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"I'm never shopping THERE again!" Share your story!

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Virg:
perpetua wrote:

"Yes, I'm confused why the dealership are SS in this situation, sounds like they're just exercising their rights to me.  Putting a deposit on something shows intention to buy and prevents the seller from selling it to anyone else until you've paid the balance and picked up the item. Then your daughter decided she hated the car, but in the meantime they may have lost out on selling it to anyone else, over a weekend, when most car sales are made. So I think they're entitled to keep it, because they've potentially lost a sale through your daughter changing her mind."

Their malfunction isn't in depositing the check, it's in telling her that they were returning the deposit, and then depositing the check a week later.  If they intended to keep the deposit, then it behooves them to say so at the outset, not promise to destroy the check, sit on it for a week and then process it.

Virg

perpetua:

--- Quote from: Virg on January 03, 2014, 09:36:38 AM ---perpetua wrote:

"Yes, I'm confused why the dealership are SS in this situation, sounds like they're just exercising their rights to me.  Putting a deposit on something shows intention to buy and prevents the seller from selling it to anyone else until you've paid the balance and picked up the item. Then your daughter decided she hated the car, but in the meantime they may have lost out on selling it to anyone else, over a weekend, when most car sales are made. So I think they're entitled to keep it, because they've potentially lost a sale through your daughter changing her mind."

Their malfunction isn't in depositing the check, it's in telling her that they were returning the deposit, and then depositing the check a week later.  If they intended to keep the deposit, then it behooves them to say so at the outset, not promise to destroy the check, sit on it for a week and then process it.

Virg

--- End quote ---

Yeah, I agree they handled that badly. My first thought was perhaps the salesman said he was going to return the check then the manager pointed out that it was a deposit and put a stop his doing that. They probably should have informed the customer of that though. But they weren't in the wrong to keep it. It was a deposit, and the customer changed their mind - that's the whole point.

Bexx27:

--- Quote from: perpetua on January 03, 2014, 10:13:45 AM ---
--- Quote from: Virg on January 03, 2014, 09:36:38 AM ---perpetua wrote:

"Yes, I'm confused why the dealership are SS in this situation, sounds like they're just exercising their rights to me.  Putting a deposit on something shows intention to buy and prevents the seller from selling it to anyone else until you've paid the balance and picked up the item. Then your daughter decided she hated the car, but in the meantime they may have lost out on selling it to anyone else, over a weekend, when most car sales are made. So I think they're entitled to keep it, because they've potentially lost a sale through your daughter changing her mind."

Their malfunction isn't in depositing the check, it's in telling her that they were returning the deposit, and then depositing the check a week later.  If they intended to keep the deposit, then it behooves them to say so at the outset, not promise to destroy the check, sit on it for a week and then process it.

Virg

--- End quote ---

Yeah, I agree they handled that badly. My first thought was perhaps the salesman said he was going to return the check then the manager pointed out that it was a deposit and put a stop his doing that. They probably should have informed the customer of that though. But they weren't in the wrong to keep it. It was a deposit, and the customer changed their mind - that's the whole point.

--- End quote ---

My guess is that they said they wouldn't cash it, but figured they'd be able to convince Redneck Gravy to use the deposit toward a different car.

Virg:
perpetua wrote:

"Yeah, I agree they handled that badly. My first thought was perhaps the salesman said he was going to return the check then the manager pointed out that it was a deposit and put a stop his doing that. They probably should have informed the customer of that though. But they weren't in the wrong to keep it."

There's no "probably" about this situation, it's a requirement.  If they had told her that the deposit was non-refundable, they'd have been firmly within their rights.  But a representative of the company told her that the deposit would be returned (by telling her that they would destroy the check).  If that got changed in the corporate food chain, then acting without informing her of the change is unethical.  Failing to inform her of that change is what makes keeping the deposit wrong, because it means that they deceived her.  Where money is involved, ethics takes a very dim view of changing the parameters of the interaction without the knowledge and consent of the involved parties and they did exactly that, by telling her that they were returning the deposit and then processing the check.

Virg

Redneck Gravy:
OP here

I left the deposit on Saturday afternoon on a car that had not been cleaned up yet.  Salesman was pretty confident it would not be shown that afternoon, I was also pretty sure it would not be shown, dealerships were incredibly slow that day (very cold, windy, not many people out car shopping).  Also, when he called later that day he said I would have to sign a form indicating that the deposit was for that car.

On Monday when I said tear up my check he said he would.  To deposit it two weeks later was incredibly foolish on dealership's part (mine too, I should have driven over there and picked up the check)  After speaking with the sales manager (car salesman is already gone from this dealership) he was terribly apologetic about the situation.  He said, "without going into details, we dropped the ball on this one.  It's an electronic deposit and we will get it reversed." 

I would not have left a $1000 deposit on anything I wasn't sure I couldn't get back or apply on another deal, etc.  But I disagree that I held up a sale or that the dealership had the right to deposit my check. 

I also learned a valuable lesson and in the future I will retrieve the actual check in these kind of situations.  (I hope we don't have to do any car shopping for several years!  I consider it the 7th circle of Hades, possibly the 8th circle with DD)

Deposits for different types of transactions vary on refunds.  I have never heard of a dealership trying to keep a deposit on a vehicle where the transaction was cancelled within 24 hours (business hours since they are closed on Sundays).  And to deposit it two weeks later without any matching paperwork !   I agree they dropped the ball alright.       

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