cancelling a deposit cheque for used car?

ella_minnow

I am considering buying a used Volkswagen car - been looking for a while and this seems like an excellent model - all checks fine so far. I would like to organise a vehicle inspection for final peace of mind.

The dealer will not hold the car for me and I know it will sell fast, having been disappointed previously. The price is £2,700 - I have offered to pay £500 while I organise finance - the dealer has agreed.

I wondered if I organise a vehicle inspection within this time frame and the car doesn't come back with a clean bill of health can I simply then cancel the deposit cheque with no comeback. This way I get the car effectively held for me and still get to check it out.

Is there any flaw in this approach? I am a genuine buyer - just want to cover myself.

EM

DaveF327

The flaw might be that the dealer will only accept cleared funds as a deposit, not a dodgy cheque. He may insist on a non-refundable cash deposit.

Hotspur

If you make it a condition of the sale that the check must be 100% otherwise your deposit should be refunded then that forms part of the contract i.e. conditional on something. I'd get the dealer to write this down on the receipt for the deposit though

Keith

Isn't a cheque a promise to pay? So by canceling it, you'd still have a legal promise to pay.

ilovebanksMCMLXXXI

Hi

Any dealer worth its salt would not accept a cheque as a deposit for the simple reason that you could cancel it - In my experience, cleared funds is the only deposit to secure a sale.

If the dealer is reputable they should have no issue whatsoever in you carrying out an independent inspection and if the car doesn't pass they should reimburse your deposit with no questions ask.

I understand your position but if you are dealing with a decent car dealer you should have no issues - if they won't accept your reasonable terms of sale I would suggest they have something to hide and you should walk away.

All the best

motorguy

Hotspur wrote: »

If you make it a condition of the sale that the check must be 100% otherwise your deposit should be refunded then that forms part of the contract i.e. conditional on something. I'd get the dealer to write this down on the receipt for the deposit though

+1

I would do exactly this.

ella_minnow

The cheque wouldn't be dodgy, my worry is that the car might be though! He has agreed to accept a cheque.

ella_minnow

Even if the car showed serious problems?

wealdroam

ella_minnow wrote: »

Even if the car showed serious problems?

What?????????????