Finance deal incorrectly advertised

timmeh500

I recently bought a car from a branch of a well known dealer. I'd gone to look at the car after seeing an advert on the dealer's website that stated 0% finance was available and it would also come with 2 years' free servicing.

When we went to look at the car I asked about the 0% and they said it wasn't it was 7%. I showed them their own advert and gave me some explanation about it being 0% if less than half the cost of the car was on finance. We left it then to mull it over.

We decided to buy the car any way because despite the finance issue it was still a good price and we really needed a bigger car after having a baby. So I purchased it with adding in an additional deposit meaning less than half the cost was on finance. Still no 0% finance.

I took a copy of the advert and have written to the dealer's head office. A week later I've not had any response so far.

Any advice for how to proceed? Realise I may have no recourse because I signed agreements etc and still happy with the car but doesn't seem any harm in pushing this further as they blatantly advertised it incorrectly.

NB also worth noting that even after I highlighted the advert stating 0% it remained on their website for a further 2 days and was only updated when their site was updated to reflect a new promotion.

neilmcl

You've got no recourse, despite what the original advert stated. You were told that it wasn't 0% and you chose to go ahead with the purchase. Simple as that really.

[Deleted User]

timmeh500 wrote: »

When we went to look at the car I asked about the 0% and they said it wasn't it was 7%. I showed them their own advert and gave me some explanation about it being 0% if less than half the cost of the car was on finance. We left it then to mull it over.

This is often the case with 0% deals (minimum deposit)

We decided to buy the car any way because despite the finance issue it was still a good price and we really needed a bigger car after having a baby. So I purchased it with adding in an additional deposit meaning less than half the cost was on finance. Still no 0% finance.

Any advice for how to proceed? Realise I may have no recourse because I signed agreements etc and still happy with the car but doesn't seem any harm in pushing this further as they blatantly advertised it incorrectly.

You bought the car, are happy with it, so how exactly do you intend to "push this further"? Surely you should have pursued this before agreeing the purchase if you weren't happy with the finance arrangements?

AdrianC

What was the exact wording of the small print on the ad?

iolanthe07

The 0% was what is called an invitation to treat. They do not have to honour it at the point of sale unless the contract has been signed with the 0% specifiied. It is similar to a trader accidentally putting the wrong price tag on an item by mistake. The general public view is that you can hold the trader to the price tag, but this is actually erroneous.

motorguy

timmeh500 wrote: »

I recently bought a car from a branch of a well known dealer. I'd gone to look at the car after seeing an advert on the dealer's website that stated 0% finance was available and it would also come with 2 years' free servicing.

When we went to look at the car I asked about the 0% and they said it wasn't it was 7%. I showed them their own advert and gave me some explanation about it being 0% if less than half the cost of the car was on finance. We left it then to mull it over.

We decided to buy the car any way because despite the finance issue it was still a good price and we really needed a bigger car after having a baby. So I purchased it with adding in an additional deposit meaning less than half the cost was on finance. Still no 0% finance.

I took a copy of the advert and have written to the dealer's head office. A week later I've not had any response so far.

Any advice for how to proceed? Realise I may have no recourse because I signed agreements etc and still happy with the car but doesn't seem any harm in pushing this further as they blatantly advertised it incorrectly.

NB also worth noting that even after I highlighted the advert stating 0% it remained on their website for a further 2 days and was only updated when their site was updated to reflect a new promotion.

0% finance deals are often restricted to specific models, specific cars (that they perhaps have had in stock for a period of time) and specific age (sometimes new only, sometimes pre-reg, sometimes used)


If you could link us to the advert, then tell us exactly what you bought then maybe we can help you find why your car didn't qualify.


BUT, as others have said, you chose to buy the car anyway at the agreed rate, so the point is now moot.

dannyrst

iolanthe07 wrote: »

The 0% was what is called an invitation to treat. They do not have to honour it at the point of sale unless the contract has been signed with the 0% specifiied. It is similar to a trader accidentally putting the wrong price tag on an item by mistake. The general public view is that you can hold the trader to the price tag, but this is actually erroneous.

100% agree, same as in a shop, if something is mispriced, the store doesn't have to sell the item at that price.

However, I'm pretty sure you aren't allowed to deliberately mislead people by saying "Come to our dealership and you can have 0% finance." when in reality only one car can be had on that deal (unless the small print states further terms). Not that it would help the OP gain 0% finance deal of course, but if they felt aggrieved they could pursue down that avenue (subject to the wording of the advert and other terms).

Mobeer

iolanthe07 wrote: »

The 0% was what is called an invitation to treat. They do not have to honour it at the point of sale unless the contract has been signed with the 0% specifiied. It is similar to a trader accidentally putting the wrong price tag on an item by mistake. The general public view is that you can hold the trader to the price tag, but this is actually erroneous.

See item 10 "Promoting a product you don’t want to sell " in:
"The Consumer Protection from Unfair Trading Regulations: a basic guide for business"
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/284446/oft979.pdf

The OP is suggesting a case of "bait and switch", which is illegal. Whether that is true is hard to judge based upon this thread.

motorguy

Mobeer wrote: »

See item 10 "Promoting a product you don’t want to sell " in:
"The Consumer Protection from Unfair Trading Regulations: a basic guide for business"
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/284446/oft979.pdf

The OP is suggesting a case of "bait and switch", which is illegal. Whether that is true is hard to judge based upon this thread.

I would say its more than likely that the car the O/P has bought was not within the scope of the offer.

I bought a brand new Passat back in 2010 when there was a 0% offer on. That particular car had been bought in by the dealer from VW Group as part of a batch (mine was a 2.0TDI when they had just introducted the 1.6TDI) and thus fell outside of the offer that VW Group had on for 0% finance (something to do with build dates).

There was an extra £3K of discount in the car that i couldnt otherwise have got so i wasnt gutted about not getting 0%.

You cant have your cake and eat it - if the O/P got the exceptional deal they were suggesting, then chances are it was in lieu of the 0% offer, or the car fell outside the offer.

rhysadams

0% finance deals aren't always that good anyway, as the dealer itself, normally has to subsidise the deal using margin which could effectively be knocked off.

When I worked in car sales, there were times when taking a low interest deal and the money off could work out cheaper than 0% but I am talking a long time ago!

motorguy

rhysadams wrote: »

0% finance deals aren't always that good anyway, as the dealer itself, normally has to subsidise the deal using margin which could effectively be knocked off.

When I worked in car sales, there were times when taking a low interest deal and the money off could work out cheaper than 0% but I am talking a long time ago!

0% deals on new cars are usually funded by the manufacturer.