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You’ve fully paid for your car in cash—do you still have to wait before it’s released?

Here’s what to do if you’re “waiting too long” and how to avoid such a scenario
PHOTO: Shutterstock

For many, the car-buying process doesn’t always go as smoothly (and quickly) as expected.

Say you did have the money to pay for a car fully in cash. You don’t just simply walk into a dealership, pay over the counter, and drive out with a car. You still have a bunch of paperwork to accomplish, and more often than not, how soon you can get your brand-new car will depend on how quickly you can comply with those requirements.

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But there are instances wherein cooperative customers still run into all sorts of trouble. We’ve heard stories of people who had already paid in cash and in full, but still had to wait a while before their car was released. What gives?

I consulted with a seasoned agent, and I was told that this was a common scenario. A customer will already be allocated a unit, but it isn’t necessarily at the dealership yet—the assumption is that it’s made clear that there will be some waiting time. The customer will then have the option to pay in full, partially, or even just the reservation fee. If not fully paid, the remaining balance will just be settled upon release of the vehicle.

The only instance where the customer will be asked to pay in full in advance is when there’s a limited-time offer, for example, and they’re already at the tail end of that promo duration. But at the end of the day, that will only be done to help the customer’s cause and have him avail of discounts or freebies.

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Now, what about customers who claim that the release is taking too long? Well, it all boils down to what was discussed between the agent and the customer.

If the customer signed a document wherein he was assured he would get his vehicle within a specific timeframe,then he has every right to complain if the release is “taking too long,” provided, that “taking too long” is beyond the timeframe provided in his or her sales documents.

It could be a breach of contract on the dealer’s part, and the customer has every right to complain, even to the point of getting a lawyer to write a demand letter for specific performance (demanding the fulfillment of the obligation).

I’ve read some suggestions about bringing it up to the Department of Trade and Industry (DTI). According to our resident attorney at Top Gear Philippines, getting the DTI involved should generally be considered a last resort because it means litigation, which would cost time and resources for all parties involved; any customer would want to avoid that.

Another important question to ask here is: How can such situations be avoided? Firstly, customers should thoroughly read the terms and conditions of the sale. If you’re given a timeline and you want to hold the agent to his word, make sure it’s stated in writing so there’ll be accountability.

If it’s only verbal, then the conditions should be crystal clear between you and the agent. If you’re only paying in full to avail of a promo like what was mentioned above, chances are you can’t be promised a date of release. In that case, you’ll have to compromise and you’ll really have to wait—constant follow-ups will help, but your expectations should’ve been managed accordingly to begin with.

It all boils down to the agreement between the client and the dealer. No matter the conditions of the sale, if there’s clear understanding on both ends, there won’t be any complaints.

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PHOTO: Shutterstock
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