I traded in a truck I owned for another vehicle back in Feb. On the paperwork where it says cash down, the dealer put 1300 which was the amount I was getting back from the warranty refund on my trade in. I didnt put any cash down. The salesman said he was going to try and submit it but he wasnt sure if the other dealership or warranty company would accept it because he wasnt the owner of the vehicle, and that if he couldnt do it he would send me the paperowork to submit to the dealership. The salesman also said that when the refund gets in, to go and give it to him because it was was recorded as cash down. He emailed me the paper work to submit to the other dealership since he wasnt able to get the refund himself, so I faxed in the paperwork to the dealership and they said its submitted.
I'm getting emails from the salesman asking about the refund check, I already submitted the paperwork to the other dealership for the refund about 2 months ago. There's nothing else I can do except wait for the refund check. But now he's threatening to send my info to collections and they'll hit my credit score and all that other stuff.
So my question is, can he send me to collections even though it was recorded as cash down and I filled out the warranty cancellation form, no where did I sign on the contract saying I owe 1300. I'm not trying to get out of paying the 1300, but what does he expect me to do until the refund check gets in??
Took another look at the contract. (Im rounding numbers just to make it easier) It says
Trade in allowance 21000
Cash on delivery 1300
Total of 22300
Minus vehicle cost of 30000 + TTL
Amount financed 11000
Just want to make it clear I'm not trying ot get out of paying the 1300 but want to make sure he cant send me to collections over it.
My buddy who I was in the miltary with and now is a car salesman says that sometimes salesman will try to pocket the refund money. Buyer thinks they are paying the dealership and the dealership has paperwork that says money was put down at delivery. Buyer makes the check payable to salesman and salesman pockets the money.... Heres the email the salesman sent to me.
WOULD YOU PLEASE CALL THE RESPECTED DEALERSHIP AND FIND OUT WHAT THE STATUS IS ON THIS MONEY.
MY OFFICE NEEDS AN ANSWER TO AVOID SENDING YOU TO COLLECTIONS AND IT DAMAGING YOUR CREDIT.
PLEASE FOLLOW UP WITH ME ONCE YOU FIND OUT WHEN YOU ARE GETTING YOUR MONEY.
"Dream as if you have forever. But live as if you only have today"
Sent: Wednesday, May 09, 2012 6:04 PM Subject: Warranty cancellation
Mike, I saw that you called, I tried calling you back but I guess you were busy. I submitted the paperwork to *****when you emailed me that paperwork. Can you call ***** and ask what the hold up is?? I've talked to a lady there who handles the warranty cancellations and she said its submitted to the warranty company and that its them who mails out the checks. The number is ********, my salesman Mr. ******* is the one who gave my paperwork to the lady. Maybe you can have more luck and find out more information from them than I have.
If you are that worried about it, you need to see an attorney or contact a consumer advocate group in your area. Now then personnally, if it was me, I'd e-mail him back and say go ahead, send me to collections, you will get your money as soon as I get it, no sooner, so sending me to collections will not get you your money any faster.
Also, remember that by law you can now contest and have a your written explanation added to any credit report.
Sounds to me like the either the dealership or the salesman fronted the $1300 and now they are getting worried that you aren't going to pay it.
I emailed him back asking what paperwork I need to send in to get a refund on the extended warranty I got on the truck when I bought it from him. He hasn't replied. When the check gets in I'll pay him back but I'm going to request speaking to either the GSM or owner of the dealership explain what his salesman was telling me. I've read the cancellation form over and over again, it says the dealer is responsible for ALL cancellation paperwork and submission for refunds. Why he has me submitting it, I have no idea other than those previously mentioned.
This is the same guy that got one of my co-workers a 19percent interest rate on an auto loan when he verbally agreed to 10percent. My co-worker has little credit history but what little he does have is good. Story with my friend is that he signed the 19 percent without reading the contract (his fault), then when he asks about 4 days later and tries to get it to 10percent, the salesman said "hey, we didnt force you to sign and you didnt read the contract so thats on you, its your responsability." I feel like telling him the same about this refund " hey, you didnt have to sell me the truck, you didnt have to give me a 1300 refund from the warranty, this is your responsibility."
Just to be clear, this isnt a Chrysler/Jeep dealership. LOL.
I would tell the sales person, "If you can provide me written documentation that this money is owed, I will pay it to your upstream (their lender, their boss, their regional manager) along with the documentation." That should avoid the whole salesperson pocketing the cash scenario.
Denis A. Baldwin
1991 YJ 99 Vortec 5.7L, SM465, NP205, 14 Bolt Rear, Dana 60 Front, 5.13 Gears, Detroit Lockers, 395/85R20 46" Michelin XML tires on 20" XD Wheels, Cherokee Offset Springs (10" front to back stretch total), Bilstein 5150s, 1in. BL, custom cage, Warn M8000, Double D Dash/OHC, 4Low Front Stinger Bumper, DirtWorx Rear Bumper WTC, Tube Fenders, Comp Cut, 1 Ton HD Kingpin High Steering and PAID FOR.