Cancel car purchase...

O

ooogz

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Well, sort of... Me and my girl went yesterday to go look at a i10.
We wanted to buy cash. She signed the papers for the car but we haven't actually paid for the car yet. We haven't given them proof of address or copy of id book yet etc. Later on I found a better deal etc. Phoned the place where we signed for the car to cancel it and he said he will see on Monday if he can reverse it and call me back.
So does the new act apply to us? The 5 day cooling off period? I feel this was more of an impulse buy from my chick but I went along with it.
Really wanna cancel this.
Are we in trouble or can we cancel?

Thanks
 
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Just cancel it. Tell them you got a better offer and if they can't match it or better, you are canceling it
 
You've no leg to stand on in terms of the Consumer Protection Act; you initiated the transaction, there is no cooling off period. If their paperwork is in order you've quite likely committed yourself to a valid agreement, but what is one's word worth these days anyway?

That being said, most dealers will cancel such transactions if you're reasonable about it.
 
hugo69er said:
http://m.bizcommunity.com/Article.aspx?l=196&c=140&i=58228

Doesn't something like this apply to my situation?
Click to expand...

From your link:
However, this cooling-off period does have clear-cut parameters: it lasts for a period of five business days and can be invoked only if the buyer has bought a car as a result of direct marketing concerning that same product from a supplier.

For example, the dealer would need to send you an SMS or email encouraging you to take advantage of reduced prices on certain vehicles, if you then buy one of those and change your mind, you have five days to renege on the deal.
Click to expand...

So, I don't know... does it apply to you or not? It's not a difficult question.
 
creeper said:
http://www.aa.co.za/technical-services/legal/legal-questions/cooling-off-period.html

Unless car dealerships are exempt, you have a cooling off period. I will still negotiate with the original dealer for a better over
Click to expand...

I'm not sure this would be considered as "direct marketing" though?

EDIT - according to law24.com "“Direct marketing” means to approach a person, either in person or by mail or electronic communication, for the direct or indirect purpose of promoting or offering to supply, in the ordinary course of business, any goods or services to the person."
 
Read the full sentence

makes provision for a cooling-off period to apply to all consumer transactions, except those specifically governed by the National Credit Act and those transactions over which industry an exemption has been granted

All consumer transactions
 
creeper said:
Read the full sentence

makes provision for a cooling-off period to apply to all consumer transactions, except those specifically governed by the National Credit Act and those transactions over which industry an exemption has been granted

All consumer transactions
Click to expand...

Go read your own link:
The new Act provides that a consumer may rescind a transaction resulting from direct marketing within five (5) business days after concluding the agreement or receiving the goods.
Click to expand...

Does. Not. Apply.
 
I can see interpretations of the article is causing a bit of a problem. The direct marketing sentence of the AA article is specific to section16 of e CPA. The biz community article talks about the RETURN of an used vehicle, not the initial order.

So lets try the source. CPA section17

Consumer’s right to cancel advance reservation, booking or order
17. (1) This section does not apply to a franchise agreement, or in respect of any special-order goods.
(2) Subject to subsections (3) and (4), a consumer has the right to cancel any advance booking, reservation or order for any goods or services to be supplied.
(3) A supplier who makes a commitment or accepts a reservation to supply goods or services on a later date may—
(a) require payment of a reasonable deposit in advance; and
(b) impose a reasonable charge for cancellation of the order or reservation, 40
subject to subsection (5).
(4) For the purposes of this section, a charge is unreasonable if it exceeds a fair
amount in the circumstances, having regard to—
(a) the nature of the goods or services that were reserved or booked;
(b) the length of notice of cancellation provided by the consumer;
(c) the reasonable potential for the service provider, acting diligently, to find an alternative consumer between the time of receiving the cancellation notice and the time of the cancelled reservation; and
(d) the general practice of the relevant industry.
(5) A supplier may not impose any cancellation fee in respect of a booking, 5
reservation or order if the consumer is unable to honour the booking, reservation or order because of the death or hospitalisation of the person for whom, or for whose benefit the booking, reservation or order was made

Point 2 is the key point. Consumer can cancel an order, but there might be reasonable cancelation fee.

I will use it to get the order cancelled.
 
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creeper said:
I can see interpretations of the article is causing a bit of a problem. The direct marketing sentence of the AA article is specific to section16 of e CPA. The biz community article talks about the RETURN of an used vehicle, not the initial order.

So lets try the source. CPA section17

Consumer’s right to cancel advance reservation, booking or order
17. (1) This section does not apply to a franchise agreement, or in respect of any special-order goods.
(2) Subject to subsections (3) and (4), a consumer has the right to cancel any advance booking, reservation or order for any goods or services to be supplied.
(3) A supplier who makes a commitment or accepts a reservation to supply goods or services on a later date may—
(a) require payment of a reasonable deposit in advance; and
(b) impose a reasonable charge for cancellation of the order or reservation, 40
subject to subsection (5).
(4) For the purposes of this section, a charge is unreasonable if it exceeds a fair
amount in the circumstances, having regard to—
(a) the nature of the goods or services that were reserved or booked;
(b) the length of notice of cancellation provided by the consumer;
(c) the reasonable potential for the service provider, acting diligently, to find an alternative consumer between the time of receiving the cancellation notice and the time of the cancelled reservation; and
(d) the general practice of the relevant industry.
(5) A supplier may not impose any cancellation fee in respect of a booking, 5
reservation or order if the consumer is unable to honour the booking, reservation or order because of the death or hospitalisation of the person for whom, or for whose benefit the booking, reservation or order was made

Point 2 is the key point. Consumer can cancel an order, but there might be reasonable cancelation fee.

I will use it to get the order cancelled.
Click to expand...

Fair enough, and I should have made it clear earlier that the out hugo69er is looking for - to be able to just walk away without suffering any penalty - is not supported by legislation.

All of which is likely moot, as a dealer is unlikely to pursue performance from a prospective buyer on an in-demand product where no money has yet changed hands. I wouldn't even utter the phrase 'See Pee Ey' as that'd open the door to them demanding a cancellation fee. I'd just be upfront in wanting to cancel, or I'd ask them to match the alternate offer received.
 
HapticSimian said:
Fair enough, and I should have made it clear earlier that the out hugo69er is looking for - to be able to just walk away without suffering any penalty - is not supported by legislation.

All of which is likely moot, as a dealer is unlikely to pursue performance from a prospective buyer on an in-demand product where no money has yet changed hands. I wouldn't even utter the phrase 'See Pee Ey' as that'd open the door to them demanding a cancellation fee. I'd just be upfront in wanting to cancel, or I'd ask them to match the alternate offer received.
Click to expand...

Agreed. :)
 
The i10 costs R89,995 +R7000 for fees from the dealer. I phoned hyundai and the same year model costs the same but has about 10 000kms less and fees are only about R4000 and it's from hyundai itself which sounds better then an ordinary dealer. So Hyundai works out a little cheaper for less kms and has less fees. I don't have experience when it comes to buying cars tbh. Why the dealers fees are more is I have no idea but I know they added R750 for smash and grab tinting which is compulsory according to them
 
hugo69er said:
The i10 costs R89,995 +R7000 for fees from the dealer. I phoned hyundai and the same year model costs the same but has about 10 000kms less and fees are only about R4000 and it's from hyundai itself which sounds better then an ordinary dealer. So Hyundai works out a little cheaper for less kms and has less fees. I don't have experience when it comes to buying cars tbh. Why the dealers fees are more is I have no idea but I know they added R750 for smash and grab tinting which is compulsory according to them
Click to expand...

R7k in fees is wholly ridiculous, but 'compulsory' smash 'n grab tinting?! Holy ****, walk away... just... walk away. You need to spend a bit of time engaging people familiar with the car industry before you buy anything, or advise your gf on the matter. You're going to get taken for a boob.
 
HapticSimian said:
R7k in fees is wholly ridiculous, but 'compulsory' smash 'n grab tinting?! Holy ****, walk away... just... walk away. You need to spend a bit of time engaging people familiar with the car industry before you buy anything, or advise your gf on the matter. You're going to get taken for a boob.
Click to expand...

Lol I see that now and that's why I want to cancel. how do you suggest I walk away? I asked for a cancellation and he said he will let me know on Monday. What if he says no? Can't cancel etc...
 
hugo69er said:
Lol I see that now and that's why I want to cancel. how do you suggest I walk away? I asked for a cancellation and he said he will let me know on Monday. What if he says no? Can't cancel etc...
Click to expand...

Well, you can. As per the legislation posted by creeper above at worst they're entitled to a 'reasonable' cancellation fee, but I'd simply tell them that you've reviewed your budget and you've decided that your money can be better spent. In all likelihood they'll just let you off the hook; it's in neither the dealer's nor the salesman's interest to waste time on chasing someone who is no longer a willing buyer.

*edit*

Don't commit to anything when telling them you've decided against the purchase. If they make any further demands of you tell them you'll get back to them, then post what they've said here. Let the MyBB collective guide you. :p
 
Just walk away, you are lucky that you have not paid over any cash.

Just ignore any further calls from the salesman, if you do decide to speak to the salesman, the fact that you were mislead about something as silly as compulsory smash and grab tint, made you question the ethics of the dealership. End the call and walk away.

When the hell did smash and grab tint become compulsory lol.

I sincerely doubt the dealership will pursue you as it cost them in attorney fees etc.

Moreover for future get the breakdown on "on the road" charges and compare between dealerships. More than often if you go to the salesman with a written breakdown of comptetitors, you may negotiate a better deal. If the salesman is unco-operative getva hold of sales manager or the dealer principal.
 
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