Credit card charges for car purchase

decodiva

I've just bought a new car and have used three newly opened credit cards with 0% interest for 18 months to help with the payment. The garage told me two days before collecting the car that there would be a 3% plus vat charge on using these cards.

Are they within their rights to charge this or are they just trying it on?

Needless to say, I complained and they waived the fee.

Roger1

It's a question of negotiation. They can ask for what they want and you can accept, decline or negotiate.

You negotiated and got 0%.

I don't understand the VAT bit. That definitely sounds like a try-on.

JimmyTheWig

decodiva wrote: »

Are they within their rights to charge this or are they just trying it on?

I would have said that it is par for the course and most garages would do the same.
But if you can pay a fair chunk of the cost off before being charged interest then it's still worth it.

Needless to say, I complained and they waived the fee.

Nice one. I'm surprised, but it's always worth asking.
Saying that, they probably would have given you a 3% discount for cash if you'd asked.

jason1231972

decodiva wrote: »

I've just bought a new car and have used three newly opened credit cards with 0% interest for 18 months to help with the payment. The garage told me two days before collecting the car that there would be a 3% plus vat charge on using these cards.

Are they within their rights to charge this or are they just trying it on?

Needless to say, I complained and they waived the fee.

Of course they're within their rights to ask for a fee. Loads of companies charge fees for paying by credit card (insurers, DVLA, airlines, ticket agents, etc.).

The reason it's charged is because of processing fees imposed by the credit card providers/networks, which can hit smaller businesses quite hard.

Well done on having it waived, though - just goes to show.

lisyloo

They are within their rights but I think it's poor customer service to tell you 2 days before.
They should run through everything with you before you sign both for their wn protection and also for good customer service.

Well done for getting it waived.
Perhaps they knew it was a bit naughty to slip that in at the last minute.

Roger1

JimmyTheWig wrote: »

Saying that, they probably would have given you a 3% discount for cash if you'd asked.

Good point.

It may also have been near the end of a bonus period and they needed the sale to hit the target. If so, they would have been keener to get the business and 'overlook' the c.c. surcharge.

decodiva

JimmyTheWig wrote: »

I would have said that it is par for the course and most garages would do the same.
But if you can pay a fair chunk of the cost off before being charged interest then it's still worth it.


Nice one. I'm surprised, but it's always worth asking.
Saying that, they probably would have given you a 3% discount for cash if you'd asked.

I got more than a 3% discount. It was a Skoda special promotion with £2,500 off the purchase price of a new car, so all in all a good deal.:)

chanz4

when did you tell them you were paying by credit card?

aideng

I always "negoiate" when it comes to extra cost like this... Most of the time the fees get waived because the companies realise how cheeky the are