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Refund likely after dealer rescission

q_v2.gifDear Terry,
I recently purchased a new car by putting $700 down. I received a notice today that the car dealership has exercised its rescission rights and I have to return the car. Do I get my down payment back?
--Dale

a_v2.gifDear Dale,
I assume the issue is that the dealership let you have the car on the condition it could get you financed. Most contracts contain language that allows the dealership to demand the car back if it can't complete the deal. You should get your down payment back, but there could be an issue of wear and tear for the time you had it. Good luck.

Here are this week's readers' questions:
  • No-haggle pricing can mask hidden costs
  • Should I use home equity to buy a car?
  • How can I clarify why my car was repossessed?
  • Will I get my down payment back after rescission?
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