Non-refundable deposit

I placed the order for my 2004 Prius over the phone with an out of state dealer who did not even require a deposit.

It wasn't like they were going to get stuck with it if I backed out! Most dealers who are asking for deposits are doing so because so many people were "ordering" cars at several dealers and planning on taking the first available.

The local dealer required a $300 deposit on my '05. It was fully refundable and they never even processed the credit card charge.

$1,000 deposit is outrageous! In my eyes, a $1,000 non-refundable deposit is practically criminal. They do not deserve your - or anyone else's, business. I'd run away.

But that's just my opinon. I could be wrong.

 

Since the supply has become better, I think you'd be crazy to work with a dealer requiring a non-refundable deposit. Go on the web, you'll find a dealer that will get you a car.

 

In my experience, to put a customer on a waiting list dealers were either asking for a $500 refundable deposit, or no deposit. I never found any dealer that wanted a non-refundable deposit.

I also noticed that dealers who took a deposit were reserving a car for the customer. You would be offered it over the phone and if you accepeted, it would be held for you until you'd test driven it and made a decision. With dealers who asked for no deposit, you would be told a car was coming in and if you wanted it you better come down fast before somebody else grabbed it.

 

Please add a location to the location field of your profile so that we may comment intelligently.

I have some facts that may be relative, but only if you tell us your location.

Nate

 

My dealer also required a $1,000 non-refundable deposit when I ordered my 2005 Prius in March. I went in person and got a signed quote. I also special ordered several options (leather seats, 17" wheels, etc.).

I'm in south Florida if that makes a difference.

 

Back last August when waits were longer and production lower I was requested by one dealer for a 500 deposit. That was refunded when my son found a faster source in Montana. They requested a 1000 deposit and took my credit card number but never processed the deposit. I would say a non-refundable deposit is bogus. There are people reporting getting cars for under MSRP recently. My nurse walked in the the local dealer last Sunday and bought one off the lot! Look around you can do better than that.

 

The only way I would agree to a non-refundable deposit is with a specific contract for a specific car, completely detailed, similar to a contract to buy a house. Your delivery date, contingincies (financing, etc.) should all be spelled out, with penalties for failure to meet conditions (such as you get your money back if they can't deliver on time). Even then, I would have to be desperate with no one else offering a better deal.

I did a $500 refundable deposit, all it really got me was they would call everyone with deposits when one came in, whoever got there first gets the car. I got exactly what I wanted in 3 weeks, after rejecting 3 others.

 

Just say No....

For $1000, you can put two refundable deposits down elsewhere in the country and then get one of them back, using it for plane fare, once the car comes in!

I know there's some holes in that logic but if you were to put a non-refundable deposit down, you're locked in and who knows when they'll/you'll get a car? They have less of an incentive to produce one for you than a dealership with a refundable deposit who knows you can find one elsewhere and get your $$$ back.

 

Denver you say? See, now I can tell you that it is illegal in Colorado to take money and not provide goods or service; your non-refundable is deposit is illegal. Boulder Toyota told me this when I asked if my deposit is refundable.

Nate

 

I'd laugh and hang up. Plenty of dealers out there. I just put $500 down on a Prius, fully refundable too (I asked because I read this thread )

 

I had a dealer in the Dallas area ask for a nonrefundable deposit of $1,000. They said they would refund it *if* they couldn't get me *a* car within a year. I didn't ask for the specifics because I was busy crossing them off my list of dealers I would ever do business with. Just what I want...an 05 delivered in the Spring of 06. It was Toyota of Richardson, by the way.

I just bought my car from a dealership in Colorado, by the way. Ehrlich Toyota in Greeley. MSRP, very professional and helpful.

Don't reward abusive dealers with your business.

 

Toyota of Richardson? I wonder whether they've changed management, or whether this is at the salesanimal's discretion? When I went shopping by phone in September 2003 they wanted a $500 refundable deposit. T of Plano said theirs was non-refundable.

 

<div class='quotetop'>QUOTE(richard schumacher\";p=\"82776)</div>

I don't know. That was the information they sent me in March, 2005 in response to an email pricing request. I did drop by the dealership when I was in my "wanting to learn more/drive one" mode and they told me that any cars they receive have been presold and I wouldn't be allowed to test drive one. They have become a high volume, high pressure, screw the customer dealership.

The nearest dealership to the Dallas area that was willing to "order" a car at MSRP was Durant Toyota in Weatherford. They seemed outstanding, but the waiting list was a bit of a mystery so I bought from out of state with no wait. I was also very impressed with Messer Toyota in Lubbock and Red McCombs Toyota in San Antonio and would have been happy to buy from them if they had the car. Why wait if you don't have to?

 

OTOH the Richardson service department seems good, at least on the basis of one oil change.