What does it mean by sold as trade sale?

Chibisan

I'm enquiringly about a used car that has been in their stock for 3 months now. I emailed them to see how much more discount can they give me.

I got a reply saying "car is now being sold as a trade sale due to failing retail prep". In simple term, does it just mean that they are unable to sell it and is now selling it at the value they bought the car for?

I don't know the dealer but it seems like they are quite a reliable dealer based on online reviews and on their FB page. Very rarely I see dealers with so little bad reviews.

rhino_horn

Dealers shouldn't really sell cars trade to private customers. If they are sensible they won't.

If it has failed retail prep it means that there are things wrong with it - now this could be anything from needing new brakes or tyres or something more costly.

Due to the new consumer laws if you find the car faulty within 6 months of purchasing it you can get your money back. Any sensible dealer will not sell you this vehicle as the chances of you coming back with an issue is reasonably high.

I am a dealer, there is no way we would sell a car that failed our retail prep standards to a private customer. If something has failed that doesn't cost much to repair, we will do the work. If it is something extremely costly, we wouldn't bother and trade it out, usually at the same price we bought it at just to get rid. There is usually a trader out there that would be prepared to do the work.

Chibisan

Oh wow I didn't know about the new 6 months consumer laws. I guess my question would be to ask them what is wrong with the car? They have already knocked off 30% of the original price. From the photos, it looks like both the interior and exterior is in good condition. I know, looks can be deceiving but I guess they were being honest. Do you mind if I PM you the number plate or where it is on autotrader?

Many thanks.

societys_child

Just put the link on here, then we can all have a look.

dlm

Trade sale will be a price lower then retail, a little more than auction price, or what he feels it would get. It would use the assumption that it would not have anything done to it - not service, cam-belt, warranty etc

However - you will get a minimum protection for sale as he is a dealer - even if sold as trade - ie if you buy and head gasket is blown you should be able to return - unless you have signed something that states otherwise so check terms and conditions.

However - if you are taking the risk anyway....why buy trade, when you can go to auction???? Go in working hours as proper trade will be there and not so many privates pushing price up. Aim for somewhere around 50% of value as a guide. You can buy your own warranty, service and belt with the savings!!

Chibisan

http://www.autotrader.co.uk/classified/advert/201512199563828/usedcars?logcode=visc

This is the one that I'm interested in. It isn't much cheaper than the other deal. But from the photos, it does look like it is maintained well and has full dealer history.

I don't know about auction. This is going to be my first car and although I'm an engineer, I'm definitely not a mechanic and knows nothing about cars.

CKhalvashi

I bought a Focus from a scrap yard, and the guy that sold it (family friend) was adament that the invoice was going into my Ltd company name, and I bought the car from the company for the same amount as it was purchased.

May seem stupid, but there was about £400 needed to be spent (windscreen and 2 tires), and he wasn't willing to take the risk I'd come back to him with a bill (especially as I'd only paid £350 for the car).

Can't help other than that, but is there any way that you can make it a genuine sale to a business, rather than to you privately?

jk0

Chibisan wrote: »

http://www.autotrader.co.uk/classified/advert/201512199563828/usedcars?logcode=visc

This is the one that I'm interested in. It isn't much cheaper than the other deal. But from the photos, it does look like it is maintained well and has full dealer history.

I don't know about auction. This is going to be my first car and although I'm an engineer, I'm definitely not a mechanic and knows nothing about cars.

There's a lot of complicated toys on that Merc to go wrong. If even a motor trader can't repair it economically, what makes you think you can?

rhino_horn

Check the MOT history. It failed in December but passed in Jan. Did they carry out the work and just do enough to get it through the MOT?

dlm

Chibisan wrote: »

http://www.autotrader.co.uk/classified/advert/201512199563828/usedcars?logcode=visc

This is the one that I'm interested in. It isn't much cheaper than the other deal. But from the photos, it does look like it is maintained well and has full dealer history.

I don't know about auction. This is going to be my first car and although I'm an engineer, I'm definitely not a mechanic and knows nothing about cars.

3.2 is a pretty good engine - go for LPG powered if you can - peanuts to run. Cornwall to London around £20 at a gas guzzling rate the police would shake their head at.

Gearbox would be main issue - look for slow change from cold, hesitence in kickdown and re-engage when letting throttle off. Oil leaks also.

You might find a charge light flash up briefly - nothing too drastic, there is a charge relay that can play up of these. Drop links are prone - around £10-15 each and easy to replace, anti-roll bar buashes cheaper from Mercedes.

Rust warranty is 10 years, but depends on any repairs it has had so check. Underside is terrible for trapped water/rust. Looks nice but enthusiastic sealant application habours pockets of water so poke around, and maintain your floorpan.

I find it strange a 99k Merc would be trade. Possible rust beneath or failure of something. You can Purchase your own warranty.

Price I would say is high for what it is - certainly not what I would call trade. around £1800-2200 would be more like it, Why not have a browse at an auction first, and see what they are going for - or take the reg number do an HPI check, and then price up a top whack warranty for 2 years? Say is is £400, offer his cost less this for cash, and you take out the warranty.

Also, disc for navigation is important, and Command can play up - so make sure working as your are looking £500 for a used replacement. Diagnostics will tell you of any OLD issues it has had - may be good to get someone read it with a Merc Starscan if there is a mobile diag in your area.

Darn good cars otherwise.

arcon5

You dont have a right to a refund for the first 6 months at all.

And trade sale basically means you are buying it and all its faults... grey area and all but the simple fact is don't be paying silly money for a car then expecting the dealer to bend over two weeks later when you realise there are some problems.

The point made by others is that the dealer MAY be liable for inherent faults depending on the price, age, nature of and description.
So for example you cant buy a car advertised as spares/repairs because of an engine knock t hen have any rights when a con rod fires through the block