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Old 9th February 2021, 10:39   #16
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Re: When does warranty officially start for a new car?

Normally warranty starts once the car is invoiced and handed over to the owner. In some cases, the dealer pre invoice the car to show the sale, so that they get the yearly or monthly bonus. This car seems like a 2020 model, which the company want to remove from inventory for which a discount may be adjusted by the company, when another car is billed to the dealer. This is the only reason I can see for all these drama. Of course, these are not good practices by the dealership.

Last edited by commonman : 9th February 2021 at 10:40. Reason: correction
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Old 9th February 2021, 10:48   #17
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Re: When does warranty officially start for a new car?

I think this is not a scam, nor something the dealer is trying to specifically hide. As the VIN indicates that the car is indeed manufactured just a month ago, you have nothing much to worry about. I guess the dealer is being honest in telling you about the warranty status upfront.

Looks like the dealer has invoiced the car a little early to meet targets, or to have the loan amount disbursed much before the delivery. They probably didn't expect a change of mind from the would-be owner of this car.

Last edited by clevermax : 9th February 2021 at 10:58.
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Old 9th February 2021, 10:56   #18
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Re: When does warranty officially start for a new car?

I don't see anything fishy here. Seems like a genuine case where the dealer is being upfront about it, and also offering a decent solution. Please do go for it if the rest of the PDI boxes tick.

OT: I picked a dealer owned (and registered in his name) 10 month old car. I picked it up with a peace of mind that I have at least 2 years of warranty. After having picked up the car, and during the second service I was told that my warranty of 3 years started the day I signed and picked up the car (which was 11 months old by then). That was a pleasant surprise. I also had the option of extending it by 2 years at an additional cost.
The manufacturer in question - Fiat.
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Old 9th February 2021, 12:21   #19
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Re: When does warranty officially start for a new car?

Update after the PDI


First up, thanks to all who have offered their opinions.

I saw the car at the dealership, the PDI was completed with everything in order. We have decided to go ahead with this car itself given that there isn't much of a difference between warranty kicking in on the 21st of Jan instead of 9th Feb and that the dealership was upfront about it and is offering an acceptable resolution that I think is a win win. They have clarified again to me today morning that the invoicing done earlier can be (and has been) cancelled but once the warranty is initiated it cannot be paused/undone.

The total benefits offered - A 15k cash discount that is being run by Honda in Feb'21, a further 15k negotiated discount (before we came to know about the warranty issue), an underbody coating free of charge and now an additional 7500 for the warranty.

The delivery will be either on Thursday or Friday depending on the completion of the paperwork.

Last edited by ike : 9th February 2021 at 12:24.
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Old 9th February 2021, 12:40   #20
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Re: When does warranty officially start for a new car?

Quote:
Originally Posted by ike View Post
Update after the PDI


First up, thanks to all who have offered their opinions.

I saw the car at the dealership, the PDI was completed with everything in order. We have decided to go ahead with this car itself--

--The delivery will be either on Thursday or Friday depending on the completion of the paperwork.
Congratulations on the purchase. Good deal overall and honesty of SA upfront is added bonus. Wish the same from ASS further into ownership.
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Old 9th February 2021, 13:12   #21
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Re: When does warranty officially start for a new car?

Quote:
Originally Posted by ike View Post
The total benefits offered - A 15k cash discount that is being run by Honda in Feb'21, a further 15k negotiated discount (before we came to know about the warranty issue), an underbody coating free of charge and now an additional 7500 for the warranty.

The delivery will be either on Thursday or Friday depending on the completion of the paperwork.
That's a good deal IMO.
Congrats on the new car and wishing happy miles ahead.
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Old 9th February 2021, 15:29   #22
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Re: When does warranty officially start for a new car?

This deal makes a case for why dealer should take "cancellation charges" from the customer once customer cancels after invoicing the car.
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Old 11th February 2021, 09:57   #23
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Re: When does warranty officially start for a new car?

What is the ODO reading? That should give some fair idea even if it was not registered. For peace of mind, go for a net new vehicle - 7.5K v/s peace of mind is the question to be answered.
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Old 11th February 2021, 10:25   #24
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Re: When does warranty officially start for a new car?

Well if the car is January 2021 manufactured and the gap between first invoicing and your purchase is around 20 days, and the fact that you were informed about this from the dealer side proactively, this thing looks good and clear on the covers, but do read inside the book i.e. a detailed PDI, and obtain everything in writing from the dealer just to be on the safer side.

Yet I see two sides to this, an optimistic and a pessimistic.

Optimistic:- While the dealer says that the customer moved to a higher segment car at the last hour(Honda City) the dealer cannot say 'sir! We had invoiced the car in your name and now as you are cancelling it to buy a City(presumably from the same dealership) we will have to apply cancellation charge', obviously no, the dealership is getting an opportunity to sell a higher product he has to go ahead with it.
It looks like the dealer was caught in an awkward situation here. So the deal looks good with that added cash benefit. If possible try to squeeze in a bit more discount. Do remember that whenever you will intend to sell this car in the future(especially say at the 5th year) the second buyer may become suspicious looking at these minor discrepancies on paper. Not that all will notice, but if it is someone like me, will surely investigate.

Pessimistic:- OP books the car on 6th Feb and the dealer informs that the car is available in stock, obviously the dealer already knew about this fiasco, should have informed on this issue during the booking itself, this is where it starts giving an uncomfortable perception, if not shady.
Then did the previous party cancel the booking at the last moment 'genuinely' due to moving to a Honda City? or was this story made-up on the dealer side. Is there a chance that the previous party cancelled the booking after doing a PDI and found out some damage or so, which the dealer repaired in due time and is selling off to the OP.
This is where the PDI is very critical to assess the vehicle.

Show them your unhappiness to as why this was not highlighted during the booking itself. Pursue them for added freebies and a detailed PDI along with all this mess in writing.

Slightly Off Topic:- When I had purchased my Royal Enfield Classic 350 back in 2012 even I had been allotted a bike cancelled at the last moment after invoicing it to someone and the gap in the same i.e. first invoicing and my invoicing was 15 days, yet I got the warranty form the date of my invoicing. I went ahead on it as I was getting this bike after 7 months of waiting as opposed to 9 months estimate that the dealership had quoted.
Moral of the story, if the product is fine(undamaged) and you are getting added benefits, go ahead!
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Old 11th February 2021, 14:37   #25
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Re: When does warranty officially start for a new car?

One question I have is if the extended warranty is a complete replacement for the original manufacturer provided warranty. What I have come to understand is that the extended warranty does not have the same coverage and effectiveness as the original manufacturer warranty. Please correct me if other members know more about this.
In this specific case we might be talking about a few days so this point might not be very relevant.
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Old 11th February 2021, 15:09   #26
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Re: When does warranty officially start for a new car?

Quote:
Originally Posted by mmxylorider View Post
What is the ODO reading? That should give some fair idea even if it was not registered. For peace of mind, go for a net new vehicle - 7.5K v/s peace of mind is the question to be answered.
Odo reading at the time of PDI was 19KM. The distance from their yard to the showroom/ASS is approximately 10KM, the PDI happened in the showroom.

Last edited by ike : 11th February 2021 at 15:10.
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Old 11th February 2021, 15:25   #27
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Re: When does warranty officially start for a new car?

Just seems to be a Sale target over estimated by the Dealer. On the basis of some booking they most likely invoiced it,now the customer who promised has backed out. Try getting a bigger deal.which I am sure they will oblige.
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Old 11th February 2021, 16:22   #28
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Re: When does warranty officially start for a new car?

Quote:
Originally Posted by ike View Post
The dealer in question is Johns Honda in Thrissur. The showroom experience so far has been really good, the people have been professional and courteous. Attaching a picture of the VIN for reference
I've given my car (Honda City, 4th gen) for interior cleaning here today. It's my first visit here and so far the dealing from John's Honda looks professional. I guess you're talking about the showroom in Viyyur?

Off topic: If you're taking delivery today evening around 5 PM, our paths might cross
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Old 11th February 2021, 16:56   #29
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Re: When does warranty officially start for a new car?

Quote:
Originally Posted by govindremesh View Post
I've given my car (Honda City, 4th gen) for interior cleaning here today. It's my first visit here and so far the dealing from John's Honda looks professional. I guess you're talking about the showroom in Viyyur?

Off topic: If you're taking delivery today evening around 5 PM, our paths might cross
Yes, I'm talking Johns Honda Viyyur. My delivery is tomorrow unfortunately but we could catch up some other time though

Last edited by ike : 11th February 2021 at 17:00. Reason: Typo
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Old 12th February 2021, 00:11   #30
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Re: When does warranty officially start for a new car?

The process of vehicle invoicing consists of two types of invoices a. Wholesale invoice- where wholesale means transaction that happens between manufacturer and dealer and b. Retail invoice- where retail means the transaction that happens between dealer and end customer. The terms ‘wholesale’ and ‘retail’ are used by most but not all manufacturers and hence while terminology might be different the process is the same.

Every manufacturer has its own Dealer Management System i.e. a software for managing invoicing, customer care, spare parts, accessories etc.

When any vehicle is wholesaled it appears under the dealer’s name in the system as his stock. When an end customer is then found for the said car the car is retailed in the system (after customer completes the payment of course) and it ceases to be seen as the dealers stock. This is the point at which the vehicle warranty starts. Registration happens after the system retail of the car and hence warranty usually starts a couple of days before the registration date.

In your case the dealer seems to have been extremely forthright with you. Cancellation after dealer invoicing is very common and as long as the car is not registered and the warranty has not started too long back it’s absolutely fine. I would suggest you to accept the extended warranty offer and take delivery.
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