Bought Used Car Which Was Mis-Advertised as a Higher Model

So I paid a deposit ($1k) for a used wagon that was listed at $18300. Visited the dealership, took a test drive, liked it and negotiated to close a deal at $17400.

Now something had been bothering me about the car cause it just seemed to lack some features. I researched quite a lot and finally figured that they've lied about the model of the car! In their Ad and the tax invoice provided they claim its an "SLi" whereas its clearly the lower base model "Si", I don't have to do much to prove it.

Based on Redbook data (where they sourced the car specs from), the "Si" prices are:

*Private Price Guide $15,700 - $17,700
*Trade In Price Guide $12,300 - $14,300

.. whereas the SLi prices are:

*Private Price Guide $17,900 - $20,100
*Trade In Price Guide $14,100 - $16,300

I have clearly agreed to pay more than its worth, but its been 3 working days already which means the cooling period has expired and I was about to take delivery today so just wondering what are more options now?

1) I do like the car and willing to take it but not at this price, I'd be happy to take it if they reduced the price by $2000.
2) And If I choose to back out and request my deposit back would the dealer charge me any fees although its not my fault?

Thanks!

closed Comments

  • +49

    If on contract you were to be delivered and SLi, you should get an SLi.

    It's a written agreement. Wrong item delivered. Return for the right one.

      • +19

        Ask for your money back.

        $2,000 is around 15% of the value of the car. You're being short changed a significant amount.

        You have even measured your financial damages of having the wrong model presented on the contract.

        • -2

          Not sure if i want to hire a lawyer to cla the financial damages but I just hope they agree to drop the orice by atleast 2k.

          Car dealers and their shady practices, damn!

        • +7

          @3zzy:
          Doesn't have to escalate to court. VCAT or the likes should be plenty.

        • @tshow: Ah, thanks!

          Haven’t done this before so just wondering exactly does “financial damages” mean and what can I expect?

        • +6

          @3zzy:
          If you were to resell the car today, you'd be $2,000 less than you'd have if the correct vehicle was delivered.

          That's the damage.

          You can expect any competent panel to rule that the wrong car was delivered and that the right car needs to be delivered or the deposit refunded in a timely manner.

        • @tshow: Gotcha, thanks!

          I’m pretty sure they’d refund me in an instant though :(

          Thanks a lot for your advice though, really useful.

        • @3zzy:
          All good. All the best in your hunt.

        • -1

          @tshow: Just checked VCAT the application fee is 209 and each day’s hearing fee is 384. Not worth I guess.

        • +13

          @3zzy: Totally worth it. Stop them doing it in the future and still saves you money. Don't just do it for you, do it for everyone :)

        • +2

          @3zzy:

          Hearing fee applies from second day onwards. Matter like this wouldn't even take an hour.

        • @3zzy: plus on the form you can request (tick box from memory) that they pay your fee in the event you get a favourable decision

      • What's the point in asking for advice and then deciding to ignore/not follow it?

    • -3

      The car will be specifically listed in the contract though, most likely with VIN and Rego. They'll just claim typo on the SLi bit and point to the VIN of the car that was test driven and agreed upon.

      • +1

        A typo doesn't set a contract void

        • +8

          If the typo is inconsequential, sure.

          A couple of alphabets in the wrong place can change the entire tonne of massage.

        • +1

          @tshow:

          A tonne of massage?

        • +1

          @Kangal:

          No happy ending for you!

        • @Kangal: That was the point

    • Exactly. It is not acceptable that you get a lower model. It may cause issues in the future if your car gets stolen or something.

      • -1

        Except in this case the buyer inspected, tested and then bought the car. There was no shifty action from the dealer after the buyer decided they wanted that car. The dealer didn’t supply something different to what the buyer paid a deposit for. The dealer did either screw up or mis represent the vehicle in the ad, but didn’t try and pass off a different car.

        • Whether it was delibrate or not doesnt matter, he advertised a car amd wrote a contract fir a different model. Its the dealers responsobility to get that right.

      • +1

        Or of its missing an air bag that may have saved your loved ones life

        • This.
          People generally forget about Safety and rush in to see the kW power and L/100Km efficiency ratings.

  • +8

    The rego papers for the car will have the correct model listed. As the dealer has listed the car incorrectly, you have the right to break the contract and get your deposit back. You can also get the VIN number checked on a site like carfacts, but this will cost $$$.

    • -6

      There’s no doubt whatsoever that its an Si and not an SLi.

      And getting money back i believe should be easy (I hope) but i’m more worried that if the deal doesn’t go through then I have to start looking again which is not possible for me. Can I force them legally to reduce $2000 off the price?

      • +24

        No you can't force anyone to reduce the price. If the contract is void, it's void and moot.

        If you're willing to put yourself in the position of emotional attachment or create a premise of lack of time, that's on you.

  • Not really. But if they want the sale they may reduce the price for you. I have only studied basic contract law but from what I know, there is not much you can legally do past getting a refund

  • Don't take delivery and tell them you will go to consumer affairs if you do not get a refund. Otherwise ask for $2k off the price

  • -1

    Fraudulent misrepresentation allows recission.

    Just utter those words to them and say it's either 2k back to me now, to affirm the misrepresentation. or you will rescind it through court, through the usage of an expensive lawyer, who is working for free until the time where by you win, where by they will also cover your legal fees, and lost wages when they lose. The time in court would waste their time enough.

    Give them that sentence and 15 minutes to think about it.

    • +14

      Spoken like a law student or bush lawyer with no idea. I would just laugh at you if you said that and tell you to go find that expensive lawyer, tell you that you will almost never get your full legal fees recovered and your loss of wages is of no concern. Then go find a lawyer. Your out of pockets will be well more than $2k before you even see the inside of a courtroom. A day in court with proper representation will cost you somewhere between $5000 an $15000. You will get some of that back if successful, probably about 70% and after a period of time. If anyone ever threatens to sue you over a minor matter, tell them to go for it. The only people you have to watch out for are nutbags who represent themselves, who then will refuse to pay you your legal fees which they owe. I have some experience in that regard.

    • +1

      Agreed. Unclesnake has no clue.

      If the dealer did refuse to refund (which they would be crazy to do) It's clearly a breach of the ACL, CAV and ACCC will give free advice and VCAT is cheap and easy.

    • +24

      According to you when someone with industry knowledge uses the knowledge to mislead and blantantly lie about the product they are selling. Its the customers fault? Its the dealerships responsibility to correctly advertise the product not the customers to uncover the truth

      • +2

        True, if they blatantly lie about it, but the buyer has some responsibility to ensure they get the product they ask for. It is entirely possible that the work experience girl stuffed up listing it on the system and noone picked it up because the badge is gone, or they aren't familiar with that model.

        It's not like the OP didn't check the car before hand, they did. They test drove. They obviously wanted some features from the SLi model, but didn't see if they were working to find out the feature wasn't there. It's one of the things I'd be checking because I don't trust dealers.

        I test drove a vehicle with a known regular cruise control fault, the salesman had no idea it wasn't working when I told him, but you can be sure if I'd bought it it would have been fixed first, or reduced the price. (Didn't buy it because it was sold when I rang back).

        Don't trust used car dealers, do your own checks.

        • +1

          I knew about the SLi features and did find them missing but I assumed its probably because of year difference or maybe because its a petrol variant cause I had driver a diesel the other day that had all the features. I did ask him about it but he didn’t want to say why those features were missing. I trusted them thinking such a big dealership wouldn’t lie about the model!

        • @3zzy: Used car salespeople don't know everything about every car. I'd expect them to know the details of the current model, but anything used is buyer beware. If the dealer is of the same brand you bought they should know about trim levels but it could be the salesman is new to that brand and isn't up on the older models details. If it is different to the dealer brand, then all bets are off they are trying to get the car out the door for the maximum price.

        • +1

          @Euphemistic: Understood, but its not the customer's fault still, its their business they're not doing any favour so I'd assume they'd make sure the model is correct like I found out.

        • -1

          @3zzy: Used car salemen have a reputation for a reason. It's not because they disclose everything truthfully every time is it?

          They wait for you to test drive, fall in love with the vehicle and then do whatever they can to sign you up.

          You assumed and you lost.

        • @Euphemistic: I'm new here so I didn't know. I chose to buy from a dealer specifically because my last car purchased from a private buyer although not written off but was accident repaired that I came to know of the next day itself! I thought dealers wouldn't lie so blatantly, on a written contract!

        • -1

          @3zzy: I hope you've learned some lessons then. (and I hope others reading this can learn too).

        • @Euphemistic: I sure did, but the issue here not getting a refund, I'm pretty sure I can get it cause I paid by card and haven't paid the outstanding amount yet. Its the hassle of going through this mess and now looking for another car :(

        • @3zzy: What features are missing? Are they critical or just nice to have? Consider asking for a reduced price (although you haven't paid above the higher Si price listing) and taking the one you have a deposit on. Is it really worth the hassle for those extra features?

        • @Euphemistic: 12 function electric seat adjustment, illuminated mirrors, dual zone climate control, tray on the rear seat are some of them.

        • +1

          The Op's case would be the dealer knew of the missing features and listed the vehicle as the higher model to benefit. The dealer would argue they made an mere mistake. A judge or panel would 100% rescind the contract due to negligence - misappropriation. I understand what your saying, do your due diligence, dont trust people , check and recheck but if you do all these things and you miss something ? There has to an avenue for the consumer to take to rectify the issue

        • +1

          @PAOK11:

          Actually OP has admitted they knew about the "missing" features before signing the contract.

          I knew about the SLi features and did find them missing

          Case closed.

        • @LoopyLou: I've been through this already, I'm over it. Pick up a contract law book & read it. After doing this, return to thread and comment all you like

        • +3

          @PAOK11:

          Who said anything about contract law? It's only you that keeps harping on about the law.

          OP knew the features were "missing" and bought it anyway. Now they're being a dick.

        • @LoopyLou: The law is not something you can overide. Not much overwrites contract law little fella. The following do however Negligence,misappropriation, duress, undue influence and unconscionable actions

  • +14

    'In their Ad and the tax invoice provided they claim its an "SLi"'
    Then put it to them that they misrepresented the vehicle and say you do not wish to go through with the purchase.
    Don't be an arse about it, but be clear that you thought you were getting the SLi. Tell them that you would only be satisfied in the SL model ax price 'x. If they don't come to the party then politely decline and inform them that the contract would be voided if you took legal options.

    • +7

      This, I dont see why people are telling you to escalate to the next higher authority off the bat - just be nice and tell them you were under the impression that you were purchasing an SLI and the model being offered was the SI and that you don't wish to proceed with the sale. If they then kick up a stink that's when you can escalate.

  • A lot of cars have a badge on the back for the option level. Does this car have an Si or SLi badge on the back?

    • Nothing at the back thats probably why they chose to lie. And I say lie cause I'm pretty sure they knew its an Si and were passing it as SLi to unsuspecting buyers. When I asked them about the missing features they didn't say anything, I should've seen it as a red flag.

  • +4

    In their Ad and the tax invoice provided they claim its an "SLi" whereas its clearly the lower base model "Si",

    As others have said, you're entitled to break your contract and get your deposit back.

    But you obviously didn't notice the differences between an SL and SLi when you were test driving. If the differences don't matter, you could use this as an opportunity to drive the price down on the Si (obviously relative to what a good deal on an Si model would be). The dealer isn't going to be able to magically pull out an SLi model out of thin air, so "give me a super good deal on the Si or give me a refund". The dealer would obviously prefer to make a sale than make nothing.

  • +1
    • +7

      It's funny. Whirlpool is pretty much saying you are stuck with it. Ozbargain is saying you can get out of it. Which forum has the bigger tighwads?

      • I know, thats why I rarely ever ask on Whirlpool but its a matter of $17k so I wanted more opinions.

      • +12

        Whirlpool is full of vitriolic misanthropes.
        If you ask for help there and get 10 replies, 7 of those will be messages saying it was your fault, you deserve it and there's nothing you can do about it.

    • +3

      Seems to be a common thing now, shop your questions around to both websites. Like it makes any difference.

      • +4

        It does, like the previous comment said the opinions are quite contrasting. Maters esp when its a matter of $17k.

        • +5

          There might be contrast, but there is only one correct lawful solution to the problem. Just because people on the internet said it was true, doesn't make it so.

        • +1

          The opinions are quite contrasting from your psychariatrist vs the neighbour you are fighting with too.

          Ozbargainers (possibly except me) seem to be a supportive bunch, Whirlpool are a bunch of haters.

        • @Euphemistic:

          That's bullshit mate!!

      • +5

        shop around until you find someone that agrees with you it seems…..

        • Yea right, what would you do in a similar situation? Pay more for a car thats not worth the price? The forums are meant for discussion so it shouldn't really matter.

        • @3zzy: you can shop around for an opinion all you want. Someone will support you, after all there are still a group that believe the earth is flat. Who is right is the question.

        • @Euphemistic: But I also learnt a lot in the process. Knew about my rights, VCAT etc.. so it does help make an informed decision.

        • @3zzy:

          what would you do in a similar situation?

          Just because people on the internet say its true, doesn't make it so.

          Shop around for sure, but don't get your heart set on getting a different outcome because the internet thinks you should.

          There is the law/fact and then there is the internet.

        • +1

          @pegaxs: Looks like you're a dealer too? ;) Its NOT buyers remorse. I'm not regretting the price I paid, I was deceived by false advertising, took me some time to uncover the truth that saved me money. $17400 for Si is not a good price.

        • +8

          @pegaxs: I wouldn't deal with shady salesman like you either who false advertises their shit and then justifies it. Or perhaps it is you, Sam? :)

        • +1

          @pegaxs:

          Ah good, you understand how we feel when reading your posts above

        • -1

          @zeggie:

          Yes. I totally understand why I left the sales trade after reading the comments here.

          And you sheep can neg me all you want. OP had a bad case of buyers remorse. Instead of getting on the neg bandwagon, some of you should have actually read what I said. Or at least one of you should have offered up an alternative point of view.

          OP stated that they knew it wasn’t the right model. They tried to confirm it with the dealer and the dealer avoided the question (according to OP). Instead of pushing for the right information, OP paid a deposit.

          OP then gets a bout of buyers remorse and wants out of the deal. They were happy enough at the time of sale, so much so they signed a sales contract and paid a deposit. 4 days later they are having second thoughts and looking for anything to get out of the deal…

          OP then went on to say that they were mislead (OP’s opinion) and sold a vehicle that wasn’t the right spec level and then quoted Redbook as their defining price guide. The problem is, OP paid what Redbook says the Si model was worth. The SLi was around the $18k~$20k. The Si was $16k~$18k. OP got it for $17.4 and was offered $500 more off it, making it $16.9. Well inside OP’s own Redbook valuation.

          The biggest problem here is that we get OP’s side of the story, and that is, happy with the car. Happy enough to buy it for the price and sign a contract. OP didn’t wait to get questions answered before signing, so obviously these things were a non-issue, or else OP would not have signed the contract.

          Was the dealer being deceptive? Who knows? We only have OP’s version of events. Was it outright deceit or a clerical error? OP was, by their own admission, only charged a price that was average for the Si model they were sold. OP also admitted to not following up questions before signing, and the mere fact that OP handed over money and signed a contract states that OP was happy with the car at the point of sale.

          So, if this is not a case of buyers remorse, then I don’t know what is. So, have at it, sheeple…

          Baaaaaa….

        • +3

          @pegaxs: Peg you're on the wrong forum, the whole tossing around of 'butthurt' and 'sheep' only works on places like Twitter and FB where there are Americans losing their minds about Trump.

        • @MissG:

          The butthurt here is real. People ask questions and then get all offended when people don’t side with this and offer sympathy. I have seen some of the most valued comments downvoted becuse OP didn’t like it and then sheeple will just go, oh, that has a lot of negs… I gotta add mine to it, without reading how valid it actually is…

          I’ve found here that neg votes in comments are not a reflection of the comment being misleading or bad, but more of a butthurt scale from not getting the answer people were hoping for.

        • -1

          @pegaxs:

          TLDR The only butthurt person here appears to be you.

  • +2

    Flip your sales contract over, OP. On the back there is a bunch of bullshit in the collective organisation of words. In the organisation of these words, some of them fell into an order that outlines your rights to back out of the deal. I am not sure what state you are in, but some of these contracts will say different things.

    In your terms and conditions it will say something about cancelling the deal. It will give you X amount of working days and after that, you will forfeit something like $xxx or x.x% of the cost of the deal to break it.

    Didn’t do your homework on the car, didn’t do your homework on the contract of sale. Looked up car prices on redbook and think you’re entitled to the lowest price for the Si model. Redbook says up to $17,900 and you got yours for $17,400. Sounds like you got an Si to me…

    • +5

      Didn’t do your homework on the car, didn’t do your homework on the contract of sale. Looked up car prices on redbook and think you’re entitled to the lowest price for the Si model. Redbook says up to $17,900 and you got yours for $17,400. Sounds like you got an Si to me…

      I daresay the dealer wouldnt get bullied, unless there's gross in aftercare/finance for the dealer. They'll likely just go "here's your deposit back, we'll change the advertising as soon as you walk out the door to reflect the proper model, but keep the asking price the same."

      Dealer won't get bullied to drop $2k margin unless they can afford to. If they have that profit in the car, OP didn't do their homework/negotiation properly… ;)

  • +2

    Don't forget the ACL.

    Consumer guarantees also apply to second-hand vehicles, but in this case any claim will be against the dealer only. A consumer guarantee will not apply to defects shown to the buyer before the sale.
    Consumer guarantees require vehicles sold to:
    1. Be of acceptable quality;
    2. Be fit for the purpose for which they were acquired;
    3. Correspond to any description attached to the goods prior to the sale; and
    4. Correspond to any sample of the goods that was offered to the consumer prior to the sale.

    Points 3 and 4 seem to be the most applicable. It doesn't correspond to any description attached to the goods prior to the sale (SLi vs Si) but it does correspond to any sample of the goods offered to the consumer prior to the sale. I.e. the consumer was given the opportunity to inspect and noticed the missing items. However what may work in favour is that the question was asked about the missing specifications and ignored by the dealer.

  • If it says on the paperwork SLi and it's not, then at the very least you can get your deposit back without any penalties regardless of the VIN.

    You can probably force a discounted price and it's worth trying it on if your confident, otherwise just get your money back and walk away.

    You want a $2000 discount, you have to tell them there's no negotiation on the discount, otherwise you would have started off at $3000 to negotiate it down to the $2000 difference as listed on Redbook.

  • +37

    Ok, called them and they were quite defensive. Asked them to check again, they did and said its our fault. Two options: $500 discount or refund, I chose the latter.

    • +22

      So OzBargain was collectively correct as opposed to Whirlpool.

      • -4

        I guess in the interest of placating a customer, they offered a solution. It still doesn't excuse inspecting, testing and buying a car that isn't one you want and running to ozbargain to get help.

        • +16

          This is an issue of informed consent.

          The seller has a responsibility to be informed of the model of the car and to represent that model accurately in the contract.

          The buyer is not expected to be able to differentiate between the models. If the buyer cannot differentiate between the models the time, hence accepted the differences exist based on the model on the contract, then the seller has clearly misrepresented, whether intentionally or through negligence.

          It is no different to medical informed consent. A patient cannot reasonably know what a surgeon knows but it is expected the surgeon is techinically well versed and has communicated the procedure, albeit with many omissions, without fallacies.

        • -8

          @tshow:

          Point is, OP knew something was not right and instead of pushing for a clarification, decided to sign the contract anyway.

          OP states that they asked about the missing features, so OP had knowledge of the vechiles spec levels. When this did not match up with what OP was expecting, instead of pushing for the correct information, OP just signed the contract.

          And comparing buying a car to talking to a surgeon just shows why you are on my blocked list. Car sales staff are about as far from being a surgeon as one could possibly be. Medically informed consent compared to buying a car. Now you're just clutching at straws…

        • +4

          @pegaxs:
          Informed consent is common law and not specific to any profession.

          I draw a parallel that I can phrase and most people can relate to as most people have required medical attention at one stage or another.

        • +6

          Why are people so adamant OP is in the wrong. If your going to get something wrong on the contract you dont want it to be the most important item on the paperwork. This makes the contract void regardless what has happened beforehand. The same guy who says dont trust used car salesman is now saying their offering refunds due to "customer service". Make up your mind already

        • +1

          @PAOK11: as described by the OP, when you ask the salesman if the car has some features and he won’t/can’t answer, it isn’t hard to duck back outside and see for yourself before you sign. That is why the OP is wrong.

          Honeymoon glasses or not, if you fail to get an answer to a question (apparently important question) why would you sign?

          The other thing to consider is the reputation of used car salesmen is pretty much universal. They embellish the truth with abandon.

        • +1

          @Euphemistic:

          Why are you so protective of used car salesmen?

        • @pegaxs: doesn't matter that OP knew something was not right. Dealer cannot contract out of legal obligations

        • @outlander: I’m not. That’s the point, you can’t teust them to get it right, so it’s buyer beware. Not getting a question answered and then signing up for a car is not a smart move when dealing with used car salesmen.

          And to be fair, not all of them are shifty, but they can’t be expected to be across all the details of all the cars they sell either.

        • +2

          @Euphemistic: so you think there is no place for consumer protection laws in this country? Just make it buyer beware??

        • @Euphemistic:

          Are you sure? From the outside it seems that way, but I haven't yet figured out why.

        • -1

          @chumlee: no, we fed need consumer protection. I just think in this case that the vehicle was inspected, tested and found suitable despite not getting answers to questions asked and then the OP took longer than the cooling off period to try and get out of the contract. To me that spells consumer problem, not seller problem.

        • +2

          @Euphemistic: just out of curiosity, if this were an elderly couple who just believed what was written by the dealer until their son pointed it out when they got home…then it would still be their problem?

        • -3

          @spo22a: there are so many used cars out there with so many different models and trim levels that ANY buyer should be 100% certain before they sign up.

          If an elderly couple is duped by the salesman then with their lifetime of experience maybe they have lost a few too many marbles and shouldnt be driving any more. (Yes, I think thee are too many elderly drivers past the safe driving date)

          On top of that, the elderly couple probably isn’t going to be fussed with bells and whistles and won’t really mind if the one they bought doesn’t have a 12 way adjustable seat or dual zone climate control. As other posters have pointed out the price is at the top of the expected range for the base model, not a complete rip off.

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