HELPDESK: MICHAEL McALEERanswers all your motoring queries
From Gerry McIntyre: I was bewildered by the motor industry and the concern about falling sales. They are seeking a scrappage scheme from the Government in order, they say, to boost sales; there are situations where distributors are advertising “money back” on the purchase of one of theirs cars to increase sales.
This is not my experience in trying to purchase a vehicle recently. My experience is that dealers do not want to sell cars. I drive a 2006 Ford Focus C-Max 1.6 and over the past two years I have had problems getting a trade-in.
I initially returned to the dealer from whom I originally purchased the car and, over the past 12 months, the dealer was not interested in doing any kind of a deal with me.
I subsequently approached another dealer and was quoted a trade-in value of four years depreciation. I decided to go with this, rather than wait and have money flitter away. I gave a deposit and expected delivery of the new car in January 2009.
In January, with no car delivered, I rang the dealer and was told the car would be delivered in 10 days. January has come and gone – still no car. I can only draw from this that they do not want to sell me a replacement C-Max. At this point in time I feel defeated and may give up on the Irish motor industry.
I believe the delivery situation has been rectified. But it is worth highlighting the difficulty some people are having in trading in their cars. With credit facilities tight and businesses watching cashflow, many dealers are playing it conservatively when taking in used stock. Where previously they knew they could sell within the trade if they didn’t find a buyer in the first few weeks, they now don’t want to take any risks and, if they already have a similar car in stock, will be loath to offer a competitive valuation.
That said, according to Ford, your case is the exception rather than the rule – they point to the sale of 2,850 new Fords last month, most of which involved a trade-in deal.
On a daily basis we receive e-mails and letters of concern from readers who feel they are getting low valuations on trade-ins. The simple fact is that, just as there are benefits to falling car prices, that filters down to the values of used cars. You don’t get lower new car prices without this knock-on effect.
That’s impacting on dealers but it’s also hitting the value of the car you have on the driveway. It does raise the question: What’s the real net benefit to consumers of a dramatic fall in prices? We’re all for lower prices, but it has a sting in the tail for anyone trading in or selling their used car.
From CK: As a loyal Toyota customer it was upsetting to see the recall of the Yaris, a car I have owned for several years. While mine did not have to go back in it seems – its from an earlier version than the one with the problem – it’s disappointing to think that something that costs so much could go wrong.
While we can understand your disappointment, it should be put in context: recalls are ordered nearly every week, virtually every car has recorded something or other in a recall situation and, of millions of Yarises sold, only two suffered a melting of the small piece of soundproofing foam. This recall was a precautionary measure by Toyota.
The vast majority of recalls are similarly precautionary issues that have no direct safety implications – like parts that wear ahead of the expected time and therefore need replacing earlier.
Most are carried out when the car comes in for servicing, so customers don’t have to hand in cars with any great urgency. Cars undergo hundreds of thousands of miles of pre-launch tests in extreme conditions to identify potential problems. But real life always differs from the tests.
In fact, when you consider the number of intricate parts and advanced electronics in the car, it’s surprising they don’t spend most of their time in the garage.