Can a buyer return the prepayment for a car at a car dealership?

Legislative acts

Issues of interaction between the seller and the buyer are regulated by the Civil Code of the Russian Federation and the Law of the Russian Federation “On the Protection of Consumer Rights” dated 02/07/1992 No. 2300-1. You need to understand that from a legal point of view, advance payment can be made in three options:

Prepaid expense.

This is the part of the cost of the goods that is transferred to the seller before the goods are received. In this case, drawing up a contract is not necessary; an agreement is drawn up, the rupture of which often does not lead to legal consequences.

Prepayment.

May be complete or partial. In this case, the prepayment is partial (usually 10% of the cost of the car), often such an advance payment is called a deposit. The deposit is a part of the cost of the goods transferred to the seller. The transfer of a deposit requires that its amount be specified in the contract, as stated in the Civil Code of the Russian Federation.

Pledge.

This term is most often used in the lending industry. The essence of the pledge is that the creditor receives the right to realize it if the obligations of the second party are not fulfilled.

In everyday life, many of us consider these words to be synonymous, but from the point of view of the law they have different interpretations. In particular, returning the money transferred in the first two options is relatively simple, but serious problems may arise with the return of the deposit. Therefore, carefully read the papers you sign.

Most often, an advance is paid when purchasing a car. The parties to the transaction draw up a receipt. In this document they indicate the amount in digital and capital form, information about themselves and the car. Repayment of the down payment on a car can occur for various reasons, for example, as a result of a sharp change in the price of the car.

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Car dealerships typically use advance payment in the form of a deposit. The client has decided to buy a car of a certain brand and configuration, but something is preventing him from concluding the deal immediately. For example, the desired color of the car is not available in the interior. The salon, represented by its employees, undertakes to provide the client with the car he needs within a certain time frame, the buyer agrees to wait. In this case, a partial advance payment is taken and a sales contract is drawn up. The amount of money contributed is indicated in the agreement or a separate document.

This agreement is a guarantee for both parties involved in the transaction. They assume obligations and acquire certain rights. In particular, Art. 381 of the Civil Code of the Russian Federation allows the buyer, if the car dealership has not fulfilled its obligations, to demand a double refund of the prepayment. Sellers, of course, are aware of this legal requirement and often protect themselves by creating some kind of internal rules. You should not expect that double the deposit will be happily returned to you, but if you go to court, the law will be on your side if all transfer documents are completed correctly.

What does the law say?

In this case, both sides win. The dealer receives a return guarantee for the customer to pay the remaining amount of money and receive the car. And for the client, prepayment is a guarantee of a fixed price for a given car.

In addition, there is no need to go to showrooms and look for a specific model. I came, paid the second part of the funds or took out a loan and took the car.

The only problem is that while waiting, the client can change his decision. There were difficulties with money, or something else. In general, buying a car is postponed until the future.

And many would be interested to know what will happen to the amount of funds that have already been transferred to the car dealership’s account? Will the money be lost or can it still be taken? Let's find out!

All legal aspects relating to the buyer and seller are prescribed in the Civil Code of the Russian Federation. Specifically, we are interested in Article 487, which stipulates the possibility of making an advance payment for goods. In addition, there is a “Consumer Rights Law” that controls the process of purchasing and operating a vehicle.

If the client does not pay the specified amount within the agreed period or the seller does not hand over the car, Articles 328 and 457 of the Civil Code of the Russian Federation come into force. In the first case, the contract is declared invalid, and the money is returned back to the buyer. But when the seller does not fulfill his duties, the client can receive the goods without paying the rest of the amount for it.
When drawing up an agreement, representatives of a car dealership can specify a final deadline by which the client must pay in full for the goods.
According to the Law “On the Protection of Consumer Rights”, the dealer must hand over the car to the new owner on time. If the agreements are not met, the buyer has the right to set a new deadline for the transfer of the car or completely terminate the contract. In this case, the car dealership is obliged to compensate the amount already paid.

Conditions for returning the prepayment for a car

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Conditions for returning an advance payment can be of two types:

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The dealer did not fulfill his obligations: the car was not delivered on time; the car was delivered, but of poor quality; Insufficient set or a vehicle with different characteristics was delivered.
The buyer changed his mind. In accordance with Article No. 32 of Law No. 2300-1, the consumer has the right to refuse the service (terminate the contract) at any stage by paying the contractor, that is, in this case, the car dealership, the costs incurred for fulfilling the contractual terms.

Warranty disputes with a car dealership

Warranty as the basis of contractual obligations. Warranty service is the most common area of litigation between buyers and official representatives of car dealerships, especially since after the introduction by law of the possibility of demanding a fine in favor of the consumer, such disputes have a material interest for the buyer of a car at a car dealership.

In the owner’s view, all issues related to warranty repairs, replacement of individual parts and assemblies, and elimination of factory problems should fall on the shoulders of the vehicle seller. The dealer, in turn, tries by all means and means to avoid responsibility for selling a low-quality product (in this case, a car), and to reduce the cost of payment under the warranty agreement.

Conflicts of interest between two parties to a transaction may be of the following nature:

refusal to acknowledge the fact of a malfunction due to the fault of the manufacturer (deliberately false assessment of warranty service on the part of the seller);
maximum reduction in contract payment costs (the most common action on the part of dealers in the car market);
refusal of a consumer's claim demanding the return of the car to the dealership;
failure to comply with documented deadlines for guarantee payments.

How to return an advance payment for a car that was not purchased

To return the advance payment for a car that was not purchased, you must contact the dealer with an application to terminate the purchase and sale agreement. The seller is obliged to respond within 10 days. Let's look at the whole procedure in more detail.

Drawing up an application for the return of the deposit

The application is drawn up in free form and submitted to the head of the car dealership.

The text of the appeal must include the following information:

dealer's name, address;
Full name of the applicant, place of registration, contacts;
date of conclusion of the purchase and sale agreement;
information about making an advance payment;
reasons for termination of the contract;
demand to return the advance;
date and signature.

If you have any questions while completing your application, we recommend that you ask them to an experienced consumer protection lawyer. He will clarify unclear points and help you draw up a document.

Sending a complaint to the seller

It is advisable to submit the claim in two copies. One document is handed over to the seller for registration, and on the second, his employee marks receipt.

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If the dealer refuses to receive the claim, it must be sent by certified mail with receipt requested. After receiving the correspondence, the seller's employee will mark the notice as receipt. Notification may subsequently be required in court to confirm compliance with the claim procedure for resolving the dispute.

Acceptance and consideration of a claim

Once a claim is registered, it must be reviewed within 10 days. In the event that a consumer asks to terminate a contract for a low-quality product, an examination is organized. Based on the results of consideration of the application, the advance payment is returned. The money is transferred to the buyer's account or delivered in cash.

Procedure for returning the prepayment

To ensure that problems are eliminated later, require an agreement that clearly states the amount. Until this moment, money should not be transferred. You should not expect that sellers will easily and simply return the amount you paid if they violate the terms of the contract, but with the right actions you will be able to protect your rights.

The first step is to notify the car dealership that you want to terminate the car purchase and sale agreement and return the advance payment. This must be done in writing. Typically, this notice is filled out on the premises of the salon. You take two forms. One is intended for an application to terminate the contract, and the second is for an application for the return of the prepayment you made. It is advisable to obtain copies of both documents indicating the date of their acceptance and the signature of the official who accepted the papers.

What to do if the dealer refuses to return the advance payment for the car

In practice, there are cases when a car dealership refuses to return the advance payment. To protect their interests, the buyer should contact Rospotrebnadzor or the court.

How to file a complaint with Rospotrebnadzor

Rospotrebnadzor carries out inspections of cases of non-compliance with consumer rights. To begin inspection activities, you will need to submit a written complaint.

The complaint must include the following information:

name of the territorial division of the department;
information about the applicant (full name, address, contacts);
information about the concluded contract and the fact of making an advance payment;
reasons for termination of the purchase and sale agreement;
information on compliance with the claims procedure for resolving disputes;
a request to conduct an inspection and facilitate the return of money;
date and signature.

The complaint must be accompanied by a purchase and sale agreement, a receipt for payment, and a copy of the complaint with the dealer’s response.

The appeal is considered within 30 days. If the fact of violation is confirmed, an order to eliminate the violation is sent to the seller. It must be completed without fail. Otherwise, the dealer will be held administratively liable.

How to return an advance through court

An effective way to protect consumer rights is to file a claim in court. Based on the results of the review, a decision is made that must be executed.

How to write a statement of claim

The claim is drawn up taking into account the rules established by Article 131 of the Code of Civil Procedure of the Russian Federation. The text of the document must contain the required information:

name of the court;
information about the plaintiff and defendant;
description of the circumstances of concluding the contract and transfer of advance payment;
reasons for termination of the contract;
information on compliance with the claim dispute resolution procedure;
requirement to terminate the contract and return the advance payment;
list of applications;
date and signature.

If a representative is entrusted with drawing up and filing a claim, you will need to issue a notarized power of attorney. Information about the representative is indicated in the claim.

Where to file a claim

Depending on the amount of the advance payment, the claim is filed in the magistrate or district court. If the amount of the required advance payment is up to RUB 50,000. documents are sent to the magistrate's court. If the prepayment amount is more than 50,000 rubles, then the dispute will be considered by the district court.

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The consumer has the right to choose which court to appeal to. Submit documents at the location of the dealer. If he is located in another city, then the claim is filed at the citizen’s registered address.

How to prove that the advance refund is justified

To confirm the fact of making an advance payment and the seller’s failure to fulfill the obligation to transfer the car or accept low-quality goods, you will need to provide evidence.

The list of documents includes:

contract of sale;
user manual;
warranty card;
advance payment receipt;
claim sent to the dealer;
response to a complaint;
expert opinion.

If the advance payment was transferred without a signed contract, witness testimony may be required. To summon witnesses to court, it is necessary to file a corresponding petition.

Procedure for resolving a dispute with a car dealership

Actions of the car owner in disputes with car dealerships:

When receiving a vehicle from a car service center, you must carefully study the results of the specialists’ work. Disadvantages and shortcomings should be recorded in the transfer deed, so the owner will be able to further prove his right to receive quality services under the legislation of the Russian Federation.
Recording an attempt to resolve a property dispute pre-trial is part of the mandatory actions of the buyer who wants to prove that he is right (drawing up a claim for a refund will be documentary evidence of the car owner’s intentions in peacefully resolving the dispute with the car dealership).
Disputes with a car dealer in court can have the following consequences for the seller of the vehicle: imposition of penalties for non-compliance with the terms of the contract, the need to pay a penalty to protect the rights of the buyer for violating the terms of warranty service, covering the value of the claimed moral damage, payment of additional expenses of the buyer for car repairs (unforeseen losses), as well as reimbursement of legal expenses (expenses for examinations and attorney fees).

Additional questions

What is the difference between an advance payment for a car and a deposit for a car?

The Civil Code of the Russian Federation distinguishes between the concepts of a deposit and an advance, indicating that if the parties have not directly indicated that the transferred amount constitutes a deposit, it is an advance.

The deposit agreement is always made in writing.

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The main difference between these two concepts is the consequences of not concluding an agreement.

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In what cases is the deposit for the car returned?

If the buyer and seller of the car directly wrote that the buyer gave a deposit for the car, and subsequently the sale and purchase never happened, then the deposit is returned in the following order:

The transaction did not take place by agreement of the parties or it became impossible to complete it (the car burned down, drowned, was broken into an accident, was stolen, it was not the seller’s fault) - the seller returns the deposit to the buyer;
The transaction did not take place because of the seller (changed his mind about selling, found another buyer and sold the car at a higher price, lost the key to the garage, etc.) - the seller returns double the amount of the deposit to the buyer;
The transaction did not take place because of the buyer (he found a cheaper car, decided to buy a car of a different make or year, lost the need for the vehicle due to revocation of his driver’s license, etc.) - the deposit amount remains with the seller.

If the buyer refuses to purchase a car for subjective reasons, the deposit amount cannot be returned.

The party through whose fault the purchase and sale of the car did not take place shall reimburse the other party for all expenses incurred due to this situation.

If in the agreement the seller and buyer do not call the transferred amount a deposit, it is considered an advance. The Civil Code of the Russian Federation does not contain separate provisions on advance payments under preliminary contracts for the purchase and sale of vehicles, however, based on the general conditions of civil law, the meaning of an advance payment is in advance payment for the purchased item.

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The advance payment is returned to the buyer, regardless of the reasons why the purchase and sale of the car did not take place.

What is the minimum deposit required?

The amount of the deposit and the conditions for its return, as a rule, are immediately discussed in writing. This creates a guarantee for the seller and the client.

If the duties assigned to the car dealer are violated, the client, according to the law, can without any problems return material compensation in the amount of double the amount of the deposit.

Despite the existence of its own rules for the deposit return procedure, they should not contradict the Civil Code of the Russian Federation. A car dealer must act in accordance with the law and not abuse his rights.

Simply put, when making an advance payment for a new car, you should not confuse the terms “advance” and “deposit”. These concepts are completely different. Since a deposit is common when concluding a transaction at a car dealership, it is necessarily accompanied by a subsequent agreement.

And an advance is transferred when purchasing a vehicle from a private person or at a car dealership, but without an appropriate agreement.

Now, after reading this article, you will be much more legally savvy, more vigilant when paying an advance and giving a deposit when purchasing transport.

Also, the deposit, as included in the price of the car, must be returned by the seller if the car is returned to the dealership under warranty.

What to do if the car dealership refuses to voluntarily return the prepayment

If the dealer refuses to resolve the situation amicably, the consumer must send him a pre-trial claim. The document is also drawn up in free form and sent to the address of the legal entity. The organization must provide a response within thirty days from the date of receipt of the papers. After which, if the claim was ignored, the claim should be sent to court.

Is it possible to return a prepayment for a car at a car dealership?

This is where the question arises: is it possible to return the advance payment for a car left with the first car dealer? The topic is quite slippery, because the deposit is taken so that the buyer does not refuse the purchase.

And the seller does not sit idly by: he orders a car from the manufacturer (perhaps not the most popular configuration), and organizes delivery to the showroom. First you need to understand such concepts as: prepayment, deposit, advance payment, advance payment.

Terminology

Another problem that the ordinary citizen faces is the complexity of terminology. Most people believe that “deposit” and “advance” are the same thing.

Prepaid expense.

Advance is the part of the money that the client pays before the goods are transferred. The payment does not apply to securing the transaction, so this contribution is easiest to return. Only the agreement is drawn up from the documents. And this agreement has no legal consequences.

Deposit.

The deposit serves as a guarantee of fulfilled obligations. That's why all official dealerships prefer to use it. When using a deposit, additional agreements may be drawn up. It indicates: the amount of the deposit, the technical characteristics of the car, the date of transfer of the car, as well as the amount of compensation for each overdue day. Most often, the deposit amount does not exceed 10% of the cost of the entire car.

How to win a lawsuit against a car dealership?

In order to win over a car dealership in court, there is no general algorithm of actions, since every dispute is individual and has its own characteristics, but you still need to adhere to the following actions:

Compliance with pre-trial order . To have the right to additionally demand: a penalty, a 50% fine, you must send the claim to the car dealership, and attach a document confirming the sending of the claim to the statement of claim
Formulate claims . Competently formulate claims, depending on the essence of the violated right;
At the court hearing, it is correct to select and attach evidence supporting the requirements:
- Calculations of the cost of the claim, penalties must be properly calculated and stated in the claim
Witness's testimonies . It happens that the stated arguments can only be confirmed by other people, eyewitnesses of the incident, your relatives, former employees of the car dealership. The testimony of witnesses must be uniform and confirm the circumstances to which you refer

USEFUL : watch a video with additional advice from a lawyer on filing a claim in court