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Car dealer not returning deposit

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Hey all, I'm after a bit of advice on the best course of action for this situation

I agreed to buy a car from a dealer, and paid them £150 as a deposit. The transaction was dependant on the car having a new 12 month MOT put on it.

A few days later I got in touch with the dealer to see how things were progressing and was told that the car would cost to much to MOT to make the deal worth while for them, and that they were pulling out.

They did offer me other cars from their lot, but I rejected them, and they agreed to refund my deposit. However they are yet to do so, claiming they do not have the funds whenever I call/visit their lot.

I plan on visiting the CAB as soon as, but thought I would ask the knowledgeable folks here as well, get as much info as possible and all that.
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Comments

  • missymugwump
    missymugwump Posts: 1,171 Forumite
    I would go to my local police station and report it
    If they do this as common practice someone should know

    How did you pay the deposit ? if it was a card you may be able to claim the money back

    If it was cash did you get a receipt ?
    If so what does it say it was for

    If you paid cash & got no receipt you are going to have trouble proving it but should still report it

    I would put in writing to them your full complaint and that they have 7 days to forward you a chq for your money
    Failure to comply will result in a small claims being submitted to the court & tell them you have already reported it also

    The squeaky wheel gets the oil so they may pay you to get rid of you ?
    "Very funny, Scotty. Now beam down my clothes." :cool:


    All truth goes through three stages. First, it is ridiculed. Then, it is violently opposed. Finally, it is accepted as self-evident.
  • phlogeston
    phlogeston Posts: 228 Forumite
    Rusty! wrote: »
    Hey all, I'm after a bit of advice on the best course of action for this situation

    I agreed to buy a car from a dealer, and paid them £150 as a deposit. The transaction was dependant on the car having a new 12 month MOT put on it.

    A few days later I got in touch with the dealer to see how things were progressing and was told that the car would cost to much to MOT to make the deal worth while for them, and that they were pulling out.
    Rusty! wrote: »

    What were the terms of the contract...
    (1) they would sell you the car with 12 months MOT or
    (2) they would sell you the car on the condition it was able to pass the MOT

    If option (1) they are still obliged to sell you that car with 12 months MOT, or they are liable for any loss you incurr as a result of the breach (e.g. you can buy a similar car and sue them for any loss, or take that car and sue for the necessary repairs)

    If option (2), you are entitled to your money back.

    It sounds as though they are going out of business. Therefore, you are not going to see a penny in either case.
  • Rusty!
    Rusty! Posts: 2,076 Forumite
    Part of the Furniture Combo Breaker
    Sadly it wasn't on card, that was my first choice but they claimed that the card machine wasn't working when I paid it due to a line fault (which did check out as their land line wasn't working). So cash it was.

    Good news is I have a receipt for the deposit, stating the amount I paid, with the cars make, model and reg number.

    Was thinking about police, as this seems borderline theft, but wanted as much advice as possible first.

    EDIT: Re. above: It would have been option (1), and the aforementioned reciept just mentions 'new MOT' no conditions attached to it.
  • 1) The police will laugh you out of the front door
    2) Yes its breach of contract but you wont be able to force them to go through with the contract and will be unlikely to quantify any losses to sue in court

    You are best off fighting for the deposit back and accepting thats all you will get.,
  • Rusty!
    Rusty! Posts: 2,076 Forumite
    Part of the Furniture Combo Breaker
    You are best off fighting for the deposit back and accepting thats all you will get.,
    Which is all I want, and all that I would have expected anyway.
  • MX5huggy
    MX5huggy Posts: 7,161 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Send them a letter by recorded delivery saying that you want the money returned in 7 days or you will take legal action.

    then use
    https://www.moneyclaim.gov.uk/csmco2/index.jsp
  • Rusty!
    Rusty! Posts: 2,076 Forumite
    Part of the Furniture Combo Breaker
    Update:

    Won the small claims (well by default really, was completely ignored), warrant issued for the money, but the bailiff is getting nowhere :( The place is set up to avoid this sort of action, none of the cars are registered in the companies name (apparently 'they just act as an agent, selling on peoples cars and taking a commission') so can't be repossessed, and there is nothing at the premises worth taking to sell at auction.

    The guy running it is in the bailiffs words 'a complete shyster' and has done this many times, already has 4 CCJ's and doesn't care about getting any more. Looking like I will probably have to write off the inital deposit + the court fees :mad:
  • hollydays
    hollydays Posts: 19,812 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    This post is crying out for naming and shaming of the company.
  • Tozer
    Tozer Posts: 3,518 Forumite
    Hollydays is right.

    I would be interested to know whether it is a limited company or sole trader. I suspect Ltd company in which case your options are more limited.

    Name the company!
  • maggie111
    maggie111 Posts: 1,130 Forumite
    If it's happened more than once I'd complain to the police, who should have a quick word in his ear like.
    I love surprises!
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