Dealer email says 5 days to give $1000 deposit

conchobar · 09-10-2008, 07:55 PM

I finally received an email from my dealer (Warwick, RI). It states,

"Dear smart Reservation Holder,

We are excited to inform you that your vehicle is in production and will be here at your selected dealer, smart center Warwick very shortly. If you have not had an introduction to the smartcar or driven the smartcar, you can do so at your convenience. We need to formalize your smartcar purchase which entails a signed purchase and sales agreement and a $1,000.00 deposit within the next five days. Please contact me by phone or email so we can work out the details of your purchase agreement and delivery of your vehicle.

Looking forward to meeting with you."

The Smart DDE gives an estimate of 10/23/2008 to 1/21/2009. I want the car, but is SmartUSA cash strapped or something? Am I being rushed? I thought I would be given 30 days or something.

Sunnyhere · 09-10-2008, 07:57 PM

Sure sounds like nonsense to me.

MinnySmart · 09-10-2008, 08:00 PM

Didn't have to do that here in Bloomington. Strange! I worked at Boch Toyota in Norwood, MA for about 3 years during the early part of this decade. Which auto-group is running the smart center there in Warwick?

**Dunerunner** · 09-10-2008, 08:02 PM

You have received a deal offer from your assigned dealer concerning your configured smart car. 5 days is outside the agreement in your contract which states you have 30 days to either enter into an agreement to purchase or give up the car.

conchobar · 09-10-2008, 08:02 PM

Quote:

Originally Posted by MinnySmart

Didn't have to do that here in Bloomington. Strange! I worked at Boch Toyota in Norwood, MA for about 3 years during the early part of this decade. Which auto-group is running the smart center there in Warwick?

Inskip is the auto-group. I don't want to risk losing the car, but I was hoping I would have more time to look for financing. I would hate to go into the dealer without any competing offers.

BTW, the letter from the dealer in my first post was cut and pasted from my email. This is also the first time I have been contacted by the dealer, so I haven't signed any purchase agreement yet.

MinnySmart · 09-10-2008, 08:11 PM

Quote:

Originally Posted by conchobar

Inskip is the auto-group. I don't want to risk losing the car, but I was hoping I would have more time to look for financing. I would hate to go into the dealer without any competing offers.

BTW, the letter from the dealer in my first post was cut and pasted from my email.

Sounds shady... For starters you might want to contact SmartUSA and see if they can offer any information regarding such demands. But, if you know you want the car and there's no doubt in your mind, I'd contact your own bank/credit union for a loan to start with. Only takes them a few minutes to approve you and you'll know what they can offer you. If you're approved, then go put your deposit down. You'll be happy you did in the long run as long as Inskip isn't going to be trying to pull any fast ones on ya.

I actually almost worked at Inskip Lexus. They seemed a little sketchy to me, which is why I stayed at Boch. As much as people make fun of Ernie, if you know how to handle yourself in a car dealership, there's no better place to get a good deal. When I was thinking of getting a Yaris instead, I would have flown to Boston, picked up my Yaris at Boch and drove it back here to Minny. I trust that dealer more than any out here (just based on familiarity). But, got my smart and am thrilled with it.

Good luck to you. Wish I could be of more help to you in this process... I hate dealers that make the car buying process more stressful than it already is.

MikeDCop · 09-10-2008, 08:21 PM

At face value it would sound like someone is running a scam.

But after reading my Smart confirmation letter it says in the last paragraph:

"Once you have participated in the Reservation Confirmation Program, your reservation information will be sent to the smart dealer designated for your area, who will then contact you to fomalize you order, work out the details of your purchase agreement and arrange delivery. After you have been contacted by such dealer to place your order, you will have 30 days to complete the mutually agreed upon written purchase agreement with the dealer. The Smart USA dealer may require you to deposit additional funds upon the execution of the purchase agreement. When you enter a purchase agreement with an authorized Smart USA dealer your deposit, and any additional deposit required by your dealer, will be applied to the purchase price for your Smart. If you decide to not enter into a purchase agreement with an authorized Smart USA dealer within the 30 day period, your deposit will be refunded to you in full, without interest."

I just hope that my dealership doesn't take lessons from this stealership. I'm not going to put another $1000.00 down when I have already tied up my $99.00 for a projected 2 years.

I would hate to tell my dealership where they can park my Smart, and my F150....sideways.

Mike

**Dunerunner** · 09-10-2008, 08:22 PM

Quote:

Originally Posted by conchobar

Inskip is the auto-group. I don't want to risk losing the car, but I was hoping I would have more time to look for financing. I would hate to go into the dealer without any competing offers.

BTW, the letter from the dealer in my first post was cut and pasted from my email. This is also the first time I have been contacted by the dealer, so I haven't signed any purchase agreement yet.

How would you get financing, your car is in production!! Do you have a VIN #? Call smartUSA and ask about this practice bright and early in the morning. Read them the notice and see what they say!!! This is a way for the dealer to see how serious you are or bump you out so they have an Orphan to load up.

conchobar · 09-10-2008, 08:28 PM

Quote:

Originally Posted by Dunerunner

How would you get financing, your car is in production!! Do you have a VIN #? Call smartUSA and ask about this practice bright and early in the morning. Read them the notice and see what they say!!!

I appreciate everyone who is replying.

Dunerunner, I don't have any info on the car other than the DDE and the print out from the CarConfigurator. This is my first contact from the dealer. It is something I expected to get soon, but 5 days seems like scalping. I will call the dealer first and give them a chance to explain. If they try to force me into a purchase aggreement on the spot, I will call SmartUSA to see if everything is legit.

spdickey · 09-10-2008, 09:32 PM

It appears that your smart dealer is trying to limit the number of cars that arrive on his lot that then turn into orphans. By requiring to enter into a purchase agreement prior to delivery with a more substantial deposit than the $99 you put down on reservation will insure the dealer that you will indeed take delivery of the car. This was all spelled out in the agreement you made when you reserved. Don't want the car? Don't pay the $5 grand and get your $99 back.

Quote:

The Smart USA dealer may require you to deposit additional funds upon the execution of the purchase agreement.