Dealership flagged me as a straw purchase

B

beerolaz90

Guest
Jurisdiction
Florida
Good Morning All,

I have a question regarding an experience I had at a Volkswagen dealership.
My fiance and I went into a South Florida VW dealership in order to look at cars and get some numbers. We spoke to the sales consultant and told her the car would be under my credit and the dealer ran my credit. They came back with a good deal, but I simply didn't want to sign yet because it was late at night and I was tired. Plus, I didn't really come in with the intention of actually buying the car that night, simply look at possibilities and numbers. In the end, I said no to the deal and said I would be back tomorrow. Two days after, I went into another VW dealer in order to see if I got a better deal at another store. They informed me that the previous dealership had flagged me as a straw purchase. This was apparently done after I rejected their offer the previous night. I ended up having to defend myself and explain how this car was for me, the credit was mine and the 2nd dealership said I was more than ok to lease the vehicle.
My question is, was what the first dealership did unethical ? And were they trying to punish me or retaliate because I wasted their time and didn't sign with them. I find this to be wrong, and I'm not sure if it illegal for them to use those sort of tactics to get customers. I'm not sure if a SAR was filed or why the credit company would flag me in such a way. I am an american citizen, tax payer, full time graduate student, owned cars in the past. I'm just shocked and want some answers. Please let me know what you think and if I have any rights in this case.
Thank you all!
 
My question is, was what the first dealership did unethical ?

Sure.

But not illegal.

were they trying to punish me or retaliate because I wasted their time and didn't sign with them

Possibly. Car dealers are liars and thieves and they go to school to learn how to get close to the line but not cross it.

I find this to be wrong, and I'm not sure if it illegal for them to use those sort of tactics to get customers.

Again, not illegal.

Please let me know what you think and if I have any rights in this case.

You have the right to buy a car from a plethora of other car dealers or private parties and obtain loans from any source that you would qualify for.

By the way, I applaud you not signing anything that night. Before you go back to any dealership again I suggest you google something like How to Buy a Car from a Dealer, or Car Dealer Tricks and Scams, and thoroughly prepare yourself for their tactics.
 
If they had any reason to suspect that you may have been attempting to do a straw purchase, then they were correct in reporting it as such. There would be no reason and no value to them to do so. Other than a little bit of hassle in explaining yourself, I don't see where you suffered any harm.
 
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