Toyota dealership wants 2020 Prius Prime back

You need to do a Google search for 'Yo-yo financing scam'. This sounds like what's going on here, and a little research can prepare you before you go in.

 

I just did that. This is the first time I've heard this scam. Thanks.

And the best of wishes for the OP.

 

You probably should not have responded AT ALL.
It almost certainly is some kind of marketing scam.

If they had a serious issue with anything.......and had any legal ground to stand on.......the communication would have been by certified, registered mail with a signed receipt.

 

If you have a loan keep it, if not get one on your own. Sounds like they are trying to bait and switch you, but with the financing instead of the car itself.

 

sounds like a scam. There does seem to be a thing where Dealers will "sell" a car to someone with very bad credit, then loans falls through, so Dealer has to demand car back. Why this is allowed to go on in this day and age I have no idea, but its yet another reason why the entire Dealer thing needs to be ended. And who would want a car that has been "repo" after some clown with bad credit tried to buy a car he obviously knew he wasn't going to be allowed to keep??? Entire "Dealer" thingy is so fraught with Dumb Drama and contrary to all Public Policy.

assuming you do have good (enough) credit, it sounds like they have nothing else to do but try scam you out of money on some pretext.

What does Ripoff Report say? Instead of wasting time talking to Dealer, call Toyota Fin and ask them Wats Up. What did dealer say when you told them you'd just refi with your bank?

No idea of how all this Dealer Reneg Loan stuff works, but I'm guessing they have right to REPO the car and send you a nice big fat bill. These cars will have GPS for Repo, so maybe park in your locked garage and let everyone know not to let any strangers in no matter what they say.

On my Loan is says "Toyota Finance" but when I tried to go online it says "no account" and I was about to call but then I'm paying off my Capital One card and low and behold something pops up and it seems I took out a $20K loan at same % on same day from Cap One. In other words, my loan was "placed" with Cap One without them telling me the name of the bank.

When you go to your bank bring original contract. Bank will want that to give you lower rate than "personal loan" because they will get title to secure loan.

 

I've never worked at any new or used dealer and I've heard of this happening to several people (mostly people with bad credit who are compulsive buyer types).

 

Man, what a drag, and yes, dealers will someday be a thing of the past (I dearly hope) when crap like this seems to continue. Scam is right. I've spent my entire life getting to the point where I save $$$ while owning my present car and can purchase every next car outright, and the banks pay me interest on the CD's in the mean time. And yet, the last 5 cars I've bought like this, they send me to the finance office person to sell me a loan, despite that I'm bringing in a check in full. And then over to the extended warranty person. And then... And then... The selling pressure is such that I almost need to drink heavily every time I set foot into a stealership.

No "dealer" this next future car. That's a promise.

 

Did you read the Original Post? It's TOYOTA who sent the letter. Not the dealer.

Actually, has anyone except for the first few replies even read the original post? I'm thinking no..... .

 

maybe so, but then why is the thread title referring to "dealership"? Which one is it then?

 

Yo Yo financing scam.
You'd think an "Established" actual main manufacturer dealership would NOT do this. BUT...maybe I'm being optimistic.

When I was just a kid, I think a dealership was trying to set me up for a scam like this once. I went in once to look at a vehicle and the deal they made, kept getting better and better, until even from my perspective it was like " They can't afford to sell me this vehicle, at that price ".
I was trading in my vehicle which was a newer vehicle.

But I'll never know, because just my instincts kept telling me something was up, and I was "saved" by my own inexperience. I had just put new very good tires on MY trade in vehicle and didn't like the tires that came on the new vehicle, and wanted them to put better tires on the new vehicle I was thinking about purchasing, and despite the "too good to be true" deal, they wouldn't put new tires on the vehicle I wanted. So just the bad feeling I was getting, and that fact- had me walk.

I heard later from a friend that this particular dealership was infamous for taking your trade in, making a "deal", giving you the car, then calling back a few days later to tell you financing on the deal had fallen through but come back in and they could make a different deal.
The logic I guess is once a person has had the new car for X number of days, they will be really hesitant to want to return it. But of course the 2nd deal will NOT be as good as the original deal.

But I had hoped over decades this type of shenanigans and scam behavior had gone the way of the roadside snake oil salesman.
Sad to hear, maybe not.
In my opinion, weekend, closed banks or otherwise, it should be the selling dealerships responsibility to make sure the deal they offer you, IS a deal they can actually make.
If it turns out a deal can't be financed? They should have to simply take the penalty.
Today with instant credit checks, and the sheer number of vehicles dealerships sell, it's hard for me to believe a big dealership would be blind sided by a deal that can't be financed.

 

I read the post and have been trying to figure this out. You are right, he received a letter from Toyota Financial. They have the right to rescind financing but rarely do. Good credit for dealer scores is 720 or better. There is a traditional credit score and a credit score for car dealers. Typically if you have financed a car through a car manufacturer before. You credit score would be much higher than your standard credit score.

It sounds as if Toyota was searching to outsource your loan and couldn't find financing at the interest rate you agreed upon. The Uber credit and driving for Uber may be another reason why they may have decided not to underwrite your loan. The typical Uber driver lasts 30-90 days. Obviously the power drivers are in it for the long haul.

OP, what was your interest rate according to your loan document?

 

I once had the opposite happen. I test drove a Toyota Tundra and liked it enough to put down some money so it didn't get sold out from under me with the understanding that I would be back the next day to decide to move ahead or let someone else get the deal. I went in the next day and the car was all prepped with a "SOLD" sign on it. I went in to tell them I decided not to buy it and they tried to tell me that I already bought it. When I asked them for the signed contract, they showed me a document where THEY signed my name.

I did not end up owning that truck and I never went back there again. They were snakes.

 

Even better!! I once went into a dealer and while I was out on test drive, the dealership "sold" my car! They had a sold sign on it and the "buyer" sitting at one of their desks filling out paperwork. It was truly bizarre. I had to threaten to call the police to report my car stolen before they would give me my keys back.

 

Interesting. I told my Dealer I didn't care too much about interest rate (because I'm gonna pay off in about 1yr and mostly want loan to boost my credit rating) and I got bounced to non-Toyota bank.

Does seem like your Dealer/Toyota has dropped the ball somewhere. Probably by promising you great loan %, but not having a backup plan.

 

Was this the same car dealership on a different day and hour?

 

Ha ha ha... different dealership in a different year.

 

So what was the interest rate they gave you. Or did it not get that far after they bounced you? I have heard that Ford is the most difficult to get direct financing through of the car companies.