At the time I signed the contract, I believed I was purchasing the vehicle for the agreed-upon price of $5,880 and relied on the information provided to me regarding the terms of the transaction. I understood that my $2,500 cash payment was supposed to be deducted from the financed amount of $7,185.40, which would have reduced the amount I was required to repay.
During the negotiation process, I was presented with an offer for an extended warranty that would increase my payment by approximately $43 per month, with a proposed financing term of 48 months and a monthly payment of approximately $210. After I declined the warranty offer, the financing terms changed. Instead of the previously discussed payment arrangement, the final contract reflected a shorter term of 33 months with a monthly payment of $251.57.
I was not expecting the monthly payment to increase from the discussed amount of approximately $210 per month to $251.57 per month, nor did I understand why declining the warranty resulted in different financing terms. The final documents reflected a $7,500 down payment, $7,185.40 financed, and a total sale price of $15,801.81. I believed my $2,500 cash payment should have reduced the financed balance, and I did not understand that the final agreement would result in a significantly higher monthly payment and overall cost.
Even before finance charges, the total amount paid toward the purchase was $14,685.40, which is $8,805.40 more than the vehicle’s stated purchase price of $5,880. The differences between the terms discussed and the final contract, including the change in monthly payment, loan duration, and treatment of my cash payment, were not clearly explained to me. Had I fully understood the final cost, financing structure, and payment obligations, I would have questioned the terms and would not have agreed to sign the contract under those conditions.
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