Car Buying Advice - How can this deal be unwound? (PA)

doodadoodadoo

The car was bought yesterday and all the papers were signed. Financing was successfully arranged through the dealer. However, the car has yet to be driven off the lot. (The plan was to go to the dealer tomorrow to pick it up and drive it home.) Unfortunately, the buyer is simply in no position to afford the deal, and was misled about his ability to finance a cheaper used car. (Even though the buyer has a good credit score (700+), he was told that there was no way he could get a used car loan on a car worth < $10-12k. Meanwhile a quick search shows many lenders including CapitalOne giving loans on old used cars worth as little as $4k. Unfortunately the buyer did not even shop around for financing before going to the dealer. In any case, regardless of whether he could in fact get a car loan for a cheaper car, he cannot afford the payments + insurance on this car.)

Is it too late to back out of the deal? If the buyer refuses to pick up the car, does the dealership have to unwind the deal, even though financing has already been done? What should the buyer do to maximize his chances of unwinding the deal?

I don't know if this is relevant, but this deal was made at a less-than-upscale used car lot that is not associated with any particular manufacturer.

This was in Pennsylvania.

Mr_Shiftright

You might find this Edmunds' article helpful:

Can You Return The Car You Just Bought?

kyfdx

@doodadoodadoo

Has any money changed hands? If not, just call them up and say you regret that you can't close the deal.

isellhondas

Since the car never left the lot the deal should be able to be unwound. Expect a lot of pushback!