Dealer advised new car is ready. No finance required. What is the normal process when it comes to payment?
If it's bank transfer, it can take a few days to clear. It means I'm paying for a car I haven't seen yet which is a bit risky.
Should I do the old fashion way by getting a cheque so I can check the car before paying and drive away in the same day?
(I bank with macquarie, bankwest and westpac)
And at which point do I get to pick the rego.
I thought EFTPOS was tied to your card's daily limit (which is different to your account's daily transfer limit)?
I thought this too when hotel accommodation were demanding money before check-in, but i paid 3x my daily transfer limit and it was fine
Always use credit cards for security deposits.
CBA card daily withdrawal limit is $2k. Daily transfer limit on account is $50k. I couldn't use my EFTPOS card to pay more than $2k.
@JimB: Yeah, cancelled them for home loan applications. Haven't reapplied, despite meaning to for the security
Bank cheque. Take it with you on the day and don;t hand it over until you've inspected the car and are happy.
Check the glove box for scratches
And inside the boot lid.
i dont get the reference
You need to give the dealer the details of any number plate requirements when you place the order as this can vary the cost of the car.
Dealer advised new car is ready
Did you not miss this?
For our last few cars we did bank transfer. Did the usual send $10 a few days earlier, then the rest to arrive the day b4 pickup. If it’s hooked up to OSKO it’s pretty well in stand anyway.
You can ask the dealer to see the car before your transfer funds.
I got the dealer's bank and send $100 for testing / verification.
Asked how much I can pay with credit card w/o surcharge.
Then I had the car inspection done ( when I handed over my custom number plates ). On the same day after I returned home, I completed the rest of the payment before 4pm. The funds hit the dealer's account the next day but due to holidays I picked the car on the next working day.
I paid agreed $ via credit card on the day of pickup, upto the limit they don't apply surcharge.
I had organised my custom number plates a month in advance.
What's testing and verification?
There are lots of invoice scams these days.
The hacker taps into the email sent by dealer and changes the bank details in the invoice. The customer the ends up making payment into wrong/hacker's account.
https://www.carexpert.com.au/car-news/luxury-car-buyers-scam…
Bring a wheelbarrow of 10 c coins
Container deposits finally paying off
not cashing in bitcoin?
.
I went with the bank cheque
speaking from my experience last month:
you can go see the car in their yard whilst its being prepared for delivery (i.e. taking the shipping material off)
then transfer and it realistically should be instant if not overnight (call your bank (or try on app) to advise/raise limit so that it doesn't get held up)
transfer a bulk amount of the payment and leave a small balance (equal to the c/c limit without surcharges) remaining.
inspect on collection day and pay remainder if all is well.
And at which point do I get to pick the rego.
IF the car is ready it already has rego plates.
I am reminded of my in-laws many years ago. Dig up cash from garden, put in brown paper bag, pay at dealer.
Yer, lots of pensioners have stashes.
Time to start digging
5 years before you apply for the pension is a good time to do the stashing.
So, for most people that means before 62yo.
Although, no money earned on the stash… so it's tricky.
If you're doing a bank transfer suggest you do a small transfer first (e.g. $20) - and confirm from the actual dealership that they received it before you send the rest. Too many scammers out there and emails etc. being intercepted
Bank cheque. I'm super paranoid about sending large amounts of money via bank transfer. My father in law did a large bank transfer and despite the destination details all being correct the money never got there, both banks took no responsibility and he was left with having to pay that money again, nearly bankrupted my in laws. I know when I bought two cars last year the bank couldn't guarantee when the transfer would get there, could have been up to three working days and I wanted to pickup the cars the following day. And the teller recommended a bank cheque over a transfer for another reason, can't remember what it was now but it did make sense at the time.
How long ago was it? Did he make a complaint through the ombudsman?
https://www.afca.org.au/
Doesn't seem right that he just end up out of pocket.
It would still be a pain and may still be out of pocket in the short term, but I don't see how a customer can be out of pocket when they do everything right, even if they are partially responsible banks will often cover things like unauthorised spending on a lost or stolen card. (I can see banks brushing people off and trying to avoid responsibility, but I feel like the ombudsman would take care of that)
It was well over 20 years ago now. It was a international transfer between Australia and somewhere in Europe. He complained to every where he could at the time.
I called my bank the day before collection and told them I was buying a new car and increased the limit on my debit card for 24 hours.
After inspecting the car, 'tap & go' and drove the car home.
I called my bank the day before collection and told them I was buying a new car and increased the limit on my debit card for 24 hours.
Had a pay for expensive work on my car. Didn't realise I'd run into some sort of limit on my debit card, so I hadn't checked if there was one. Found out afterwards that there was an absurdly simple way to override the limit which I could have used if I'd known.
Yeah, my concern was the bank freaking out about the increased limit and causing delays/issues at the time of transaction.
I wanted it on record that there was a legitimate reason for the request to ensure a smooth outcome (I visited the dealership at 10:00am to enquire about the car of interest and drove it home at 2:30pm).
Inspect the car then hand over bank cheque. Best option. That said it is possible to same day transfers from banks if you request it. I did one the other day and it transferred within 3 business hours of submitting the form.
I purchased three cars last year. First one was bank transfer, but had to ask the bank at the teller to do it. They wanted to know what it was for and I had to provide evidence of the contract.
The next two were with credit cards, there is a fee attached and paid it out over several credit cards. Downside is, you have to do it in person and the credit card company may flag the purchase. I had to call them to unblock the transfer. You can also add additional funds to your credit card ie if your limit is 10k, you can add another 10k so your total is 20k and you'll get the points still.
As per the others, you can't take delivery until the balance is paid in full. You can inspect the car and not take delivery if you really wanted, but since the car is also still under warranty, you will be able to get it fixed.
That's pretty shonky having to provide evidence of the contract. It's my money, the bank has no business withholding it from me if I'm there in the branch with my ID etc. None of their business what it's for.
Re not taking delivery… if there's a defect or something, yeah you can get it fixed under warranty. For me the issue is more if the spec of the car is not correct as per the contract eg if it's missing some of the specified options. Warranty starts from the day of delivery, so if it's going to take them time to get that stuff sorted (assuming the missing options are things that they can put on themselves - if it's a factory fitted thing then it may need to be re-ordered) you're better off delaying delivery until they sort it out so your warranty isn't ticking away while you don't actually have the car.
None of their business what it's for
Actually legally it is. Counter terrorism and anti-money laundering legislation means that banks will ask about withdrawals of large sums of money (I think $10k is a trigger? Don't quote me).
I paid for my car with a personal cheque. I'd already paid them a significant deposit by personal cheque, and given them time for that cheque to clear, and for them to prepare the car. They didn't object to me saying I'd pay the rest by personal cheque when the car was ready.
I paid for my house by personal cheque. Outright. I'd inspected it, and decided I wanted it, and we'd agreed to a price. Went in, and said I'll give you a cheque, now, and you give me the keys, now, so I can move in, now. They cleared it with the seller. I mean, what was I going to do, run off with the house.
Wrote three more cheques for things related to moving into a new house, closed the cheque account.
OT but make sure you do a PPSR check on the vehicle before you take delivery of the car. The dealer is legally obligated to give you clear title to the vehicle but it's worth you double checking.
For a brand new car?
Yep. Something I learned recently was that most dealers, if not all, register a security interest over all the vehicles on their lot for insurance related purposes. These get taken off when someone buys the car but you can never be too careful.
At the end of the day the company with the interest in the vehicle can legally repossess it, even if you've completely paid for the vehicle, and there isn't anything you can do about it.
the cheque would be safer.
or if bank transfer please take precautions to make sure the invoice has not been changed by the scammers.
https://www.news.com.au/finance/business/scam-cost-young-mer…
Bank cheque is the way to go, IMO.
Go inspect the car the day before you take delivery, check it out and make sure everything is in order. Then go back the next day with a bank cheque and take care of business. Or, depending on how busy your day is, you could do it all the same day - go inspect the car in the morning, then go get the bank cheque and take it back to the dealer that day.
The important thing is to make sure the car is as it should be before you go and get the bank cheque. If there's something wrong with the car that is going to take days / weeks / months to resolve (eg if they ****ed up and got the wrong colour or something so they have to re-order the car from the factory) then you don't want your money tied up in a cheque instead of sitting in your bank account for that time.
I nearly got caught 6 months ago - but with a second hand car.
Seller wanted cash - ~$16k. Went to bank, was told I had to 'make an appointment' and they 'may not have that amount of cash' on hand. (Big 4 - Regional/Rural Branch)
After a lengthy discussion, Teller wanted to see proof of car (carsale advert) - as they were checking for possible scams.
In the end I got the cash, but teller told me in future just do under < $10,000 cash withdrawls everyday as any more trigger Austrac - more forms to fill out.
A few years before hand, brand new car at a dealer - I was told that not bring cash. Either EFT transfer (and wait until it clears) OR Bank cheque which would allow immediate release of car for me to drive away.
YMMV
After a lengthy discussion, Teller wanted to see proof of car (carsale advert) - as they were checking for possible scams.
That's good customer service. I was at a Bendigo Bank branch recently and the teller also queried why a middle-age customer wanted x amount of money. Luckily for her, she had brought her new car sales contract with her (OP if you're buying a bank cheque, I recommend you also bring this with you as well)
If it's bank transfer, it can take a few days to clear.
If you visit a branch and do the transfer, its usually instantaneous. Have done that when buying house.
I always pay with a credit card - up to the maximum amount without the surcharge, then the rest on a Bank Cheque on the collection day.
Make sure all the inclusions are there, and the car is perfect before you hand over the bank cheque.
if you have done the bank transfer beforehand - you have no negotiation power if anything is missing and the car is not perfect.
Do a bank transfer, probably safer if not cheque.
Make sure one thing though, do not get that bank details over the email or any form of electronic communication.
Get them to print it out - confirm on the spot before you leave the dealer that it is their bank account to the dot.
If you can be patient. Go bank cheque. Having the ability to walk away and not handover any money until you are 100% happy will give you a slightly better purchasing experiance
Don’t sign final paperwork until you inspect car.
Pay with AMEX, earn points, ?????, profit
Bank cheque.
No chance of screwing up the bsb & account numbers or getting scammed by interception, maximum negotiation power.
Am i the only one who has a chequebook? Stuff paying for a bank cheque write them a personal cheque. Same deal ultimately.
It's not. A bank cheque guarantees the receipt the funding is there. Similar to escrow the bank deducts the funds immediately from you account and holds it until the the cheque is cashed.
Personal check…I'm not sure who would accept that these days.
Yeah i can't say, but 4 years ago we paid our house deposit with a personal cheque.
I guess my point was more it doesn't matter whether it's a bank cheque or personal cheque - they both have to be taken to a bank and both need time to clear.
If someone bought a car from me and paid with either a bank or personal cheque, the car wouldn't leave until the funds cleared.
Thanks everyone. I just got a bank cheque for peace of mind.
I realized a lot of banks are going to stop issuing bank cheques in a few months time. It means in the future when paying for a new car, it will have to be bank transfer I guess
Yeah, the bank cheque really is the best way for the peace of mind as you say. I didn't know that most banks are going to stop issuing them. That's rather annoying as it's a pretty solid way of moving large amounts of money for vehicle purchases etc without the need for electronic transfers and potentially being intercepted. Wonder what's going to be the best method going forward.
Scammers rubbing their hands if no bank cheques
Bank Cheque. Note the bank may charge a $10-20 bank cheque fee.
I bank transferred for the last two new cars bought, no issues there at all.
I transferred a small odd amount and asked them to tell me what they received first before I transferred the rest in one go.
My main concern was getting the bank details wrong or being subject to some bank detail swapping scam.
I doubt they will allow you to take the car until a cheque is cleared, bank cheques have been forged in the past. If transferring funds transfer a small amount & then go to the dealership to confirm they received it before sending the full amount. Don't ring to confirm, visit. If you're concerned go the bank cheque route.
Negotiate for Cash or credit card with no fees.
Ask the bank to transfer for you if you are worried.
Off topic: do you ask for a discount these days buying a new car?
Surely bank will charge heaps for that. What’s wrong with bank cheque?
Depends on the model.
I paid for my motorcycle last year using Osko while standing in the dealership, and rode out on it about 15 minutes later. I was fortunate that my bank offers Osko for any amount via staff validation (i.e. set up the transfer in app, they give you an express number to call, and they validate the transfer).
Which bank?
Yep….forgot that 1….it was a long time ago! lol