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Deal with a fraudulent dealer

biztalk0103biztalk0103 Member Posts: 12
edited September 2014 in General
Hi everyone, need you expert advice. After paying the downpayment of $5k, i realized that the dealer is fraud. They made me run around for loan for few days before i decided to go for my own financing option. Now as i have got my loan, I want your suggestion as to when shall i give the loan check to dealer.The dealer is asking to give the check first to start the process. Shall I tell that i will pay the balance amount through check the day they deliver my car and transfer the title? Because I am sure if i pay him the full amount he will then plan around as he did after i paid the downpayment. They would not pick my call or respond to me. Even they told that no bank is giving me loan after making me for 5 days. I then managed the finanace in two days. This is my first car and I am really very worried now how to deal with the dealer . Read review about the dealer in interenet and found that they say the car is sold even after full payment. Please help and suggest me. Thanks in advance.
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    Mr_ShiftrightMr_Shiftright Member Posts: 64,481
    One is tempted to ask: why do you even want to do business with this dealer if this has been your experience so far?
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    biztalk0103biztalk0103 Member Posts: 12
    I have already paid them $5000 downpayment. I too don't want to deal with him, But if i try to backout , I fear he will not refund my whole amount. What do you feel.
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    biztalk0103biztalk0103 Member Posts: 12
    It will be really helpful if you suggest what should I do.
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    steverstever Guest Posts: 52,454
    Can You Return the Car You Just Bought?

    Do we have the info right?

    You signed a contract to buy a car.
    You put down $5,000.
    You don't have the car or title yet.

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    biztalk0103biztalk0103 Member Posts: 12
    I signed a sale receipt which mentions 1000$ which i paid immediately. The remaining $4000 i paid next day through check is not mentioned in the receipt.I haven't signed any documents aprt from the sale receipt. I don't have the title or car.Initially they made me run around for few days and then told that no bank is giving me loan . They told they can arrange from a bank at 9% which i refused to take and i applied personally and got the loan in two days. Now I am worried to give them the check and they are asking to give the chcek to start the sale process. they haven't even cleaned the car or fixed the minor issues. They haven't taken any signature from me for title transfer or any other process. Can you please tell me what are the formalities usually shud be done.And what can i do in this situation.
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    steverstever Guest Posts: 52,454
    What do you want to do - buy the car or get your money back and walk away?
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    biztalk0103biztalk0103 Member Posts: 12
    I would be happy if i can get back my money but my fear is that If i cancel the deal they won't return my downpayment.
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    biztalk0103biztalk0103 Member Posts: 12
    The receipt order says that a customer can cancell if there is any mechanical problem else if the cutomer cancels, dealer has the right to keep the advance amount.
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    steverstever Guest Posts: 52,454
    Yeah, any idea if the paperwork says the deposit is non-refundable?

    Your local consumer protection agency may help you if you have one.
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    biztalk0103biztalk0103 Member Posts: 12
    yes the receipt says customer can only cancel if there is mechanical problem.
    So I am totally stuck, neither can i cancel from my side and I am scared to go ahead as well :-(
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    steverstever Guest Posts: 52,454
    I've read a lot of posts here that indicate you don't have a deal until you physically drive a car off the lot. No idea if that holds water, but maybe the consumer protection people could tell you.
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    biztalk0103biztalk0103 Member Posts: 12
    Thanks Steve for your helping words. I am in total shock.5000$ is a too big amount for me.
    Please do let me know incase you get any more information that may be helpful for me.
    Once again , thank you so much.
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    houdini1houdini1 Member Posts: 8,327
    edited September 2014
    It sounds like this all might be a misunderstanding based on language difficulties. Hopefully you have or can find someone who understands the English language better who can visit the dealer with you to help straighten things out.

    Visit the dealer with your "advocate" and simply tell them that since they were unable to arrange suitable financing, the deal is off and you would like your deposit back. I don't think they can legally keep your money at this point. Good luck, and keep us posted.

    2013 LX 570 2016 LS 460

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    steverstever Guest Posts: 52,454
    Good idea, having another person along anytime you buy something major like a car is helpful.

    It's also normal to have buyer's remorse - the financing may have become an issue but if you've found a good car you may want to try to work it out instead of starting over.
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    abacomikeabacomike Member Posts: 12,258

    @biztalk0103‌ said:

    "Shall I tell that i will pay the balance amount through check the day they deliver my car and transfer the title? "

    I would not give them a dime more.  You say you gave them $5000 already.  Hold the check/payment until a clear title and car are delivered.  If the refuse to do that or agree to do that, get yourself a lawyer "FAST"!

    I agree with stever - why even do business with these people?

    2021 Genesis G90

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    steverstever Guest Posts: 52,454
    edited September 2014
    Guess it was Shifty that brought up the "don't do business with them" comment. I agree, but sometimes people put up with shenanigans to get the "perfect" car.
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    Mr_ShiftrightMr_Shiftright Member Posts: 64,481
    I don't see how on earth a dealer could enforce a non-refundable deposit claim because how could he possibly justify damages of $5000 for a breach of contract? Did the car fall apart from heartbreak at not being sold? What out of pocket has the dealer suffered? Also, the law generally states that the dealer must attempt to mitigate the damages---in that case, to sell the car to someone else---which completely takes you off the hook.

    It's hard to make heads or tails of this whole thing without seeing the contract--but yes, good suggestion---get yourself an advocate and go with them to the dealer and straighten this out. If they don't cooperate, then it's time to visit the DA's office.
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    biztalk0103biztalk0103 Member Posts: 12
    Thanks a lot everyone for your valuable suggestion. I will visit the dealership tomorrow and make it clear that I will give the check only when the car is handed over and see what they have to say.If they themselves cancel the deal, I will be happy as it will be comparatively easier to get back my deposit.
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    biztalk0103biztalk0103 Member Posts: 12
    edited September 2014
    I have so far not gone ahead with cancelling the deal because the order receipt which they got me signed mentions that the customer can cancel the deal only incase of mechanical problems in the car. I am waiting incase the cancel the deal.
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    houdini1houdini1 Member Posts: 8,327
    biztalk0103 said:

    I have so far not gone ahead with cancelling the deal because the order receipt which they got me signed mentions that the customer can cancel the deal only incase of mechanical problems in the car. I am waiting incase the cancel the deal.

    Good luck...and keep in mind that even though something is in writing, that does not always make it legal and binding.

    2013 LX 570 2016 LS 460

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    biztalk0103biztalk0103 Member Posts: 12
    Thank you for that valuable piece of information.
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    roadburnerroadburner Member Posts: 17,365
    I'd want to get away from that dealer if at all possible. You could almost certainly get your $5,000 back- the only question is how long and how much hassle it would take.

    Mine: 1995 318ti Club Sport; 2020 C43; 2021 Sahara 4xe 1996 Speed Triple Challenge Cup Replica Wife's: 2015 X1 xDrive28i Son's: 2009 328i; 2018 330i xDrive

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    biztalk0103biztalk0103 Member Posts: 12
    Hope I can get away from that dealer. I have read reviews from a customer who was not handed over car had to run behind the dealer for a month and threaten about legal actions when he finally got the refund.
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