Is deposit on a new car refundable if buyer changes his mind?

May30, signed a purchase agrreement, to buy a new 2008 truck that is
on the lot..
May 31 AM, changed mind and notified dealer in person.

Sales manager, refunds 50% of the $4000 deposit, claiming that he
doesn't have to refund any at all, but he is a fair man.

Is this normal?

 

Can I cancel a contract within three days of signing it?

QUESTION:
I've heard of a law that allows consumers to bail out of sales --
including cars and houses -- within 72 hours of the sale. What are the
specifics?

ANSWER:
Bailing out of a purchase you've agreed to isn't quite that easy -- a
contract is, after all, a contract. However, both federal and state
laws contain some quick escape provisions, mostly designed to protect
consumers from decisions they may have been pressured into.

For example, there is a federal law (and similar laws in every state)
allowing consumers to cancel contracts made with a door-to-door
salesperson within three days of signing. For example, you might use
that law after hastily agreeing to have someone repave your driveway,
deliver lawn fertilizer, or put a new roof on your house.

Another federal law allows you to cancel most contracts for second
mortgages or refinances of your home within three days of signing. But
this law does not allow you to cancel a contract for a mortgage you
got to purchase your home.

In addition, many states allow you to cancel written contracts
covering the purchase of certain goods or services within a few days
of signing. Examples include contracts for dance or martial arts
lessons, health club memberships, dating services, weight loss
programs, time share properties, and hearing aids.

No law gives you the right to cancel a contract to buy a car. But
there is such widespread misunderstanding about this that your state,
California, requires car dealers to specifically notify car buyers
that they do not have the right to cancel the contract.

 

Depends on the state, contact the atty generals office in your state to
find out what the law is.

 

What does the written contract say about it?

 

I never got a copy of the contract that I signed. All I got was a
VISA charge card receipt.

I was closing time, and we were rushed, I know this is bad,, Next
morning we were there at opening, and canceled the sale.

Wonder if Visa could hold the money?

I don't mind covering any real costs, but $2000 is outrageous.

The truck never left its spot on the lot. Never moved, was paper work
only.

 

Check with a local lawyer (free initial consultation) who knows the laws
where you are. The law in this case may (or may not) pre-empt any
written contract. If it turns out more is owed back, go back to them
again armed with the correct info., then if they don't cooperate sue in
small claims court.

Or you may have just paid what Dave Ramsey calls a stupid tax. IOW
- learn from it and walk away.

 

I've sold 1000's of cars during my career. Do not remember a single
time I ever kept ANY of a person's (even where receipt specifically stated
"non-refundable") deposit he left on a car when he returned and asked to
cancel the deal. Most sales were of used cars.
I don't think our state, SC, requires seller to refund deposits which
are tendered and receipted properly; and to minimize non-serious,
time-wasting deposits, I began writing receipts to read as "...to take said
car off the market and making it unsellable to anyone else through
6-15-2009". Guess I felt I could be a real pain IF he came back with an
arrogant, demanding attitude. Even after such receipts if buyer had a
problem, either with obtaining balance of $ or with buyer's remorse, I
refunded it. I figured if he started out unhappy, he'd never be a sold or a
repeat customer. And repeat customers were the backbone of my business.
I believe in your case, and assuming not too much time had passed, AND
you had gone back with a non-demanding attitude and asked to talk to the
owner, you could have gotten a full refund. Even our new franchised dealers
pretty much adhere to policies like mine above. We think it takes a real
a** to keep a person's deposit upon a short notice of asking for retraction,
and pretty much adhere to the Golden Rule.
Yes, I think half of $4000 is excessive! Even in higher cost-of-living
states. Would you have been happy had he asked to keep, say $500?
Assuming you had been decent the next morning, you might contact Visa
and find out about your prospects of disputing the deal. However, had you
acted otherwise, they might not "go to bat for you"--and they WILL find out.
S.

 

Ask for a copy of the contract. And your charge receipt and other $2000
back.

 

Call your credit card company, you may be able to get them to cancel the
charge.