Advice needed.. Urgent. Tesla screwed up my loan

[RajendraD]

Hi,

I am probably the only one with this issue. If there are more please advice.

Tesla delivered the car without processing loan :0. I called them multiple times before taking delivery to make sure everything place. This was on September 30th. I guess they badly needed that quarter closing numbers.

After 15 days I got an email saying my loan is processed yet and I was like what's going on. I spoke to delivery/owner specialist and he told me they screwed it up. He said he would apply for loan again. I told as long as the interest rates and loan terms won't change I am fine.
He said he will take care of that and made us apply for loan again. After some time he comes back and says loan interest increased and term reduced as they could not procure the original loan. He tried selling me 2 years of free service. I was not okay with that.

Now they are talking of repossession for which they won't disclose the terms.

Any advice.

 

[habanero69]

Hi,

I am probably the only one with this issue. If there are more please advice.

Tesla delivered the car without processing loan :0. I called them multiple times before taking delivery to make sure everything place. This was on September 30th. I guess they badly needed that quarter closing numbers.

After 15 days I got an email saying my loan is processed yet and I was like what's going on. I spoke to delivery/owner specialist and he told me they screwed it up. He said he would apply for loan again. I told as long as the interest rates and loan terms won't change I am fine.
He said he will take care of that and made us apply for loan again. After some time he comes back and says loan interest increased and term reduced as they could not procure the original loan. He tried selling me 2 years of free service. I was not okay with that.

Now they are talking of repossession for which they won't disclose the terms.

Any advice.

Yes, RUN and get an attorney. NOW.

 

[techmaven]

Hi,

I am probably the only one with this issue. If there are more please advice.

Tesla delivered the car without processing loan :0. I called them multiple times before taking delivery to make sure everything place. This was on September 30th. I guess they badly needed that quarter closing numbers.

After 15 days I got an email saying my loan is processed yet and I was like what's going on. I spoke to delivery/owner specialist and he told me they screwed it up. He said he would apply for loan again. I told as long as the interest rates and loan terms won't change I am fine.
He said he will take care of that and made us apply for loan again. After some time he comes back and says loan interest increased and term reduced as they could not procure the original loan. He tried selling me 2 years of free service. I was not okay with that.

Now they are talking of repossession for which they won't disclose the terms.

Any advice.

They should make you whole. However, you might have to be open to alternative solutions... for example, if they took money straight off the car in order to get the loan balance correct. Or get enough free service + extended warranty + other stuff. They may not be able to obtain the financing terms because its an outside vendor.

 

[Troy]

If you can return the car without paying anything, you could order a new one with AP2.0.

 

[travwill]

For a loan, did you try Alliant Credit Union, they work with Tesla the most. They still have low rates, etc. and have a very fast turnaround time, few days I'd say to finish whole thing, or even faster if needed.

 

[wesley888]

Yea, Alliant got me approved within 1 business day.

 

[bro1999]

Yes, RUN and get an attorney. NOW.

+100

 

[outie]

If I was in your position I'd let them take the car back... and get a new one with AP2.

 

[Dstrohl]

If I was in your position I'd let them take the car back... and get a new one with AP2.

The problem would be if he ends up with a default on his credit report, which could prevent him from getting a decent rate (or even a loan in many cases) for a while. If he does this, he needs to make sure they zero it out as if it didn't ever happen.

I am ALMOST with the people suggesting getting a lawyer. to me it would depend on how they responded. if you get everything in writing, and READ every word, you *might* be OK without one... I doubt they would TRY to screw you, but from this point on, do everything in writing and don't assume anything, If your budget allows it tough, a lawyer would definitely be worth consulting with.

In Washington State at least from (Buying a Car | Washington State):

If your contract states it is "subject to financing" or some other contingency, it is not advisable to take the vehicle home until financing arrangements have been completed or the contingency is met. By law, the dealer has 4 working days from the time of purchase (excluding Saturdays, Sundays, and holidays) to find financing or resolve the contingency and finalize the sale. If that is not done, there is no binding contract and the dealer must offer to return your contract documents, down payment and trade-in vehicle before attempting to negotiate a new agreement with you. If you have taken possession of the car, you must promptly return it.​

I don't know how NJ works (probably something about guys named Guido wearing large gold rings ) but it may be similar. so, (at least here, and ignoring the extended time delay) they do have the right to say they could not get the financing promised and your only recourse is to return it for a full refund (including down payment).

 

[PedanticOne]

Hi,
Tesla delivered the car without processing loan :0. I called them multiple times before taking delivery to make sure everything place. This was on September 30th. I guess they badly needed that quarter closing numbers.

Out of curiosity, did you actually sign the loan paperwork when you took delivery? If so, I would expect they honor that contract.

 

[MP3Mike]

The problem would be if he ends up with a default on his credit report,

How do you default on a loan you never got?

 

[flar]

I wonder if they are valuing your credit less the second time around because they are seeing a credit check from a couple of months ago when they investigated the first loan. It's worth pursuing because a credit check can reduce your rating and if the first attempt at a loan and its resulting fumbling served to sabotage your second attempt it may be something that the bank can override (Oh, gee, that outstanding credit check we're seeing was from us for the same exact loan...)?

 

[bro1999]

This is all kinds of shady. How can they let you take a car without finalizing the loan? This is something you would expect some shady dealer to pull, not Tesla and their direct sales approach. I guess even Tesla is not immune to corner cutting in order to meet quotas.

 

[passcore]

This is weird. What papers (or electronic documents) did you sign when you picked up the car. Was the loan arranged by Tesla? If so how would could they let you take delivery?! I had to finish signing all the financial documents and show proof of wire transfer (down payment + financed amount) before I could drive out.

 

[RajendraD]

@Dstrohl I was trying to find the same law in NJ but no luck yet. Approached consumer affairs. Not sure how it goes.

 

[RajendraD]

just contacted consumer affairs

 

[balefire]

That stinks that someone dropped the ball on the loan at Tesla and your bank.

Which bank?
I didn't like the communication of Alliant and even tho I'm local to Alliant and even tho Alliant had 0.25% better rate, I chose another CU from out of state whose service and communication was better.

On the other hand, why can't you just use another bank and get a better rate and term? Did your credit score change? If so, can it be fixed so that you can get a better rate and term?

 

[JPUConn]

This is weird. What papers (or electronic documents) did you sign when you picked up the car. Was the loan arranged by Tesla? If so how would could they let you take delivery?! I had to finish signing all the financial documents and show proof of wire transfer (down payment + financed amount) before I could drive out.

Second to this one. Tesla wouldn't let me take delivery until verification was received that funds were cleared by Alliant in addition to down payment wire clearing.

Did the car get registered and plates or still using paper temp tags?

 

[RajendraD]

@JPUConn thats how it should have been. In my case not sure how they messed up. Issue was with Alliant bank who initially were supposed to process my loan I guess. Some how they didn't like the way my paystubs "looked". I tried to communicate with them before my car delivery and I couldn't reach them . Then I went to Tesla with my situation and they said they will handle it. Before delivery also I called Tesla to make sure everything is in place including load. I was assured everything is in place and no need to worry. So I went and paid my downpayment and took the delivery. 15 days after my ordeal started. I don't think anyone that I know had this issue.

 

[mspohr]

@JPUConn thats how it should have been. In my case not sure how they messed up. Issue was with Alliant bank who initially were supposed to process my loan I guess. Some how they didn't like the way my paystubs "looked". I tried to communicate with them before my car delivery and I couldn't reach them . Then I went to Tesla with my situation and they said they will handle it. Before delivery also I called Tesla to make sure everything is in place including load. I was assured everything is in place and no need to worry. So I went and paid my downpayment and took the delivery. 15 days after my ordeal started. I don't think anyone that I know had this issue.

Looks like you didn't qualify for the original loan and they arranged for a different loan on less favorable terms. Looks like you can take the less favorable loan or default and return the car. You could try to find your own loan but you probably won't do better than what they have arranged.