Legal Question in Business Law in New York

verbal car loan agreements

I was approved for a car loan at 4.9pct was told everything was set. acquired insurance was told to come to sign loan contracts. got called end of day before going and told car had scratches need to acquire a new vehicle need a couple of days then told the next day the pct rate would now change because the promotion had finished the day I was told the car was defected. can they change the pct rate because they had to acquire a new vehicle ? which at first was their fault and secondly i was already approved at the 4.9 all that had to be changed was the vin number on the application... is this legal?


Asked on 1/04/08, 8:49 pm

1 Answer from Attorneys
Nancy Delain Delain Law Office, PLLC

Re: verbal car loan agreements

If your financing was arranged through the dealership, yes, they can change the rates at their whim. It was just nasty, really, really bad customer relations, for them to do this, though.

There are many car dealerships in the world. If you have not signed the purchase agreement yet, go elsewhere for your car. If you have signed the purchase agreement, go to a bank and refinance the car at a decent APR.

THE INFORMATION PRESENTED HERE IS GENERAL IN NATURE AND IS NOT INTENDED, NOR SHOULD IT BE CONSTRUED, AS LEGAL ADVICE. THIS POSTING DOES NOT CREATE ANY ATTORNEY-CLIENT RELATIONSHIP BETWEEN US. FOR SPECIFIC ADVICE ABOUT YOUR PARTICULAR SITUATION, CONSULT YOUR ATTORNEY.

Read more
Answered on 1/06/08, 6:20 pm


Related Questions & Answers

More Business Law questions and answers in New York