Auto financing pre-approval through the dealership. Can they demand more money after the fact?

Question

I am looking to purchase a new 2008 vehicle. I completed an online financing application through the general MFR website. A short time later I received an email from the BMW financing dept. stating my application was approved for the amount and the dealership I specified. Now, if I take this pre-approval to the dealership and drive off in the vehicle is there the chance or can they call me up later demanding I put more money down on the vehicle or turn it in? I have heard too many stories where dealerships allow you to sign paperwork and drive off in the vehicle only to call a week later saying they want more money.

If anyone has experience with auto financing, I would appreciate your help.

Thanks in advance!

Answer 1

ok i sell cars,pre approved means they are inviting u in for a formal approval. in most cases when u sign a contract the deal is done. when u hear ppl talk about the dealer asked for more money or give the car back they never had a approval in the first place. the paperwork they signed is called a bailment agreement. showing u have premission to drive the car from the dealership,in case u are stoped by the police. bmw dealers are very good at letting u know upfront whats going on. u can email me if u have any questions

Answer 2

When you sign the contact it is a done deal.  They cannot demand more money.

What they will try and do is to sell you the car for what you are approved for.  You can still negotiate though a lower price.