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
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.”
Did this answer help you?
Ask us a question by email and we will respond within a few days.
Have a different question?
You can meet us at our office and discuss the details of your question.
Browse by topics
What others are asking
How can I pay off my car loan early?
What are some tips to pay your car loan off more quickly? I want to pay my car loan off early, but I'm not sure how to do that.
Jun 28, 2021
Can you walk me through what happens if I'm hit by an uninsured driver in New York?
I am recently moved to New York. My insurance company told me that if my car is damaged by an uninsured driver, I have to have collision coverage to fix my car and pay a deductible. Is this right?
May 13, 2021
Will non owners car insurance help me if I don't ever plan on buying my own car?
I am moving to San Francisco from Virginia and plan on selling my car before I do. Since I will ride my bike most of the time, I don't ever plan on getting another car. Should I keep a non owners policy so that I can drive my roommate's car from time to time?
Apr 29, 2021