Should I refund a deposit for a classic used car sale? - Page 4

cro142 · 21-01-2017, 11:06 AM

I suppose for me as a seller, the taking of a deposit is an act of good faith and therefore signals a genuine intention that the buyer will proceed.

On the part of the buyer, the giving of a deposit is a signal that he has secured the purchase and will not be gazumped by another buyer until he can finalise the transaction.

xr8cam · 21-01-2017, 12:13 PM

Quote:

Originally Posted by The Yeti

To those saying they'd give it back

I'm curious, if you take normally a deposit before finalising the sale of a car?

If so and you would give it back, why do you bother taking a deposit?

What purpose does the deposit serve?

Exactly. All your doing is holding onto a strangers money, twiddling your thumbs whilst they decide if they really want it or not. Meanwhile your real buyers have gone elsewhere & your down time & cash as you have to re advertise, so basically your paying for a shopping expedition. Complete waste of time. Any registered business in the world will keep a deposit when the buyer defaults on the sale, it is the way of the world.

Stefan · 21-01-2017, 02:38 PM

Quote:

Originally Posted by The Yeti

To those saying they'd give it back

I'm curious, if you take normally a deposit before finalising the sale of a car?

If so and you would give it back, why do you bother taking a deposit?

What purpose does the deposit serve?

I don't take one...

As explained if you take 500 bucks or whatever, YOU have locked yourself in and buyer can now screw you around (which is not uncommon)

I don't take anything and make it clear, you bring me all the $$$ and take the car. That way my options are open and I'm in control... they muck around they risk the car being gone.

Give me one single advantage the seller has by accepting a deposit?

As a buyer I'll push to give a deposit, get a receipt even take something like the log books...again that way I'm in control...

290GTP · 21-01-2017, 03:26 PM

Quote:

Originally Posted by Stefan

I don't take one...

As explained if you take 500 bucks or whatever, YOU have locked yourself in and buyer can now screw you around (which is not uncommon)

I don't take anything and make it clear, you bring me all the $$$ and take the car. That way my options are open and I'm in control... they muck around they risk the car being gone.

Give me one single advantage the seller has by accepting a deposit?

As a buyer I'll push to give a deposit, get a receipt even take something like the log books...again that way I'm in control...

I went down the no deposit route once. Old mate texted me repeatedly (i hate that) saying he wanted to come down the next day with cash to buy my car. He offered about a grand less than I wanted. I said okay but if someone beats him to it with cash I will sell the car to them instead.

Guess what? Another buyer came around that afternoon, offered $500 more than old mate and gave me a $500 deposit to hold the car for a day.

I texted old mate back (ironic I know) saying sorry car's been sold. 30 seconds later his on the phone screaming abuse at me, saying we had a deal, I had no right to sell the car and how he was gunna drive down and **** my **** up. I ended up telling him to **** off and called the police.

Sold the car next day.

In my experience, once I have a deposit, I dont have a problem.

xr8cam · 21-01-2017, 07:58 PM

Quote:

Originally Posted by 290GTP

I went down the no deposit route once. Old mate texted me repeatedly (i hate that) saying he wanted to come down the next day with cash to buy my car. He offered about a grand less than I wanted. I said okay but if someone beats him to it with cash I will sell the car to them instead.

Guess what? Another buyer came around that afternoon, offered $500 more than old mate and gave me a $500 deposit to hold the car for a day.

I texted old mate back (ironic I know) saying sorry car's been sold. 30 seconds later his on the phone screaming abuse at me, saying we had a deal, I had no right to sell the car and how he was gunna drive down and **** my **** up. I ended up telling him to **** off and called the police.

Sold the car next day.

In my experience, once I have a deposit, I dont have a problem.

Sounds like you were always going to have trouble with that fella. A good job he missed out by the sounds of it. What a tool...

Stefan · 22-01-2017, 02:50 PM

Quote:

Originally Posted by 290GTP

I went down the no deposit route once. Old mate texted me repeatedly (i hate that) saying he wanted to come down the next day with cash to buy my car. He offered about a grand less than I wanted. I said okay but if someone beats him to it with cash I will sell the car to them instead.

Guess what? Another buyer came around that afternoon, offered $500 more than old mate and gave me a $500 deposit to hold the car for a day.

I texted old mate back (ironic I know) saying sorry car's been sold. 30 seconds later his on the phone screaming abuse at me, saying we had a deal, I had no right to sell the car and how he was gunna drive down and **** my **** up. I ended up telling him to **** off and called the police.

Sold the car next day.

In my experience, once I have a deposit, I dont have a problem.

Imagine if you took 500 off the first guy...he would have definitely come back to take retribution and get his deposit back.

As I stated there are always c#nts.

Each to their own, there's no wrong or right.

Blue Roo · 22-01-2017, 03:38 PM

Quote:

Originally Posted by 290GTP

I went down the no deposit route once. Old mate texted me repeatedly (i hate that) saying he wanted to come down the next day with cash to buy my car. He offered about a grand less than I wanted. I said okay but if someone beats him to it with cash I will sell the car to them instead.

Guess what? Another buyer came around that afternoon, offered $500 more than old mate and gave me a $500 deposit to hold the car for a day.

I texted old mate back (ironic I know) saying sorry car's been sold. 30 seconds later his on the phone screaming abuse at me, saying we had a deal, I had no right to sell the car and how he was gunna drive down and **** my **** up. I ended up telling him to **** off and called the police.

Sold the car next day.

In my experience, once I have a deposit, I dont have a problem.

His name wasn't Bad Bundy Bear by any chance was it? Lol!

chevypower · 22-01-2017, 03:42 PM

Quote:

Originally Posted by The Yeti

To those saying they'd give it back

I'm curious, if you take normally a deposit before finalising the sale of a car?

If so and you would give it back, why do you bother taking a deposit?

What purpose does the deposit serve?

Never had to give a deposit back. If you suspect there is some hesitation, jus say you can't hold it. I wouldn't hold a car with a deposit for very long, and it isn't "sold" until it's sold. I think you can generally avoid the situation, but sometimes crap happens in life. I was on the other side of it though. I thought my wife gave me permission to buy a new Can Am ATV. I went to the dealer and put a deposit down. She went off at me when I got home. So I called first thing right at opening the next day and confessed my mistake. He refused at first to give me my deposit back. But since nothing really happened negatively to them, I demanded it back. They then refunded me and a few months later, I bought one somewhere else. Had he have been a little more understanding, I probably would have gone back. Not everybody is a time waster.

290GTP · 22-01-2017, 09:03 PM

Quote:

Originally Posted by Stefan

Imagine if you took 500 off the first guy...he would have definitely come back to take retribution and get his deposit back.

lol yeah and he would of been entitled too if he gave me a deposit and I sold the car to someone else.

I do agree with you, each to their own, some buyers are great others are d1cks.

BPXR6T · 24-01-2017, 01:02 AM

Punish the flogs I say. Had so many stuff me around on sales.

**Beastie** · 24-01-2017, 01:13 AM

Question for the OP.

What are you thinking and why?

Tex Scrotum · 24-01-2017, 01:27 PM

5 WEEKS???......GEEZUS.... You have more patience than me!

You've been left hanging for 5 bloody weeks... I'd be mentally traumatised and need therapy ...KEEP THE DEPOSIT...you earned it!

XBGS500 · 24-01-2017, 01:38 PM

I agree, tell the guy he's got till the weekend or deposit is forfeited

xr8cam · 24-01-2017, 02:41 PM

Cannot believe how many think it is ok to stuff a seller around. To the OP, best to advise potential buyers one set of instructions up front with no exceptions. Unfortunately many people take kindness for stupidity and take advantage of you. Be assertive, life is so much easier and simpler.

Peter B - CV8 · 24-01-2017, 04:25 PM

I've sold a fair few cars privately over the years (usually cheapies under $5k). Most without any deposit - just a handshake with agreement for them to pick it up within a few days ie once they can get to a Bank for cash/bank cheque etc.
On the few occasions where someone has offered a deposit, I've always written on their receipt that the "holding deposit" secures them the car for X amount of time (usually 1 week) & is non refundable if for any reason they decide not to proceed.

Jack91 · 24-01-2017, 05:45 PM

Don't refund it. Not a cent. Doesn't t matter what you're out of pocket, or even your time, the $500 covers your annoyance. I've only ever given it back once when the guy checked the car and it was written off which I didn't know about. Not your problem this bloke can't handle his business

Vesper Martini · 25-01-2017, 02:53 PM

I doubt a car dealership would refund a deposit.

When selling a house I don't believe the deposit isn't refundable.

stig_3754 · 25-01-2017, 04:06 PM

Quote:

Originally Posted by Bevsta007

I doubt a car dealership would refund a deposit.

When selling a house I don't believe the deposit isn't refundable.

IIRC with real estate, if the finance application fails then you get the deposit back, but if you backout for any other reason then you forfeit the deposit.

Blue Shadow · 25-01-2017, 04:13 PM

Quote:

Originally Posted by stig_3754

IIRC with real estate, if the finance application fails then you get the deposit back, but if you backout for any other reason then you forfeit the deposit.

Same as buying a car

TheSneakiness · 25-01-2017, 04:52 PM

5 weeks. Hell no would I give it back. I was thinking maybe if it was a couple of days and the finance fell through then benefit of the doubt.

But 5 weeks with no end result? No way would they get the deposit back. Not only did you take the car around for a pre purchase and also removed the ad you incurred cost doing so and now have to readvertise.

Stiff for the buyer.

aussie muscle · 26-01-2017, 09:07 PM

from NSW fair trading (obviously doesn't apply to private sales, and is only a guide)
When you place a deposit on an item, you may be entering into a binding agreement to proceed with the transaction. If you change your mind, the trader may be entitled to retain all or part of your deposit.

The actual amount the trader is allowed to retain depends on the circumstances. This money compensates the trader for the time and expense devoted to the transaction, but should not be so high as to constitute a penalty. As a gesture of goodwill, many traders will return your deposit.

so a deposit may legally constitute an agreement to purchase said item.

rowan194 · 26-01-2017, 09:30 PM

How about wording it as an option to buy?

By the buyer giving you $x, you promise to hold the car exclusively for this buyer for fixed period of time.

If they settle within the agreed period, the $x counts as a deposit, and they pay the balance.

If they're not financial by the end, the option expires, you keep the $x, and the car goes back onto the market.

dutchie393 · 28-01-2017, 01:14 AM

So what actually is the purpose of a deposit?
I tend to be someone who gives it back, yet don't expect or ask for it back on the other side of the coin.
Unless you take this before Judge Judy, I guess it's a personal judgement.

In the end, deposits and failed sales are cost of business.

GTP534 · 28-01-2017, 01:52 PM

I've only ever sold 2 cars privately.

First time I took a deposit. Buyer wanted to leave a deposit to "secure" the car as they required 2 weeks to organise the funds. I still kept the ad running but if anyone called about it I told them I had a buyer and the car was off the market.

Buyer came back 2 weeks later and finalised the purchase. Mutual trust on both sides - we're both good guys would be my take on it.

If sale fell through I would have refunded the deposit - no skin off my nose, no extra advertising costs and there was interest in the vehicle.

Second time, last year and for a lot more money, a guy offered to buy my R-Spec sight unseen and wanted to EFT a deposit. I didn't want to accept as he hadn't seen the car but was coming to see the car in a few days. He came down, bank cheque in hand for the agreed price, loved the car and bought it.

I can see both sides of the argument - seems like there's no right or wrong - it's up to the individual how they want to deal with it.

**Mont5.0** · 28-01-2017, 01:58 PM

So what did the op decide?

900dukess · 28-01-2017, 10:19 PM

Lots of interesting comments

I still haven't really decided however he hasn't asked for his deposit back yet.

I have re-advertised it and when it sells I will ask for his bank details to refund his deposit then

**kcodezd** · 29-01-2017, 06:30 AM

Here's one for you to mull over op. I'm in the process of selling a property, it is under an unconditional contract at the moment, however the buyer is willing to forgo the deposit of not $500, not $5000, but $50,000, to withdraw from the contract. So what I am saying is keep it all.