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post #1 of 10 (permalink) Old 28-11-2009, 13:07 Thread Starter
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Deposits or pay in advance

These are my bete noir

Last two times I have needed servicing I have also had other work done.

Each time the main dealer/servicer has demanded money up front for parts orders

I refuse and say I will take business elserwhere. They usually back down.

I see no reason to put my cash flow position at risk to help a traders. I presume they get 30 days unless they have a poor credit record. If the latter that is not my fault. I pay on delivery. I spent a fortune on the van and a second fortune on servicing and habitation checks and extras since, mostly with the main dealer.

After al each trip costs me 300 in boat fares as well as mileage and time off work

Am I being mean and is this the way forward? Or am I correct. After all if I order somjething and then don't have it fitted they can sue me for the cost.
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post #2 of 10 (permalink) Old 28-11-2009, 13:11
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Re: Deposits or pay in advance

Quote:
Originally Posted by thieawin
These are my bete noir

Last two times I have needed servicing I have also had other work done.

Each time the main dealer/servicer has demanded money up front for parts orders

I refuse and say I will take business elserwhere. They usually back down.

I see no reason to put my cash flow position at risk to help a traders. I presume they get 30 days unless they have a poor credit record. If the latter that is not my fault. I pay on delivery. I spent a fortune on the van and a second fortune on servicing and habitation checks and extras since, mostly with the main dealer.

After al each trip costs me 300 in boat fares as well as mileage and time off work

Am I being mean and is this the way forward? Or am I correct. After all if I order somjething and then don't have it fitted they can sue me for the cost.
Oh dear the mind boggles especially if you were a repeat customer.

Peter
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post #3 of 10 (permalink) Old 28-11-2009, 13:27
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Re: Deposits or pay in advance

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Originally Posted by JohnsCrossMotorHomes
Quote:
Originally Posted by thieawin
These are my bete noir

Last two times I have needed servicing I have also had other work done.

Each time the main dealer/servicer has demanded money up front for parts orders

I refuse and say I will take business elserwhere. They usually back down.

I see no reason to put my cash flow position at risk to help a traders. I presume they get 30 days unless they have a poor credit record. If the latter that is not my fault. I pay on delivery. I spent a fortune on the van and a second fortune on servicing and habitation checks and extras since, mostly with the main dealer.

After al each trip costs me 300 in boat fares as well as mileage and time off work

Am I being mean and is this the way forward? Or am I correct. After all if I order somjething and then don't have it fitted they can sue me for the cost.
Oh dear the mind boggles especially if you were a repeat customer.

Peter
Peter, as one who will soon be new to motorhoming could you please explain your reply to the o/p? As a newbie, I thought the the o/p made a fair point but you seem to be making (apologies if I've misunderstood) some sort of cryptic criticism.
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post #4 of 10 (permalink) Old 28-11-2009, 16:28
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Re: Deposits or pay in advance

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Originally Posted by jimmyd0g
Peter, as one who will soon be new to motorhoming could you please explain your reply to the o/p? As a newbie, I thought the the o/p made a fair point but you seem to be making (apologies if I've misunderstood) some sort of cryptic criticism.
Yes I think you have misunderstood..........

I am amazed at the request for up front payments especially if he was already a customer of this dealer.

Peter
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post #5 of 10 (permalink) Old 28-11-2009, 16:42
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Re: Deposits or pay in advance

Quote:
Originally Posted by JohnsCrossMotorHomes
Quote:
Originally Posted by jimmyd0g
Peter, as one who will soon be new to motorhoming could you please explain your reply to the o/p? As a newbie, I thought the the o/p made a fair point but you seem to be making (apologies if I've misunderstood) some sort of cryptic criticism.
Yes I think you have misunderstood..........

I am amazed at the request for up front payments especially if he was already a customer of this dealer.

Peter
Thanks for the clarification, Peter.
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post #6 of 10 (permalink) Old 28-11-2009, 16:48
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Re: Deposits or pay in advance

Quote:
Originally Posted by thieawin
These are my bete noir

Last two times I have needed servicing I have also had other work done.

Each time the main dealer/servicer has demanded money up front for parts orders

I refuse and say I will take business elserwhere. They usually back down.

I see no reason to put my cash flow position at risk to help a traders. I presume they get 30 days unless they have a poor credit record. If the latter that is not my fault. I pay on delivery. I spent a fortune on the van and a second fortune on servicing and habitation checks and extras since, mostly with the main dealer.

After al each trip costs me 300 in boat fares as well as mileage and time off work

Am I being mean and is this the way forward? Or am I correct. After all if I order somjething and then don't have it fitted they can sue me for the cost.
The dealer is way out of order

You pay after the work has been done to your satisfaction.

I wonder if he is having cash flow problems himself :P
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post #7 of 10 (permalink) Old 28-11-2009, 17:09
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I was a contractor for over 35 years and never once asked for or took money in advance. Of course big companies and Government departments would not have paid a deposit if I had asked.

Private customers quite often offered deposits. I always told them that if a contractor asked me for a deposit I would not pay it and on that basis I would not ask for or take a deposit from them, a signed order is sufficient. Typical private contracts for my company would have ranged up to around 30GO so I think a dealer who has a very valuable motorhome as security has a right cheek asking for money up front.

Once I did pay a deposit for a loan car. That was at TB Turbo when they were doing a 2.5k job on my van. I did not want to pay it and pointed out that the value of my van far exceeded the value of their Corsa. They were not having it and insisted on the deposit, rather than argue I paid it. Soon after TB went bust, if that had happened when I had their little car I would probably have lost that money. I am not knocking TB, they did very good work and I miss being able to use them, but that story does illustrate the danger of paying deposits, Alan.
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post #8 of 10 (permalink) Old 28-11-2009, 17:16
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Payments

I do not understand why this would be unless the dealers have poor cashflow!.

In my business which is very different I do two things.

For Special Order parts I ask for a deposit, no more than 30% to cover Manufacturers re-stocking costs.

For large jobs, we ask for staged payments which is standard in the industry.

TM
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post #9 of 10 (permalink) Old 29-11-2009, 10:00 Thread Starter
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I paid 70,000 for the vehicle 3.5 yeras ago and I have spent over 10,000 with the dealers since on servicing and on extras and collision damage repairs. It has all been my own money, not insurance jobs

The part is on special parts order
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post #10 of 10 (permalink) Old 29-11-2009, 10:52
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thieawin,

Most dealers stock only those parts for which there is a regular demand. If a customer who is unknown to them wants to order a non-stock item then many will ask for some cash up front, sometimes the full cost and sometimes whatever the cost to them would be if they had to return it.

You have an established track record with this dealer. He is not trusting you but expects you to trust him. If he goes out of business between the time you pay for a part and when you take delivery you may loose your money, he will not be out of pocket as he will still have the part.

This dealer may have cash flow problems and be surviving on customers cash, all the more likely then that their business could fail leaving you the looser, Alan.

Edit: If your part is on special order it may be shipped seperately from his normal stock order, in that case there wil be an additional cost for carriage, it may be fair to ask you to pay that up front.
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