My friend is a UBER Black SUV driver.
He bought a $52000 SUV. He did the whole financing application including showing 2 years of self employed income tax returns, put the required down payment of 40%, they ask for a higher amount cos he is self employed, they let him drive the SUV out of the lot.
That was 29 days ago.
Today he gets a call saying his financing is not approved.
Their reasoning is in this Coronavirus time, the loan company feel his income and job security is uncertain.
Well, in this Coronavirus time, ANYONE income and job security including someone who is employee at a company earning a weekly paycheck working 9-5 income is uncertain.
Now they want him to return the vehicle.
But he already put brand new tires and rims on it and added cameras on the inside. He has to take that out. Also he has put over 3000 miles on it.
What are his legal recourse? CAN THEY DO THAT?
The loan company should had done their homework before telling him yes you are approved, here are the keys, take the SUV home.
Are they going to charge him for the miles he put on it?
They should also refund him the full down payment amount.
How can he make sure it's not on his credit? Don't want him to return the vehicle and then someone comes back later and says you still owe the $31200 loan and 4 years of payments on it.
When he applied for the loan, the dealer send the application to dozens of loaners and banks so his credit go dinged from all those credit checks which changes his entire credit score if he wants to apply for another car loan with another dealer or banks etc.
I think the Dealer should do everything they can to save this. They approved him, allow him to take the SUV home after they told him he was approved, took his $20800 down payment.
The reason they giving him now sounds like Cow Crap! Even without a Coronavirus going on, anyone income and job security, whether employed or self employed, is uncertain.
FINALLY his FIRST payment is due tomorrow. Does he still have to pay it?
Also if he returns it and get his down payment back, how does he get something official in writing saying he is no longer needs to pay the loan and the loan is cancelled.
Also I found this - so is he getting SCAMMED?http://www.realcartips.com/carloans/405-car-financing-spot-delivery-scam.shtml