Paying for new car?

[cosworthy2000]

So, my new wagon has arrived at the dealers, and I pick up Friday. I'm a little intrigued by them wanting payment 24hrs before I collect, especially since the balance wll be going on a debit card, so as good as a cash payment.
Is this normal? Every other car I've bought I paid the same way, and then drove the car away.

Any advice? Just seems a bit odd that I'm paying for something and then leaving in their care for another day.....

[andy72]

dont pay them until you have inspected the car and its as you agreed at the time of sale. Paying a deposit is normal but beingpaid up front is not.

Its not unheard of for a company in toruble to get as much cash up front, then close the doors leaving yout o deal with the creditors.

Dont pay upfront and if they insist, then walk away and find a car somehwere else. Its a buyers market.

[david philips]

i agree with andy and as far as i know you have no payment protection useing a debit card,buyer beware.

[Bill_56]

Agree with others. I purchased two new Saabs (1998 & 2000), for which the dealer accepted personal cheque, written when I took delivery. And it wasn't a dealer I'd ever met before - on the first occasion I was trading in a nine year-old Astra. A new Polo circa 2003 did, if I remember right, did ask for bankers draft or similar, but not payment in advance. I'd be deeply suspicious, if it were me...

One possibility is that the dealer knows the car's been slightly damaged, and wants to make it difficult for you to 'back out', so take a VERY good look at the car before accepting it. You'll probably be asked to sign a form saying the car's OK, so don't do so until you've had a very good look at it.

All that said, hey... enjoy your new car! I'm envious. Now in retirement, my savings no longer extend to new cars. It's about the only aspect of working life I actually miss!

[fenton_jd]

GIVE THEM NOTHING until you've looked over and checked the car is OK!!!!!!

[RoscoMac]

Yip, sounds iffy. Dealers are usually pay on collection - unless its a Bankers Draft or personal cheque, which nowadays, they generally want cleared first, which is fair enough. Can't see why they want Debit Card payment through 24hours before.

R.

[SonyVaio]

Yip, listen to the general consensus and take heed the warnings!

Do not pay up front, do not 'pre-authorise' your card payment over the phone - some places try to call it pre-authorising' but this means 'customer not present' but thank you we have your money now anyway. Do not pay with debit card and use a credit card, the credit card issuer is then dually responsible for the car and its worthiness etc... - far more protection if something goes wrong.

Just tell the Dealer if they phone and persist to want payment that your very sorry but funding is being transferred from other accounts therefor monies will not be available until the collection date. Of course they can try and pull a fast one and want to delay your collection until you have paid.

Basically just don't pay a single penny until you are 110% happy with the vehicle and you have looked over every nook and cranny, tested every button, switch, handle, lever, lights both interior and exterior (fogs front and rear), don’t forget all internal dash lights and ensure all the correct ones come on with the ignition and the correct ones go out too. Ensuring you have all the correct equipment (spare, tools, triangle, first aid kit) that is relevant. Insist on taking the car for a test drive too before you commit to payment, don’t just take it 2min down the road to the first roundabout either ensure you are gone for a good 30min - 1hr. Test every gear (inc reverse!), test the mirrors (electrical), test the seat for all of the relevant adjustments (forward, rear, up, down, tilt back/forward, heated seats, lumbar support) whether they are electric or not and don’t forget the passenger seat too, then there is the fabric/leather make sure every square inch is perfect. Check all seat belts function correctly. Check all steering wheel controls all function (sound buttons, cruise, telephone) as applicable. Do a physical check of all tyres for both condition and defects then ensure the alloys are in 'mint' condition and not even a blemish! Make sure all doors function correctly (test handles from the inside and the out) not forgetting 'Child Locks' function as they should. Check every single outer pannel for the slightest blemish, dink, scuff, scrape and mark. Note all defect down in a notepad and even better take photo evidence too. Ensure that you check both front and rear bumpers fully and also check the underneath of the car. The horn, steering adjustment, any smart systems such as BLIS or adaptive cruise if fitted, ensure you check the radio out completely for all the different adjustments (volume up/down, balance, fade, CD works (take one with you & an .mp3 disc), auto tune for the radio (ensure you have good radio reception). Fully check over the SATNAV (if relevant) all buttons and functions and actually set in a destination for your 'TEST DRIVE' and ensure it does what it says on the tin. Pay close attention to all lights and lenses that there is no defects or cracks, this goes for all the glass and especially the windscreen. Check the paintwork and that all panels match up as they should, ensure you have a really good match between bumpers and bodywork.

I know that isn't in the most logical order but it was just as it came into my head. Lastly don't forget that 'PAPERWORK' is extremely important and don't let the dealer just scim over it. Ensure you pay particular attention to all documentation and also ask for a completed copy of the PDI (pre delivery inspection report) if not given. Don't be fobbed off by any excuse - bare in mind that they want your money at this point, if you give them the money it is game over and they couldn't care less post payment. NEVER sign anything until the very end either.

Once completely satisfied with every little detail then sign the dotted line, pay your money (credit card) and live happily ever after with your car. If there are any minor points picked up either don't pay for the vehicle until they are put right by the dealer or you could offer to pay half and then the other half once the points rectified, you could also try at this point to get a little extra such as free matts or mud flaps or a paint treatment etc...

Hope it all goes well and the experience turns out to be a pleasurable one because this is what picking up a new car is supposed to be. The dealer has already put a downer on it for you due to asking for money first! Make sure they know this too and perhaps it may make them think twice if they feel they are offending people (i doubt it though). As it is a very exciting time collecting a new car don’t be overwhelmed by the beauty and excitement and get your inspector gadget head on. If possible take a friend along too (other than family) as they will give you very good impartial advice and point out bits and pieces that would otherwise be missed. A friend will be more inclined to say they have spotted something and look over the vehicle with a fine toothcomb rather than just generally scouring over it.

[cosworthy2000]

Thanks chaps. It is a brand new car (XC90), so I would hope everything works OK.
I paid an initial £1000 deposit when I ordered the car, this was with a credit card, so I believe I have some cover though this, even though I have only used it to pay a small amount.
So, payment on the day I collect, after I have given it a thorough going over. Since it's new is there any need to test drive it?
I'm told it's 'company policy' that they want payment 24hrs before collection, and the maximum they allow on credit card is £1000, is it safe to assume this is not the case and argue the toss tomorrow when I'm going over to sign the finance agreement and provide proof of insurance so they can tax it for me?

Forgot to mention, it's main dealer supplied, Squire Fearneaux...

Thanks again.

[kebab10]

Doesnt matter if its the Queens Jewellers. Its your money and if they dont like "your" terms of paying AFTER you have inspected the vehicle and driven it, then walk away. As you already know, cash is king.
I paid for a car with a debit card, only a couple of grand but had driven it, got it serviced and taxed and no problems at all.

No dont pay 24 hours ahead.

[fenton_jd]

Put it this way, the dealer isn't going to not sell you the car.

Inspect it all the way round. If you drive it away, any scuffs etc they'll claim it was done by you. Make sure the motor is as it should be. Make sure the Stereo is the correct specification etc etc.

You're about to make a heavy financial investment in that dealership. Accept nothing but perfection.