Dealer of used car wanting me to sign and pay deposit

Asking for deposit is standard procedure and I don't really see an issue for it. However, every car I bought or helped bought, the deposit was always refundable and I made sure of it in writing.

In your case, if the dealer wasn't a dick you'll most likely get your deposit back if there was issues with the inspection. If you wanted to be completely safe, you should've noted what constitutes as unsatisfactory like engine problems or brake failures. But I wouldn't worry about it.

What's the point of a deposit if it's fully refundable? Just to show some intent of seriousness?

engineered wrote: ↑ What's the point of a deposit if it's fully refundable? Just to show some intent of seriousness?

Bingo, AND a bargaining chip if the buyer tries to back out. The dealer will attempt either one of two options: keep your deposit or get rich by getting you to get the car. Lots of folks still don't understand the car buying process.

As long as you have a copy with a written condition of a 'subject to' you'll be fine.


If you do decide to cancel just make sure the reason is because of the 3rd party inspection not that you found a better deal elsewhere or some other reason that'll agitate them.

NathanT039266 wrote: ↑ If you do decide to cancel just make sure the reason is because of the 3rd party inspection not that you found a better deal elsewhere or some other reason that'll agitate them.

1. When putting down a deposit where would you specify in writing that the deposit is conditional on satisfactory pre-purchase inspection? What else should you add in the conditional deposit??Does it say anywhere specifically in a car contract that the deposit is refundable?

2. What's the minimum deposit on a listed $19K car?

it just blows my mind....there has to be about 10000 pages of what to do and what not to do when buying a car in this forum....yet every week, there is someone new, posting about their own eff up....just goes to show lack of "street smarts" among the general population of this community ...even with advice written countless times in these threads...people refuse to follow, and create their own predicaments...unbelievable at times

cardguy wrote: ↑ it just blows my mind....there has to be about 10000 pages of what to do and what not to do when buying a car in this forum....yet every week, there is someone new, posting about their own eff up....just goes to show lack of "street smarts" among the general population of this community ...even with advice written countless times in these threads...people refuse to follow, and create their own predicaments...unbelievable at times

Which is why I can’t even bother responding to such threads anymore lol

But I keep coming back for the entertainment.

reggyDeal wrote: ↑ 1. When putting down a deposit where would you specify in writing that the deposit is conditional on satisfactory pre-purchase inspection? What else should you add in the conditional deposit??Does it say anywhere specifically in a car contract that the deposit is refundable?

2. What's the minimum deposit on a listed $19K car?

Every offer to purchase is different - most say deposit is non refundable unless specified. You would want a proper offer with the details of the car, all in price, payments and any terms to the deal. On the paper you would just write deposit subject to satisfactory pre-purchase inspection and then get a copy of it. There is no set minimum for the deposit, for something like this the less is better for you. Realistically they'd probably want $500.


If the dealer seems sketchy or maybe they have bad reviews of withholding deposits in the past... I'd just book an inspection and tell the dealer you'll put down a deposit once the inspection has been completed to your satisfaction.

NathanT039266 wrote: ↑ On the paper you would just write deposit subject to satisfactory pre-purchase inspection and then get a copy of it.

Does it matter how it's written out, since it is a legal document? Would it be better to write "Deposit return subjected to satisfactory pre-purchase inspection"?

NathanT039266 wrote: ↑
If the dealer seems sketchy or maybe they have bad reviews of withholding deposits in the past... I'd just book an inspection and tell the dealer you'll put down a deposit once the inspection has been completed to your satisfaction.

So the dealer would just let you borrow the used car from their lot, and you'd just drive down to a mechanic to have it inspected. Which would probably take around an hour or so. Seems if the car is not in the lot, they can potentially loose a sale if someone else is comes in to look at the car. Just a newb to the process.

If it is the case that you want to buy the car from the dealership and want to bring it out for inspection at your own mechanic, I understand why the dealer wants you to sign and put down deposit. But it should be after you guys come to a price first.

Imagine everyone just go in dealership and take used car for a spin or over the weekend instead getting a rental, it will become dealership loss. They also lose another potential customer who may want to look at the car while you bring it out for inspection.

As long as you both make it clear that it is refundable if inspection report is not satisfy.. like rusting.. previous non-disclosed accident...etc

OP look for another dealer. Unless you're buying a super rare Bugatti to pay a deposit prior to test driving and PPI is completely useless. The dealer knows very well that if you decide not to complete the sale by having your deposit they have you by the balls and will try very hard before refunding to get you into another car.
This is a very well known tactic that dishonest stealerships employ and some people fall for it.

Deposit on used cars LOL...

Dealer tried that on me once...told him "no deposit, not even $1.... I will buy it off you in 1-2 weeks when I am ready"

Of course I go back after 3 weeks, its still available and I even knocked an additional $700 off.

Also, dont pay an BS "dealer fees.

cardguy wrote: ↑ it just blows my mind....there has to be about 10000 pages of what to do and what not to do when buying a car in this forum....yet every week, there is someone new, posting about their own eff up....just goes to show lack of "street smarts" among the general population of this community ...even with advice written countless times in these threads...people refuse to follow, and create their own predicaments...unbelievable at times

Honestly, if a mod could sticky certain post such as
"Checklist for used cars"
"Checklist for new cars"

It would've been a lot easier for people who ain't in this forum every other day...

cellsell wrote: ↑ As long as you both make it clear that it is refundable if inspection report is not satisfy.. like rusting.. previous non-disclosed accident...etc

Upon mechanic inspection do you have to agree what constitutes a dissatisfactory inspection? I assume every Honda dealer ship would pre-inspect a used car before a sale. But if they have missed something, would something as uneven tire wear constitute a dissatisfactory inspection, or an uneven fender or hood lines, potentially indicating a previous accident?