Car dealership (possible) contract hell.. Can't sleep tonight for worrying!

IamNotAllowedToUseMyName

dft wrote: »

Thanks everyone for replying, I checked the document this morning it was a vehicle order form. I have since found out though that as finance wasn't agreed, I haven't signed a contract as for all the dealership knew, I could have been declined for finance. Anyone agree? x

That sounds about right. From what you have said, you signed an agreement for sale, subject to finance. The finance bit of their operation didn't like your credit check with their normal financiers, so then came back with an alternative solution which was higher.

So, it sounds like you can:

1) Walk away.
2) Accept the higher offer.
3) Finance through another deal, subject to the dealer being happy with the arrangement.

It does get messy these days: in principle the price should be the price as offering discount for cash (or self-financed which is the same as far as they are concerned) means that the APR they quoted isn't really a true APR as there is a price increase implied. Add in dealer finance incentives which they often pass some on to help close the deal, and it can be quite hard to do a deal. That's normally why they will not give a final price until they are happy you are going to close the deal.

FWIW, car contracts are complicated and it is not surprising to me that many people sign them without really understanding what they really mean. After all who wants to sit in front of a salesman faced with two pages of tiny print and feel stupid? Life is complicated, and we shouldn't be judgemental on those who find it too complicated!

bigjl

Seems like the OP didn't qualify for the finance with the cheaper interest rate.

Usually the garage will try to secure finance from other companies to keep the deal alive

That is not uncommon.

colino

OP have you called the garage and cancelled? What you have added doesn't help you, unless there is a clause in your, "vehicle order form" connecting the deal irrevocably to the agreement of the specified finance.
Cancel now with the garage and the finance house, and if you have still not been positive enough about it, send cancellations by recorded delivery to both.
As said above, t is unlikely nowadays that you have completed a, "Black Horse" or other specific finance application, the trader will hold a licence themselves and automatically search for optional finance elsewhere until you stop the dominos falling.

burlington6

Looks like having a bad credit rating has given you the way out

macman

To state the obvious, not a good idea to sign documents unless you have read them and know what you are committing yourself to. Your old work mate is not a mate-he's a salesman trying to make a sale and earn a chunky commission.
You don't state whether you paid a deposit or not?

arcon5

burlington6 wrote: »

Looks like having a bad credit rating has given you the way out

Not necessarily

root

I thought if you signed to order the car, that was binding?

So you could end up in a situation where you have committed to buy the car but not the finance, forcing you to find a way to pay for it?

Do orders also fall under the 14 day cooling off then?

arcon5

Yes you do. Which is why many do it in a way you contract to buy the car then assist in arranging to buy finance.

But the reputable ones will have you sign the contract subject to the finance

bod1467

root wrote: »

Do orders also fall under the 14 day cooling off then?

Not usually for orders made on the seller's premises.

root

arcon5 wrote:

Yes you do. Which is why many do it in a way you contract to buy the car then assist in arranging to buy finance.

But the reputable ones will have you sign the contract subject to the finance

bod1467 wrote:

Not usually for orders made on the seller's premises.

Ok thanks.

So if OP signed docs to order the car, but not commited to finance then they are stuck with the car and need to find a way to pay for it?