The Spot Delivery Scam aka The Deal Fell Through
You sign the paper and grab the keys to your car. You know your credit is not that great so you are happy to being able to drive off in a car you have just purchased. Several days later the finance manager calls with bad news; your financing did not go through and you need to bring the car back in. You could very well be the victim of a “spot delivery scam aka “the financing fell through” scam.
Not every situation like this means you have been the victim of a spot delivery scam. Many times the financing department is not open but the dealer feels sure he can get financing for you. So he has you sign the paperwork and you take possession of the car. It is only later that the dealer finds out he cannot get you financed. This is done to keep the sale at the dealership. If you were to leave at this point, the dealer knows he just lost a sale.
In a spot delivery scam, the dealer knows the financing will fall through. When you come back to the car lot, they will tell you that you need more money down. Or the finance rate will have to be higher in order for the financing to go through.
The dealer is relying on your newfound attachment for the new car. Once a buyer has driven the car, they usually will agree with any changes to be able to keep it. Some states have laws against this type of yo-yo financing, or spot delivery scam. Dealerships can pressure unsuspecting consumers to consent to new, more expensive terms using a variety of maneuvers. Dealers have threatened to repossess cars, while some will even tell the consumer that they will report the vehicle as stolen.