New car contract

SueC_2

Back in April I signed a contract with a main dealer for supply of a new car which I was told would be with me "by June" (I have this in writing), and on the basis of that, I sold my previous car in readiness (it was a convertible and I wanted to sell at the beginning of the summer, when I thought it would be more saleable).  When the new car hadn't arrived by the beginning of July, I persuaded the dealer to lend me another vehicle as a goodwill gesture. 

My new car finally arrived last week, but unfortunately wasn't as specified - which the dealer fully accepted was a communication issue between them and the manufacturer, and was not in any way my fault.  The change in specification made the car into one that I didn't want, which the dealer fully accepted and was very apologetic for.  Despite being very apologetic they are now telling me that, although they are happy to reorder the car (to the right specification) for me, and leave me in the loan car until it arrives in October, prices and interest rates have gone up since I placed my order and so I will now have to pay more than was originally agreed.  This just doesn't seem right to me as I have a signed contract showing the car, the price and the interest rate, but they are refusing to budge and telling me I can "walk away" if I want to.  The truth is, I don't want to.  It took me ages selecting this car, and I really want to drive it.  Plus, if I walk away now I have to hand back the loan car and am left with no vehicle at all until I can source another car I'd like and wait for it to arrive.  Any thoughts or advice on the legalities and how to handle this situation will be much appreciated.

Yes, I do know that buying a new car isn't very moneysaving, but please don't judge me for that.

onlyfoolsandparking

Bit gutting about 'prices and interest' rates going up but it is what it is I guess and as I'm sure your aware EVERYTHING is going up at the moment. You will (I assume) be getting a newer plate car though come October? that would help take the sting out of it if it were me and I would firmly but politely screw the dealer down to the very best deal possible due to the circumstances. A thing I've done a few times when there's been a c**k up by a dealer.

NSG666

I think you need to look at the overall situation.

How much has the new car price gone up by?
What is the extra finance cost over the duration of the contract?
then look at
How much are they charging you for the courtesy car? If the answer is nothing then you will be getting a car to use from beginning of July until the end of October foc

I dare say if you read the T&Cs of the contract on the order form there will be some wiggle room for the dealer to cancel too - ferries sink, transporters crash, cars fall off transporters, there can be a worldwide shortage of parts to build cars etc.

SueC_2

Both valid points, although disappointing - I had kind of thought that a contract is a contract and the terms of it should be honoured by both sides.  I can't help but wonder how it would have worked in reverse if the correct car had arrived but I'd turned up to collect it saying I could no longer afford to pay what I'd agreed and would be reducing the monthly payments accordingly.  😂

onlyfoolsandparking

SueC_2 said:

Both valid points, although disappointing - I had kind of thought that a contract is a contract and the terms of it should be honoured by both sides.  I can't help but wonder how it would have worked in reverse if the correct car had arrived but I'd turned up to collect it saying I could no longer afford to pay what I'd agreed and would be reducing the monthly payments accordingly.  😂

A contract is a contract as you put it BUT it will be (as most are) subject to T&C's. What do they say regarding your situation?

I think if you did turn up saying you could no longer afford to pay what is/was agreed there would probably be a picture of an 'exit door' in the contract  but like I said if it were me I would be negotiating the best deal possible and your certainly in a strong position to accomplish this imo.

Not too au fait with the legalities of your consumer rights but I've never had the need to go legal with any vehicle purchase, I'm sure the dealer would prefer you both end up happy. 

SueC_2

onlyfoolsandparking said:

SueC_2 said:

Both valid points, although disappointing - I had kind of thought that a contract is a contract and the terms of it should be honoured by both sides.  I can't help but wonder how it would have worked in reverse if the correct car had arrived but I'd turned up to collect it saying I could no longer afford to pay what I'd agreed and would be reducing the monthly payments accordingly.  😂

I'm sure the dealer would prefer you both end up happy. 

As would I!  They are pretty much encouraging me to walk away though, which tells me they're really not that interested in keeping me happy.  Shame I really want the car!

Grumpy_chap

Is your car one that has high demand?

Have you got a negotiated discount and your car arrived (to the correct spec) but a.n.other offered full list price to jump the queue?

What sort of price difference are the garage talking?
It does not seem correct and, likely, the Dealer could be obligated under the contract to honour the price agreed (though some contracts have a clause about changes in price / exchange rate etc.)  Have you read the detail of the contract to see exactly what applies?

If you walk away from this deal, you will still need to buy elsewhere, pay whatever the current "today" price is and wait the lead time.  What is the best deal you can get elsewhere?  Worth knowing before notifying the current garage you are cancelling.  In the mean time, you are getting the use of a courtesy car for several months for no charge.

onlyfoolsandparking

SueC_2 said:

onlyfoolsandparking said:

SueC_2 said:

Both valid points, although disappointing - I had kind of thought that a contract is a contract and the terms of it should be honoured by both sides.  I can't help but wonder how it would have worked in reverse if the correct car had arrived but I'd turned up to collect it saying I could no longer afford to pay what I'd agreed and would be reducing the monthly payments accordingly.  😂

I'm sure the dealer would prefer you both end up happy. 

As would I!  They are pretty much encouraging me to walk away though, which tells me they're really not that interested in keeping me happy.  Shame I really want the car!

They are really not that interested in keeping you happy hmm that's interesting, it sort of suggests (and I could be wrong here) they are on a 'loser' with the deal that they are of course obliged to fulfill with you. Have you run the numbers with other dealerships on the same spec/model car, they might? come out much more expensive than the proposed increase/s your being hit with, just a thought?

I'm currently in the market for a 'new' car and 6-8 weeks ago the model I'm looking at was around 8k, they are now currently being offered around 9K, cars are getting more expensive in current climate   

Grumpy_chap

SueC_2 said:

As would I!  They are pretty much encouraging me to walk away though, which tells me they're really not that interested in keeping me happy.  Shame I really want the car!

If they know that you want the car more than they want the sale...

onlyfoolsandparking

Grumpy_chap said:

SueC_2 said:

As would I!  They are pretty much encouraging me to walk away though, which tells me they're really not that interested in keeping me happy.  Shame I really want the car!

If they know that you want the car more than they want the sale...

Yep that is true, it's a game of poker with many dealers, luckily I like Poker 

SueC_2

Grumpy_chap said:

Is your car one that has high demand?

Have you got a negotiated discount and your car arrived (to the correct spec) but a.n.other offered full list price to jump the queue?

What sort of price difference are the garage talking?
It does not seem correct and, likely, the Dealer could be obligated under the contract to honour the price agreed (though some contracts have a clause about changes in price / exchange rate etc.)  Have you read the detail of the contract to see exactly what applies?

If you walk away from this deal, you will still need to buy elsewhere, pay whatever the current "today" price is and wait the lead time.  What is the best deal you can get elsewhere?  Worth knowing before notifying the current garage you are cancelling.  In the mean time, you are getting the use of a courtesy car for several months for no charge.

Sorry, I don't know the answer to any of your questions off the top of my head, I need to revisit the small print and see what it says.

To be fair I think 'my' car did arrive to the wrong spec, and that it was a genuine manufacturing error.  But yes, there is shortage of supply, and looking it from their point of view, why would they sell me the next one off the production line at a lower price than they can sell it to someone buying at today's rates.  I can see why me walking away works for them, but sadly it doesn't really work for me.  I blinkin' hate car shopping, and really don't want to have to start the whole palavar again!