Dealer Sold Me a Loaner / Dealer Used Car as an Ex-Demo Car

Sales told me it was an ex-demo car , with 6k km and 9months old.

But later I realize that:

  1. The vehicle history shows usage in both Queensland and Melbourne.

  2. Location records indicate visits to approximately 30 different places, including airports, schools, and tennis courts.

  3. There are visible scratches around the rear of the car and some minor interior wear.

  4. The vehicle missed a scheduled 3-month service.

  5. I am listed as the third registered owner, with two previous dealer registrations.

  6. The VicRoads report includes incorrect fuel type documentation.

Can they still sell it as ''ex-demo car'' ? ( they sell it like new car price, I bought it because they said they don't have new car )

I need some advise / suggestion.

Comments

  • +69

    That's typical for an ex-demo car. Sometimes staff/managers use them too.

    Ex-demo doesn't have a set definition, in the same way as 'refurbished' doesn't either. Could mean anything. It's basically just a used car, the only constant would be it hasn't been registered to a private individual yet.

    You should get legal advice from a qualified person, not an anonymous internet forum.

    • +28

      There is nothing to get legal advice about

      OP bought an ex-demo.
      In other words a used car.

      The registration records fit the description of an ex-demo (first registered private owner)
      "I am listed as the third registered owner, with two previous dealer registrations."

    • Op just curious what is a" Location records" and how did you access it?

      I thought it would be a privacy issue?

      Curious to know are location records only accessible for new cars or can used cars have that location data also?

      • +11

        It's just the destination a previous user entered into the dashboard GPS. OP has just hit the history button and discovered the destinations previously entered. Nothing sinister. No breach of privacy was made.

        • -2

          No breach of privacy was made.

          I wouldn't say that - if you're talking navigation history, then there would be addresses for employee/s and/or customer/s (or either's friend's/relative's) - anyone who has used the car and put those details in. But it could be argued that the person putting it there should have removed the information before returning the vehicle, and it would be difficult to connect any of the address to a person, so I'd say its probably fine… but I'm no lawyer.

      • I thought it would be a privacy issue?

        It could be, but unlikely that particular privacy was the responsibility of the dealer.

        Presumably, the information was voluntarily entered by the user and the dealer made no claims about security or protection of the data.

        Unless the user did not have access to clear the info and the dealer agreed to erase it when asked but then failed to, I'm not sure what duty of care the dealer would have to the customer unless he took some steps to intentionally isolate or secure the data to the exclusion of all others.

        However, in this litigiously motivated world, the dealer was probably supposed to issue some kind of warning or sign advising customer to either refrain from using the function or erasing it once they did.

        • +2

          Entering an address into a gps unit on a car you don't own, in my opinion, leaves the responsibility to erase it yourself before returning the car. If it's that top secret then don't use the device.

          I have 'home' set a few street away in my car so if it gets stolen away from home the thief can't see where I live.

          • @MS Paint: No dashcam then?

            • @JIMB0: Nah. I trust myself and other road users to do the right thing 😔

    • +50

      OP tried to be cheap, thought he got a new car at a 2nd hand price - but got a 2nd hand car at a new price lol

    • +1

      Why would he gets legal advice?

      This is Ozbargain, he needs legal advise.

  • +8

    Had a mate that worked at (a car manufacturer) in back office, said “ex-demo” could mean any of them had it for a while, not just that it was used for demo for customers, and “no way in hell would I ever buy ex demo”

    But ymmv

    • huh, why is ex-demo worse than used?

      • +17

        Like all cars, if they're not personally owned by the driver then they're less likely to care much about them when driving/maintaining them.

      • +12

        People floor these ex-demo cars like their life depends on it.

        For e.g. never buy an used or ex-demo GTI lol..

    • +2

      We bought an ex demo a few years ago with precisely 10km on the clock. Exactly as new only $3k cheaper than what new models were selling for.

      • +2

        There is ex demo, as in an ex demonstrator vehicle, and ex demo, where the dealer intentionally moves new stock into demo stock to move stock of the floor and receive financial incentives from manufacturers.
        OP clearly bought a car that was an actual demonstrator vehicle

  • +4

    Realisation 1-4 you should be able to see when just demo'ing the car shouldn't you? Especially 3 since it is a physical check…

  • +36

    So you discovered all this after buying the car?

    some legal advise

    Classic ozbargain

    missed a scheduled 3-month service

    Sounds like an optional service to me.

    VicRoads report includes incorrect fuel type

    Happens all the time. Nothing new here. You can advice advise them of the change if you feel motivated.

    visible scratches

    Because it's a used car FFS

    Location records

    If the dealer was more careful and deleted gps destination history you would be none the wiser.

    Can they still sell it as ''ex-demo car'' ?

    If you are the first registered owner that isn't a dealer then yes, it is an ex demonstrator car.

    If you want a new car then pay more for one. You cheaped out buying a "demo" and everything you listed is to be expected. FFS don't waste consumer affairs time please.

    • -2

      Well stated MS Paint

      • +17

        if you are only getting a 1.5% discount for a demo then you got screwed. it should have been more like 5-10%+ (depending on desirability of the vehicle and how long a wait a new one is). Having said that, legally they haven't done anything wrong. you should have checked more thoroughly on the condition.

      • +22

        They sell like new car price, maybe 1.5 % different from the brand new car. I prefer a new car but they selling offered me this one and I accepted. FTFY

      • +6

        10% discount on demo car with 6,000km on ODO will be considered bare minimum, unless it's something like a 70s series Land Cruiser with 6 - 8 months wait and someone buying 70s series Land Cruiser wouldn't care about some light scratches.

      • +5

        They sell like new car price,

        If you found that price to be unacceptable, you could always say "no", renegotiate or walk away.

        maybe 1.5 % different from the brand new car.

        What does that savings look like, $500?

        I prefer a new car but they selling me this one.

        Is there a reason that you couldn't say no at some time before purchase?

        they all very good and giving me the condition report as well but this one.

        1. Did you have an opportunity to inspect the vehicle before purchase?

        2. Did dealer somehow prevent this inspection?

        3. If you knew that a "condition report" was a thing, when you realised that you didn't have one, did you ask for one before you agreed to purchase the vehicle?

        4. What does your contract of sale say about the condition of the vehicle?

        • Your detector is working fine

  • +2

    Caveat emptor

  • +23

    WTF did I just read?

    It’s an ex demo. All of these things are “normal” for ex-demo vehicles.

    It sounds like it was a head office corporate car (they loan out to journos and for staff to drive around in) and then it gets sold to a dealer, who then use it as a demo car, then it gets sold to someone like you.

    Can they still sell it as ''ex-demo car'' ?

    Yes, because that’s exactly what it is/was… FFS.

    I need some legal advise

    Classic OzBargain… What you want is “advice”, what we would do, is “advise”. And if you want “legal advice”, you will need to contact a lawyer. No lawyer is going to give you “legal advice” on an open bargain forum.

    I am going to lodge the case to CAV.

    For what? Your failure to do your due diligence? Or for your chronic case of buyers remorse? You will get laughed out of CAV and even if you pursue it through VCAT, you will get laughed out of there as well.

    • +5

      It sounds like it was a head office corporate car (they loan out to journos and for staff to drive around in) and then it gets sold to a dealer, who then use it as a demo car, then it gets sold to someone like you.

      Yep, was thinking exactly this

      6,000km and thinking it's just for test drives <5kms lol

    • +1

      It sounds like it was a head office corporate car (they loan out to journos and for staff to drive around in) and then it gets sold to a dealer, who then use it as a demo car, then it gets sold to someone like you.

      Bingo.

      First dealer owner = manufacturer's local team, second dealer owner = the guys you bought it off.

      It could have been a press car, a demo for customers who have a relationship with head office (big fleets), Fleet evaluation with fleet management companies, a head office exec's drive car for a few months, a blood sucking celebrity who they're trying to suck up to etc..

      The manufacturer then on-sells to the dealers (either through an internal auction or similar) and then on-sell to you.

      They haven't lied

  • +12

    I'm curious what you think 'ex-demo' means, OP. Not ragging, just curious. Because if you thought it means a babied showroom model that occasionally got taken out for a supervised test drive, or that it's 'like new!' because the dealer said so, then this is just an unrealistic expectation.

    • -7

      I am thinking it just for display or test driving .

      • +6

        When spending a lot of money, it pays to check if your assumptions are correct.

      • +11

        I am thinking it just for display or test driving .

        6k km is a lot of display moving or test driving.
        You knew the odometer reading when you signed the contract, it wasn't hidden.

      • am thinking it just for display or test driving

        It was.

        You went wrong when you assumed where the vehicle would be displayed and to where and by whom that test driving would look like.

      • You think they did 6000kms on test drives?

        Sorry not to rub salt in the would or anything. But cmon lol.

  • +1

    Sales told me it was an ex-demo car which buy back from the KIA, with 6k km and 9months old.

    I think that your concerns are about whether the car you received can be classified as an ex-demo car for the purposes of making it available for you to purchase.

    The short answer is Yes, probably.

    Explanation:

    But later I realize that:

    All of these things were up to you to explore before you agreed to purchased the car.

    You will need to prove that the seller intentionally prevented you from discovering any of the things that are concerning you or that what you got is significantly different to what is contained within the sales agreement that you formed/agreed to.

    I need some legal advise / suggestion as I am going to lodge the case to CAV.

    First of all, legal advice is something that you pay for from qualified legal professionals.

    On forums such as this, you're only receiving a free opinion that may or may not have any legal support.

    On my opinion, unless you can prove the above, there is no legal recourse here for you.

    The vehicle history shows usage in both Queensland and Melbourne.

    That is ok for a demo, dealers are expected to use the vehicles so they can become familiar with the product they are selling. If you thought it meant only potential buyers test drove them for 30 minutes, you are wrong.

    My curiosity though would be how (or why) was it driven in Qld and Melbourne but not NSW?
    - unlikely to have any relevance to your concern and I can think of quite a few explanations for why this may have happened, but nonetheless, I am curious.

    Location records indicate visits to approximately 30 different places, including airports, schools, and tennis courts.

    Presumably whoever was using it felt it reasonable to take it out of the dealership. Why does this bother you?

    There are visible scratches around the rear of the car and some minor interior wear.

    It's a used car. People drove it and did stuff inside it for nine months.

    The vehicle missed a scheduled 3-month service.

    This doesn't affect its ability to be classified as an ex demo car.

    Why did you only realise this after you finalised the sale? Did they do something to prevent you from discovering this or intentionally tell you something different when you asked?

    I am listed as the third registered owner, with two previous dealer registrations.

    Again, available before purchase, but who did you think owned it before you did?

    The VicRoads report includes incorrect fuel type documentation.

    Sounds like something you need to clear up with VicRoads and again something you needed to address before purchase. This isn't a dealer issue. Your beef here is with VIC Rosds and has nothing to do with this car being classified as ex-demo.

    Can they still sell it as ''ex-demo car'' ?

    Obviously it is an ex-demo and based on the fact that they did sell it, my conclusion is "yes, yes they can" or rather "yes, yes they did".

    suggestion as I am going to lodge the case to CAV.

    Why?

    • -5

      Thanks for the insight professor.

  • +5

    As a start I would setup a GoFundMe

    This will assist with the legal costs.

    • -1

      Are you missing the "/s" here?

      Who the heck is going to donate to that.

  • +4

    I am going to lodge the case to CAV

    You’ll get laughed right out of it

    There’s nothing wrong in what you’ve been sold. You bought an ex demo car. Based on what’s happened it would be a manufacturer demo car meaning it could be used for back office purposes, loaned to the press, or a host of other reasons. I think what you wanted to buy was an ex dealer demo car.

    The fact it had 6,000 km on it is probably your first flag that it’s been driven quite a bit

  • wtf you know a exdemo is a used car right?

  • +2

    I am going to lodge the case to CAV

    Push for a new ex demo vehicle as compensation.

  • The fact it had 6,000 km on it is probably your first flag that it’s been driven quite a bit

    Back in 2018, we bought four 2017 plate Mitsubishi Lancer Sport cars direct from a major reputable dealer.

    They had odometer readings between 1,000 and 15,000 klm.

    All were in pristine condition.

    We did go in asking about new, but the dealer said "check out these cars we've got out the back". So we were even dealing with the new car sales division, not the used car one.

    I think that they were sold as used cars (not sure if demo status was concerned or relevant), but once we did finalise the purchases, for insurance purposes they were classified as brand new vehicles (through RACQ).

    We paid around $13k - 14k each for them, and straight away, RACQ valued them at $22k? (From memory) or whatever their new car value was, I expect) for nominated value insurance. (It was a heap more than what we paid for them).

    They had all new car warranties and guarantees and inclusions such as free roadside assist from date of purchase.

    Was not for fleet or business purposes - for private use.

    Never did understand how that could happen, but as it worked out really well in our favour, we didn't have a problem with it lol.

    Would you have any insight into what we bought and/or how it worked out like that?

  • +5

    Are the breaks also broken?

    • +5

      Im surprised there wasnt any paint chips out of the bonut.

      • +4

        6k km and 9months old
        Tires are probably tyred as well.

        • +3

          Flat tyres make scents. Cheers

          • +2

            @MS Paint: Hopefully a high yield investment AMG, or a Camry. Otherwise :(

      • +1

        Buffed out by some couple having relations to test out the suspension during their test drive.

        Got to test these things from the inside and outside when making an informed decision about purchase.

        I hope that OP is not too grossed out now that he knows how the internal wear and tear occurred.

        Sounds like he was damned lucky not to find a dead body in the boot. It's not like he had a look in there before he assumed legal possession.

        Wonder where the spare tyre or jack is? No one believes that OP checked for those either.

        • Some new cars don't have a jack or spare. Just a pump and some goo.

          • +3

            @MS Paint: Pump and goo makes sticky pants, Cheers!

          • @MS Paint: No waaaay, really?

            I never knew that.

            The one time I sold a used car privately, I was required to have a jack for it to pass the road worthy certificate.

            But I guess I just always assumed that all cars were supposed to have five tyres, I didn't realise the spare was an optional extra.

            Today I learned stuff, thanks for that.

            • +1

              @Muppet Detector: Some hybrids don't have spares.

              • @Stealtho: That might explain it.

                I haven't crossed over to the other side yet and bought any of these new posh vehicles. I'm still living old school in that regards.

                One of the kinder was recently given a $100k Tesla to use that seems to have a lot of bells and whistles.

                It's not his to keep forever, just given to him to use whilst he works for that company. On top of his usual wages, a bonus they gave him at the two year anniversary mark. He didn't buy it or get a choice (it's free, he's not complaining), that's just what they gave him.

                Crazy thing is, where he lives, no electric charging, he can only charge the thing at work or when out. Fkn first world problems, eh?

                Do they even have a spot for spares if you wanted to buy your own and store it in the vehicle?

                S'pose I'll have to check with master muppet that he's keeping safe, eh? (He lives interstate).

                But anyway, apart from that, no other posh stuff in the way of vehicles in this family lol.

                The spare tyre thing is definitely something I now know to look out for next time we upgrade.

                I did know that sometimes they now had pretend tyres for emergency use only until you got to the store to get a real one, but never come across that yet either.

                Sedans & stationwagons in cargo/boot area. On back of car on SUV & 4x4. Can't miss those ones.

        • I didn't see any spare tyre.

          • @pkxo1989: You may not have been supposed to get one.

            I thought you were, but MS Paint schooled me on that, but as he said "some", maybe it is something you could check if it was supposed to be there.

            I've always found mine in the boots of the sedans I had, usually under some carpet (that's easy to lift up), and in a hole under there known as a wheel well. So you may not notice it with just a Quick Look.

            And a piece of thin wood sort of stuff to cover the hole under the carpet.

            I've always had a bolt thingy inside there which screws the tyre to the wheel well, presumably so it doesn't move around (but not sure about that).

  • Sounds like you got a great deal on a near new
    Kia

  • -1

    Sales person saw you coming a mile off :/

  • My mate that works at a dealership always drives a "demo" model home. He says they rotate them every few months. Before that I assumed "demo" meant only used for demonstrations, not just a business fleet car with quick turnover.

  • +1

    "My curiosity though would be how (or why) was it driven in Qld and Melbourne but not NSW?
    - unlikely to have any relevance to your concern and I can think of quite a few explanations for why this may have happened, but nonetheless, I am curious."

    Cars/Vehicles are often bought/registered in Qld because it costs less or simply availability.
    They might have had custom Kia/Tennis Australia promo decals on them for promo purposes and missed being driven in NSW because they brought them down by Car Carrier.
    https://cleantechnica.com/2025/01/08/kia-is-electrifying-thi…

    "2. Location records indicate visits to approximately 30 different places, including airports, schools, and tennis courts."

    O.K. You should know Kia was/is a major Tennis sponsor. That the vehicle may have been to airports to collect/drop players or support crew, tennis courts, or even schools for promotional purposes is hardly news.

    Car was not "new".
    Wear and tear sounds typical to me.

  • -4

    Another example of why they are called stealerships …

    • +8

      How? This is an OP problem. Makes a major purchase and then decides to research afterwards. FFS

      • I agree.
        It isn't as though someone is going to paint yellow lines around Dealers warning them or anything.

        OP went to them.

        Was the OP misled or did they in fact buy a Demo that had done nothing more or less than could be reasonably expected.

    • +6

      Yeah, nah. This is 100% on OP this one. Everything OP whinged about outlined above are all things that they would have been able to discover prior to handing over payment for the vehicle.

      The “stealership” didn’t use the vehicle as a demo after OP purchased it.
      They didn’t deliberately scratch the back of the vehicle after OP inspected it.
      They didn’t offer a brand new vehicle and then substitute this one in its place.
      This is typical use for a “demo” vehicle, to be used to “show” people the vehicle. It could be for 5km, it could be for 6,000km.
      The service books would have been available for OP to look at, why did they not bring up the missing service at the time?
      The issue with the “wrong fuel” is a VicRoads issue, not a “stealership” issue.
      They didnt go and input 30 places into the satnav after OP viewed the vehicle

  • +4

    Lots of car dealers have arrangements with charities where a car is purchased by the charity and used for 9 months then bought back by the dealership and sold as a demo.

    • +3

      Exactly. You will often see them at Shopping Centres on display and get moved about from one place to the next.
      They get knocked by trolleys and a few scratches along the way.

  • +5

    Totally normal.

    Demo is just a used car, but generally low mileage.

    Dealers give staff new cars as a perk then sell them as demos.

    Some dealers will also allow potential buyers to take the car home for a period of time to ensure it suits their needs.

    The dealer did lie (that should be expected when dealing with a car dealership) to you about the source of the car, Similar to telling you the car was only driven by a grandma to church on Sundays.

    But what's the difference if the kilometres were driven by Kia, the dealer, or someone else?

    Nothing legally enforceable.

    Have you contacted the dealer about misleading you regarding the source of the car?

    Only option you have is to write reviews for the dealer about the misleading practice. Name and shame them.

    • Thanks for you information.

  • +4

    Interesting reading the responses and seeing what people think an ex demo car is.

    For anyone who thinks ex-demo only means the car has been sitting on the lot and used for test drives by the dealer, see this article on the ways manufacturers have demonstrator vehicles and how a dealership can come to be in possession of it:
    https://www.carsales.com.au/editorial/details/demo-models-73…

    • Thanks for you information

  • +7

    "There are visible scratches around the rear of the car and some minor interior wear."
    If you knew how many "new" cars already have body repairs, it would blow your mind. They get damaged in transit, moving around the dealer etc.

    • +5

      As someone who worked for a very very large car holding facility… that had it's own very very large paint and panel shop, I was a bit in awe of the condition some of the cars were in after being off loaded… (I also saw how the guys drove them around the docks and off the ships) and how many of them got damaged while in the facility.

      I once saw an unattended Isuzu truck roll back and all but destroy 3 parked BMW cars…. and they just pushed them into the panel shop and fixed them and sold them as brand new.

      • Thanks for your experience.

  • +2

    You chose to buy the car with,

    "There are visible scratches around the rear of the car and some minor interior wear."

    You mention this as it is a concern for you but you still purchased?

    Buyers remorse?

    • -5

      That's my bad I didn't check the whole car properly, but in such a short time it's very hard to get a deep check for the whole family car.

      And a ice-cream wrap which was hiding at the back of driver seat, I realize after a week of driving.

      • +3

        "in such a short time" eh? Dude, the first thing a salesman does is try and rush you so you don't look long and hard at the deal.

        Life lesson: if a seller tries to rush you (eg "I've got other buyers", "only car in stock with a long wait for this model", "it's on special ending tomorrow") take it as a signal that you should be more thorough and careful than ever.

      • +1

        but in such a short time it's very hard to get a deep check for the whole family car.

        Genuinely interested to know why you only had a short time to inspect the car?

        Were you subject to some form of duress or coercion by the dealer?

        I did buy a new car in a hurry (sight unseen and colour unknown until it arrived, after I agreed to purchase in 2010, but usually I send the vehicle to a third party (such as RACQ) for a check and/or second opinion about a used car that I may be interested in purchasing.

        Even this, I have never had any pushback from a dealer to prevent or discourage me from purchase, I have even had it's favourable results to me as a condition of purchase right next to subject to finance of my choice.

        It's a lot of money to spend without taking some very basic precautions to protect yourself, the dealer (or any seller), is not your friend.

        And an ice-cream wrap which was hiding at the back of driver seat, I realize after a week of driving.

        Excellent??

        What is the significance of this?

        I suppose you're lucky you never found used syringes or condoms there too.

        Checked the boot yet to make sure things supposed to be there, are and that there aren't any unwanted things there that shouldn't be?

        How many nails or screws did you discover embedded in the tyres?

        Confident that it's not held together with glue, sticky tape and Shelley's gap filler or expanding foam and that the floor mats aren't disguising illegal contraband or dirty big holes and blood stains on the carpet?

        Oh, and that isn't emu or ostrich leather, those pock marks are likely cigarette burns.

        • +1

          condoms there too.

          Oh, god, this bought back some PTSD… Cleaning out traded in cars at the dealer and the amount of times I found "used" condoms in the back pockets of seat backs…

  • +4

    Worked and sold in dealerships.
    Dealer Principal’s wife/partner often gets new car - “another sale/another registration for dealer’s benefit.

    1/3/6 months after soccer mum duty or maybe duco doesn’t match her new hairstyle/handbag back to retail yard and sold as demo.

    First private buyer is you.
    Demo is a used car - often great value

    • Thanks for you information

      so they can transfer within as many dealer ship as they want before selling it as ex-demo car?

  • +2

    Dealer Selling Me

    You mean - Dealer Sold Me

  • +2

    Bought a demo once, 950km on clock, only a few weeks since registration. Paid deposit Friday for pick up Monday. Monday car has 1200 kms, sand in boot and a few interior scratches. Dealer took family to the beach over the weekend. Bitched a bit and they threw in some extras.
    Deal was really good. It’s a car. It’ll get scratches and wear and tear. Drove away happy. Car was great for 12 yrs.

    • happy for your experience, I used to buy 3 different demo cars and they all good like yours, but this time.

  • "I need some advise / suggestion."

    First of all it's advice.

    My advice is to ask the dealer to polish the scratches.

    Wouldn't you expect an Ex-Demo Car with 6,000km to be a loaner/Dealer Used Car?

    I wouldn't expect any car with 6,000km to be brand new.

    Why didn't you just wait for a new car, if you paid near new prices?

    • i paid nearly new car , i asked for a new one but they sell me this one.

      • Why didn't you agree then?

        Or go to a another dealer?

        • lesson learnt, they told me there are hard to find in other dealer too, and i trusted them.

          • @pkxo1989: There, there… "Lesson learnt"

            Time to move on mate. No need to get too emotional about stuff. In 5 yrs it won't feel much different from a new car you might have bought. Just make sure to maintain it well. And promise me you will never ever post something like "Rear-ended a car. Realised had not renewed insurance"

      • +3

        Why sign the contract if it wasn't a bargain?

  • Newsflash. If it’s not brand new it’s used
    They can call it anything they want. Demo. Executive demo. If it’s been used it could of been used by anyone for any purpose

    How much did you save compared to a new one?

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