Deposit on a vehicle

[TCI]

Hi all,

i have a question for the community and i guess the dealer friends we have on here as well. I have a friend who was going to buy a mazda 3 but due to some some circumstances he wont have enough money to finance the car. He however put down a $1000 deposit on the car. Since he can\'t afford the car now he wants out of the deal but the dealership say they cannot do that. They are not giving him back his deposit and say that he is responsible for fulfilling the deal he signed for. Can they do that? Has this ever happened to anyone?

Thanks all.....


P.S. Im loving my new mazda 3 pearl white that i purchased a couple weeks back..... its getting dirty... time for a wash... haha.....

[Jeff-TheBiz]

Originally posted by TCI


Hi all,

i have a question for the community and i guess the dealer friends we have on here as well. I have a friend who was going to buy a mazda 3 but due to some some circumstances he wont have enough money to finance the car. He however put down a $1000 deposit on the car. Since he can\'t afford the car now he wants out of the deal but the dealership say they cannot do that. They are not giving him back his deposit and say that he is responsible for fulfilling the deal he signed for. Can they do that? Has this ever happened to anyone?

Thanks all.....


P.S. Im loving my new mazda 3 pearl white that i purchased a couple weeks back..... its getting dirty... time for a wash... haha.....

Tough to answer without more details.

Was his agreement with the dealership to pay cash? or was he trying to finance through the dealership and didn\'t get approved?

[TCI]

He was approved to finance it........ he put down $1000 deposit...... but now he needs to back out of the agreement because something happened at home and he cannot afford the car. The dealership said that he signed the offer paper and it has been approved, so even if he doesnt want the deposit back, he still has the responsibility to get the car and fulfill the commitment.

[Jeff-TheBiz]

Originally posted by TCI


He was approved to finance it........ he put down $1000 deposit...... but now he needs to back out of the agreement because something happened at home and he cannot afford the car. The dealership said that he signed the offer paper and it has been approved, so even if he doesnt want the deposit back, he still has the responsibility to get the car and fulfill the commitment.

If he has been approved then in the very least he may lose his deposit.

It really depends on the dealership... Sorry.

:(

[MaxRPM]

Tell your friend to phone the finance company and tell them that he lost his job and can not make the payments. The dealer will want to keep the deposit but pressure them to give it back.

A friend of mine was in the same position, I told him to tell them he would call silver man helps etc. He went in and asked for his deposit back, they said no, he said he and his friends would stand outside with picket signs, they cut him a cheque 5 minutes later.

The dealer probably has every right to keep (I\'m not a lawyer) the deposit so this tactic may or may not help. As the Biz said, it all depends on the dealer.

[SABIO]

well. You would think the dealer would give it back. It\'s not like the car was a special order.
Why not tell us the dealer and we can all phone and ask them to give it back.

[LegoMan]

yes, let us know so we can tell them to give it back. we got the power, United we stand, Divided we fall (waits for copyright lawyers to attack)

[Jeff-TheBiz]

Any updates on your situation TCI?