Dealership/Financing Question

I "bought" my car used from a dealership on 4.2.05. Today, I got a letter in the mail from the bank that was supposed to be financing the loan that it was denied. The letter was dated 4.7.05, but I just rec'd today. It said that they had not heard back from the dealership about their counter offer, and to call them for details as to why I was denied. (I got home too late to call. They had already closed.)

My question is - can I return the car to the dealership because of this? I like my car, but I fell in to the typical single mom without the best credit trap, and payments would be more than I wanted to spend. I'm hoping this may be my 2nd chance to learn from a mistake.

Sure worth a try! If the bank denied your application then technically there is no loan. To make sure, call the bank and tell them you lost your job. Chances are the delearship is shopping your loan with another bank but it will require you to sign new papers. DON'T SIGN.

They may try and make you pay for the miles you put on the car or even put you in a car the bank will finance. My suggestion is go around to banks and credit unions and get yourself pre approved for a loan. You can get a better rate and a better deal on the car (cause you are bringing cash) this way. If no bank/credit union will approve you then you may want to try a buy here pay here lot. Yes, the cars are overpriced because they can't charge interest. If you try this route, take a male with you that knows a little about cars.

Thanks for the reply. I will try it. I actually already have financing, but the dealer got me a little better interest rate. The check from the financing company is still good tho, but yes, I am not going to go alone again! :)