Go Back   Team-BHP > BHP India > The Indian Car Scene


Reply
 
Thread Tools Search this Thread
Old 17th January 2017, 22:41   #16
Newbie
 
Join Date: Nov 2016
Location: Hyderabad
Posts: 6
Thanked: 2 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

This is great news, hats off to Mr Ratan, he sure did have a lot of patience to get to the end of this, I'm sure lot of people must have discouraged him, offers from the dealership to settle and bury the hatchet, but held on.

I’m sure this has far reaching effects as any one who googles about buying a new car or about these ‘ handling charges ‘ will come to know that they are just excuses to make dealers’ profits bigger.

Thanks OP for posting such useful information.
TCS66SPDLSD is offline   Reply With Quote
Old 19th January 2017, 07:29   #17
BHPian
 
Join Date: Nov 2011
Location: Mumbai
Posts: 128
Thanked: 89 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

Wonderful post.
About five years back when I got my first car, I too had objected to the handling charge. But my fight ended up after arguing with couple of sales executive and manager at the dealer's showroom.

Hats off to Mr ratan for fighting this through. It requires, time and dedication to set things right and you have done so for many other people.

Whether such charges continue in hidden or roundabout way is another argument but this judgement atleast represents that customers are not to be taken casually for their righteously earned hard money.
mahen_narang is offline   Reply With Quote
Old 23rd March 2017, 14:25   #18
BHPian
 
srinath34's Avatar
 
Join Date: Jan 2006
Location: Software City
Posts: 270
Thanked: 160 Times
Default Hyundai Handling Charges Dropped - Thanks to escalation from Hyd techie!

Source - Motorbeam article

Hyundai: Handling charges dropped after battle with techie-hw089385.png

A Hyderabad techie by name of Mr. Ratan Grandhi has managed to make some breakthrough on a 2-year case regarding the so-called "handling charges" that dealers used to charge car buyers in the invoice value. He had purchased a Hyundai Xcent in 2014

The reason for such charges was fuel charges and labor charges and this was to be paid mandatory before the release of the car to the buyer.

Mr. Ratan paid the money and purchased the car, but vowed to get the money paid as handling charges back. He wrote a series of emails to Hyundai, from whom he got unsatisfactory replies and when he realized that this will not help him, he lodged a complaint with the Joint Transport Commissioner (JTC) about these charges.

Central Zone Transport Officer (RTO) G.P.N Prasad took on from there and started his investigation. They were successful in discovering that the handling charges were illegal and warned all the showrooms and also suspended licenses of two showrooms for these practices.

As a result of this, Hyundai started issuing circulars to all their showrooms across the country canceling the handling charges.Transport officials are alerting the general public about this kind of hidden charges and have asked the public to be careful while purchasing a motor vehicle.

Mr. Ratan has also been reimbursed Rs. 3000/- towards registration charges collected before, along with the Rs. 6950/- collected as handling charges.

Hope all other manufacturers also issue such a notice to their dealers to stop this illegal activity.

Mods - Please move this to appropriate thread if already available
srinath34 is offline   (14) Thanks Reply With Quote
Old 23rd March 2017, 21:28   #19
BHPian
 
Kestrel5915's Avatar
 
Join Date: Mar 2017
Location: Noida
Posts: 71
Thanked: 63 Times
Default Re: Hyundai Handling Charges Dropped - Thanks to escalation from Hyd techie!

But is there any circular or any kind of proof to show to the dealer in case the car maker hasn't issued any?
Kestrel5915 is offline   Reply With Quote
Old 23rd March 2017, 22:06   #20
BHPian
 
Nonstop-driver's Avatar
 
Join Date: Jun 2011
Location: Noida
Posts: 562
Thanked: 547 Times
Default Re: Hyundai Handling Charges Dropped - Thanks to escalation from Hyd techie!

Quote:
Originally Posted by Kestrel5915 View Post
But is there any circular or any kind of proof to show to the dealer in case the car maker hasn't issued any?
+1. Unless there's an abridged version of this judgement or a Company circular against handling charges, I doubt the dealers will give it up.
Nonstop-driver is offline   Reply With Quote
Old 24th March 2017, 11:45   #21
BHPian
 
centaur's Avatar
 
Join Date: May 2009
Location: --
Posts: 768
Thanked: 822 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

There is a supreme court ruling on this which I too had used against my dealer when I got the refund. I am unable to find it for now but this is the closest what I got-

http://archive.indianexpress.com/new...arges/1007304/

http://epaper.timesofindia.com/Defau...0701&AppName=1
centaur is offline   (1) Thanks Reply With Quote
Old 24th March 2017, 11:54   #22
BHPian
 
deerhunter's Avatar
 
Join Date: Dec 2016
Location: PGT/PDY
Posts: 266
Thanked: 595 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

Quote:
Originally Posted by centaur View Post
There is a supreme court ruling on this which I too had used against my dealer when I got the refund. I am unable to find it for now but this is the closest what I got-....
Here is the link for the Delhi high court ruling. The name of the case is C.Rajaram vs GNCT of Delhi.

Link

Also the pdf of the same.
C._Rajaram,_Advocate_&_Anr._vs_Gnct_Of_Delhi_&_Ors._on_20_April,_2012.PDF

Last edited by deerhunter : 24th March 2017 at 11:58.
deerhunter is offline   (4) Thanks Reply With Quote
Old 24th March 2017, 12:13   #23
Distinguished - BHPian
 
RavenAvi's Avatar
 
Join Date: Jun 2011
Location: On the X-Lanes
Posts: 5,885
Thanked: 33,120 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

I can confirm this now.

Here is a quotation for the 2017 Hyundai Grand i10 Asta (petrol) which I received on behalf of a colleague recently. The "Handling" part is struck off, and replaced with Extended Warranty.

As per dealer, except for Insurance and RTO charges, everything else is optional.

Name:  quot.jpg
Views: 2638
Size:  123.8 KB

Ex-showroom price is the same as on the official website.

Name:  prices.jpg
Views: 2636
Size:  120.1 KB
RavenAvi is offline   (6) Thanks Reply With Quote
Old 24th March 2017, 12:47   #24
BHPian
 
civic-sense's Avatar
 
Join Date: Dec 2009
Location: Bangalore
Posts: 768
Thanked: 872 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

1) A techie who gets billed at anything around Rs 1000 an hour, spending days behind a court case does not make economic sense.

2) Handling charges supplements the dealers margins, so be assured that he'd make up for the loss by offering lesser discounts.

3) If the handling charges are struck off by law, the dealers may pressure car manufacturers to jack up prices to accommodate higher margins.

4) If manufacturers can price their products according to their will, I wonder why dealers should not price their services according to their will. Funnily, the higher the authority is we fail to question them.

5) When you feel that the price of a car is high, you vote with your wallet. Similarly, if you feel that handling charges are unfair, you should rather vote with your wallet.

6) You cannot beat market forces by enacting laws. It is better to let market forces determine how money changes hands.
civic-sense is offline   (6) Thanks Reply With Quote
Old 24th March 2017, 13:01   #25
BHPian
 
deerhunter's Avatar
 
Join Date: Dec 2016
Location: PGT/PDY
Posts: 266
Thanked: 595 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

Quote:
Originally Posted by civic-sense View Post
4) If manufacturers can price their products according to their will, I wonder why dealers should not price their services according to their will.
Delhi high court and supreme court agrees to what you say. Delhi high court ruled that charges can be levied by the dealers for all the services rendered with the sole exception being commission for registration. Supreme court too supported this view. Even though SC opposed the handling charges initially, in the final order they passed a few month back, they supported the Delhi HC judgment. So handling charges per se is not illegal. Only that part of it, which is charged as a commission for registration, is illegal.
deerhunter is offline   (2) Thanks Reply With Quote
Old 28th May 2018, 12:27   #26
BHPian
 
Djay's Avatar
 
Join Date: Mar 2016
Location: Pune
Posts: 53
Thanked: 66 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

Wanted to provide an update on the Handling Charges issue based on a buying experience in Pune. I believe same will be applicable all over India.

I purchased a TVS Jupiter from a Pune authorised dealer last month. He added Rs. 1250 as 'Registration Service Charges' which was initially quoted in RTO Taxes & Others. Checked that the situation was same with other dealers. Protested with the showroom manager, who said its decided by management and not in his hands. Anyways went ahead with the purchase . Subsequently I raised a complaint with Pune RTO and informed the media.

Based on many such complaints a popular newspaper ran an investigation and subsequently Pune RTO clarified that such charges are illegal. They informed dealers to stop charging and put up a notice at all showrooms to this effect.

Armed with this update, I raised a complaint with TVS. The dealer manager called me up and after much discussion I received a full refund. However he informed that these are paid to RTO officials as bribes to quickly register vehicles without inspection. Now even if Pune RTO is denying the same and warning dealers, the practice of corruption has continued and no dealer risks challenging it. Even if all dealers were part of a recent meeting with Pune RTO, nobody raised the actual issue and all agreed that they do not pay anything to RTO (which I consider was a huge missed opportunity to stand up against this corruption). Worst part is that even manufacturers like TVS are turning a blind eye towards this and are asking dealers to just deal with any complaints from their own pocket.

The dealer has informed that they have started asking customers to go ahead with the registration process themselves, if they do not want to pay these charges (which is supposedly allowed as per Motor Vehicles Act). I urge all BHPians to avoid paying any such charges and try registering vehicles on their own . This may take additional 1-2 visits to the RTO, but will bring a slowdown to this huge corruption cycle which runs into crores of rupees if the volume of vehicle sales is considered.


The links of the newspaper articles in Sakal (Marathi) and the Indian Express provided below -

http://124.30.219.86/EpaperData/Saka..._1508_2406.jpg

http://124.30.219.86/EpaperData/Saka..._1906_1422.jpg

http://epaper.indianexpress.com/c/28903974
Djay is offline   (5) Thanks Reply With Quote
Old 6th June 2018, 15:57   #27
BHPian
 
Cooltronics's Avatar
 
Join Date: Oct 2009
Location: Bangalore
Posts: 279
Thanked: 321 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

I am buying a Hyundai Grand i10 for my parents and I notice that the Quotation has 3000 handling charges mentioned.
While I understand Hyundai has scrapped these charges, I need to have a proof to show to them to not levy.
I am also being charged 1800 for basic kit and 1200 for 4th year RSA.
Cooltronics is offline   Reply With Quote
Old 6th June 2018, 16:39   #28
Senior - BHPian
 
selfdrive's Avatar
 
Join Date: Apr 2010
Location: Pune
Posts: 2,816
Thanked: 2,494 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

Quote:
Originally Posted by civic-sense View Post
1) A techie who gets billed at anything around Rs 1000 an hour, spending days behind a court case does not make economic sense.
Quote:
Originally Posted by Djay View Post
The dealer has informed that they have started asking customers to go ahead with the registration process themselves, if they do not want to pay these charges (which is supposedly allowed as per Motor Vehicles Act). I urge all BHPians to avoid paying any such charges and try registering vehicles on their own . This may take additional 1-2 visits to the RTO, but will bring a slowdown to this huge corruption cycle which runs into crores of rupees if the volume of vehicle sales is considered.
Quoting 2 posts on this same page/ thread.
Bribes or convenience charges are offered usually by people who think (or really do) have better things to do than run around in circles of bureacracy. How many will take the actual effort is quite subjective. The amount is usually considered as payoff for the time, effort and cost of visits to the RTO. Unfortunately this has become so entrenched over a period of time that it has built itself into 'handling charges'
selfdrive is offline   Reply With Quote
Old 6th June 2018, 16:41   #29
Distinguished - BHPian
 
Sheel's Avatar
 
Join Date: Jul 2006
Location: Purnea (Bihar)
Posts: 5,641
Thanked: 5,646 Times
Default Re: Hyundai: Handling charges dropped after battle with techie

Please, do not agree to these malicious charges. The dealer is bound to sell you the car, its on you if you wish to pay for insurance, registration or get them your self.

I do recommend getting extended warranty and that is it.

If the dealer is adamant, try contacting HMIL over email. That should help, if not, not worth buying Hyundai IMHO.
Sheel is offline   Reply With Quote
Old 7th June 2018, 23:08   #30
BHPian
 
Join Date: Aug 2009
Location: Mumbai
Posts: 46
Thanked: Once
Default Hyundai: Handling charges dropped after battle with techie

Had this negative experience with a couple of Hyundai dealers regarding the handling charges, in Mumbai last week. Even wrote to HMIL regarding the same. They had the dealer call me to sort it out. Nothing came out of it. Dealer was adamant, and went to the extent of telling me that it is in fact Hyundai who insists on these charges across the city and if he does not charge me, he gets into trouble with HMIL.

He asked me to take up the matter with them instead. Unfortunately I didn't have the patience to go back and forth anymore given the amount of time I had already wasted on the verbal and written communication with both the dealer and HMIL.

In addition to this, the dealership even went to the extent of insisting that I buy the insurance through them only, failing which they will not be able to sell me the Creta facelift.
I obviously took my business elsewhere but the important thing to note was he didn't budge from that decision. Amazed that dealers still think they can get away with this.

Last edited by andyb : 7th June 2018 at 23:16.
andyb is offline   Reply With Quote
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search


Similar Threads
Thread Thread Starter Forum Replies Last Post
Delhi Transport Dept tells Dealers to stop "Handling Charges" SCAM. EDIT: Telangana and Kerala too tanwaramit The Indian Car Scene 360 30th May 2018 12:12
Another techie commits suicide jumping from office Building - This time from TCS Superleggera Shifting gears 174 15th March 2013 16:23
Techie dies in road mishap opposite HAL police station sqwall Street Experiences 43 24th June 2009 01:44
Bangalore police assaults techie. tsk1979 Shifting gears 7 24th April 2006 18:38


All times are GMT +5.5. The time now is 06:13.

Copyright ©2000 - 2018, Team-BHP.com
Proudly powered by E2E Networks