Legal Question in Consumer Law in Texas

cancelling warranty esp$tire plan

1@purchased 2007 toyota corolla 1/1/07..wanted to cancel both plans on 1/07/07- adv by finance officer if i did, they would have to redo the contract and give me a higher interest rate.he mentioned when i purchased it,the interest rate is is based on their program of attaining the plans to receive a lower interst rate..in which i agreed .. according to each plan i can cancel w/in 30 days ....called finance co. who has the loan -adv me that the interest rate they give to the dealer is irregardless of any program they have and the amount of both contact's TOTAL IS approx. $2500 WHICH WOULD BE DEDUCTED FROM THE LOAN..INT. IS NOW @14% .dealer is refusing to let me cancel plans..is these a scam or what ..or if i let them draw up another contract and give me a higher interest and then i say i don't want it,and want my car back and deposit,do you think they will agree to that???? as a consumer i think it is my right to cancel the plans.. and i am the one ended up paying for not the dealer.THANK YOU FOR YOUR SUPPORT--name removed


Asked on 3/01/07, 5:41 pm

1 Answer from Attorneys
Sharon Campbell Sharon K. Campbell

Re: cancelling warranty esp$tire plan

You have the absolute right to cancel the plans and there is no need to re-do your contract. The dealer does not want to cancel because they make a lot of money on them - there is a large markup. Send your request to cancel in writing to the dealer, the finance company and the company who has the plan. Send it certified mail, return receipt requested.

Read more
Answered on 3/01/07, 5:45 pm


Related Questions & Answers

More Consumer Law questions and answers in Texas