Jun
22
Bought a used car from an individual, we did owner financing, put some money down and agreed to?
By
ATXB asked:
monthly payments. We did have a contract. Well a couple of days later we find out its a junker. Somehow in the middle of this we find out he does not even have the title of the vehicle. A used car dealership does. He freaked out when I mentioned contacting them and said he would tow it back to his place. So what should we do, just let him pick the car up and sell it to some other unsuspecting fool or call the dealership and have them get it? Do I have a case for small claims court or chalk it up to lesson learned, he did sell it AS IS, but of course promised it was excellent and dependable…
monthly payments. We did have a contract. Well a couple of days later we find out its a junker. Somehow in the middle of this we find out he does not even have the title of the vehicle. A used car dealership does. He freaked out when I mentioned contacting them and said he would tow it back to his place. So what should we do, just let him pick the car up and sell it to some other unsuspecting fool or call the dealership and have them get it? Do I have a case for small claims court or chalk it up to lesson learned, he did sell it AS IS, but of course promised it was excellent and dependable…
2 Comments
June 24th, 2009 at 8:43 pm
Two latin words: caveat emptor – let the buyer beware. You should have done your homework before you agreed to this deal. You bought a used car “as-is”, if it’s a junker, then that’s what you bought. You have no recourse based on the condition of the vehicle. However, you may have a case for fraud if he sold you a vehicle he didn’t have a legal right to sell. I’d contact the police department, but most likely you will have to file a civil suit too get your money back. Good luck.
June 26th, 2009 at 2:50 pm
There are several variables and issues.
1) “As is” still requires that the vehicle serve its primary purpose, which is to function as a vehicle.
2) It is common for dealers and individuals to sell cars but not have a title in their possession at the time of sale.
For an individual, a copy of the registration that shows they are the registered owner and the bill of sale should be enough to get your state’s DMV to issue a new title.
For dealers, they usually order the title BUT IT IS ISSUED in their name or the finance company’s name. You get the title when you make the last payment.
If you are still within days of the initial transaction,
1) write and mail a letter stating that the car is a lemon and you want to return it and cancel the deal.
2) get a local mechanic to perform an “eBay inspection”. This typically costs $40. You need some evidence that the car had problems, especially problems that the dealer should have known about.
3) If they take back the car but stiff you for all or most of your initial payment, challenge them in small claims court to get the rest of your money.
Good luck,
– CarlD