Is new car deposit refundable?

What does your paperwork say?

You can try but chances are slim.

George613 wrote: ↑ What does your paperwork say?

...this contract is final and binding once I have signed it unless the motor vehicle dealer has failed to comply with certain legal obligations...

Got any lawyer friends that would give you some free advice? You need to move fast if anything can be done. You could probably apply the 2k deposit towards a different car from the same dealer.

Technically No, only if the salesman or the manager is too nice to you.

George613 wrote: ↑ Got any lawyer friends that would give you some free advice? You need to move fast if anything can be done. You could probably apply the 2k deposit towards a different car from the same dealer.

I doubt he has any lawyer friends if he has to post his question here for our advice.

healsio wrote: ↑ paid $2000 for a new car deposit 3 days ago, but I changed my mind, can I get a refund?

Congrats on your new purchase

What car is it?

It might depend on province.

In Ontario and Alberta, the jurisdictions with which I'm familiar, there is no cooling off period for vehicle purchases. As soon as you sign that contract, you lose your deposit except unless certain contractual conditions were not met.

Just like any contract, you can add conditions that are mutually agreed upon (ex: inspection, repairs, subject to partner's approval, subject to financing or finding affordable insurance). The contract can be rescinded if those aren't met. It can also be rescinded for certain unfair business practices (i.e. false representation), or for not disclosing certain things about a vehicle (ex: that it was previously a rental or taxi; or modifying the odometer reading).

If you bought new, they're a reputable dealership (i.e. low chance of unfair business practices), and you didn't add any additional conditions to the contract with respect to financing and insurance, you're at the whim of the dealership. If they haven't proceeded yet with ordering or preparing the vehicle and you ask nicely you might get lucky, but they have no obligation to refund the deposit if you cancel the contract. The deposit is there for a reason; it's to re-coup their costs if you back out of the deal.

https://www.omvic.on.ca/portal/Consumer ... ement.aspx

What's the reason to change your mind?

If you want a different trim (or color), no problem.

If you paid a deposit for an SUV but you want a sedan, no problem.

If you got a new car and want to switch to a used one, or viceversa, no problem.

I am sure the dealer will accommodate your change of mind.

But if you want to walk away, then you have a problem.

Anything is possible, turn on the waterworks and give them a sob story.

Is there a VIN on the paper you signed? If there is no VIN, it means there is no car you can walk away. This happened to me twice and I used it as bargaining power

Usually you ask that question before you do the whole RFD "buy now, think later" thing...

I thought the RFD motto was “chargeback, chargeback, chargeback!”

Phonophoresis wrote: ↑ Usually you ask that question before you do the whole RFD "buy now, think later" thing...

Only for RFD approved deals. Without the hive mind thinking for us, we are just normal uninformed buyers.

restartRFD wrote: ↑ Is there a VIN on the paper you signed? If there is no VIN, it means there is no car you can walk away. This happened to me twice and I used it as bargaining power

not yet, not printed on the paperwork

The most I left for a deposit was $77, what I had in the vehicle. LOL



Dealership doesn't like it, I walk away.

healsio wrote: ↑ not yet, not printed on the paperwork

Then there is no car because only when there's a VIN on it there is something to sell to you. When they find the car, and put the VIN down they will ask you to re-sign the paperwork with the VIN on it.

They will give you a hard time to get your money back though, do check with your province's regulator. In Ontario its' OMVIC.

1. Buying a car is not like pre-ordering a videogame from Best Lie or Amazon.
2. Buying a car is not like buying a toaster from Walmart or a hammer from Home Depot.

Cars cannot be "returned" like that toaster you didn't like nor can orders be "cancelled" because you changed your mind on a whim*. In a world where Walmart or Amazon sold cars...maybe. But that's not this world.

Don't leave deposits on cars unless you are absolutely certain it's what you want to buy. If you are not certain or just want the ability to change your mind because you are a flighty and fancy person? Don't leave a deposit. Now some stealers won't sell you a car (or claim they won't) if you don't leave a deposit but them's the breaks--that's something to duke out with the stealer. But if you don't want to leave the money--DON'T.

This is what the law (in ON at least, probably in other provinces too) is based around. No one puts a gun to your head to buy a car or leave a deposit so if you don't want to...don't.

These are life lessons for the future. For now since you've left the deposit already--it's basically up to the stealer now. Some might not want the bad rep, might not have done anything yet, and may just return your deposit fully provided you let them know ASAP. Most others (they don't call 'em stealers for nothing) will keep at least part of it as "admin costs". That admin cost could be as much as $500, possibly even the whole thing. Which is how we get to the scummy stealers, who will keep all of it. The law says you can ask for your deposit back but it also says the stealer is entitled to keep some or all of it for admin costs. So even though it's super scummy. they could claim that $2000 is the "admin cost" of the transaction and thus keep it all. Outside of the super scummy stealers I'd say expect to lose $500, and be thankful if they take less or take nothing and refund you.

Keep in mind the above life lessons for any future car purchases.

*In fairly limited situations there are circumstances where a "return policy" is offered by certain manufacturers or dealers but this is rare.