New car ordererd but now price has gone up!

GeeCox

Hello, I hope somebody will be able to give us some advice.

Three weeks ago, we went to a Volvo showroom and asked about buying a new car under the scrappage scheme. The salesman wrote down some figures, which we took away with us. A few days later we 'phoned to say we'd like to proceed with the purchase, then went back to the showroom, a week after the first visit to place the order. We paid £500 deposit and signed the Vehicle Order Form. Yesterday (13 days later!!) the salesman telephoned to say he has made a mistake with his arithmetic and he will need another £750 to continue with the order, or if we prefer, we can walk away and have our deposit returned!

We do still want the car, but £750 is not a small amount of money.

Unfortunately, we don't seem to have anything with relevant terms and conditions for us to check, but the order does quote our agreed price and it does say 'This document contains the terms of a contract. Sign it if you wish to be legally bound by them.'

Can anybody tell us if they are legally able to do this, and what our rights are in this situation? We would really appreciate your input.

Many thanks

motorguy

GeeCox wrote: »

Hello, I hope somebody will be able to give us some advice.

Three weeks ago, we went to a Volvo showroom and asked about buying a new car under the scrappage scheme. The salesman wrote down some figures, which we took away with us. A few days later we 'phoned to say we'd like to proceed with the purchase, then went back to the showroom, a week after the first visit to place the order. We paid £500 deposit and signed the Vehicle Order Form. Yesterday (13 days later!!) the salesman telephoned to say he has made a mistake with his arithmetic and he will need another £750 to continue with the order, or if we prefer, we can walk away and have our deposit returned!

We do still want the car, but £750 is not a small amount of money.

Unfortunately, we don't seem to have anything with relevant terms and conditions for us to check, but the order does quote our agreed price and it does say 'This document contains the terms of a contract. Sign it if you wish to be legally bound by them.'

Can anybody tell us if they are legally able to do this, and what our rights are in this situation? We would really appreciate your input.

Many thanks

I dont think you can legally make them complete the sale, nor can they legally make you part with the extra £750.

Why not make an appointment with the sales manager and see if a compromise can be reached. This happened me some years ago with a used car, but the manager got involved and they met me halfway, which to me was better than losing a car that i had my heart set on.

GeeCox

That's a good idea, we'd be willing to negotiate if they would do that. We'll give it a try and hope the sales manager is a nice man.

Thanks Paul

roger196

There is a contract and they are bound by it unless they can point to one of the conditions that allow them to increase the price under certain specified events. This condition may or may not be fair....ring trading standards once you have got the paper work.

ankspon

I would go speak to the manager and say you want the car but are not prepared to pay£750 extra for it.I'm sure they won't want to lose the sale.

janninew

That sounds totally unfair to me. Surely you have signed a legally binding contract and you have paid a deposit for the car you wanted at an agreed price with the garage? I would definetly see the sales manager and if that doesn't work, write a strongly worded letter to the director. Good luck!

GeeCox

Thank you Good idea to ring Trading Standards — will do that before we call the dealer.

DirectDebacle

GeeCox wrote: »

Unfortunately, we don't seem to have anything with relevant terms and conditions for us to check, but the order does quote our agreed price and it does say 'This document contains the terms of a contract. Sign it if you wish to be legally bound by them.'

Seems to me the contract is legally binding on both parties. Quite possible that if you had cancelled the order(changed your mind or whatever) then the dealer may insist that you have lost the deposit. They want to have their cake and eat it.

Negotiate with the dealer first.

Good advice re Trading Standards. Don't forget CAB or legal assistance if you have it on your vehicle or home insurance policy for advice.

Green.Lander

i would also write a letter to volvo ... re-train staff?

Hintza

I would aslo speak to another dealer and see what deal you get there.

flyingscotno1

I read a letter in one of these 'Ask a lawyer' bits about something similar where the list price of the car increased after the person had ordered it and paid a deposit. In that circumstance they could insist on a deposit back in full or negotiate the price increase but could not insist that they sold the car at the original price.

I'd imagine it will be similar.

I'd check the wording of a contract first too as in the main the contracts garages make you sign are usually a bit one sided- they are to make sure you don't run, rather than affect them! My last one had a bit about if the manufacturer or concessioner increased the price you have 14 days to get deposit back otherwise you accept in increase.