Price Change on New Car Order

Devastator0 on 10/07/2022 - 10:47
Last edited 10/07/2022 - 11:20 by 1 other user

So, I need some advice from the OzB brainstrust. I ordered a new car about a month or so ago and I got a call a few days ago telling me, verbally, that there has been a price increase to the model I've ordered. I've just re-read my Contract of Sale from them that I signed and the one line in it about price changes specifically says this:

"The purchase price may be varied if before the delivery of the motor vehicle, there is a change in the manufacturer's recommended retail price, statutory charges or applicable taxes and duties. The dealer shall give the Customer written notice of any variation in the purchase price. If the purchase price is varied due to an increase in the recommended retail price, the Customer may rescind this contract any time within three (3) days of the receipt of the written notice of the variation"

Now, at this point in time, I've received no formal written notice of the price change or new invoice reflecting the change via either email or mail to my home address so I was wondering if I can be held to this new pricing if they never supply me with any sort of formal notice?

Just curious to see what the community reckons on this one.

Cheers to anyone who replies!

Automotive

Comments

  • EightImmortals on 10/07/2022 - 10:55
    +6

    Ask them to put all the details in an email s you can review it. Also check to see if the RRP has actually increased for that model.
    How much is the difference?

    • Devastator0 on 10/07/2022 - 11:21

      Difference is $1200.

  • Benoffie on 10/07/2022 - 11:11
    +3

    This is common practice. Price changes can occur up until delivery. They should reissue the contract at some point once the increase is firm.

    • Devastator0 on 10/07/2022 - 11:20

      I will wait to see if I do get a new contract issued but will see what happens. If they don't issue me a new one prior to the delivery/pickup date & I've already made a cheque as per the current contract/balance, do I have a leg to stand on to ask for that original price?

      • mskeggs on 10/07/2022 - 11:44
        +6

        If they give you the car after you only pay the old price, sure.
        But what chance do you think there is that will happen?

      • singlemalt72 on 11/07/2022 - 09:14
        +7

        If you try to argue that you never received the written price variation then they can simply write it down, give it to you and provide you 3 days to accept or reject the new contract - Dealer couldn't care if you reneg, they can probably sell floor stock within the week in this market.

    • isthisreallife22 on 11/07/2022 - 12:46

      This is common practice

      Wow I've never heard of this

      • Benoffie on 11/07/2022 - 13:41
        +4

        Toyota (and I would assume, every other company) has been doing this for ages. They tell you a price change is coming, usually send out a fresh contract. You can either accept and stay on the wait list or decline and move on.

        It's not like there's a lack of potential buyers.

        The reason why we're seeing this is because of 12-24 month wait times. Previously, you could walk in and either buy a car or maybe wait a few weeks. The likelihood of a price change in that time was extremely low.

  • AndyC1 on 10/07/2022 - 11:18
    +1

    If the price increase is valid then try to get something thrown in for free like one of the car services (not the free 1K one) or some floor mats or something else that does not cost the dealer allot.

    • Devastator0 on 10/07/2022 - 11:20

      Yeah so I've already got most of the options etc included as a part of my original agreed purchase price. Will see how this goes and if I am forced to pay the new pricing, see what I can negotiate with them.

    • 87percent on 10/07/2022 - 11:28

      Window tinting, boot liner, umbrella (best umbrella I’ve owned is one from Audi. Thing is solid, and big)

    • pegaxs on 10/07/2022 - 11:44
      +4

      allot.

      *a lot

      • vicerum on 10/07/2022 - 13:31

        allohtt *

        People don't say "I bought acar" or "I'm going on aholiday". I wonder why people always get it wrong with 'alot'?
        It's not hard.

        • zonra on 10/07/2022 - 13:46
          +5

          My biggest beef is aloud vs. allowed brought vs. bought.

          • pegaxs on 10/07/2022 - 21:33
            +1

            @zonra: Or my favourite alternative to these… “brang”.

      • iamherenow on 10/07/2022 - 13:37
        +1

        You might spoil my game - spotting the "allot" in any post by andyc1.

      • SF3 on 10/07/2022 - 17:03
        +2

        Thanks for the advise advice feedback.

    • Jimothy Wongingtons on 10/07/2022 - 12:32

      not the free 1K one)

      I’m convinced the Toyota one was just them sending in an apprentice, getting them to eye over everything for glaring manufacturer defects.

      • Dogsrule on 10/07/2022 - 18:11
        +1

        That's precisely what it is, they don't change oil or filters or anything else.

  • WreckTangle on 10/07/2022 - 11:25
    +1

    Yes you can be held to the new pricing, or just walk away. You’ll go to pick it up & they’ll ask for the extra $. If you say it has to be in writing they’ll just do that and make you wait longer.

    • Devastator0 on 10/07/2022 - 11:30

      So it's unreasonable of me to expect to be provided with a formal confirmation of the price variance now?

      • WreckTangle on 10/07/2022 - 11:36
        +2

        Not unreasonable and i applaud your OzB effort to leverage a cheaper price. But because the dealer can at any point give written notice, if you're endgame is to get a cheaper price based on a technicality then I doubt it’ll work.

      • spackbace on 10/07/2022 - 12:57
        +1

        It may not be in their systems yet, they may only know of the increase and are making sure you're aware of it first

  • pegaxs on 10/07/2022 - 11:41

    You either accept the price rise, or you cancel and renegotiate the contract/walk away, it's up to you.

    How much of a price rise are we talking about here? $500 or $5,000 ?? NVM, for some reason page only had two comments until I refreshed the page after commenting…

  • narbe on 10/07/2022 - 12:04
    +5

    My RAV4 hybrid pre-order will be similar situation. Ordered 2021 model. Probably get 2023 model.

    But honestly if you can sell brand new cars more than you paid. Dealer isn't going to be sad refunding you.

    Waited 8 months already. Frustrating market.

    • SlartiBartFozz on 10/07/2022 - 12:41
      +2

      Unless you ordered the car in pink or green or with some unusual options, then they might end up losing money on it.

    • spackbace on 10/07/2022 - 12:56

      The upgrades to the Cruiser look good tho, if you ordered that

  • freefall101 on 10/07/2022 - 12:17

    so I was wondering if I can be held to this new pricing if they never supply me with any sort of formal notice?

    You'll get formal written notice when you get the new contract to sign and there is a higher price on it. At best you could say that the 3 day notice period starts from then rather than when they called you up, but considering the car market at the moment they'll probably just shrug and sell the car to someone else.

    It's probably just a courtesy call before they send you the paperwork as well. Plus, did you verbally agree to the price increase on the call? Because if this went to the ACCC/court/wherever and it turns out you verbally agreed, they'll tell you to GTFO.

    • Devastator0 on 10/07/2022 - 12:29

      Plus, did you verbally agree to the price increase on the call?

      There really wasn't any point in the phone conversation where I was asked to agree to that new pricing. It was essentially them calling me to tell me about the increased price.

  • spackbace on 10/07/2022 - 12:55
    +1

    Car salesman here who sees this a lot… You'll have 2 options - pay the increase or cancel the contract. No, you won't be able to pay the 'old price', and if you threaten it I'm sure they'll just let you out and give your order to the next person

    Having customers wait up to 18 months for a car, we see this a lot. Yes it sucks but it is how it is in the current global environment

    • Brian McGee on 11/07/2022 - 09:05
      -1

      Yes it sucks but it is how it is in the current global environment

      The weasel words of a true car salesman. All these companies crying poor when they have hundreds of millions in the bank, screwing customers over for an extra $500-$1000. Welcome to the family

      • spackbace on 11/07/2022 - 09:45
        +5

        Everything is up, even milk from Coles

        But sure, keep going with your old stereotype.

        Last I checked, you wouldn't go slinging mud at the checkout person at the shops for your shopping going up in price, yet you're so ignorant to have a go at the salesperson for the manufacturer lifting prices, and the terms on the contract allowing it?

        Well done champ

        • Hackney on 11/07/2022 - 10:08

          Car manufacturers are rising prices of cars all the time,excuses are wearing thin.Oh,we have supply issues etc,etc,etc.They are making massive profits atm. Toyota seems the worst atm, every few months,then they put this crap out, then the other ‘excuse comes out ‘we don’t have enough production capacity’,really? This is from the worlds largest auto manufacturer, they heaps of production capacity.VAG is the second largest auto manufacturer in the world(down from #1) they have no such problems.Complete lies & BS.All smoke & mirrors.Car manufactures are the scourge of the earth, along with their dealers.The quicker you can cut the dealer out & purchase online, the better off we all will be.

          • spackbace on 11/07/2022 - 10:19
            +2

            @Hackney: Smoke and mirrors? 😂

            Vag are choosing to omit features in their cars just to get them out. And yes they're also seeing delays

            I'll say it again, for the sake of a measly 5% increase in price, with production at 50%, don't you think they'd prefer to be at full capacity instead? 😂

            You guys should be doing stand-up

            • Hackney on 11/07/2022 - 10:25
              -2

              @spackbace: ‘Sake’ of a ‘measly’5% increase?Are you serious?That adds up every few months.I find it quite frankly BS that they are @ 50% capacity.Toyota have the capacity to easily go 100%.Every manufacturer is seeing delays, correct,but not suspending production like Toyota.They are increasing prices because they can, they could easily absorb quite a few increases, after all their profits are enormous.Your a car salesman,enough said.

              • spackbace on 11/07/2022 - 10:30

                @Hackney: Might wanna take off your tinfoil hat there buddy 😂

                It's ok, I'm sure whoever sold you your Honda made a nice commission out of you

                • Hackney on 11/07/2022 - 11:48

                  @spackbace: I am sure you make a ‘nice’ commission out whatever you sell,best you don’t go down that road.I have no idea how much commission a Honda salesman makes out of each car, as you would be very aware it is a fixed price model.Should imagine you do quite nicely I should imagine.

            • Brian McGee on 11/07/2022 - 10:48
              +1

              @spackbace: More weasel word from someone defending their inept and corrupted view. Hyundai has just 'tacked on' an increase of between $500-$2000 on a majority of the range effective on new and existing order with cars delivered after 1 August 2022. How can an existing order with a car already made and on a shipyard, or even on a ship in the high seas, be marked up in this way?
              'Measly 5%', this adds up to around $5 million for the rest of the year, based on YTD monthly sales volume.
              Could you please add me to the "measly' fund?

              • spackbace on 11/07/2022 - 11:39

                @Brian McGee: Lol did your ex run off with a salesperson or something?

                Again, seen the price of milk these days? Planning to go whinge at Coles?

                Bet you haven't seen the increased prices of building a house these days. Make sure you're sitting down if this is how you get over a 5% increase ;)

                • Brian McGee on 11/07/2022 - 11:41
                  +1

                  @spackbace: 5% increase on something thats already made?

                  Don't have an ex, I'm not a car salesman.

                  • Hackney on 11/07/2022 - 11:49

                    @Brian McGee: Touché!

                  • spackbace on 11/07/2022 - 11:54

                    @Brian McGee: 😂

                    You must've been taken hard when you last bought a car

                    • Hackney on 11/07/2022 - 12:04

                      @spackbace: Stick to selling cars(or whatever you call it).

                      • spackbace on 11/07/2022 - 12:08

                        @Hackney: Oh I will :) I enjoy it because my customers are actually nice people who are happy with my service and how I look after them through the course or their purchase and beyond, with many referring friends and family back to me

                        • Hackney on 11/07/2022 - 12:33

                          @spackbace: As you should look after them.Very core of your business.

              • spackbace on 11/07/2022 - 12:07

                @Brian McGee:

                Hyundai has just 'tacked on' an increase of between $500-$2000 on a majority of the range effective on new and existing order with cars delivered after 1 August 2022. How can an existing order with a car already made and on a shipyard, or even on a ship in the high seas, be marked up in this way?

                Lol did some digging, and you might want to as well, or at least use some reading comprehension…

                https://www.drive.com.au/news/hyundai-australia-to-increase-…

                with the new prices to apply to "all vehicles invoiced from 1 August 2022".

                That's invoiced to Hyundai Australia, not to the end customer.

                That means no, it's not applicable to something already on the ship

                Nice try

                • Brian McGee on 11/07/2022 - 12:46

                  @spackbace: Invoiced means what? Invoiced to the dealer, no it means the final customer invoice. If the customer is invoiced on or after 1 august 22 they will receive the extra charge. Cars on a dockyard waiting to be shipped could be affected even though $0 extra has been incurred in production.
                  You really think that invoiced means to HMCA? You are deluded. Like they are some kind of backwater importer? They are a subsidiary of the Hyundai global mothership, just like Toyota.

                  Existing orders will not be protected from the price hikes, with the new prices to apply to "all vehicles invoiced from 1 August 2022".

    • isthisreallife22 on 11/07/2022 - 12:49

      Yes it sucks but it is how it is in the current global environment

      Why do things that have happened since the order was made factor in to the price after the order? Prices of milk hadn't gone up when the buyer made the order ?

      • spackbace on 11/07/2022 - 12:53

        An order simply puts you in the system, in the queue. In some cases your order might not get built for 2 years, and then might be a different spec car to the one you ordered, or parts could've become harder to get, or the exchange rate might have changed.

        Again, if you build a house right now you're 99% likely to pay more for it by the time its fully completed, similar story.

        • Hackney on 11/07/2022 - 13:38

          Not if you have a sunset clause in place in regards to building a house.

          • spackbace on 11/07/2022 - 13:45

            @Hackney: Which no builder has right now.

            Cost of bricks alone has gone up 2-3x more since pre-covid.

            • Hackney on 11/07/2022 - 15:14

              @spackbace: You would be wrong on that one, I know of a couple.Less stress than ‘buying’ a Toyota.

              • spackbace on 11/07/2022 - 15:17

                @Hackney: I know of more than 'a couple' paying significantly more than first agreed to on a new house

                But hey, whatever suits your argument huh? 😂

                • Hackney on 11/07/2022 - 15:23

                  @spackbace: Whatever ‘suits’ you.At least you can get house in a reasonable time frame, unlike anything from your mob.

                  • spackbace on 11/07/2022 - 15:27

                    @Hackney: Maybe in NSW.

                    House building in WA is past 12 months…

                    My 'mob' could get you a car in that time

                    Though that's the thing, when you have the popular car AKA RAV4 Hybrid, it's going to have wait times. Honda, on the other hand, aren't popular, so plenty of stock to go around! Lol Honda are even being beat by Suzuki, and are over 25% down YTD to last year.

                    That's gonna be fun with resale once they exit the market

                    • Hackney on 11/07/2022 - 15:54

                      @spackbace: Hell, it must be a ‘slow’ sales day!Sitting @ your desk surfing OZ bargain.HRV Hybrid, there is already a six month wait.UK,it is out to eight months.It is going gangover there.Civic?It has tanked,but with a Hybrid version due imminently, sales will pick up.Honda have actually remained steady in last Vfacts report @ 6%, no drop in sales, not tanking for a change, due in part to HRV Hybrid sales.Civic actually picked up.CRV Hybrid due out next year, sales I would imagine only go up.All Honda’s lineup will all be Hybrid.

                      • spackbace on 11/07/2022 - 16:06

                        @Hackney: RDO's are a thing ;)

                        HRV Hybrid, there is already a six month wait.UK,it is out to eight months.It is going gangover there.

                        Damn, they must be holding them back to increase profits, right?!

                        • Hackney on 11/07/2022 - 16:16

                          @spackbace: Seems you are always on RDO’s.Holding them back?Probably.🤣🤣🤣🤣🤣

        • isthisreallife22 on 11/07/2022 - 16:37
          +1

          An order simply puts you in the system, in the queue.

          I dont think that is the mentality of the typical car buyer who wrestles for months to decide to go buy a car and finally goes and signs on the dotted line

          • spackbace on 11/07/2022 - 16:39

            @isthisreallife22: Except the price rises are told to them (if known, or the chances of a price rise), and it's there in the conditions of the contract which are pointed out to you when you buy the car.

  • greencomet on 10/07/2022 - 13:00
    +3

    Happened to my in-laws too with their Nissan Patrol, they signed contracts and waited around 9 months for it to arrive, about 3 weeks before delivery their dealer slapped a price increase on it. Was told that's the new price, they can either pay that or walk away and someone else in the waiting list will happily jump on it. Seemed pretty dodgy to me.

    • isthisreallife22 on 11/07/2022 - 12:50

      Even if it is common practice, as some have said, that's absolutely devastating and yes I think dodgy

  • iamherenow on 10/07/2022 - 13:35
    +5

    Now, at this point in time, I've received no formal written notice of the price change or new invoice reflecting the change via either email or mail to my home address so I was wondering if I can be held to this new pricing if they never supply me with any sort of formal notice?

    You are dreaming if you think you are going to get it cheaper on a technicality. Even if you don't get formal notice before pickup, i'm sure they will formally notify you on the day of pickup if you want to play games.

  • k-rokfm on 10/07/2022 - 22:31

    What kind of car?

    • Brian McGee on 11/07/2022 - 09:02

      Some sort of sporty N series Hyundai most likely.

  • j0hnd0e on 11/07/2022 - 05:53
    +3

    I know it's a normal practice. But if a dealer is able to willy nilly increase the price or cancel the 'contract' after you've signed the 'contract', then it's not a contract! It's a disgusting industry, after real estate agencies.

  • Ryk on 11/07/2022 - 13:17

    I really struggle to understand the concept of buying a car that will not be delivered until …?

    • Hackney on 11/07/2022 - 13:40
      +1

      Have to agree.You are @ the beckon call of the manufacturer & to a lessor deg the dealer.In fact I would go as far as to say, you are @ a distinct disadvantage.The only people who make money out of this are the manufactures & dealers.

      • CrowReally on 13/07/2022 - 18:07

        Bloody typical, isn't it, manufacturers make something, dealers demonstrate it and sell it to you and then they both want paying

  • Darayus on 11/07/2022 - 15:21
    +1

    I ordered my Subaru on Nov 21 and got delivered last month, they hold to their price even after 7 month's wait and the price on the new booking has increased by $ 700.

Login or Join to leave a comment
Login Join