Will i get my down payment back if i return my suv?

here's the story. lmk what you think. my wife and i went to antioch toyota and we traded in our 05 civic for a 02 sequoia. the appraiser gave us 8k for the civic and i put a 1500 down payment. we still owe 9k on the civic so what they did was they used 1k from the 1500 to help pay off the 05 civic. we pay about 298 for 66 months. the sequoia was 12,999 with 61k miles. after taxes and interest it was about 21k. do you think i got ripped off? i have bad credit. now the dealership wants us to return the sequoia because the bank won't approve the loan or we gotta get a co signer with good credit? so if i return the sequoia will i get my 1500 back and my car? is right now a good time to buy it or will it be in a later time after the p of the $798 billion stimulas and reconstucture of the economy? lmk soon. thanks! this is a new experience that we have never been through.