Drifting issue/lemon law

LoanWizard said:

Once you use the lemon law you can kiss off ever being approved for any kind of manufacture financing and dealers will never sell you a vehicle below MSRP. In other words you better make sure that was your last resort because you will be unoffically blackballed.

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I think that's BS. I don't believe it. Every car I have negotiated a price on was done prior to them running my credit. Dealers don't run background checks on people. Do they have some secret database that they all contribute info about their bad purchasers - no. Anyone here ever use the lemon law and have a story about their subsequent purchases?

LoanWizard said:

In case my handle didn't clue you in on what i do for a living, I'll tell you. I've been in the loan business for 27 years. Yes there is a dealer database of people who have returned a vehicle under the lemon law, no it is not secret it is very public. Dealers choose to use that information how ever they wish. manufacture financing will be declined for anyone who has returned a car to the manufacturer. You can always finance through your own bank.

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So, let me get this straight. A manufacturer or dealer will sell a car to someone on this "lemon list", but will not finance it, thus giving up their extra profits in the financing. They do this because they built a car that had problems that their dealer network could not fix and thus they were compelled to take the car back. So they give up their own financing $$ to punish the purchaser. Yeah, that sounds like the smart thing for them to do.

I see posts on this board every day about stupid things that the dealers or manufacturers do. If this lemon database is another thing in their proverbial "bag of tricks", then it's just another reason why people have such contempt for car dealers.

E55 KEV said:

The Dealer Finance Manager told me a secret yesterday, Instead of the seeking a Lemon Law buy back ask for a "Substitution Of Collateral" for a faulty car and apply it to another. NE1 know about this?

She also stated that the Service Manager could do it. That seems weird?

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Most likely the SM couldn't do it alone, but between them, the dealership owners and DCX, they could do it. Instead of paying you monies for a bad vehicle, they would merely swap you a comparable vehicle. The substitution comes from your bank. They update their records with the new VIN number and you continue making the payments like nothing ever happened. Thus, the original transaction stands, but there has been a "Substitution of Collateral" involved.

There are benefits of this to all involved. DCX & the dealer don't lose the sale because you are not reimbursed cash and able to walk away. You don't have to mess too much with your bank and don't have to deal with the payoff. But, the most likely benefit is that the car is not classified a "lemon" and the dealer or DCX can do what they want with it - including reselling it.