Federal law does not protect the right to return the car after a few days

Everyone has suffered buyer’s remorse at one point or another. And for expensive items like a car, it can be especially easy to guess a recent purchase.

Roger asked to CHECK if you can return a new car within a few days of purchase.

THE QUESTION

Does federal law allow you to return a car within days of purchase?

THE SOURCES

THE ANSWER

No, federal law does not allow you to return a car within days of purchase.

WHAT WE FOUND

There are no federal or state laws guaranteeing that a consumer experiencing buyer’s remorse can cancel a purchase or return a new car, according to Carfax, a database of vehicle history reports. And federal law does not protect a consumer’s right to cancel the purchase of any car, new or used, says Autotrader, an online car buying guide.

The only major exception is if the car is a “lemon,” which is when a car has a significant malfunction or defect that makes it unsafe to drive, Progressive Insurance says. In this case, the federal government and all 50 states allow a car buyer to return a new car for a refund or replacement if it is still under warranty and meets certain criteria.

But this process usually takes more than a few days. That’s because the manufacturer is required to make a reasonable number of attempts to repair the car before it can be considered a lemon, according to the Better Business Bureau (BBB).

So, if you buy a new car and its engine stalls two weeks later and continues to fail after several repairs, it’s likely a lemon and you’ll be allowed to return the vehicle and get a replacement.

The federal lemon law generally allows you to file a claim within four years of buying a new vehicle, says Krohn & Moss Consumer Law Center, a law firm specializing in lemon laws. While federal law offers broad protections, some states have even more consumer-friendly laws.

The Federal Trade Commission (FTC) has a “cool-down” rule that allows consumers to cancel and return certain purchases within three days. This rule mainly applies to purchases made when the seller comes to you, such as those made by a door-to-door seller. The FTC rule does not apply to motor vehicles.

When it comes to used cars, the FTC says some states may require more flexible return policies. For example, used car dealers in California must offer customers the option to purchase an additional option to return their car within two days. But if a customer doesn’t buy this cancellation option when they sign their contract, the dealer doesn’t have to accept the return.

But in most states, Carfax says, the car dealer decides whether to accept car returns regardless of whether the car is new or used. This means that any possibility of returning a car should probably be written into the sales contract you sign. Carmax, Carvana and Vroom are three nationwide dealers that accept limited returns within a certain time period, Carfax says.

According to Autotrader, dealers are less inclined to offer new car return policies because they would lose money.

A car is no longer considered “new” once the buyer’s name appears on the car’s registration, which happens after the contract is signed and money changes hands, Autotrader says. Cars immediately lose significant value as soon as they stop being ‘new’.

“Immediate automobile depreciation plays a vital role in consumer protection laws surrounding automobile sales,” says Autotrader. “If dealers are selling returned vehicles, they should be selling them as used and most likely at a loss compared to a new model.”