How much will cancelation fee be?

[elisiX]

Guys if he cant afford the car then he shouldn't have a problem getting out of the contract. If he's simply changed his mind - well he need's to honour the contract. And may not have a choice other than to wear the cancellation fee in full. At the end of the day though, if there is a genuine reason such as affordability then he should be fine. Explain the situation to them, and have a chat with the in house finance representative detailing your income and expenses.

[G-rig]

Depends on the model. If you have a GTI or Golf R that everyone wants, but has to wait for, the dealer will happily return your deposit and sell the vehicle to someone else, probably for a higher price. If your model is a dime a dozen, your bargaining power will be reduced.

Cheers.
WJ

+1, they usually give you your deposit back if its a sought after model, or at worst usually just lose your deposit unless the saleseman is a real prick (even though it in the contract they woudn't want bad publicity or ward off future buyers). Depends if you can explain your situation.

It's also good to include clases next time such as 'subject to finance satisfactory to the buyer' in the even you don't get approved (some in house finance companies find a way though).

[GTi Bhoy]

The dealership is entitled to recover the amount on the contract, I guess you think that the sales man, sales manager, ming mole, support staff and so on all work for free? And that dealership financing of stock cars has 0% interest?[/QUOTE]

Get a grip I worked as a salesman and a sales manager for over 13 years I know how it works my friend.

[Christopher]

...

Get a grip I worked as a salesman and a sales manager for over 13 years I know how it works my friend.

So based on the experience, how do you see this playing out?

[elisiX]

From page 2..

Who is the dealer ?
5% is all the contract says they can charge.
if you explain your situation and if all else fails demand your money back you will get it. Tell them you will go to fair trading and they wil roll over.
If it costs you anything it will be rare as they can sell the car to someone else and make the same or more. Getting the car into the dealership has cost them nothing.

[Christopher]

Sorry, I should have been more clear... More so getting at that with GTi Bhoy's dealership experience, are they generally forthcoming in waiving the % charge that's stated in the contract?
i.e. will they roll over when fair trading get involved or do they stick to their guns and say that's it's written in black and white...

[elisiX]

I doubt it'd even get to the point of Fair Trading getting involved.

It's the threat that counts.

[GTi Bhoy]

The threat will generally work plead you cant afford it and it was a mistake. If you are happy for them to keep the deposit tell them and that should work.
Otherwise if you book a date with fair trading they should do a backflip as this is normally a waste of their time and no one wants to end up there.
97% of the time they rule in the customers favour. As I said earlier the dealer has lost nothing they can still sell the car to someone else and it was probably coming into stock anyway.

Gav.

[Maverick]

The threat will generally work plead you cant afford it and it was a mistake. If you are happy for them to keep the deposit tell them and that should work.
Otherwise if you book a date with fair trading they should do a backflip as this is normally a waste of their time and no one wants to end up there.
97% of the time they rule in the customers favour. As I said earlier the dealer has lost nothing they can still sell the car to someone else and it was probably coming into stock anyway.

Gav.

Book a date with fair trading? They can't do anything and you don't book a date you send them a letter.

FFS why can't people take some responsibility for their actions instead of running crying to try and be absolved of their responsibilities. This is why this country is going down the crapper.

The dealer is now carrying an additional car they have to finance and sell so there is an additional cost to the m and what about all the staff involved in the sale? They don't work for free.

BTW I'm still waiting for you to explain the 5% cancellation. Just because that is the standar mta contract percentage means nothing as his contract states 10%.

[Maverick]

The dealership is entitled to recover the amount on the contract, I guess you think that the sales man, sales manager, ming mole, support staff and so on all work for free? And that dealership financing of stock cars has 0% interest?

Get a grip I worked as a salesman and a sales manager for over 13 years I know how it works my friend.

Tell us how it works. He entered into a contract and cancelled. He now owes a payment for breaking it.

Are you suggesting the staff work for free and financing stock is also free?