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Old 17th January 2017, 22:41   #16
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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.
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Old 19th January 2017, 07:29   #17
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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.
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Old 23rd March 2017, 14:25   #18
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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
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Old 23rd March 2017, 21:28   #19
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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?
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Old 23rd March 2017, 22:06   #20
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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.
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Old 24th March 2017, 11:45   #21
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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
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Old 24th March 2017, 11:54   #22
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Default Re: Hyundai: Handling charges dropped after battle with techie

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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.
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Old 24th March 2017, 12:13   #23
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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: 699
Size:  123.8 KB

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

Name:  prices.jpg
Views: 691
Size:  120.1 KB
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Old 24th March 2017, 12:47   #24
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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.
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Old 24th March 2017, 13:01   #25
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Default Re: Hyundai: Handling charges dropped after battle with techie

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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.
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