Why do dealerships allow you to drive off the lot if you aren't approved for financing?

Is it common to leave with a car and then get a call that you're denied the loan? I just bought a car, but now I'm getting calls from the dealer that my financing wasn't approved and that I need to go back to the dealership.

Answer provided by
Eric Schad
Answered on Jul 01, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
“What you’re talking about is called a spot delivery.
Dealers do this if they think that you’re likely to get approved for a new car loan and to help them close the sale.
If you do get a call to bring the car back, it’s more of a nuisance than anything.
Usually, they’ll find another lender that’s willing to take on your loan rather than take the car back.”

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