Spot Delivery: "The Bank Didn't Approve It, You Need to Re-Sign"

You signed on Friday evening, got the keys and drove home. A few days later the phone rings: "The bank didn't approve those terms, you need to come back and re-sign — the rate will be higher."

What it looks like

It's called spot delivery, or yo-yo financing. You get the car right away, before the financing is final. The contract says the deal is contingent on lender approval. If the lender doesn't approve, the dealer can bring you back to the table.

Why dealers do it

By the time they call, you've shown the car to your family, parked it at home, maybe handed over your trade-in. Psychologically you already own it, and agreeing to a higher rate feels easier than unwinding everything. That's the whole design.

It's the only real way to "roll back" a car deal in the US — and it works for the dealer. The clause was written by the dealer, for the dealer.

How to avoid it

Don't take delivery until the financing is final. If you're offered the car today, find the conditional-approval clause and ask one question:

Is this contract contingent on financing approval? If yes, I'll wait until it's final before I take delivery.

If it already happened

You don't have to sign a new contract on worse terms. You can return the car, get your trade-in and your down payment back, and walk away. Say it out loud — the tone of the conversation will change:

If the terms have changed, I'm not re-signing. I'll return the vehicle, and I'd like my trade-in and my deposit back.