Southern Motors wants a whopping 3% to cancel booking of a Mitsubishi Cedia!

extreme_torque · 28th July 2009, 14:34

Quote:

Originally Posted by bblost

ICedia, I think it sells the same number of cars in a year as Alto's in a month.

What Mitsubishi would give to you if this was indeed true!

In anycase 3% is a lot but then booking amount itself was too high IMHO.

superbhikari · 28th July 2009, 15:53

I think the booking cancellation charges are no more than 5k or so. Also it must be mentioned in any of the document you have been provided during booking.
My uncle booked swift dezire and tata indigo xl at the same time but finally got the dezire. The tata guy returned the full amount without any deduction but after kept him waiting untill the indigo xl got sold to someone else.

Vid6639 · 28th July 2009, 17:32

Usually they make a sign a form that says if you cancel the order once the car has arrived at the dealer then you will forfeit the booking amount of Rs.50,000. If there is no such agreement with the dealer then you are entitled to the full refund. Whatever may be the excuse, if the car is not registered they can't hold back any amount of the money.

Going by your location bangalore, and the fact that there is only one sole dealer in bangalore, the dealer is Southern Motors.

reignofchaos · 28th July 2009, 22:12

^^Exactly - Check the contract that you signed. Unless that specifically says 3% of ex showroom price, I doubt this would be the case. I'm not sure why your friend paid 2lacs as booking amount. All I paid for my car was 50 grand.

rr_zen · 28th July 2009, 22:47

This is ridiculous. I booked an Alto wayback in Oct 2008 by paying an amount of 15000 INR. However, due to various reasons, I had to cancel the same. The invoice clearly mentioned that in the event of cancellation of the booking, I would have to forego 1000 INR. Upon cancellation, I was paid back 14000 INR promptly by the dealer.

GTO · 29th July 2009, 11:00

Come to think of it : This scoundrel of a dealer is trying to make 50% of his margin (of a new car) on a booking cancellation! Take it up with Mitsubishi. Again, such an anti-customer practice is the last thing they need right now.

phamilyman · 29th July 2009, 11:24

Scoundrel of a dealer.

With Maruti, I'd paid 10000 for Swift, and they were willing to give ALL of it back - not a paisa kept!

devarshi84 · 29th July 2009, 11:51

Bad bad customer service. Why do dealers forget that such conning does affect them through word of mouth which a really powerful form of marketing.

Do go through all the legal documents your friend signed carefully. Mostly and always a refund or cancellation fee or % is mentioned. Did your friend cancel the booking at the last minute?

If mentioned in the contract, the dealer is right. Otherwise try to talk it up with the dealer for a refund. Try to use some sort of pehchaan here and there.

sriramv.iyer · 29th July 2009, 12:09

As guessed earlier, the dealership is indeed "Southern Motors", Bangalore.

We spoke to the sales guy @ the dealership, and we said that it is not mentioned anywhere about the 3% cut in booking amount. We said that he could only reduce 1K or 2K as some kind of processing fee.

The salesguy said that he would talk to his MD about reducing to 10K, but he may get into trouble for that

- He is ready to make that sacrifice for us

- He wants us to support him if he lands in some trouble (I don't know what that means!)

Hope to get the check soon! My friend is still kinda upset that 10K is gone, but it is indeed a relief considering the initial cut of 33K!!!!!

We'll keep you posted on what transpired.

The dealership has requested a couple of days to return the check. They'll also update us on the deduction soon. They seemed mellowed down yesterday. So, I don't want mess up things by mailing HM/Mitsu now. If the dealership causes trouble, we'll send a link of this thread to HM/Mitsu.

Thanks for all the support!

amohit · 29th July 2009, 12:20

Does the documents that your friend sign mentions anything about the cancellation charges?
If so, it certainly wont be 3%.
Once you get your money back, do get the receipt of the deducted amount and then file a case in consumer court just for the heck of it!

Regards,

bblost · 29th July 2009, 12:21

And sometime later the Dealership will request you to delete this thread.

Of course that will not happen.
So they will keep on cribbing about it.
I hope they learn something from this.

Maybe next time, anyone faces an issue with the dealership, they should say.
Oh ok. I don't know.
I am part of this online forum called team-bhp.
I will post and ask about it there.

Once most dealers and manufacturers understand the power of online forums they will issue a circular.
It will read.
Beware, as soon as customer mentions team-bhp, behave your self and give the best service possible.
Warna Horse-Power ka baap aaja yega.

Please exclude Skoda and their dealers from the above statements.
They are Donkey-Power ke najayaz aulad.
(Mods: if wrong usage, please delete)

car'zy · 29th July 2009, 12:25

Hey - I went through something similiar with Lathangi Ford while I was dilly- dallying between the Feista and the Cedia. I had signed on the booking form which mentioned a deduction is case of cancellation.

I really had to slug it out,but was assertive and even went on to demand an interest since they had the booking amonut for more than couple of months. Later, I got a full refund from them.

At the same time, I was dealing with Southern as well and I remember talking about this to thier sales head, who I distinctly remember saying that they do a complete refund with no questions asked and advicing me not to let go of my money and advicing me to threaten them with troubles they could get into with ARAI!!

After all that, Im surprised to hear this! Please dont budge and demand a full refund! And, 33k is crazy, at worst, it is much lesser than 10K, as it is with Ford dealerships.

cargirl · 29th July 2009, 13:08

I'm not surprised to hear of customer services nightmares. What I want to know is- is this a standard practice across all car companies/ dealerships? If so, how much do they usually deduct on cancellation?

CBlazer · 29th July 2009, 13:11

Quote:

Originally Posted by sriramv.iyer

As guessed earlier, the dealership is indeed "Southern Motors", Bangalore.

The salesguy said that he would talk to his MD about reducing to 10K, but he may get into trouble for that

- He is ready to make that sacrifice for us

- He wants us to support him if he lands in some trouble (I don't know what that means!)

Hope to get the check soon! My friend is still kinda upset that 10K is gone, but it is indeed a relief considering the initial cut of 33K!!!!!

Sriram, I would say just go ask for the entire sum altogether. This wasn't a car "built" for you in the first place. They were just trying to push an already available car. I'm sure starting at 33K was a trick - they knew you would negotiate.

I somehow don't have a good feeling about this dealership anymore. These guys seem to have a monopoly now. When Cedia was discussed on this forum a couple of years ago, very few people preferred Southern motors. I'm not saying Lathangi were great, but atleast they brought in competition. This is the last thing Mitsubishi India requires. Just goes to show how poor dealerships can mess up a good product.

HappyWheels · 29th July 2009, 13:52

Seems like the dealer, Southern Motors, is using the old trick of first hiking up the amount and then negotiating, to show that they are doing you a favor!!! Pathetic lot! Wouldn't be surprised if they resort to robbery later!

Would suggest that you ask for full refund. All the more, since this was not a made to order vehicle, but a vehicle in their yard. In fact if you ever did pick that car they should have given you a hefty discount!

But, regardless of what you do, ask for a receipt of the amount that they have deducted. DO NOT leave without that!

28th July 2009, 15:53	#17
superbhikari BHPian Join Date: Jul 2008 Location: Muzaffarnagar Posts: 465 Thanked: 228 Times	I think the booking cancellation charges are no more than 5k or so. Also it must be mentioned in any of the document you have been provided during booking. My uncle booked swift dezire and tata indigo xl at the same time but finally got the dezire. The tata guy returned the full amount without any deduction but after kept him waiting untill the indigo xl got sold to someone else.
	() Thanks

28th July 2009, 17:32	#18
Vid6639 Team-BHP Support Join Date: Jul 2006 Location: Bangalore Posts: 17,727 Thanked: 43,460 Times View My Garage	Usually they make a sign a form that says if you cancel the order once the car has arrived at the dealer then you will forfeit the booking amount of Rs.50,000. If there is no such agreement with the dealer then you are entitled to the full refund. Whatever may be the excuse, if the car is not registered they can't hold back any amount of the money. Going by your location bangalore, and the fact that there is only one sole dealer in bangalore, the dealer is Southern Motors.
	() Thanks

28th July 2009, 22:12	#19
reignofchaos Senior - BHPian Join Date: Apr 2007 Location: Bangalore Posts: 2,542 Thanked: 2,450 Times View My Garage	^^Exactly - Check the contract that you signed. Unless that specifically says 3% of ex showroom price, I doubt this would be the case. I'm not sure why your friend paid 2lacs as booking amount. All I paid for my car was 50 grand. Last edited by reignofchaos : 28th July 2009 at 22:13.
	() Thanks

28th July 2009, 22:47	#20
rr_zen Senior - BHPian Join Date: Sep 2006 Location: Chennai, India Posts: 1,799 Thanked: 400 Times View My Garage	This is ridiculous. I booked an Alto wayback in Oct 2008 by paying an amount of 15000 INR. However, due to various reasons, I had to cancel the same. The invoice clearly mentioned that in the event of cancellation of the booking, I would have to forego 1000 INR. Upon cancellation, I was paid back 14000 INR promptly by the dealer.
	() Thanks

29th July 2009, 11:00	#21
GTO Team-BHP Support Join Date: Feb 2004 Location: Bombay Posts: 70,497 Thanked: 300,308 Times View My Garage	Come to think of it : This scoundrel of a dealer is trying to make 50% of his margin (of a new car) on a booking cancellation! Take it up with Mitsubishi. Again, such an anti-customer practice is the last thing they need right now.
	() Thanks

29th July 2009, 11:24	#22
phamilyman Senior - BHPian Join Date: Jul 2007 Location: Gurgaon Posts: 5,968 Thanked: 4,641 Times	Scoundrel of a dealer. With Maruti, I'd paid 10000 for Swift, and they were willing to give ALL of it back - not a paisa kept!
	() Thanks

29th July 2009, 11:51	#23
devarshi84 Senior - BHPian Join Date: Jun 2005 Location: Ahmedabad - Tor Posts: 4,024 Thanked: 211 Times View My Garage	Bad bad customer service. Why do dealers forget that such conning does affect them through word of mouth which a really powerful form of marketing. Do go through all the legal documents your friend signed carefully. Mostly and always a refund or cancellation fee or % is mentioned. Did your friend cancel the booking at the last minute? If mentioned in the contract, the dealer is right. Otherwise try to talk it up with the dealer for a refund. Try to use some sort of pehchaan here and there.
	() Thanks

29th July 2009, 12:09	#24
sriramv.iyer BHPian Join Date: Jun 2007 Location: Bangalore Posts: 845 Thanked: 739 Times	As guessed earlier, the dealership is indeed "Southern Motors", Bangalore. We spoke to the sales guy @ the dealership, and we said that it is not mentioned anywhere about the 3% cut in booking amount. We said that he could only reduce 1K or 2K as some kind of processing fee. The salesguy said that he would talk to his MD about reducing to 10K, but he may get into trouble for that - He is ready to make that sacrifice for us - He wants us to *support* him if he lands in some trouble (I don't know what that means!) Hope to get the check soon! My friend is still kinda upset that 10K is gone, but it is indeed a relief considering the initial cut of 33K!!!!! We'll keep you posted on what transpired. The dealership has requested a couple of days to return the check. They'll also update us on the deduction soon. They seemed mellowed down yesterday. So, I don't want mess up things by mailing HM/Mitsu now. If the dealership causes trouble, we'll send a link of this thread to HM/Mitsu. Thanks for all the support!
	() Thanks

29th July 2009, 12:20	#25
amohit BHPian Join Date: Jul 2007 Location: Bangalore Posts: 451 Thanked: 52 Times	Does the documents that your friend sign mentions anything about the cancellation charges? If so, it certainly wont be 3%. Once you get your money back, do get the receipt of the deducted amount and then file a case in consumer court just for the heck of it! Regards,
	() Thanks

29th July 2009, 12:21	#26
bblost Team-BHP Support Join Date: Jul 2007 Location: Hyderabad Posts: 11,000 Thanked: 15,305 Times View My Garage	And sometime later the Dealership will request you to delete this thread. Of course that will not happen. So they will keep on cribbing about it. I hope they learn something from this. Maybe next time, anyone faces an issue with the dealership, they should say. Oh ok. I don't know. I am part of this online forum called team-bhp. I will post and ask about it there. Once most dealers and manufacturers understand the power of online forums they will issue a circular. It will read. Beware, as soon as customer mentions team-bhp, behave your self and give the best service possible. Warna Horse-Power ka baap aaja yega. Please exclude Skoda and their dealers from the above statements. They are Donkey-Power ke najayaz aulad. (Mods: if wrong usage, please delete)
	() Thanks

29th July 2009, 12:25	#27
car'zy BHPian Join Date: Jul 2006 Location: Bangalore Posts: 100 Thanked: 0 Times View My Garage	Hey - I went through something similiar with Lathangi Ford while I was dilly- dallying between the Feista and the Cedia. I had signed on the booking form which mentioned a deduction is case of cancellation. I really had to slug it out,but was assertive and even went on to demand an interest since they had the booking amonut for more than couple of months. Later, I got a full refund from them. At the same time, I was dealing with Southern as well and I remember talking about this to thier sales head, who I distinctly remember saying that they do a complete refund with no questions asked and advicing me not to let go of my money and advicing me to threaten them with troubles they could get into with ARAI!! After all that, Im surprised to hear this! Please dont budge and demand a full refund! And, 33k is crazy, at worst, it is much lesser than 10K, as it is with Ford dealerships. Last edited by car'zy : 29th July 2009 at 12:28.
	() Thanks

29th July 2009, 13:08	#28
cargirl BHPian Join Date: Mar 2009 Location: Mumbai Posts: 35 Thanked: Once	I'm not surprised to hear of customer services nightmares. What I want to know is- is this a standard practice across all car companies/ dealerships? If so, how much do they usually deduct on cancellation?
	() Thanks

29th July 2009, 13:52	#30
HappyWheels Senior - BHPian Join Date: Dec 2007 Location: Bangalore Posts: 4,106 Thanked: 537 Times	Seems like the dealer, Southern Motors, is using the old trick of first hiking up the amount and then negotiating, to show that they are doing you a favor!!! Pathetic lot! Wouldn't be surprised if they resort to robbery later! Would suggest that you ask for full refund. All the more, since this was not a made to order vehicle, but a vehicle in their yard. In fact if you ever did pick that car they should have given you a hefty discount! But, regardless of what you do, ask for a receipt of the amount that they have deducted. DO NOT leave without that!
	() Thanks