Paying for a car via bank transfer??

[KeenLimeHam]

I went to view a car over a week ago from a large car sales place. The car had a bump on the wheel arch and a few scratches and when starting up the car the battery was flat. I came back for a second opinion and was told that the battery would be replaced and the bump and scratches would be sorted by Saturday so I placed a deposit of £250 on a credit card to reserve the car. When I returned on Saturday the bump had not been repaired properly but I had a test drive and they told me it was due to get fixed today. When I rang up today they told me that the car had gone in to be repaired and I could collect tomorrow evening or Wednesday at the latest and he sent me a link for payment through cocoon. The link gave me the bank details for the company to transfer the money over. The payment is for over 9k. It seems like a lot of money to send via bank transfer when you don’t get the protection if anything was wrong with the car. Has anyone had this experience before?

Yes I've had this, Car Giant use bank transfer

Is it reliable for a payment that large? I haven’t seen the car without the bump so very hesitant to pay without actually seeing it.

The thing is once you’ve transferred the money over that’s it, there’s no guarantee with that payment method like there is a with a debit or credit card

I would see the car - only when you're happy then transfer the money.

I wouldn't pay until you have inspected the car - and are taking it. You should be able to pay when you collect it and they should be able to see the payment in their account.

We bought a car paying the deposit online and then when it was delivered to our house paying the balance on a credit card. The delivery person had a card machine with him. Have they said that you can't use a credit card?

Don't forget to ask to see the new battery that they have promised you.

Does the car come with a warrantee?

The fact you are buying from.a big dealer should be reassuring. Have you googled/ read their reviews for other people that have bought from them?

All the advice above - don't pay until you're happy with car. Asked to see the car again when repaired and test drive again (see it start up etc). You've paid your deposit by credit card so that gives you full credit - protection/rights (the same as if you had paid in full by card).

If I were you I would only pay once the bump has been fixed.

But then yes bank transfer is perfectly normal. I’ve only bought two cars previously but I’m sure I must have used bank transfer because I can’t think how else I would have done it. The price of each of the cars would have been far higher than the limit of my credit card.

I am about to buy a new car now but will be using finance for the first time so it’s a bit different.

This. You only need to pay a deposit to get credit card protection on the whole purchase.

But it's completely normal for car dealers to not accept credit cards because the charges are significant for large purchases, it could easily be over £100 as its a percentage of the amount.

So don't pay the balance until the car is repaired to the agreed condition as you still have the right to walk away and get your deposit back if the car is not as described ie damage properly repaired and new battery.

The method is payment is perfectly normal but paying before you're happy with the car is the issue. Tell them you'll pay when it's sorted

Is the car sales place a reputable dealer? You can get the AA and others to do inspections of cars you want to purchase. If you would prefer to pay by credit card ask them for the details and see what they say?

I paid for mine with bank transfer but the bank initially froze the payment and I had to call them to unblock it - they were concerned it was fraud and told me in non uncertain terms that if it turned out to be fraud I wouldn’t get the money back, you don’t get the protection you do with credit card payments.

it we fine in the end though.

As others have said payment by bank transfer is perfectly normal. Just send a small payment first and phone them to check they’ve received it before sending the balance with the same details.

By paying the deposit by credit card, you’ve got credit card protection for the whole amount of the car.

Like buying a house, just check and double check the garages bank details directly with them using their official published phone number or in person in the garage just in case some random fraudsters have somehow intercepted your texts or emails and sent you a fraudulent email or text with their bank details to fool you into paying the fraudster instead of the bank. Thats another reason why sending a small payment first and then ringing them to check they received it is a good idea.

I would not buy that car!!

Don’t pay until you are satisfied with the car and it’s ready for you to drive away. But it’s perfectly usual to pay by bank transfer.
Whenever I’ve bought cars I ask how much they can accept by credit card (because I get cash back) but they have never been willing to take more than a few grand on the card and the rest is by bank transfer. I usually message the bank a couple of days before hand to let them know I will probably be doing a high value bank transfer so that they know it’s going to happen and don’t stop the payment.

You absolutely do get the credit card protection as part of the payment (the deposit) was paid by credit card. The credit card is then jointly liable for the full amount - not just the deposit - if you have problems down the line. I know it sounds unlikely but if you check out the 'Money Saving Expert' website (Martin Lewis), you will find that this is correct.

I was about to type the same thing. You paid a deposit of £250 by credit card. As long as the purchase is between £100 and. £30,000 you have full section 75 protection. I always pay a deposit on large items by credit card if I am not using it to pay the full amount.