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Hi,
Would appreciate anyone’s experience/view on this legally. I recently found a used car online that I wanted to view on a dealer website and there was a ‘Reserve this car’ option. So I filled in the form and the next morning the company called me to take a £250 deposit. I asked them if the deposit was refundable and they said yes it was. I told them I’d try to get to see the car the following Saturday and left it at that.
When the Saturday came around my day totally fell apart but I still thought I could get to them before they closed. The sales guy called me asking where I was and when I apologised and explained it would be another hour before I could get to them he said he couldn’t wait and had to close. I explained that it was literally the only day for several weeks that I had any chance to view the car and so that he’d better just unreserve the car. He said ok and went on to say he would issue a refund.
Fast-forward 4 days and after many phone calls asking when they would be able to refund me they are now basically saying they are keeping my money because I messed them around. They are also saying that the deposit committed me to buying the car UNLESS I found that they had lied about something or about its condition.
My question is, can they legally do this? Nothing on their website says that I have to physically view the car to get a refund, or that I am committing to buy the car, and the guy also didn’t mention anything like that when I specifically queried if the deposit was refundable. He just said ‘yes it is’ with no provisos.
So if I take it further (legally) do I have a case?
Cheers
That sounds particularly dodgy. How did you pay the deposit? If it’s by card I’d be straight onto your card provider and initiating a clawback as they’re clearly starting off on the wrong footing.
Main dealer or indy?
It's a small family-run independent. They bang on about their honesty/integrity and how important their reputation is....
What did you think the deposit was for?
What did you think the deposit was for?
That's fair, but at the point where they said...
He said ok and went on to say he would issue a refund.
I think you've every right to expect them to actually do it. If they warned you then that they wouldn't be able to refund it, you might make an effort to find a way to see the car.
It does seem weird to be able to use a fully refundable deposit to hold a car for viewing, you effectively blocked the dealer from selling to any other customer for that period. What was in it for them?
Get the small print, read it and then get legal advice.
Based on the stated circumstances, I would say yes you have a case.
You can just ask your card issuer to process a chargeback on the transaction
What is the point of the deposit?
I suspect written terms will have caveats but op was given verbal yes over phone without any ifs and buts. Which should override any written terms as op wasn't shown them when making payment.
Not sure if this helps, I just googled it
If you’ve placed a deposit on a vehicle at a distance, either online or over the phone, you are entitled to cancel your order within 14 days and receive a full refund of your deposit, regardless of your reasons or any money the retailer has spent.
https://www.themotorombudsman.org/distance-sales-faqs
Had this last summer when we needed a new car. Apparently there's some relatively new rules about selling used cars as a business. Seems you can no longer haggle over the finance rate as all customers have to be treated "fairly". Another of those things was that they couldn't keep deposits.
It does seem like a daft system but we found a number of cars blocked this way. We simply had to "join in". At one point, what with dealers wanting a deposit soon and being slow to refund, we had over £1000 worth of deposits spread around the country. Got them all back eventually.
They’ve broken the distance selling regs. If they ignore you, threaten them with small claims court and also leave a bad review on their social media/Google review.
They’ve broken the distance selling regs.
No they haven't, there's no such thing.
They've broken Consumer Contracts Regulations. Buying from a dealer you have the same rights as new. To wit, you have the right to cancel for refund within 14 days of receipt for whatever reason. You haven't even bought it yet.
I do not believe that "messing them around" has any legal precedence. I think what you have here is a chancer, try again.
What is the point of the deposit?
To dissuade time wasters.
If they're still holding your deposit presumably the car is also still being held for you?
And presumably you can then view it at your leisure, decide it's not as described, and get a refund then?
Deposits experience.... Delays on sourcing a Trials m/c - refund of deposit offered on first contact, bike could be a month arriving. Delays sourcing E bike - shop claims deposit is not refundable. Bike no firm date of arrival! Both comparatively small amounts, but both my money!
What is the point of the deposit?
In my case when I was shopping for my daughter it was so I could call back when I had more time, to show I wasn’t wasting their time and to reserve the car. What else would it be for?
Stork Baby Supplies ltd