Bounced cheque from a car trader help

Mariska

I recently sold my car to a local car dealer. I was paid by cheque. A week later I saw on my online bank account that the cheque he had given me had been declined and stamped, 'refer to drawer, please re present'. I immediately rang the garage and explained what had happened. The owner said he would phone his bank to sort it out. When he called me back, he told me that the cheque would be represented the following day. However, the next day the cheque turned up in the post from my bank, so he clearly couldn't have represented the cheque as he had said. I called him again, and asked him if he had definitely represented the cheque, and he said he had. When I told him that that wasn't possible, as I had the cheque in my hand, he became flustered and told me to put the bounced cheque throught the door of his garage, anf he would issue me with another cheque. I explained that this time I would prefer cash. I was told that he couldn't do that as he needed to be a cheque for his account books. I would really like to know whether I have the right to demand cash instead of a cheque? Also whether I have the right to repossess my car if he refuses? Any help would be appreciated, as Im going to see him in person on Monday, and I'd like to know categorically what my legal rights are. Thanks.

arcon5

Is the cheque issued by an individual or a company?

Have him BACs the money to you - he has accounting records and you have the money. Although I suspect you are being fobbed off. As for whether you have the right to cash - I can't answer that, but you do have the right to the money, however it comes.

Personally i'd be demanding the keys for the vehicle back and leaving with it. The only complication being the fact the log book would have been sent off.

Forwandert

arcon5 wrote: »

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Personally i'd be demanding the keys for the vehicle back and leaving with it. The only complication being the fact the log book would have been sent off.

The logbook won't have been sent anywhere. When someone buys the car the logbook would get sent off. The traders would keep the logbook until they sold it and then send it off. The OP has the section to send off.

dalesrider

Mariska wrote: »

had been declined and stamped, 'refer to drawer, please re present'. I immediately rang the garage and explained what had happened. The owner said he would phone his bank to sort it out. When he called me back, he told me that the cheque would be represented the following day. However, the next day the cheque turned up in the post from my bank, so he clearly couldn't have represented the cheque as he had said. .

Well as you had paid in the cheque. It would be returned to you.

YOU need to take it back and represent it to YOUR bank.... He could not instruct his bank to do this.

Mariska

The cheque has his name printed on, with 'Trading as (company name)' underneath, so I assume that its a business cheque from his business account. He is the only signatory.

ihateyes

it amazing what people do these days.... and this is not a dig at OP.

If it was me selling the car. I wouldve parked the car on his forecourt and tell him he will get keys and log book when cheque clears.

End off.

If i walked onto his forecourt, i bet you he wouldnt release the car im buying til cheque clears.

Lesson to be learnt all round imo.

arcon5

Mariska wrote: »

The cheque has his name printed on, with 'Trading as (company name)' underneath, so I assume that its a business cheque from his business account. He is the only signatory.

Sounds like he is a sole trader. IE not a 'Ltd' company, otherwise the cheque would just read 'company name ltd'. This is a good start as if it went to court the CCJ would be against the individual, much harder to brush under the carpet, especially for somebody whom owns a bunch of cars.

Re-present the cheque to the bank and see what happens. Do you get charged for bounced cheques?

keyser666

By represent to the bank OP it means pay it back in again