Distance Selling Regulation and Car Deposit

[gtaustin]

Hoping somebody can clarify the below so I can sleep at night :tinysmile_hmm_t2:
I placed a deposit to a Mercedes car dealer of £2000 over the phone for a used vehicle. The next morning I contacted the dealer and cancelled the order. I followed this up the same day in writing. I never received any contract in writing (probably because I cancelled the order before they could get anything out to me). The dealer has refused to return my money stating that the deposit is unrefundable. At no point over the phone was I told that the deposit was non refundable and at no point have I had any face to face correspondances.
I believe I am covered under the Distance Selling Regulation to receive a full refund of my money (which was paid on mastercard). The letter was sent to the Sales Manager without response and I have now sent it to the Managing Director who has assured me he will get to a "mutually agreeable and speedily resolution". The mutually bit worries me.
I would be grateful if you could confirm that I am indeed protected under the DSR and should this go to small claims court it is highly likely that the courts will indeed agree in my favour.

[Chalkitup]

Re: Distance Selling Regulation and Car Deposit

This should help .... especially Paragraph 2.2 in the "Cars and other vehicles sold by distance means PDF" that you can open on that page .....

Car dealers in the driving seat with distance selling guidance - The Office of Fair Trading

[Amethyst]

Re: Distance Selling Regulation and Car Deposit

In addition to the useful information CIU has posted (and you need to read section 3 of that in full and bottom page 8) I believe the car dealer would be within their rights to withold a proportionate amount of the desposit to cover any loss of bargain they may have had in being unable to sell the car to another buyer between the time you secured it with a deposit and cancelled the order. Of course in real terms that would be nothing unless they can evidence they turned away a purchaser during that period. But it may be an argument that comes up if they are being narky. They also may argue loss of profit, if they are unable to sell the car for a prolonged period after you dropped out of the sale.

I'm not sure that the DSR applies in your case, the desposit was to hold the car until you were able to conclude the contract, ie it wasnt concluded at that point so the DSR aren;t instigated. If you concluded the contract (ie bought the car) then DSR would apply for seven days after the contract was concluded enabling you to return the car for a full refund (less costs). Though it depends on what the reason for paying deposit over the phone was, ie was it prior to inspecting the vehicle ? I don't think the contract was concluded at the point you paid the deposit.

(Think I've made that too complicated sorry)

Does the dealer usually sell over the telephone/online ?