When you want the dealership to hold your vehicle you intend to purchase, it will most probably require a deposit. They do this to make sure you will not back out from the deal. This way they also check if you are certain about your purchase.
Bottom line – do not ever leave a deposit unless you know you will receive the exact vehicle you want to purchase within the set timeline. In this case, you will most probably like to know if the dealership can keep your deposit if you are not sure about the purchase.
Understand what a deposit is. In most definitions, a deposit is a payment, which shows your intent and willingness to purchase a vehicle from a particular dealer. In other words, if the dealership receives the deposit, it will hold the vehicle you want to purchase and will not sell it to another person. Depending on dealership policies and on the laws of your state, the deposit on a vehicle may not be refundable. Make sure you sign a deposit agreement, which does not imply ‘partial payment’ by ‘deposit’.
Consider carefully when making the deposit. Do not make hasty decisions and do not leave a deposit if you have not decided on purchasing the vehicle. You may lose your deposit if you are not sure about the purchase.
Read the contract carefully. The contract is the first hinge in the loop of legal safeguards to ensure the protection of your rights. You may risk losing amount if you do not familiarize yourself with the contract thoroughly enough. The best protection is readily available when you know what you sign.
Writing makes the deal. Strike a deal with the dealership that they add statement onto the contract to refund the deposit. Try and squeeze the article on refund into an accurately written statement, which says your deposit is entirely refundable. If the sale is contingent upon something else, try to require a written statement about those issues as well.
Argue for a refund. If you sign a purchase agreement for a vehicle, which provides for a nonrefundable deposit, you may not be able to recover your money. However, under certain circumstances, you may argue for a refund – with no regard to what the contract stipulates. Having committed fraud, insisting on tie-in arrangements, misrepresenting some material information will leave the dealer open for litigation.
Be certain about your purchase. In case you are not sure that you will buy the vehicle, the best option is not to leave a deposit. Otherwise, your car dealership can keep the deposit if you cancel the purchase. In addition, your car dealership can keep your deposit if you sign a document entitling them to do so if you back out.
Consult the lawyer. An experienced attorney will check the routes for a winning outcome and may take your case. The attorneys at the Margarian Law firm specializing in consumer law offer a free consultation and are ready to assist you in your case.