Car Loan Failed / Cancel Payment

kohteddy SG

Hi Readers,

The purpose of this post is to gather as many people who got similar experience as me, be it your friends and relatives and hope to work something out.

Today, I read a news on NEWPAPER, 26 SEPT, PAGE11 about someone who signed for a loan to buy a car from PI. The loan was refused but the PI insisted that he should buy the car and sue this person when he tried to cancel the purchase. This poor man later approached the PI wanting to buy the car, but this time, the PI insisted that this man pay off the legal fees and STILL must buy the car.

I have a similar experience. I paid $500 deposit to a 2nd-hand dealer. The loan was not approved and I was asked to pay $300 as kopi money and a new loan at a higher interest rate, will be approved. I rejected the dealer and wanted to cancel the deal. The agent then called me back a few days later saying that no kopi money needed but he would need to try the loan with another in-house agent. Ended up the original in-house agent approved the loan, at the same interest rate!

Seeing their dishonesty, I insisted on cancelling the deal and negotiated to have part of the deposit refunded back to me. This way, they will earn $200-$300 for doing nothing. However, the agent refused again. Damn those blood suckers.

I have actually bought this up to CASE but sadly they are unable to help me from the way it look. So I will bring this case to small claims tribunal to see if they can help me. CASE told me my chances with Small Claim is 50-50. I am also currently in the midst of reading and UNDERSTANDING the contract law to see how to get the contract void.

If you are interested to discuss and know more, or even have similar experiece, your advice will be greatly appreciated to help normal people like you and me. I have also posted a similar post at hardwarezone.

Thank you very much.

erayvne SG

Basically, you should NEVER EVER PUT YOUR PEN DOWN TO SIGN or even deposit 1 CENT without LOAN APPROVAL!!!

And yes, there are black sheeps in PI market, so be careful.

And.......................... Don't be blinded or led to sign agreement with some nice words from SE or go gaga and with SE(female) showing boobs.

Be sober, thats the word!

kohteddy SG

erayvne,

I understand that but what I have done is done. And for my case, I was signing on behalf of my brother and I am trying to find out from the contract law does this action lead to a void / discharge of contract. And also, the receipt (not even contract) that I signed was not from the company that I dealt with.

I learned my lesson, but i want my money back!!

erayvne SG

I'm a lil baffled about all the loan stuff. Care to explain further?

How were they dishonest? I didn't see u giving the kopi money and the original loan was approved at same interest rate.

A little blur there.

Did u sign any sales agreement and whats in the clauses and fine prints?

I dont quite think that u can get ur money back though..

kohteddy SG

erayvne,
I didn't give them kopi money. I thought why should I. Its either approve or disapproved.

2nd, I was signing the paper but the name appearing on the receipt is my brother's name. I asked the agent if that was ok, he said its ok.

3rd, the only clauses are the seller agrees to pay the buyer twice the amount if the seller are not able to sell to the buyer and deposit are not refundable.

I know the deposit are not refundable but if I can proof the contract to being void using my 2nd point, then maybe who knows...

any lawyers in the house??

erayvne SG

I presumed that since the name is your brother's, the purchase is thus invalid.

But u cant use it to your advantage as........

u might be in trouble yourself as you can be charged as forging ur brother's signature. Purchase will be voided but ur deposit wont be back and u will be in trouble with the law.

So my opinion, dont use the 2nd point, because if the dealers want to be bastardised, they can say that they are led to believe and they did not know u are not ur brother, pushing all the forgery blames to u.

The 3rd rule is kind of stupid in my opinion, I would never have signed if I saw that.

my only advice and a really not helpful one : "lose money, evade disaster", money can be earned.

and just another query, since the original loan can be secured, and at the same interest rate agreed, why wont u see thru the deal? That might be the best solution.

He wasn't being quite honest, but neither was he totally dishonest there. and since the original loan can be approved at same interest rate, why not see thru the deal?

kohteddy SG

have u got this situation that the seller just dun look decent? i just got the feeling the somewhere along the deal might not go as smooth.

and they ENTICE me to sign even though I ask if its possible under the name of law.

another thing i forgot to say is that I went to company X but the name on the receipt is company Y. Something fishy...

After reading the newspaper report i thought the same people with same experience can 'power-up' to get to those bastards...

erayvne SG

Yes!!! I shop for cars before Very Happy even though I'm a SE myself.

I nearly went for a suzuki swift then I realised that the computation was weird, turn out their nice price was because of super high interest rate.
Dishonest bastards I would say.

The company X and company Y stuff is, some companies and most likely the one u went to is just an agent/subsidiary company to the main, meaning they are just a "false" shopfront, they are not their own company, but belongs to some other company, in this case company Y.

Its common I have to say.

There are really too many black sheeps in this whole market but next to nothing is done.

haruhatsu SG

I think u should understand one thing is tat deposit supposingly not refundable, it was to reserve or secure a deal for yourself. even if they not honest, they still able to provide the loan n interest mentioned to you earlier on, it just tat u not happy to continue the deal due to they r not honest… its your problem, not theirs… so i think u got to let go the deposit liao…