Some car dealers are pulling a fast one on potential car buyers. Is it a scam or a shady business practice?
Imagine going into a car dealer to buy a larger vehicle for your family. You are a young mom with a new baby and you've grown out of your 2018 Ford Focus. It's been a reliable and fuel-efficient car, but it's now too small.
So, on a Saturday, you drive your Focus to the nearest Ford dealer to check out a new Ford Explorer. As you drive to the grocery store, you've seen the SUVs on the lot and heard they are good vehicles for families.
As she recounts in her TikTok clip, Kaelyn (@kaelyng23) did that. However, her test drive of a Ford Explorer turns into a nightmare.
She says, "I test-drove the 2022 Ford Explorer, took it home for the weekend, and the A/C stopped working. Now, the Ford dealer says I must pay $1,300 to get the A/C unit fixed on a vehicle I don't own."
Imagine her dilemma.
When she gets to the dealer, they show her the new 2025 Ford Explorer and of course she loves it. However, when they tell her the price, ($42,000) she realized it's out of her reach. So, the nice salesperson shows her a 2022 Explorer with 39,000 miles on it. The price is $29,000 and this is in Kaelyn's price range and fits her budget.
Next, she takes the SUV out on a short test drive, and likes the vehicle. It has three rows for her growing family, drives well, and she wants to buy it. However, Kaelyn wants her husband to check it out first, and he's working today.
The salesperson says, "No problem. You can take the vehicle home over the weekend and bring it back on Tuesday after you and your husband have driven it and looked it over."
Kaelyn thinks it's a great idea.
The salesperson says, "OK, first we need you to fill out a 'pre-approval' application, so we can see if you qualify for a loan on the Explorer. She doesn't think this is a problem, so Kaelyn fills out the paperwork.
The salesperson says, "If you and your husband decide to keep the car, and the financing app has already been approved, it will save you time if you decide to buy it."
She says okay
The salesperson says, "Leave your Ford Focus keys. We will lock it up and keep it safe here for you. If you decide to keep the Explorer, we will take it in on trade."
Satisfied with the Ford salesperson's explanation, Kaelyn leaves her Ford Focus with the dealership, gets in the Explorer, and drives home.
It's a warm day, so as she's driving home, she turns on the A/C to keep her baby cool. While she's driving, she hears a sound from the front of the car, and notices that the cold air coming out of the vent turns warm and the air conditioner stops working.
Thankfully, she's almost home, and her baby needs to be fed. Kaelyn pulls into the driveway and turns off the car. When her husband gets home, he looks at the Explorer, and sure enough, there is a problem with the vehicle's A/C. It's not working.
Here is what Kaelyn says,
"So I emailed them, I texted them, everything, telling them the A/C just quit working," she recounts. "They're like, 'OK, bring it on Monday when we're open.'"
The salesperson then tells her she must pay to get the A/C fixed because she owns the Explorer now.
"I said no," Kaelyn recalls. "Give me my old car back because I am not paying for a car that I haven't even bought."
"And he's like, 'Well, you have a loan on it,' Kaelyn continues. "I'm like, No, you've made me get pre-approved so I could take it home this weekend, and you said you are not going to submit it to the bank unless I don't bring the car back."
In her TikTok video, she says that when she insisted that she get her Ford Focus back, she was told, "That's not how it works."
What Happened To Kaelyn is called a "Spot Delivery."
Capital One says that when a car dealership allows you to take a car home for a test drive and then asks for pre-approval for a loan, it's often referred to as "spot delivery" or sometimes "yo-yo financing". This practice is common in car dealerships where they aim to expedite the sales process, especially if you can't purchase the car and need someone else to look at the vehicle, like Kaelyn.
RCB Bank mentions "yo-yo financing" as a term used to describe spot delivery, where the dealer may initially offer favorable loan terms that are later changed after the customer drives the car off the lot.
Potential Issues:
While spot delivery is not always a scam, however, what happened to Kaelyn sounds like they were trying to pull a fast one on her. They did not tell her that she had actually purchased the 2022 Ford Explorer as soon as the approval for the financing came through.
While we don't know what "deal" she signed with the Food dealer, she was not aware of the details of the paperwork and "pre-approval" agreements she signed.
Bankrate says, "Here's where you need to watch out for common car-buying mistakes. Some dealers may sneak in a clause that says your purchase is "pending approval" — and may still be up for change."
"While this practice is common and not automatically a red flag, it can set you up for yo-yo financing. In this situation, the dealer may approve you for a low rate and then change the terms of your auto loan once you drive off the lot. If you run into any auto buying scam, your best bet is to walk away and find a better dealership to buy from."
Conclusion
Unfortunately, Kaelyn did not carefully review the "pre-approval" contract and was unaware of the clause that made the sale final after the bank approved the loan.
"They're just holding my car hostage, I guess," she concludes. She states, "I don't even want the car now, and I'm wondering how to get my old car back."
Have you had a similar experience at a car dealer? If so, click the red Add New Comment link below and let us know.
Check out my 2025 Ford Explorer story: My 2025 Ford Explorer Won’t Start 3,000 Miles In, After Two Weeks the Dealer Still Doesn’t Know What’s Wrong, Should I Keep It Until They Lemon Law It?
I am Denis Flierl, a Senior Torque News Reporter since 2012. My 30+ year tenure in the automotive industry, initially in a consulting role with every major car brand and later as a freelance journalist test-driving new vehicles, has equipped me with a wealth of knowledge. I specialize in reporting the latest automotive news and providing expert analysis on Subaru, which you'll find here, ensuring that you, as a reader, are always well-informed and up-to-date. Follow me on my X SubaruReport, All Subaru, WRXSTI, @DenisFlierl, Facebook, and Instagram.
Photo credit: Denis Flierl via Kaelyn
Comments
I smell foul play at hand,…
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I smell foul play at hand, plus the customer failed to protect herself by asking more questions and reading the entire "contract" or "pre-approved" form. Any reputable business would help all their customers fully understand all the terms and obligations on both parts. Often, both parties drop the ball and should accommodate one another. Honesty is the best policy and especially with the A/C issue. Also.......the author bof this article should include the offending dealer so others can be aware in the event this is fraudulent
Is mining Reddit and Social…
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Is mining Reddit and Social Media for content all this site does? It seems like it's past time I tell my Google feed to stop showing this "news" site in my feed.
Never trust dealers. I've…
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Never trust dealers. I've seen them run hard credit to "get a price". Never sign anything until you are sure you want to actually buy it and you know the actual price. Also when this happens name and shame. They need to be held accountable to their actions. Sometimes it's the guy running around in the polyester suit sometimes it's from the little podium desk where the fat man is choking on his chicken nuggets.
You need to hire writers…
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You need to hire writers that graduated high school.
You cashed the Ford dealer a Food dealer at pine point, and in one location the used Explorer was $39,000, then, in the next sentence, it was $29,000.
I can guarantee you that the…
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I can guarantee you that the A/C was no good before you test drove it.
Please be careful when…
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Please be careful when buying a vehicle . There are some vehicles that will not have the parts for your new vehicle . Especially on the jeep gladiator trucks .. I almost bought one until I found out you couldn't get parts for it . If it needed repairs . Always do your research on vehicles . Ones that break down , always in the shop. Has bad reviews .
There was no "meeting of the…
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There was no "meeting of the minds" regarding this contract. The salesman, at best, misrepresented his intentions, or at worst, lied about them. She never agreed to a value for her car as a trade-in. So, if she wants more than the dealer is willing to give, is the deal off? If she never signed a purchase agreement, is there a deal? Completing a loan application is not purchasing a car.
I am a retired Ford Dealer…
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I am a retired Ford Dealer. This dealership took advantage of this woman, plain and simple. Spot delivery is legitimate. However if the pre-approved perso is not ready, there is usually 24 to 48 hours to bring the vehicle back. Why would she ever recommend them or ever return. SMH.
What dealership lets you…
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What dealership lets you take a car on the weekend. Damn ai bots making shit up
It's common practice with…
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In reply to What dealership lets you… by Joe (not verified)
It's common practice with dealerships as I've also had the opportunity to drive vehicles home without any commitment to buy it. They only requested my DL and full coverage insurance in case I wrecked their car while the car is basically being "loaned out".
Now I see this for what it…
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Now I see this for what it is. if you're not naming the dealership then this isn't news, it's just an An ad for her tiktok /Amazon store.
I am sitting at a dealership…
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I am sitting at a dealership right now and boy am I glad I read this! I'll be sure to not fall for this trickery. You made a better car buyer today. Thank you!
You told the story, but you…
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You told the story, but you never told the final resolution.
What did you hit
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What did you hit
A 2022 with only 39k miles…
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A 2022 with only 39k miles should still be covered by the 5 year 50k mile warranty. So they are trying to scam her.
The warranty only covers…
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In reply to A 2022 with only 39k miles… by Cgreen (not verified)
The warranty only covers powertrain which is the engine and transmission not the AC itself.
Its a simple proposition…
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Its a simple proposition. Grab your spare key, go to the lot, find you car and drive off.
Yes, I had a experience like…
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Yes, I had a experience like that. I waa told I was approved for a loan on a truck I test drove. The sales person wanted me to come in right away and do paperwork. I did, gave down-payment, traded in my car and left. A few days later received a call I needed to provide more bank statements, so I did. I got DMV paperwork to register and insure it. There was a lender listed on the paperwork. The truck is now registered and insured in my name. A month has went by. Got a call from finance guy stating I needed to come back in and resign contract. Mine had " expired" went in signed, said my first payment would be in 45 days..everything was good. Two days later got a call that they needed to verify my employer. Its now been 3 months and so many hard inquiries have been made on my credit that my score has went down 100 points. Now they tell me I need to either bring the truck back and fetch trade in value on ny car and deposit back or take a no credit check loan. They had sold my trade in the 1st week they had it. Not to mention the check engine light went on 2 days after having it. They wanted $1100 to fix. Talked them down and they had the truck 3 weeks fixing it. Got it back, a week later check engine light with same code..came on. Now they want $4800 to fix...let's not forget I have not received financing on it yet they want me to pay for fix. Now I have a truck registered and insured in my name. Non operatable. And dont know what to do.
Did everyone simply forget…
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Did everyone simply forget about the warranty? Why wouldn't the AC repair simply been a warranty repair? Why alienate a customer?
There has to be a warranty…
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There has to be a warranty on this used vehicle.
That is simply predatory…
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That is simply predatory sales tactics. She should publish the name of the Ford dealer and call Legal Aid, BBB, and any local news consumer aid site that helps with this kind of predatory anti consumer problem. She should also post her issue with the dealer name on the Ford website, FB page, reddit. INSTAGRAM, etc. She should play up that she trusted the sales person's representations and that Ford would not screw a young mother this way. She wants to get public pressure on them. She also should publish the name of the financial entity the dealer is using for it's sleazy practices. She could also call the local ABA office, the American Bar Association and ask about their pro Bono program and if there is a lawyer willing to help on pro bonu basis. The fact she signed the pre app is troubling but not air tight as she did iy based on the oral representations of the sales person so those are effectively clauses in the contract. He can deny them but in small claims court judges see this crap all the time. The car ac failing is a clue this is a sleazy operation that likely knew the vehicle c was questionable as a used car. She needs to learn to read all things offered to her as a matter of course. Dealers will lie to your face and the things they say are not screened in many shops. Always good to record any interactions on your phone.
Car dealers are scam artists…
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Car dealers are scam artists. Just buy from individuals and avoid the 20 pages of scam artist paperwork.
In New York State you have 3…
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In New York State you have 3 days to return a car you purchased and get your old car back and essentially undo the deal. If the dealer balks contact the Attorney General of NYS.
Denis, please have your…
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Denis, please have your articles proof read.
Recommend she contact the…
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Recommend she contact the lender and tell them her side of the deal. She should also contact her local DMV and State Attorney General office. Depending on how these things go you might also want a good attorney. I worked with the auto dealership industry and never heard of such practices, at least in California.
I think what they did is so…
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I think what they did is so wrong. First they misled her , then tried to stick her with repair bill. Then not returning her trade in back.
I suggest a lawyer and contacting the AGO in her state and reporting them and this scam.
Sorry, not buying this story…
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Sorry, not buying this story. Too many AI misspellings involved!
Never buy a used vehicle…
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Never buy a used vehicle from a dealer.
You have typos in your…
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You have typos in your article. You wrote: "Image her dilemma" instead of "IMAGINE her dilemma" and where you wrote "...leaves her Ford Focus with the dealership, gets in the Explore, and drives home." As you can see you wrote "Explorer" wrong there. As an amateur proofreader I can provide my service to you at very reasonable rates so I can point out these simple mistakes before you officially post your articles online. If you, or anyone reading my comment are interested, reply here. Thanks. Joe
First mistake was BYING car…
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First mistake was BYING car from our car steelership
Pagination