Yo-Yo Financing

"Yo-yo financing" or "bushing" is where a dealer quotes the consumer finance terms that are not yet accepted by a lender in order to get the consumer to take delivery of the vehicle "on the spot." Later, when the lender does not accept the terms, the dealer tells the consumer that the deal did not go through and that the dealer needs to come back in to sign a new financing contract, usually with less favorable terms.

The consumer has the absolute right to walk away from the deal if the original offer is not going to be honored. This means the dealers must have a refund check and the keys to the consumer’s trade-in vehicle when they offer the consumer new financing.