Stealer trying to increase interest rate

[deeklad13]

I think I recall on the mega delivery thread a few on here have had the experience after waiting forever to get their car then the dealer contacts them saying they need to pay more due to change in interest rate?

My car is now at the dealership. Due to collect Tuesday. Seems only today the dimwit salesperson decide to pull the paperwork out and phoned me. “Out of our control, VW have increased the rate, blah blah blah.”

When I placed the order I specifically asked what happens if the interest rate changes. The response - if it goes up your rate is fixed. If it goes down you get the benefit.

I made my disgust crystal clear and demanded to speak to someone senior who is meant to get back to me tomorrow.

Seriously considering walking away if they don’t budge.

Raging doesn’t come close.

How has this played out for others?

[RUM4MO]

That is clearly not the way that things should be panning out if the delivery of that car is late etc, or you were advised that the quoted interest rates were fixed in your favour at the time that you gave a deposit and committed to order and take delivery of a car.

I had that trouble many many years ago with Ford, I had placed an order for a new car, factory order to my options spec, an Orion Ghia Injection, and a low interest or interest free sales deal was running, and was given a 3 month delivery time which meant that I was taking delivery while that special low/free interest period was still running.
The car came late due to German trade union actions, and my dealer, when I went to check up on the car when it was on site, told me that the finance terms had changed! Luckily, Ford had a local office, so I went in there without an appointment and demanded to talk to someone with authority to sort this out, while in there I just happened to read a newspaper supplement that had an Orion Ghia Injection advert in it and that featured car was in my required spec - the advert burb said that these cars were available to collect - I ran that blurb, that Ford UK must have approved, by them and lots more, and I left satisfied that I had made my point and that the cheap/free finance deal would still be in place for me - and it was. My salesman said sorry and many months/years later we bumped into each other in a restaurant - and he was now selling Skodas, he said that my car order might have had something to do with him needing to move, I'm not sure if he was being serious or not, but he did recognise me and that car sale! So it could be that your dealer in Dundee, needs to absorb that loss - BTW, it was there that I test drove a Polo 1.2TSI 110 SEL back in April 2015, no other dealer nearer me (just South of Edinburgh) could be bothered having/keeping a Polo 1.2TSI 110PS as a demonstrator - but I placed my order back in Edinburgh for my convenience and they accepted the deal I put to them in terms of purchase cost.

[monkeyhanger]

Have the advertised APR rates changed up or down since you got your first quote?

Sometimes this works to your advantage. When you go through the proper credit application, you get offered a rate. That rate should be available to you through VW financial services, and the guaranteed future value is also fixed (which determines how much capital is paid back in the loan, influencing the monthlies).

If you went in to look through the finances available when you placed your order, but never actually did the credit application, then the old deal won't have been nailed down for you.

How much is the difference between what you thought you were paying and how much you will be paying?

Sometimes they rob Peter to pay Paul, but the overall doesn't change e.g. the APR goes up a tiny amount, but it is countered by a higher deposit contribution or higher GFV.

You need to know the before and after figures as well as knowing if you had completed a credit agreement previously.

[deeklad13]

Thanks for the replies. I had a printed quote but interested the rates at not included, just price, deposit and monthly payment.

I’ve heard back from them today and pleased to report they have recognised I’m not in any way at fault and they have to carry the burden of some oversights and omissions that have happened at the dealership. So the original deals stands. Collecting on Tuesday

[deeklad13]

Thanks for the replies. I had a printed quote but interestingly the rates are not included, just price, deposit and monthly payment.

I’ve heard back from them today and pleased to report they have recognised I’m not in any way at fault and they have to carry the burden of some oversights and omissions that have happened at the dealership. So the original deals stands. Collecting on Tuesday

[joe6]

Good outcome then. Pleased for you.

[RUM4MO]

Looks like you were lucky then if you had not had in writing what the lending rate was going to be.

[Aube]

Hi,

Great result.

I’m sure a few dealers will try this with price or rate increases as unfortunately a lot of customers get hoodwinked by the smooth talking sales person and agree to these changes.

[monkeyhanger]

Hi,

Great result.

I’m sure a few dealers will try this with price or rate increases as unfortunately a lot of customers get hoodwinked by the smooth talking sales person and agree to these changes.

From the recent posts by the OP, it doesn't seem that they actually applied for finance and therefore no entering into a contract was made. As we've seen though, the dealer has since negotiated with VWFS to get the original terms on offer at the time the order was placed.

Price rises do not affect an order already placed with the factory and accepted at the old price- unless you change your order after a price rise has been implemented.

The only exception to this is the threat of slapping on a Brexit related import levy for post-Jan 19 orders.

[deeklad13]

I was told the guy I dealt with last year (now in a different role) hadn’t proposed the finance so the finance deal, including contribution hadn’t been locked in and VW refused to offer the same deal. I got a healthy discount when I made the deal so that combined with the oversight is costing the dealership.

So, lessons learned for us both I’d say but the harshest is rightly theirs. I’m glad it’s sorted but having to battle for what was agreed plus the 10.5 month wait, along with other frustrations, dulls the excitement of getting a new car.

Hopefully the car will make up for it but it’s got big boots to fill, coming down a class or 2 from what I’ve driven for the last 4 years.

Will post a few pics up in the pics thread when I have it, assuming all goes to plan.