As a first-time car buyer, you might be wondering what options are available to you after you sign a sales contract with a licensed dealership. We’re here to answer your frequently asked questions!
Key Takeaways
- You’re legally bound by the terms of your sales contract, so you’re unlikely to be able to change your mind about a sale unless the terms of your contract allow it.
- There are some situations when you can return a car you just purchased, but they depend on state law and the terms of the contract you signed.
- The best time to negotiate a car price is before you sign. After you sign, the dealership isn’t obligated to change the sales price.
- Once you and the sales rep agree on a price, signing a contract at the dealership won’t take very long.
Can I change my mind after I sign a dealership contract?
It depends. If your contract includes a cooling-off period, such as a 90-day window to return the car, no questions asked, then you certainly can change your mind. But your sales contract with the dealership is legally binding, and you must adhere to whatever it says. If you’re worried you might change your mind, you can always ask to add a cooling-off window to your contract. But you must do so before you sign and dealerships are not obligated to add it.
On the other hand, most states (including Pennsylvania) have lemon laws, allowing you to return a new car if there’s something wrong with it. It may also be possible to return your car if a salesperson was dishonest with you about aspects of the sale or car you purchased. Also, if your lender fails to approve your loan, it may be possible to return your vehicle.
Can I return a car I just purchased?
After you sign a sales contract with a licensed dealership, you must adhere to the terms of your purchase. However, your contract may include a cooling-off period, during which you can return the car if you choose. Just keep in mind that once the cooling-off period ends, dealerships are not legally bound to accept a return. Again, you can try to add a cooling-off period to your contract before you sign!
If you simply don’t like the car and there’s no cooling-off period in your contract, you’re out of luck. The dealership is unlikely to see this as reason enough to let you return the car.
That said, there are a few instances in which you can return a car after you sign.
For starters, you can return a new car if there’s something wrong with it and the problem cannot be resolved in a timely manner. The terms of this return will depend on your state’s lemon law. For instance, in Pennsylvania, the lemon law states that a manufacturer must repair or correct any defects within one year of delivery, 12,000 miles of use, or the term of the manufacturer’s warranty, whichever comes first. If the defects can’t be repaired in a reasonable time, you may be eligible for a refund or replacement vehicle.
You also may be able to return the car if you believe yourself to be on the wrong side of an unfair deal. Although a dealership is under no legal obligation to let you return a car due to an unfair deal, you may be able to explain your situation to the dealership manager and come to a new agreement.
In the end, your being able to return a car after you sign mostly depends on the agreement you signed. Outside of lemon law returns and the terms specified in your agreement, a dealership is not obligated to take the car back.
Can I renegotiate a price after I sign a dealership contract?
While you can absolutely negotiate the purchase price before you sign, things get sticky after you sign. Because your sales contract is a legally binding agreement, the dealer is not obligated to give you a lower rate after you sign. If you feel you got an unfair deal, you can explain the situation to the dealership manager, but it’s up to them to decide to help you. You’re much better off negotiating the price you want before you sign!
How long does it take to negotiate a contract?
Once you and the dealer sales representative decide on a price, signing a contract doesn’t take long. Make sure you read it over, however, and agree to all of its terms. Again, you’re in a much better position to renegotiate the terms of your contract before you sign!