Can You Cancel a Car Finance Agreement

Have you ever bought something and after a day or two felt as if you had made a mistake? For most small purchases you make this isn’t a problem and you can likely return it. But when it comes to buying a car, things can get a bit more complicated. This is especially true if you have financed a vehicle and still owe a balance.

Whether your financial circumstances have abruptly changed, or you simply no longer want the car you’ve bought, there are many reasons to want to stop financing. But what can you do about it? At Autorama, we are the used car dealership Toronto residents rely on.  We work hard to ensure our customers love both their car and their financing option. But when things go wrong, we want you to understand your options. In this article, we help you understand your next steps when you want to get out of a car loan.

How To End a Car Loan Agreement

Your car loan agreement ends when you have paid off your car or have refinanced. The following options are your best bet when looking to change your financing situation.

  • Pay off the balance of the loan in full
  • Sell your car privately or to a dealership
  • Refinance
  • Trade in your financed vehicle

Is There a Cooling-Off Period When Buying a Car?

When it comes time to finance a car our customers sometimes ask, can you cancel a car finance agreement within 14 days? When it comes time to buy a used car or new car, you’ll want to know your rights as a car buyer in Ontario. Though some types of financing agreements may allow for a cooling-off period where you can cancel the agreement, this is not a right and there is no cooling-off period required by law. You’ll want to be clear on the terms of your financing and be confident about your vehicle choice as the dealership or private seller has no obligation to take the car back.

Can I Return My Car To The Dealership?

Some car dealerships may have a policy in place to take back a car after a short period of time has passed. It is important to understand the terms of your purchase as well as the terms of your financing agreement before you make a purchase.

Have questions about the car financing process? Contact a member of our expert sales team. We will work one-on-one to ensure you find a car you love and a financing option that truly works for you. We want you to feel great about buying a car. Get started by applying for financing online and see why we have the used car for sale that you’ve been waiting for.  

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