Car Law A to Z: Y is for Yo-Yo Sale
Who likes being wound back and forth like a yo-yo? I sure don’t and I doubt you do either. Unfortunately, some vehicle dealerships frequently string their vehicle purchase customers along and keep them coming back. This phenomenon is known as a yo-yo sale. Often called “conditional delivery” or “spot delivery”, a yo-yo sale is legal under North Carolina law BUT there are ground rules. In essence the dealer/seller must disclose to you in clear, written form any conditions under which he has delivered the vehicle to you (usually that you are able to obtain financing for the vehicle).
If you have possession of a vehicle, new or used, and get word from the dealership that “there is a problem with the financing” or that you “need to bring the vehicle back”, you should review your retail installment sales agreement and other purchase documents to see if there is any conditional delivery language. If you have any questions or are unsure about what to do, consult an attorney BEFORE you take the vehicle back to the dealership.