Dealership refusing to refund deposit

e_boz

Can anyone help me.
I saw a car £17690 advertised on the internet at a dealership 20miles away. It said it had 25 miles on the clock. I drove to them and saw the car. It had 430 miles !! The internet sales page they sent me said 1000 miles!!! I paid a £500 deposit on my C Card and then said i would be back 2 days later to talk about finance with my husband. i had not signed any paperwork and consequently had not received any from them either re a vehicle order form. i returned 2 days later and said i would look at their finance deals. They filled in a proposal form and said that it would not be put forward until i had obtained a quote from my bank on the monday (this was a saturday). 20 minutes after leaving the dealership i received a phone call to say my finance had been accepted. I have decided not to buy this car as my local dealer is prepared to beat their deal. I rang them, e mailed them and wrote to them all on the same day ( Saturday) confirming my intention to cancel. The original dealership is now refusing to refund my deposit of £500. I have managed to stop the finance going through.

neilmcl

What do you thnk a deposit is for!

Why should they refund you it when you've changed your mind.

e_boz

just wondered what my rights were as the dealership has not incurred any costs with the vehicle being reserved for me.
I have contacted my credit card company and entered the dispute process.

Anihilator

Legally a deposit can't be non refundable and has to be a quantifiable estimate of their loss due to your breach of contract. In this case I see no problem with quantifying £500 loss.

e_boz

So the dealership are "quantifying" that they have lost £500 by me not buying the car ?

goRt

e_boz wrote: »

just wondered what my rights were as the dealership has not incurred any costs with the vehicle being reserved for me.
I have contacted my credit card company and entered the dispute process.

It's entirely possible that a buyer was turned away as you'd paid a deposit - that's what a deposit is for - to show your commitment

Tozer

Anihilator wrote: »

Legally a deposit can't be non refundable and has to be a quantifiable estimate of their loss due to your breach of contract. In this case I see no problem with quantifying £500 loss.

That is not correct. Where does any law say that a deposit cannot be non-refundable?

It doesn't have to be a quantifiable estimate but a genuine pre-estimate of the loss likely to be suffered by not proceeding with the purchase.

I think it will be a fairly straightforward process to argue for the £500 to be refunded.

e_boz

So should i speak again to the dealership? What do i quote - that the £500 is not a loss to them? sorry but am so upset by their attitude today.
I have signed nothing - any help appreciated

Anihilator

e_boz wrote: »

So the dealership are "quantifying" that they have lost £500 by me not buying the car ?

Yes in essence legally this would need to be shown.
Quite easily done though by time dealer spent on the paperwork, any clean up of the car done in preparation, the fact someone else could have bought it etc.

In all honesty I have not a lot of sympathy. You !!!!ed them about. You do your negotiating etc in advance. You agree to buy the car and pay a deposit then. You dont do it first then withdraw.

goRt

Tozer wrote: »

That is not correct. Where does any law say that a deposit cannot be non-refundable?

It doesn't have to be a quantifiable estimate but a genuine pre-estimate of the loss likely to be suffered by not proceeding with the purchase.

I think it will be a fairly straightforward process to argue for the £500 to be refunded.

Let's see the terms the deposit was paid under - facts!

Anihilator

It was paid under the terms you were purchasing the car and deciding upon your finance options.
Nothing about the deal not being confirmed etc though.