no obligation to give the ZL1 back, and I'm only obligated to pay what's on the sales contract.

Just for giggles I went and read mine, in big bold letters it reads "Your purchase/lease is not final until approved by a third party finance company" meaning the bank that holds the lien.

[Bad@ssCamaro]

Originally Posted by daveagogo1

I have never been asked to make a down payment on my cars. Some i voluntarily did. Others i paid nothing and walked out with $50k cars 45 mins after showing up at the dealer with just a signature.

Originally Posted by Black1le

So I went back I read through the documents that I signed again. The "conditional delivery agreement" (the one that says I have to give the ZL1 back if they don't get the financing) says that it is VOID once a "retail installment sales contract" is signed. That is EXACTLY what I signed with the dealership, it says it right at the top and outlines the rate, the amortization schedule, the downpayment, everything. In addition to that, I also signed a "purchase agreement." As far as I see it, I have no obligation to give the ZL1 back, and I'm only obligated to pay what's on the sales contract.

WOW, you guys must be making some good coin to be putting down so little on your cars to be able to afford the monthly payments. Kudos to you.

[willhe64]

We don't roll like that here in Canada. The finance people shop it to the loans people and it gets fully approved and signed for before you leave. The paperwork you sign is the actual loan agreement with the finance company.

[supercharged zl1]

nice zl1 forget the dealers

[sonnydurden]

Originally Posted by SlingShot

To be honest, I don't see how you think you can finance $60k worth of car for only $4500.00 down, without the bank wanting more.

All depends on your credit, income, and debt to income ratio...I'm 40 and has owned quite a bit of cars...I have walked in dealerships and walked out with putting nothing down and went to some and was asked for 20% down when my credit and income was better....so many things play a factor...But good credit and high income is usually a lock..

[Jameg1011]

Originally Posted by SlingShot

To be honest, I don't see how you think you can finance $60k worth of car for only $4500.00 down, without the bank wanting more.

I have never put a down payment either. I know my buddy drove his S65 away with 0 down and thats a 190k car. (Paid it off the first year) But still he didnt have to put any down.. It really depends on your credit and income.

[Chevrolet Customer Svc]

Originally Posted by Black1le

So back in October I came close to buying a special Dusk edition SS manual, but it didn't happen because of the dealer's shady business practices. Now, I just bought a ZL1, but might end up giving it back for similar reasons. What's with Chevy dealers???

First, what happened with the Dusk: After signing all the paperwork, securing financing, and putting down $3k, the dealer told me my car was on the way from a nearby dealership, and would be ready for pick up by the end of the week (like in 2 or 3 days). TWO AND A HALF WEEKS later, I told the dealer to go you-know-what himself, got my money back and all the paperwork voided out. While doing so, the finance guy said "Yeah, I don't think they were going to be able to get that car anyway." So basically, they never had the car but just didn't want to lose the sale, so they planned on stringing me along until they could actually get it, to keep me from going anywhere else. Who knows how much longer it could've taken. Shady.

Life intervened and I ended up waiting a few months before pulling the trigger again, something I'm glad I did because in the meantime I decided to go for performance rather than appearance upgrades. As my username makes obvious, I was planning on getting a 1LE, but the first time I test drove a ZL1 I was hooked. I found the perfect one: 2013, black, manual, sunroof, nav, carbon fiber hood insert, and black wheels (I hate the polished bright wheels). I pulled the trigger and took her home New Year's Eve and have had the permagrin I've heard so much about plastered on my face ever since.

That is, until the finance guy at the dealership (a different dealership from the one where I almost bought the Dusk) started calling and telling me that the bank was "requiring" an additional $3k down in order to provide the financing we'd already signed off on a week earlier. This is in addition to the $1500 trade-in and $3k that I'd already put down. I have excellent credit, and was happy with the rate they'd offered me but not ecstatic, and I'm completely unwilling to double my downpayment at this point, especially after signing everything up. The rate we agreed to was just good enough for me to say yes, and I'm not willing to put more money down. In my mind, the dealership made a deal and should have to honor it. It's not like a could have walked in a week later and said I'd like another $3k knocked off the purchase price.

I go in tomorrow to either get the financing we agreed to, or get my trade in and downpayment back and give up the ZL1. I really want to keep this beauty, but there's no way I'm going to let them hold me up for more money. I'll just go buy the exact one somewhere else (except without the interior suede package which I don't really like anyway). It will be a pain in the rear, but I would have walked away the night I bought her if I didn't like the deal, and I'll walk away now if I have to, i.e., if they don't hold up their end of the bargain.

What's with Chevy dealers making deals, signing contracts, then going back on the terms and changing up the deal after the fact??


(On a lighter note, attached are some pics of my (current) baby)

Nice pictures. Please let us know if you got everything sorted out with your dealership. Our fingers are crossed.

Brandon
Chevrolet Customer Service

[sonnydurden]

Originally Posted by Jameg1011

It really depends on your credit and income.

Exactly what I said!!!

[nyrfan]

Wow, this is one of those "lots of bad" information threads that pop up when financing and credit is discussed. Somehow though Dave and I always seem to be on the same page.

OP here is my advice: tell them flat out you do not have 3K more to put down PERIOD! Tell them that if they really need the 3K then you'll have to return the car and will need your deposit and trade back (you'll be in with the car within 24 hours), believe me THEY WILL back down!

Oh and just for shits and giggles, the dealer is allowed to do this, it's called spot delievery. Might not be ethical (and stupid because they are thinking short term and will probably be losing future sales) but is not against the contract paperwork you signed.

How to avoid this: Get financed up front though your CU or bank and walk in the dealer with the blank check. Period, end of story! Otherwise your application is farmed out to finance companies as the dealer is not a bank and DOES NOT lend money and this is what can happen.

[SlingShot]

Originally Posted by sonnydurden

All depends on your credit, income, and debt to income ratio...I'm 40 and has owned quite a bit of cars...I have walked in dealerships and walked out with putting nothing down and went to some and was asked for 20% down when my credit and income was better....so many things play a factor...But good credit and high income is usually a lock..

Originally Posted by Jameg1011

I have never put a down payment either. I know my buddy drove his S65 away with 0 down and thats a 190k car. (Paid it off the first year) But still he didnt have to put any down.. It really depends on your credit and income.

Trust me, I'm more than aware of what you are saying. Reading between the lines of the OP, he had a beater for trade in, $3k cash and a crazy amount of student loans. I can understand the bank wanting more of a down payment.

[2010SS2SS]

You might want to check Texas law

On September 1, 2009, Texas law authorized dealers to legally engage in conditional or “spot” deliveries. As most of you know, a typical spot delivery goes a little like this: A dealer and customer enter into a retail installment contract, after which the dealer shops the contract in an attempt to find financing for the deal. If the dealer cannot find financing, he asks the customer to return the car and unwinds the contract. In other words, in a typical spot delivery situation, the customer leaves the dealership with a vehicle and there is a valid sale unless a subsequent condition occurs to unwind the deal.



What is typical in other states is not what is legal in Texas. A retail installment sale contract in Texas may not be conditioned on the subsequent assignment of the contract to a third party. Instead, conditional deliveries are subject to a conditional delivery agreement, which is void upon the execution of a retail installment sale contract. While Texas is not the only state that prohibits a dealer from unwinding the financing upon the occurrence of a subsequent event, the Texas law imposes some limitations that are worth noting.



The Finance Code prescribes the terms that can be contained in a conditional delivery agreement. For example, it limits the term of a conditional delivery agreement to 15 days and prohibits a dealer from selling any trade-in vehicle during that time. It prohibits a conditional delivery agreement from conferring rights of ownership, including ownership of the motor vehicle subject to the conditional delivery. The law details the actions a dealer and buyer must take if they do not enter into a motor vehicle installment sale contract, including the return of the trade-in vehicle or, if the trade-in vehicle cannot be returned in the same or substantially similar condition, the delivery of the agreed value of the trade-in. If a dealer pays the value of the trade-in, which, by the way, is also regulated by the Finance Code, the transaction is subject to the review of the Texas Consumer Credit Commissioner and an administrative penalty.

Up until 2009 if they put you on a contract and your left with the car, you OWNED it...

[sonnydurden]

Originally Posted by SlingShot

Trust me, I'm more than aware of what you are saying. Reading between the lines of the OP, he had a beater for trade in, $3k cash and a crazy amount of student loans. I can understand the bank wanting more of a down payment.

Ahh...yeah, I see what you mean..base on his debt to income ratio...I can see the bank wanting more too...That happen to me before like I said above...my credit and income was in order, but I had financed a car for my daughter and wife...so they wanted a down payment for a 3rd car at the time....

[GARYSSS]

Years ago I had a friend who bought a new car from local dealer. He had bad credit, they told him interest rate was 18% and $1000 down. He said ok, signed papers and took delivery. A month later no payment book arrived in the mail, dealer calls and says you need to sign new papers at 21%, payment would go up. He said no I agreed to 18% and I can't afford any more payment. He never heard from them for 2 months, they call again and tell him he has to sign new papers, tells them no again. This goes on every couple months for a year. He contacts a lawyer, who contacts the dealer, who finally says just bring the car back. He turns in in with 36000 miles on it, never made a payment and they gave him his $1000 deposit back. Needless to say he was happy.

[CWI]

Most contract sales are contingent on creditor acceptance of the contract the way it is written. If you read the entire contract it probably explains how that works and they may ask for more security or terminate the contract.