Can You Rescind A Loan?

[Mystangjr]

What is the name of your state? Oregon

My daughter has a loan for her car, she had 2 yrs left on the loan.
She went to bank the other day, to see about re-fi, to get lower interest rate.
She came home, bank wanted to re-fi alright!!
They lowered her payments, tacked on 2 more yrs, and gave her higher interest rate to boot.

Can she tell them to forget it.. I think she already signed papers?!What is the name of your state?

[BelizeBreeze]

If she has already signed the new loan papers, then she has a new loan.

[efflandt]

With all the noise about people trying to get out of student loans and doing something about payday loan ripoffs , it is hard to find in a web search whether Oregon has any regulations about rescinding car loans. But many communities in Oregon have passed laws to allow rescinding payday loans within 24 hrs. If there is something nationally it may only apply to home loans.

Here in Illinois we apparently have 3 days to rescind some loans, because they advised me of that when I refinanced my home. And when I bought a vehicle at CarMax and was not sure if my deposit check had cleared yet, they formally wrote up a loan, but when I paid it off within 3 days, there were no fees.

If there is a reschind time for a loan in Oregon, I would think it should be listed in loan papers or disclosure statement. The hard part may be to come up with the money or other financing in time (if it cannot revert to previous loan).

[Mystangjr]

I wish I knew if she had signed papers, she isnt sure, or she isnt admitting it to me.

She now realizes she made a mistake. I'm just hoping it isnt too late!

IF she hasnt.... would that make a difference?

[bdancer]

If she hasn't signed the loan papers, she can opt not to refinance. If she has signed, she's probably stuck. In most cases, there is no 3-day rescind period, unless specified in the contract.

[BelizeBreeze]

Originally Posted by Mystangjr

I wish I knew if she had signed papers, she isnt sure, or she isnt admitting it to me.

She now realizes she made a mistake. I'm just hoping it isnt too late!

IF she hasnt.... would that make a difference?

Of course it would. It would mean that the current loan is still in effect unless the dealer has cancelled it in lieu of the new refinance, in which case she COULD be liable for the payoff.