I have a car that the dealership really stuck it to me. I in college full time and am trying to work but I dont think I can handle both anymore because of medical conditions. I know it will be on my credit for 7 years but what else would happen?
Anonymous
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I'd be selling that car and hoping your lender will cut you a deal to pay off the remainder on the side.
You WILL be paying your loan no matter how you slice it, with or without this car in your possession.
You not knowing what you were doing ("dealer stuck it to me") doesn't count.
Anonymous
First of all, the dealership won't take it back. Why not? Because they don't have to. You bought the car. The bank paid the dealer for the car. Dealer is now out of the picture. The issue is between you and the lender. You signed a contract, and there are penalties for not honoring your side of the agreement. One penalty is it will damage your credit for the next 7 years. Another penalty is that you will still owe the outstanding loan balance. The car may be gone, but the debt has to be repaid.
In other words, you can't just walk away from this.
ElGrande
Do what you can to avoid this.
If you return the vehicle, it's called a "voluntary repossession" and carries stiff consequences. After you return the car, the lender sells it at auction. You are then presented a bill for the difference between what the car brings at auction and what you owed on it (plus repo fees and administrative costs). If you cannot pay this or work some settlement with the lender, they can and probably will take you to court. They'll get a judgment against you, and can garnish wages or assets (depending on what state you live in).
Net-net, you end up paying for the car (and then some) regardless. Plus, you now have a repo AND a judgment on your credit, and will be a huge red flag to lenders for many years.
Again, avoid this if you can.
**EDIT -- "Ralfcoder"... there is no "buyer's remorse" or "right of rescission" law on vehicle sales. You don't have 3 days, 30 days, etc to return it. Once you sign and drive, it's yours. Only exception is CA, whicch charges a fee for a 3-day return policy, but it must be paid at point-of-sale.
**EDIT -- "Ralf"... no, the UCC does not apply to vehicle sales. They are specifically excluded from the UCC. The auto industry did this to prevent folks from essentially "borrowing" cars and returning them, essentially forcing a dealer to lose thousands of dollars when the "new" vehicle became "preowned".
bbt91945
The dealership no longer owns the car, it is owned by the bank. If you return the car they will try to make you pay the difference what they sell at the auction and what you owe. It will show on your credit report as a REPO and no other banks will be willing to finance you on another loan.
Ralfcoder
If you leased it, you might be able to return it. But if you bought it, you can't return it unless it has been less than 3 days since you purchased it. (Assuming you are in the USA, of course). Otherwise, you can't just return it and say, "Sorry, do over". If you take it back to the dealership, they can (and probably will) refuse to take it, and you will still have to make the payments.
If you bought it, your best bet is to try to sell it, and hope you don't owe too much over what you bought it for. The full amount you owe will be due to the lender as soon as you sell it. If you don't have it, you need to find it some place.
Edit: El Grande, doesn't the Uniform Commercial Code apply to vehicles as well? I thought that provided a 3 day grace period to return large purchases like this.
Edit #2: ElGrande, thank you for the correction.