New cars are expensive. And when you go to a car dealership, there are hundreds to look at and choose from. Step back and think about how many thousands of dollars of merchandise is on one lot! Car dealerships can have all those cars because they enter into lending agreements known as floorplan financing so that they can buy cars from the manufacturers. So, technically, all those cars you are looking at do not belong to the dealership. When you pick one out to buy, you will go to your bank to get a loan to pay for it. Your bank writes a check to the dealership, you drive away in your new car, and the dealer then writes a check and sends it to the floor plan finance lender. And then in about a month, you have to send in a payment to your bank.

What if the dealership doesn't send in the money it received when you purchased the car? What kind of repercussions can happen to the dealer, the lender, you and your bank?