Scooby96

I took a deposit for a bike from a customer who subsequently paid a further amount towards the total purchase price. He's now saying he no longer wants the bike and wants a full refund! I have a sign up saying 'deposits are non-refundable'

Hes been to the CAB and been told as he is under 18 (16) he is entitled to a full refund!!! I am happy to refund most of it less an admin fee - can I do that?

davegtt

god knows, but cant u give him back that further amount he gave u and keep the original deposit he made? surely if deposits are none refundable then thats what it is. none refundable.....

Stueyb

Under the law anyone under 18 cannot enter into a binding (read legally enforcable) contract without the written conscent of his/her parent/guardian, so im afraid that the money has to go back to him.

Thats why you need to be 18 to hold a credit card etc.

Frosty The Snowman

I know there are some laws that state minors are not allowed to enter into binding contracts. There are a few exceptions to this such as buying food and arranging accomodation, generally stuff that is required for them to house, clothe and feed themselves, although is buying a motorbike one of them, necessary transport to earn a wage to live etc., etc...

I would guess that this is the law that the CAB is talking about. I would still retain something myself, as you say an admin fee, and let him chase you for the rest. Make sure you check with the CAB yourself and have a good old fashion argument.


Mark

comic cuts

I'd give him his money back (he is not bound legally) and suggest that, if he comes back with his Mum or Dad and buys a bike through them, you'll throw in a free bike lock or bell!

Jap2Scrap

Yeah, be nice. It's not like he's trying to steal from you. Last thing you want is him telling his mates what a w*nker you've been. Then they tell their mates. These things can grow exponentially and before you know it you've got yourself a reputation as a crook.

paulr

just refund the whole lot,its not an everyday occurence is it.
it also gives him confidence if he wants to come back in the future.
people do change there mind,thats life.

andrewdelvard

Yep totally agree. Just set it up right for the future. He's not going to buy a bike this time, but will in the future. Turn it into a customer relations exercise.

mart360

Why is the deposit not refundable???

if you havnt actually sold the item, and you can sell it at a later date, why the fuss???

prehaps he,s astute and knows if he leaves it long enough you will reduce the price of the item, and it will be purchased then..

(Flame suit on)

prehaps if you were to reduce your mark up on the item you may shift more of them, and have lots of happy customers.

(and off)

M

paulr

also he might tell his mates if you give him a hard time and that another 5 potential customers you've lost.

Scooby96

Ok Ok I will give him a refund, less an admin fee - basically I could have sold the bike over the weekend at a show but obviously didnt take it with me as it was reserved!

Does a £40 admin fee sound ok - the alternative would be to issue a credit note?

Dazza01

£40 how much deposit de he put down ???

my old insurance company used to charge me £15 for ppwk when i changed my car mid term so £40 sounds a bit to much imo, halve it and give him a free mickey mouse bell as a sweetner

As for the credit note nasty horrible things they are.

Scooby96

£130 deposit down, followed by a further £100 a week later - £40 is approx 10% of the bike price

Frosty The Snowman

This link gives you the case law in question a little way down. It all comes down to whether the bike is deemed as necessary but I would say it's not so cut and dry as the CAB makes out. You could easily argue that the bike is necessary for getting to work etc.

The above is more for information as it's not going to be worth the hassle to be honest.

Mart360, seems a bit odd that you are suggesting that Scooby96 drops his margins, unless you know how well, or bad, his business is trading...and have years of experience in the industry.....or just want a cheap bike

Scooby96

The bike is a toy not a road legal motorbike

Frosty The Snowman

Yep, had figured that out

My point was the kid may need the bike to get to work/school/college etc, I was working full time when I was 16.

At the end of the day it's not really worth the hassle, I was just interested to see where you do stand legally on dealing with minors.

Scooby96

Well lets see if he brings his dad with him later....!

GU5

You're lucky he put a deposit down, all the prices are coming up free

Dracoro

Interesting, what would happen if a 17 year old went to a car dealer and put down a deposit. Would many salesmen know about this age issue? Then the aforementioned 17 year old cancels, how easily would a dealer refund the cash, especially if the order was a while ago and the vehicle was in, say, a unique spec (lime green with pink interior for example) which the dealer would have no hope selling on.