Dealer scam ?

Mountain_spring

I went to buy a car on Monday and the dealer said the debit card machine was down and asked if I could pay cash for the deposit and the machine should be up and running by Tuesday. Wasnt totally sure if i liked the sound of it, but i liked the car so i went to the cash point and paid the deposit.

Phoned them Tuesday, they said sorry machine still down , we will call when its working. Its now Friday and the machine is still not working.
My mum thinks it sounds dodgy and says under no circumstance should I pay the rest in cash. So does my boss.

What shall i do now ? I have signed a contract agreeing to pay the balance. I wanted the car for this weekend. How long is reasonable to wait for the machine to be mended. When i worked in a shop our machine was replaced the next day.

Is this a scam for a cash sale ? Can i walk away if this drags on for days ? I asked them Wednesday, if another buyer walked in with cash would i lose the car, they said no.

I have been past the forecourt , the car still has for sale on it.

MX5huggy

How much was the deposit?

Do you have the cash availble?

I am thinking that maybe the dealer is about to go bust, if I had the cash and wanted the car at the price (I might negoatiate a discount for the cash as there was no CCard fee to be paid) as long as I could take the car straight away (no we need to keep the car to prep it or anything) I would do the deal.

By the way the car is still for sale if someone came in with the cash (maybe more cash than you have aggreed) then they would sell to them. When you went in the car would have been crashed into by a passing car or the machanic took it for a spin and put it in a ditch etc etc.

Lemonade_Pockets

Is this a big dealer or some backstreet outfit?

I can't understand why is this a scam?

(The only thing that i can think of is the salesman skimming of the top, i.e. he agrees a price with you which u pay for in cash. He then tells his boss and admin that he's sold it for less and gets it invoiced accordingly then keeps the difference.) But this is more scamming the dealership than you.

When you go to pick the car up make sure everything is 100% and the car is ready drive away, i.e. its got tax, still runs, got all the keys, theres no new dents and scratches.
THe last thing you do is pay the money and obviously get a reciept! I don't understand why this is any different from paying the balance on a debit card.

Unless the balance is more than money laundering limit iirc about £8-9k i personally can't see the problem.

Mountain_spring

Hey,

Yes i Have the cash in the bank. The deposit was £200

I thought paying by card gave some protection ? If i pay over £100 on my CC and the rest on my debit card, dont i get covered by clause 75 ?

The car is £3500 . It stats in their office that i have to pay 2 per cent extra if using a card.

Its not a main dealer, its a smallish place that has been there a few years.

If they sell the car or "something" happens to it mean while would i get the deposit back ?

Lemonade_Pockets

Yes if paying on credit card you would have some protection.
However if you paid this last minute just before you picked the car up i'm not sure how it would come into play, you've paid for a car, you've got a car job done.

If something happens to the car or they sell it someone else you should/would get your money back as they would not be able to complete the transaction so any contract you entered into would be void - there should be some words to this effect on your order form.

BenL

Is the car good? Is it clean on HPI? If you are worried about the car have it checked out by theaa or someone as well.

Are you getting a warranty? Is it provided by an external warranty provider or from the dealers mechanical dept?

The car should really be in the back gettting prepped, cleaned & checked over.

When is delivery scheduled for?

For that amount i would be using a bankers draft if the car is in good nick and has no outstanding finance etc.

Mountain_spring

Yes the car is clean, i have seen the hpi report, it has no finance outstanding or has been written off, it says it had a plate change but i knew that. The last owner had private plates on it.

We have had a friend look over it. We were supposed to have collected it on Tuesday so its had its pre delivery inspection, which was fine. It has also just had a MOT. I have seen the full service history and the receipts so im happy the mileage etc is as stated.

It comes with a 3 month warranty with another company. I know this isnt worth much but its better than nothing. We speant about 4 hours looking at it on Monday and driving it around.

I dont want to lose the car, i have just called them again and still no joy with the debit machine so i have arranged with my bank to get the money out and will pay cash tomorrow. I did think of a bankers draft, but i think you have to wait for them to clear ?

So fingers crossed it all works out ok

Thanks chaps

MX5huggy

Sounds like a plan enjoy the new car, what is it?

BenL

A bankers draft would usually have a £10 or so charge, these do not need time to clear as the bank takes the money from your account and puts it into one of their accounts. This money is guaranteed and the dealer could ring the hotline number on the draft to check.

A counter cheque is usually free but is drawn from your account so needs to go through the clearance cycle.

If you are happy with carrying the cash that's fine.

Enjoy the car

sheslookinhot

Get in to the garage and get them to remove the for sale sign or give you your deposit back.