Dealership rejecting rebate after contract signed

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TropikThunder
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Re: Dealership rejecting rebate after contract signed

Post by TropikThunder » Fri Apr 14, 2017 6:27 pm

KyleAAA wrote:Just to reiterate, the people who are telling you to ignore the demand are giving you bad advice. They can and will repossess the car and you'll be left dealing with the consequences. Don't do that. Go read what you signed and I 100% guarantee you don't have a leg to stand on. This kind of situation happens literally every day and the dealership and Toyota are both well-protected.

Your best bet is to ask this question at reddit.com/r/askcarsales to get detailed advice from people who know what they're talking about.

Totally agree with this. The commenters saying "don't pay, a contract is a contract" don't actually know what is in your contract. TFS does tens of thousands of these a year, and they have good lawyers.

*3!4!/5!
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Re: Dealership rejecting rebate after contract signed

Post by *3!4!/5! » Fri Apr 14, 2017 7:19 pm

TropikThunder wrote:
KyleAAA wrote:Just to reiterate, the people who are telling you to ignore the demand are giving you bad advice. They can and will repossess the car and you'll be left dealing with the consequences. Don't do that. Go read what you signed and I 100% guarantee you don't have a leg to stand on. This kind of situation happens literally every day and the dealership and Toyota are both well-protected.

Your best bet is to ask this question at reddit.com/r/askcarsales to get detailed advice from people who know what they're talking about.

Totally agree with this. The commenters saying "don't pay, a contract is a contract" don't actually know what is in your contract. TFS does tens of thousands of these a year, and they have good lawyers.

That may be so. We won't know the details of this case unless/untill the OP returns with details.

But as a potential car buyer, I recoil from any company that engages in this kind of bait-and-switch, especially if they reinforce their scam with legal muscle.

BruDude
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Re: Dealership rejecting rebate after contract signed

Post by BruDude » Fri Apr 14, 2017 8:00 pm

KyleAAA wrote:Just to reiterate, the people who are telling you to ignore the demand are giving you bad advice. They can and will repossess the car and you'll be left dealing with the consequences. Don't do that. Go read what you signed and I 100% guarantee you don't have a leg to stand on. This kind of situation happens literally every day and the dealership and Toyota are both well-protected.

Your best bet is to ask this question at reddit.com/r/askcarsales to get detailed advice from people who know what they're talking about.


So it is standard procedure for financing companies owned by the manufacturer to approve rebates and then try to verify them two weeks after the sale to make sure they're legit, then blame the customer when they aren't (supposedly)? Don't think so. Verification needs to be done at the point of sale, not after the car has been titled and driven. This isn't Bob's Used Car Lot, it's a Toyota dealer FFS.

dbr
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Re: Dealership rejecting rebate after contract signed

Post by dbr » Fri Apr 14, 2017 8:09 pm

BruDude wrote:
KyleAAA wrote:Just to reiterate, the people who are telling you to ignore the demand are giving you bad advice. They can and will repossess the car and you'll be left dealing with the consequences. Don't do that. Go read what you signed and I 100% guarantee you don't have a leg to stand on. This kind of situation happens literally every day and the dealership and Toyota are both well-protected.

Your best bet is to ask this question at reddit.com/r/askcarsales to get detailed advice from people who know what they're talking about.


So it is standard procedure for financing companies owned by the manufacturer to approve rebates and then try to verify them two weeks after the sale to make sure they're legit, then blame the customer when they aren't (supposedly)? Don't think so. Verification needs to be done at the point of sale, not after the car has been titled and driven. This isn't Bob's Used Car Lot, it's a Toyota dealer FFS.


The fault for this very likely lies with the dealer closing the deal without getting verification, presumably assuming there to be no issue. That is the positive take. Other motives could be in play but it is a question of when we suspect the malicious before the incompetent.

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unclescrooge
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Re: Dealership rejecting rebate after contract signed

Post by unclescrooge » Fri Apr 14, 2017 8:26 pm

nisiprius wrote:
*3!4!/5! wrote:FWIW, I googled and found this definition
https://www.toyotafinancial.com/pub/w/p ... te_program
That's a completely reasonable definition of "college graduate" in my opinion. I'm boldfacing some parts:
Earn your degree. To take advantage of the program, you must meet one of the following:

  • Have graduated from an accredited four-year college, university, or registered nursing degree program during the last two years or will graduate from such a school/program within the next six months
  • Have graduated from an accredited two-year college, junior college, technical college, or university during the last two years or will graduate within the next six months
  • Be enrolled in or have graduated from an accredited graduate degree program during the last two years
    Have graduated from an accredited two-year trade or vocational school during the last two years or will graduate within the next six months
It's not just for four-year bachelors' degrees.
To the original poster: does your degree fit any of those descriptions? If it does, I'd fight. And yes, I'd bring in your diploma, and a printout of a web page showing that your school is accredited.

The tough part is that if they won't budge, your best choice might be to walk away from the deal. When they see that you are really walking out the door, they may or may not cave, but you really need to be prepared to do it.

My son's last car purchase was all set, and at the last minute the dealer reneged on something similar--it was also about a $1,000 difference between what was agreed and what was in the paperwork they pushed at him. He walked away and bought a similar car at the expected price from a different dealer. But it cost him two things:

1) he was seriously bummed out about it, days of disappointment, anger, and frustration;

2) he had already told his little kids about the "silver car" he had bought and they were all excited about the "silver car." The replacement car was actually dark gray. So rather than disappoint them or get into complicated explanations, he just called the dark gray car "silver." And now my grandkids are growing up believing that "silver" means "dark gray."


Kudos to your son for being able to walk away!

I almost walked away from a car deal because the finance guy refused to put in writing the 4 free oil changes I had negotiated into the price. I was super pissed at him and would have just left if he hadn't backed down quickly on that stance.

Double kudos for hoodwinking the kids. :mrgreen: My dad pulled all kinds of stuff like that when I was a kid.

nhdean
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Re: Dealership rejecting rebate after contract signed

Post by nhdean » Fri Apr 14, 2017 8:36 pm

The rebate is a manufacturers rebate not a dealership rebate. There are certain qualifications to obtain it. When you sign the paperwork you will also sign a spot disclaimer form. Basically saying if any rebate is not paid to the dealership from the manufacturer that the buyer is responsible. If you just return the car it is a voluntary reposesion which affects the buyer not he dealer in anyway. For whatever the reason you did not qualify and the dealer is not responsible. You might get them to help out a little if handled properly. If you start demanding and threatening than expect to pay the full amount. They are not going to rip up the contract because you are unhappy.

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nisiprius
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Re: Dealership rejecting rebate after contract signed

Post by nisiprius » Fri Apr 14, 2017 8:37 pm

TropikThunder wrote:...However, their requirements seem to be so broad that unless she misrepresented it (no reason to think she did), she should qualify unless they were unsatisfied with her proof (which should be fixable). I would contact Toyota Financial...
This. One possibility that should definitely be explored is that everything is OK except there was a glitch in supplying Toyota Financial with documentation of the "college graduation."

The dealer's deficiency here could be that rather than struggling with Toyota Financial and finding out what the problem is, they are just "trying it on" because they think it may be easier to convince the buyer to give up on the rebate than convince Toyota to give it to her.

The mystery to be solved first is "why did Toyota reject the rebate?"
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wrongfunds
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Re: Dealership rejecting rebate after contract signed

Post by wrongfunds » Sat Apr 15, 2017 11:05 am

I have a feeling that this is one of the classic hit-and-run posting. We are never going to get the details from OP.

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8foot7
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Re: Dealership rejecting rebate after contract signed

Post by 8foot7 » Sat Apr 15, 2017 11:35 am

For the record, generally the way around these shenanigans is prophylactic: tell dealer you will pick up the car when the note or lease has been assigned and confirmed. Refuse to sign the spot delivery form. Wait until it's all done, usually within a week, and then drive away with confidence.

*3!4!/5!
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Re: Dealership rejecting rebate after contract signed

Post by *3!4!/5! » Sat Apr 15, 2017 11:41 am

nhdean wrote:When you sign the paperwork you will also sign a spot disclaimer form.
8foot7 wrote:Refuse to sign the spot delivery form.
Ah yes, I had to google "spot delivery scam" to remind myself of this one. Maybe that's it.
wrongfunds wrote:I have a feeling that this is one of the classic hit-and-run posting. We are never going to get the details from OP.
Hmm the OP posted 1.5 days ago and hasn't been back to the forum to look.

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dm200
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Re: Dealership rejecting rebate after contract signed

Post by dm200 » Sat Apr 15, 2017 11:42 am

wrongfunds wrote:I have a feeling that this is one of the classic hit-and-run posting. We are never going to get the details from OP.


Perhaps.

deadlee
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Re: Dealership rejecting rebate after contract signed

Post by deadlee » Sat Apr 15, 2017 2:10 pm

Thank all for for the responses, really appreciated! I was away for the past day which is why I couldn't update this post - no Hit and Run here :)

the issue seems to be with the type of program (post-doc 4 year residency) that we were given to believe will qualify for the rebate. Its a matter of clarifying with TFS whether or not it does. I don't suspect anything malicious on behalf of the dealership, just a clarification of whether that qualifies for the college rebate program.

I updated the original post with these details as well - some clarifications below:

- The new vehicle is a lease, not a purchase, so I don't have the title. We actually don't even have our plates yet given it was only 16 days ago.
- the "diploma" in question is my wife's 4 year post-doc residency program (from an accredited university). The dealer financing guy mentioned that TFS (or Toyota/Lexus) declined it because it is not a standard diploma program. Their initial view was this should be acceptable, similar to nursing programs specifically mentioned in the rebate fine print. Apparently, not so. I expect to try to call and understand the issue on Monday
- i haven't had a chance to inspect the lease contract (been away the past 24 hours) to read the contingency language and see my options. Will update post once I have that detail
- i don't anticipate having to unwind the deal / hopefully this can be resolved in other ways. We paid $0 cap cost down for the lease, just the min drive off (first month, registration & licensing, acquisition fee) + multiple security deposits (fully refundable at lease-end).
- the finance guy sounded really concerned when they called me on Thursday, (simultaneous call, email and text) asking me "when we could come back into sign the revised contract", stressing that all he had to change was the rebate amount, and that selling price and terms would not change. I had said then that i would talk to TFS directly - I plan to follow up on Monday and will update here.

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dm200
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Re: Dealership rejecting rebate after contract signed

Post by dm200 » Sat Apr 15, 2017 2:16 pm

- i don't anticipate having to unwind the deal / hopefully this can be resolved in other ways. We paid $0 cap cost down for the lease, just the min drive off (first month, registration & licensing, acquisition fee) + multiple security deposits (fully refundable at lease-end).


That part seems good that you did not pay other money upfront.

Hope you can convince TFS that this degree should "count". Were you supposed to get the $1,000 rebate in cash, or was it to be applied to the lease deal?

If not, I would try to be "creative" as to how the dealer can come up with a reasonable, satisfactory equivalent to offer you. Since this is a lease, they may not have the flexibility of a purchase/finance. Did you have a trade-in? If so, what did they give you for it?

deadlee
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Re: Dealership rejecting rebate after contract signed

Post by deadlee » Sat Apr 15, 2017 2:23 pm

dm200 wrote:
- i don't anticipate having to unwind the deal / hopefully this can be resolved in other ways. We paid $0 cap cost down for the lease, just the min drive off (first month, registration & licensing, acquisition fee) + multiple security deposits (fully refundable at lease-end).


That part seems good that you did not pay other money upfront.

Hope you can convince TFS that this degree should "count". Were you supposed to get the $1,000 rebate in cash, or was it to be applied to the lease deal?


The $1k was applied to our drive off on the contract - ie I paid $1k less at the time of delivery. Now the dealer is asking us to make them whole on that $1k, since the rebate was declined.

While I don't expect to get $ we don't qualify for, the issue is that during the homestretch of negotiating the deal, I was counting on the $1k rebate. Had that not been an option, I would likely have negotiated a little harder, and not settled for this selling price.

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Kenkat
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Re: Dealership rejecting rebate after contract signed

Post by Kenkat » Sat Apr 15, 2017 2:49 pm

One thing you might consider if Toyota Financial won't budge is to ask the dealership if they will split the difference with you - i.e., tell them that in part you bought the car because of the rebate and while you understand that the dealership can't know all the terms of the rebate offer, considering everything, would they be willing to accept an additional $500 and call it even? There is a chance they might go for it and it can't hurt to ask.

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Re: Dealership rejecting rebate after contract signed

Post by MikeG62 » Sat Apr 15, 2017 3:28 pm

deadlee wrote:...the issue seems to be with the type of program (post-doc 4 year residency) that we were given to believe will qualify for the rebate.


It sounds like you discussed the nature of your wife's degree with the dealer during the negotiation process, if in fact you were "given to believe it would qualify". If so, was there any discussion about what if it did not qualify?

deadlee wrote:The dealer financing guy mentioned that TFS (or Toyota/Lexus) declined it because it is not a standard diploma program. Their initial view was this should be acceptable, similar to nursing programs specifically mentioned in the rebate fine print. Apparently, not so.


Who is the "their" in your statement "their initial view was it would qualify"? I assume the dealer. Sounds like there was discussion about the degree and you were clear as to what it was. Again, was there discussion about the "what if it did not"?


deadlee wrote:...the finance guy sounded really concerned when they called me on Thursday, (simultaneous call, email and text) asking me "when we could come back into sign the revised contract", stressing that all he had to change was the rebate amount, and that selling price and terms would not change. I had said then that i would talk to TFS directly - I plan to follow up on Monday and will update here.


How could the "terms" not change, if it fact disallowing the rebate would cause you to either come up with $1,000 out-of-pocket or your payments would increase if you don't?

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dm200
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Re: Dealership rejecting rebate after contract signed

Post by dm200 » Sat Apr 15, 2017 3:34 pm

deadlee wrote:
dm200 wrote:
- i don't anticipate having to unwind the deal / hopefully this can be resolved in other ways. We paid $0 cap cost down for the lease, just the min drive off (first month, registration & licensing, acquisition fee) + multiple security deposits (fully refundable at lease-end).

That part seems good that you did not pay other money upfront.
Hope you can convince TFS that this degree should "count". Were you supposed to get the $1,000 rebate in cash, or was it to be applied to the lease deal?

The $1k was applied to our drive off on the contract - ie I paid $1k less at the time of delivery. Now the dealer is asking us to make them whole on that $1k, since the rebate was declined.
While I don't expect to get $ we don't qualify for, the issue is that during the homestretch of negotiating the deal, I was counting on the $1k rebate. Had that not been an option, I would likely have negotiated a little harder, and not settled for this selling price.


OK - then you seem to be in a (slightly) better position for negotiation. In a sense, you already received credit for the $1,000 and now they want it back. Since, it seems, you entered into the lease in good faith - accurately disclosing the basis for the $1,000 credit, if you get nowhere with TFS, I would start the negotiation of just canceling the lease, take the car back and handing them the keys.

deadlee
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Re: Dealership rejecting rebate after contract signed

Post by deadlee » Sat Apr 15, 2017 3:49 pm

MikeG62 wrote:
deadlee wrote:...the issue seems to be with the type of program (post-doc 4 year residency) that we were given to believe will qualify for the rebate.


It sounds like you discussed the nature of your wife's degree with the dealer during the negotiation process, if in fact you were "given to believe it would qualify". If so, was there any discussion about what if it did not qualify?

deadlee wrote:The dealer financing guy mentioned that TFS (or Toyota/Lexus) declined it because it is not a standard diploma program. Their initial view was this should be acceptable, similar to nursing programs specifically mentioned in the rebate fine print. Apparently, not so.


Who is the "their" in your statement "their initial view was it would qualify"? I assume the dealer. Sounds like there was discussion about the degree and you were clear as to what it was. Again, was there discussion about the "what if it did not"?


deadlee wrote:...the finance guy sounded really concerned when they called me on Thursday, (simultaneous call, email and text) asking me "when we could come back into sign the revised contract", stressing that all he had to change was the rebate amount, and that selling price and terms would not change. I had said then that i would talk to TFS directly - I plan to follow up on Monday and will update here.


How could the "terms" not change, if it fact disallowing the rebate would cause you to either come up with $1,000 out-of-pocket or your payments would increase if you don't?


There was never a discussion of if this would not qualify - i sent them the papers in advance, and they verified and applied the rebate. There was no "what if" conversation.
The ask now is to fork out the additional $1k, and modify the contract to show $1k paid in cash, instead of the aforementioned rebate.

deadlee
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Re: Dealership rejecting rebate after contract signed

Post by deadlee » Sat Apr 15, 2017 3:52 pm

dm200 wrote:
deadlee wrote:
dm200 wrote:
- i don't anticipate having to unwind the deal / hopefully this can be resolved in other ways. We paid $0 cap cost down for the lease, just the min drive off (first month, registration & licensing, acquisition fee) + multiple security deposits (fully refundable at lease-end).

That part seems good that you did not pay other money upfront.
Hope you can convince TFS that this degree should "count". Were you supposed to get the $1,000 rebate in cash, or was it to be applied to the lease deal?

The $1k was applied to our drive off on the contract - ie I paid $1k less at the time of delivery. Now the dealer is asking us to make them whole on that $1k, since the rebate was declined.
While I don't expect to get $ we don't qualify for, the issue is that during the homestretch of negotiating the deal, I was counting on the $1k rebate. Had that not been an option, I would likely have negotiated a little harder, and not settled for this selling price.


OK - then you seem to be in a (slightly) better position for negotiation. In a sense, you already received credit for the $1,000 and now they want it back. Since, it seems, you entered into the lease in good faith - accurately disclosing the basis for the $1,000 credit, if you get nowhere with TFS, I would start the negotiation of just canceling the lease, take the car back and handing them the keys.


yep - that will be my plan, if I can't get TFS to agree/comply.

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Re: Dealership rejecting rebate after contract signed

Post by CFM300 » Sat Apr 15, 2017 4:10 pm

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Last edited by CFM300 on Sat Apr 15, 2017 6:25 pm, edited 1 time in total.

MikeG62
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Re: Dealership rejecting rebate after contract signed

Post by MikeG62 » Sat Apr 15, 2017 4:58 pm

deadlee wrote:There was never a discussion of if this would not qualify - i sent them the papers in advance, and they verified and applied the rebate. There was no "what if" conversation.


This being said, I think you have a reasonably strong negotiating position. After all, you were clearly led to believe the rebate would be applied as they "verified" it through review of the paperwork you supplied. They may well have the "fine print" on their side and prevail if this becomes a legal matter, but they want to sell cars and doing business this way won't really help them do that. I think this is a reach on the dealers part to see if you'll bite. I suspect they have a fall back position.

I'd do as you are doing. Start with TFS and see if you can get them to agree. If not, push back hard on the dealer. Your fall back position could be return of the car or some splitting of the $1,000.

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Re: Dealership rejecting rebate after contract signed

Post by LiveSimple » Sat Apr 15, 2017 6:19 pm

JGoneRiding wrote:
LiveSimple wrote:Just say sorry, and ignore thereafter. Contract is signed it is a contract.

Do not think there will be fine print on the graduate program in your contracts.

$1000 for dealership is "cost of doing business" May be the salesperson, has to eat some of it.

I would just ignore and move on. You can take your care to same dealership for services, as it is a separate department all together.

In a year or two, if you meet the salesperson, and bring this point she / he is going to say " No worries, we figured it out; Do you need a new car ?"


Since its a lease and not a purchase i really think this is a bad idea they HAVE TO go back to the dealer for different things they don't own the car at all. I am very sure the dealer can reposes it!


Dealer cannot repose the car, if at all the leasing company has the title. But still I do not see that the car will be ever reposed in this scenario. ( Unless payment default, that is not the case here)

The dealer owns the car until it is sold to the leasing company. The leasing company then lease it to the retail customer.

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LiveSimple
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Re: Dealership rejecting rebate after contract signed

Post by LiveSimple » Sat Apr 15, 2017 6:33 pm

OP, I do not think that the TFS will come behind you for the $1000 rebate.
At the most the TFS is looking for is $10 - $12 a month as an increased lease payment.

Monthly lease payment is calculated with the vehicle price less all discounts and the resale value of the vehicle at the end of the lease.
Accounting for the interest rate for the value of amount that is financed.

Disclosure : Writing this from Motor Capital :D

You should be good. At the most tell the dealer to cancel the lease and you turn in the vehicle, as the dealer is forcing you alter the lease contract.
Dealer will shy away, as technically he has no ownership to vehicle.

TFS is the OEM's fiance' arm, If they made the mistake, they will fix it. If they cancel the contact ( No way), what they do with the car, which becomes a used car ! Too much hassle for the TFS. Your lease is a drop in the bucket.

Let us know, how it all did turn out for you. ( Not sure you shared already that )

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Re: Dealership rejecting rebate after contract signed

Post by mikemagz11 » Sat Apr 15, 2017 6:52 pm

Didn't both sides agree to set monthly payments? That's what should have been signed off in the contract and wether or not the rebate is accepted should be irrelevant.

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LiveSimple
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Re: Dealership rejecting rebate after contract signed

Post by LiveSimple » Sat Apr 15, 2017 6:59 pm

deadlee wrote:
dm200 wrote:
deadlee wrote:
dm200 wrote:

That part seems good that you did not pay other money upfront.
Hope you can convince TFS that this degree should "count". Were you supposed to get the $1,000 rebate in cash, or was it to be applied to the lease deal?

The $1k was applied to our drive off on the contract - ie I paid $1k less at the time of delivery. Now the dealer is asking us to make them whole on that $1k, since the rebate was declined.
While I don't expect to get $ we don't qualify for, the issue is that during the homestretch of negotiating the deal, I was counting on the $1k rebate. Had that not been an option, I would likely have negotiated a little harder, and not settled for this selling price.


OK - then you seem to be in a (slightly) better position for negotiation. In a sense, you already received credit for the $1,000 and now they want it back. Since, it seems, you entered into the lease in good faith - accurately disclosing the basis for the $1,000 credit, if you get nowhere with TFS, I would start the negotiation of just canceling the lease, take the car back and handing them the keys.


yep - that will be my plan, if I can't get TFS to agree/comply.


Take a weekend trip in the car, to put some mileage, so that the odometer reads 500 - 600 miles. If you crossed this mileage then no need for additional miles for this.

Then tell TFS if they want the lease terms to be renegotiated, say that you signed in good faith, and want the lease terms as "as is"
Just causally say, that your calculations do not value the car, adding $1000, hence if they persist then you may think to turn in the car, and the lease be withdrawn, with no costs to you.

TFS will close their file on you and you will be good.

*3!4!/5!
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Re: Dealership rejecting rebate after contract signed

Post by *3!4!/5! » Sat Apr 15, 2017 7:21 pm

deadlee wrote:- the "diploma" in question is my wife's 4 year post-doc residency program (from an accredited university). The dealer financing guy mentioned that TFS (or Toyota/Lexus) declined it because it is not a standard diploma program. Their initial view was this should be acceptable, similar to nursing programs specifically mentioned in the rebate fine print. Apparently, not so. I expect to try to call and understand the issue on Monday.
It doesn't look like it fits their terms.
https://www.toyotafinancial.com/pub/w/p ... te_program
That said, such determination should have been finalized before a deal was made.

sdjeff
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Re: Dealership rejecting rebate after contract signed

Post by sdjeff » Sat Apr 15, 2017 7:56 pm

Contact Toyota Customer Service. I complained about a military rebate issue and they sent me a voucher for $750. Although it couldn't be processed through the dealer, I had to wait three weeks to get a check.

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Re: Dealership rejecting rebate after contract signed

Post by clown » Sat Apr 15, 2017 8:13 pm

In California, a car must be "cashiered" at the DMV by the dealer within 10 days of the transaction. Cashiering means that the sale is reported to DMV and the taxes are paid. I recommend finding out your state's requirements. After the car is cashiered at DMV, the title is issued and plates are assigned. The plates often take a few weeks to arrive in your mailbox, but the state records are in place. If the car has been cashiered at DMV, then the dealer can't do anything to you as long as there were no misrepresentations in the underlying transaction. They can squawk, threaten, cajole, but that's it. If they want to take you to small claims court, go there. No judge would side with them. A deal is a deal. If they didn't know what they were doing, that is not your fault.

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Re: Dealership rejecting rebate after contract signed

Post by Jack FFR1846 » Sat Apr 15, 2017 8:20 pm

Every car I've bought with a rebate had fairly simple language stating "all rebates to dealer". If this lease has similar language, the specific rebates may not be spelled out, in which case, your lease, as is should be completely valid and in force. It's a contract. Look at the terms.
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Re: Dealership rejecting rebate after contract signed

Post by eazyeric23 » Sat Apr 15, 2017 8:41 pm

I am a finance director of a large dealership. The dealership does not have any recourse at all. You have two options. You can tell them the contract that you signed is the final offer or you can try to negotiate in lieu of the rebate. I would recommend taking a firm stance on the original contract. It is unfortunate for the dealership, however its not your fault. My dealership has been in this situation many times. In reality the customer holds all the cards.

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Pajamas
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Re: Dealership rejecting rebate after contract signed

Post by Pajamas » Sun Apr 16, 2017 10:52 am

eazyeric23 wrote:I am a finance director of a large dealership. The dealership does not have any recourse at all. You have two options. You can tell them the contract that you signed is the final offer or you can try to negotiate in lieu of the rebate. I would recommend taking a firm stance on the original contract. It is unfortunate for the dealership, however its not your fault. My dealership has been in this situation many times. In reality the customer holds all the cards.


Just out of curiosity, how does the dealership allocate the shortfall? Is the salesperson's commission affected or only the dealership's profit?

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nisiprius
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Re: Dealership rejecting rebate after contract signed

Post by nisiprius » Sun Apr 16, 2017 11:00 am

deadlee wrote:...the issue seems to be with the type of program (post-doc 4 year residency) that we were given to believe will qualify for the rebate. Its a matter of clarifying with TFS whether or not it does...
:!: :!: :!: :!:
Like, about a gazillion times as rigorous and difficult as your average "college degree!" My assumption is that someone saw something unfamiliar (because they probably don't get to many of those), and didn't know whether it was real or whether it was an associate's degree in aromatherapy obtained by distance learning from American World University... I would take a serious shot at penetrating the Toyota bureaucracy, and, at the same time, getting the institution to write a letter saying, politely, "for heaven's sake, we're a real university and this is like about a gazillion times as rigorous and difficult as your average "college degree." Yes, I'm sure they can weasel out of it legally but they may not want to once they see it's good faith.

If, despite everything, you decide to take the car and shrug off the $1,000, then I think this is a case where there is a decent coin-flip chance of getting your $1,000 by writing a quality letter to the CEO of Toyota.
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.

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Re: Dealership rejecting rebate after contract signed

Post by btenny » Sun Apr 16, 2017 11:15 am

I suggest you call someone at Toyota and talk to them in depth about the "degree" your wife got for her post doc work. I bet they just do not understand. My niece has a PhD Degree in Pharmacy and Chemistry. She got it from a specialty school. The school name is not know even right her in town where it is located. It does not sound like a accredited school but it is one of the better pharmacy schools in the US. It just is not well know as a school. I bet the Post Doc school is the same thing, just not know by most people.

Good Luck.

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Re: Dealership rejecting rebate after contract signed

Post by MikeG62 » Wed May 03, 2017 6:46 am

OP, what is the resolution of this issue?

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Re: Dealership rejecting rebate after contract signed

Post by denovo » Sun May 07, 2017 10:37 pm

deadlee wrote:
dm200 wrote:
- i don't anticipate having to unwind the deal / hopefully this can be resolved in other ways. We paid $0 cap cost down for the lease, just the min drive off (first month, registration & licensing, acquisition fee) + multiple security deposits (fully refundable at lease-end).


That part seems good that you did not pay other money upfront.

Hope you can convince TFS that this degree should "count". Were you supposed to get the $1,000 rebate in cash, or was it to be applied to the lease deal?


The $1k was applied to our drive off on the contract - ie I paid $1k less at the time of delivery. Now the dealer is asking us to make them whole on that $1k, since the rebate was declined.

While I don't expect to get $ we don't qualify for, the issue is that during the homestretch of negotiating the deal, I was counting on the $1k rebate. Had that not been an option, I would likely have negotiated a little harder, and not settled for this selling price.


OP, how did this get resolved?

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Re: Dealership rejecting rebate after contract signed

Post by deadlee » Tue May 09, 2017 9:50 pm

Hello BH world.

Update since my last post.

I called up tfs to discuss the issue - the tfs rep sounded annoyed that the dealership had asked me to call directly since they are responsible for the communications...in any case sounded like she needed additional documentation like transcripts to validate that it was an accredited program etc, and that I should coordinate through the dealership. We now need to send for the transcript from the University, and I haven't yet acted on that.

A couple of days prior to this, I got a call from dealer finance did who said that we need to come in to pay up the $1k or that he would void the contract and take the car back. ( I silently patted myself on the back for having negotiated a decent deal to start with!). At that point we were leaving for vacation so I said I'd like to understand how he would unwind the deal once I get back from vacation. Fast forward to this past weekend, I got a voice mail from finance dude and an email from the salesperson asking about when I was going to come in - I have not had a chance to respond yet.

In all of this I realized we are now at 37 days post transaction and that I hadn't received the lease bill.. so called up tfs, and surprise surprise... They have no record of the car sale with the vin or our ssn!!! I don't understand how that's possible given that they approved the credit application so I still need to call them to figure that out.

We haven't received our plates either, and now I'm wondering if the car sale has even been registered with the DMV!! We obviously have the temp registration sticker on the window....but how do I check to see if the DMV has our record, without having to physically go in an and check?

is it possible that the dealership has purposefully not registered the sale with tfs or dmv a full 38 days post-transaction? I haven't responded to the dealership's last email, and I'm sure if/when I call to ask about this the first q will be to come in and sort out the contract.

I have a signed contract, and receipts of the drive off fees- so am I the rightful lessee at this point, if it hasn't been registered with tfs, and possibly not even dmv? Or are we effectively driving a brand new ghost vehicle that according to the records should be sitting on a dealership lot somewhere!

Is this legit? Sounds awfully bizarre to me, and I'm not quite sure what to expect next, when I call them tomorrow!

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Re: Dealership rejecting rebate after contract signed

Post by mmarreco » Tue May 09, 2017 10:20 pm

Not sure where you live but around here temp tags expire after 30 days.
I would go back to the dealership to sort this out, and willing to hand over the keys if they can't make the rebate work.
Good luck

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Re: Dealership rejecting rebate after contract signed

Post by deadlee » Tue May 09, 2017 10:44 pm

We're in CA, so the temporary tags are good for 90 days.

Glad I don't have to worry about that because the rest of this has been a total PITA!

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Re: Dealership rejecting rebate after contract signed

Post by btenny » Tue May 09, 2017 10:57 pm

Go to the dealer soon, in the next 2-3 days. Make an appointment with the finance guy and the GM. Take a witness with you that is not your wife to record what transpires and is said. Do not take the car. Be calm. Do not offer to pay a dime extra. Tell them a deal is a deal. Give them a copy of your wife's school transcript and college accreditation stuff. Do not wait for a registered copy of this data to go to the dealer. Get something via email or off the internet. The issue is give the dealer some paperwork that shows where your wife went to school and got her advanced degree. The dealer needs to convince TFS that they did a good deal before they finalize the deal and not have to eat that $1K. NO they have not registered the car with DMV or Toyota. They need finalize the paperwork to do that so they are setting on the current paperwork. They have not registered it because if they do that the car will become used if you give it back to them over this or they come and repossess it over this. It is still a new car at this point and on a "extended demo drive" at this time. So it is new but has some miles is their view.

So you do need to talk to them soon and give them some added back up material.

Good Luck.

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Re: Dealership rejecting rebate after contract signed

Post by madbrain » Tue May 09, 2017 11:34 pm

The dealer makes money from the finance company, for giving business to them, whether it's a lease or a loan. Unwinding a finance deal that's already processed can be costly, and also the car will be a used car after that point. I have had 2 finance deals unwound in the last two years, both with separate Chevrolet dealerships, where the dealership sold my loan to a different institution than the one I wanted, which was a credit union. The credit union gives a 0.75% interest rate discount to its members. But the contract cannot include that discount, apparently. The dealer ended up selling at the rate stated on the contract, to a bank that wouldn't provide the membership discount. I found out when I received the first statement from those lenders. One dealership acted promptly to unwind the deal. The second one only did it under legal threats, but eventually complied. In both cases, I didn't make any payment for the 60 days of ownership, due to their screwup.
I also had a 3rd car with an unwound deal which was a lemon, but it was a lemon on day #1 and they took it back at day #10, before they processed the loan paperwork.

It sounds like the dealer has been telling more than one story, ie. lying through their teeth. If they really have offered you the option to take the car back, do it. Just go to another dealer. Life is too short to deal with liars.

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Pajamas
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Re: Dealership rejecting rebate after contract signed

Post by Pajamas » Wed May 10, 2017 12:52 am

If you end up having to give it back after all, let them make an appointment to come pick it up at your house. You shouldn't have to take it back to them and arrange for a ride home.

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LiveSimple
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Re: Dealership rejecting rebate after contract signed

Post by LiveSimple » Wed May 10, 2017 1:13 am

You got a lousy dealership for sure.

Again as I said earlier put miles in the car, not sure how the dealership will sell that car as a new vehicle, if you put 1000 miles. Even anything above a few hundred miles.

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Re: Dealership rejecting rebate after contract signed

Post by JonnyDVM » Wed May 10, 2017 6:05 am

Bought a Toyota back 7 years ago with a similar recent college degree rebate. They needed a copy of the diploma for proof and had it checked it out and verified BEFORE the paperwork was all signed and the car was paid for. Unless you tried to pull a fast one on them misrepresenting the degree I feel like this one is on the dealership.
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Re: Dealership rejecting rebate after contract signed

Post by Jags4186 » Wed May 10, 2017 6:12 am

Just return the car and go get a Honda.

Why deal with this headache?

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Re: Dealership rejecting rebate after contract signed

Post by wilshuer » Wed May 10, 2017 6:53 am

Put something out there on social media, ensure the practices of Toyota and the dealership are known. Contact your local media - our main broadcast stations in my city follow up on consumer issues quite often. I would also contact your state's dealership licensing agency and file a complaint. It seems like poor business practice, and they are trying to strong-arm you based on their mistake.

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Re: Dealership rejecting rebate after contract signed

Post by rob65 » Wed May 10, 2017 7:22 am

I said this early in the thread, but I strongly suspect the fine print in the contract favors the dealer. Sorry, but I think you are getting some very bad advice in this thread.

Pay the $1000 or return the car. Today. The dealer has contacted you at least twice. I'm not a lawyer, but I think you might be getting very close to an involuntary repossession.

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StevieG72
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Re: Dealership rejecting rebate after contract signed

Post by StevieG72 » Fri May 19, 2017 11:30 pm

Is OP riding the bus now?

No time to update the post?

I am curious as to how things worked out, hopefully in OP's favor.
Fools think their own way is right, but the wise listen to others.

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Re: Dealership rejecting rebate after contract signed

Post by *3!4!/5! » Fri May 19, 2017 11:49 pm

OP is returning from a road trip to Tierra del Fuego.

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Re: Dealership rejecting rebate after contract signed

Post by MrNewEngland » Sat May 20, 2017 12:38 am

*3!4!/5! wrote:OP is returning from a road trip to Tierra del Fuego.

What does your user name mean?

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8foot7
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Re: Dealership rejecting rebate after contract signed

Post by 8foot7 » Sat May 20, 2017 8:13 am

You will have to return the car. The dealership can simply assign a contract that otherwise meets criteria like FICO, stated income etc to TFS without TFS separately approving the application. This is why you have the car now and TFS has no record of your lease. You were given a spot delivery and the TFS rep going through your lease assignment days after the actual transaction had a hang up with the paperwork. TFS says it's dealer problem because they haven't yet accepted the note. There you go. Take the car back and move on.

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