Deposit paid -car not needed due to poor health

geri33

Dear All

My mum paid a £1k deposit on a second hand car from a well known dealership 3 weeks ago. Unfortunately, since then she has been hospitalised and her condition has deteriorated somewhat that we haven't been able to go to the dealership and pay the remaining balance. I spoke to them today and explained the situation and they said that they would keep the car for as long as possible, the main thing being my mum should get better and get back in touch when she is out of hospital. Unfortunately, the prognosis isn't good and now I am not sure what we should do about this car if the worst happens. Does anyone know the legal position or will be relying on a goodwill from the garage in giving a refund of the deposit if the worst happens or are we legally obliged to purchase it.

Thanks.

vax2002

Your Liability is restricted to the Deposit, which is a bond of compensation if you back out.
Always leave the minimum deposit you can get away with and dont leave a deposit if you can just go back and buy the goods.

jb66

maybe meet in the middle and call it £500

geri33

vax2002 wrote: »

Your Liability is restricted to the Deposit, which is a bond of compensation if you back out.
Always leave the minimum deposit you can get away with and dont leave a deposit if you can just go back and buy the goods.

Hi Vax

You are quite right but we never envisaged this was going to happen. Thanks for advice.

arcon5

£500 still seems a little too high to me. I would say anything above a couple hundred pound would be classed as a penalty.


Read this op, it will clear everything up for you:

https://forums.moneysavingexpert.com/discussion/comment/42873192#Comment_42873192

geri33

arcon5 wrote: »

£500 still seems a little too high to me. I would say anything above a couple hundred pound would be classed as a penalty.


Read this op, it will clear everything up for you:

https://forums.moneysavingexpert.com/discussion/comment/42873192#Comment_42873192

Thanks Arcon, this article is really helpful.

vax2002

unfortunately, with all the good will and law in the world, they still have your money.

Flyboy152

arcon5 wrote: »

£500 still seems a little too high to me. I would say anything above a couple hundred pound would be classed as a penalty.


Read this op, it will clear everything up for you:

https://forums.moneysavingexpert.com/discussion/comment/42873192#Comment_42873192

It is great to see that one finally up on the FAQs and that this perennial argument is now (hopefully) settled.

Flyboy152

vax2002 wrote: »

unfortunately, with all the good will and law in the world, they still have your money.

And a quick twenty minutes filling in a Money Claim Online form at the HM Courts & Tribunals Service website will more than likely change that.

Hintza

vax2002 wrote: »

Your Liability is restricted to the Deposit,

Not necessarily true, if the company could prove losses over and above the deposit, then they could sue for that too.