Buying a new car and discounts

[violas]

Florida. I recently bought a new car and paid for it in full on 7-16-18. A veteran was with me and they offered me the veteran discount which was $600 off. Now on 7-25-18 they said that he was a veteran but he was not a life long career veteran and did not qualify for the discount. Now today 7/25/18 they said I have to find a teacher in order to get a teacher discount to be used instead of the veteran discount. I don't know any teachers. My question is "Can they force me to pay back the $600 veteran discount that they approved of at the time of sale on 7-16-18?" Thanks.

 

[justalayman]

Is this a brand new car

Are these actual discounts or are they rebates

If they are rebates you need to read your contract very closely along with the terms to qualify for the rebate.

 

[violas]

Yes, it is a brand new car. It is from Chevrolet and they call it an actual discount.

 

[adjusterjack]

What they "say" is meaningless compared to what is written in your contract.

If it was me I would tell them to pound sand.

Besides, they gave the discount to you, who wasn't a veteran in the first place.

According to Chevy's website:

Eligible participants include Active Duty members, Reservists, National Guard members, Veterans within three years of discharge date and Retirees of these U.S. military branches:

• Army
• Navy
• Air Force
• Marines
• Coast Guard

As for bringing a teacher here's what Chevy says about that:

Who is eligible for the GM Educator Discount?
If you're a current employee of a public school, private school, university or college, you are eligible for the GM Educator Discount. Eligible participants are able to sponsor their spouse and dependent children and stepchildren, provided the children are either under 21 years of age or full-time students under 25 years of age on the date of purchase.

The operative word is "you." You are not a teacher. They shouldn't be able to give you a teacher's discount either.

The dealer messed up.

If you go back to the dealer, I guarantee that you'll leave $600 poorer.

 

[violas]

So they cannot force me to pay the $600 because it was the dealer that messed up. Is that correct?

 

[justalayman]

The problem is the dealer doesn’t actually determine whether the rebate applies. It is from gm themselves.

I suspect you need to read your contract very carefully to see if it addresses the rebate.

It sounds like the dealer was trying to scam gm. I can’t honestly say how this will work out. I can imagine scenarios going both ways.

 

[adjusterjack]

So they cannot force me to pay the $600 because it was the dealer that messed up. Is that correct?

No guarantees, but I don't see how. You have the car, they have your money, they gave the discount to somebody who wasn't entitled to it (again, you're not the veteran), you don't have financing for anybody to mess with.

I'd let the dealer stew in his own juice.

My guess is that all the dealer can do is huff and puff at you, threaten and cajole but, at the end of the day, I doubt if the owner of the dealership is going to approve any other action against you and will just eat the $600 and, hopefully, turn on the salesman and/or sales manager for approving the discount.

 

[LdiJ]

No guarantees, but I don't see how. You have the car, they have your money, they gave the discount to somebody who wasn't entitled to it (again, you're not the veteran), you don't have financing for anybody to mess with.

I'd let the dealer stew in his own juice.

My guess is that all the dealer can do is huff and puff at you, threaten and cajole but, at the end of the day, I doubt if the owner of the dealership is going to approve any other action against you and will just eat the $600 and, hopefully, turn on the salesman and/or sales manager for approving the discount.

I agree. Its a done deal. The OP however, might want to avoid getting service work done at that dealership.

 

[PayrollHRGuy]

Sounds like the dealer is trying to defraud the manufacture. Neither a Vet nor a teacher is buying the car.

 

[Zigner]

Sounds like the dealer is trying to defraud the manufacture. Neither a Vet nor a teacher is buying the car.

Furthermore, it sounds like the manufacturer caught on and refused to pass the discount on to the dealer since the dealer couldn't provide proof of the buyer being a veteran. (I'm sure that's where you were headed with that )

 

[justalayman]

since deals with rebates are written with the sale price being the agreed upon price of the car exclusive of any rebates and the rebates are entered as a credit towards the amount owed, if the manufacturer doesn’t pay the rebate to the dealer, there is a balance owed on the contract. Now whether the dealer would take legal action to collect on that balance due is something you will have to ask the dealer. I have seen them become quite aggressive for considerably less money.


A lot is going to depend on how the rebates are addressed in the contract. Since many rebates are based on qualifying for them and the manufacturer is who approves the qualification, I suspect there may be something in the contract speaking to a situation where the rebate isn’t approved.

And what would be very damaging to the op’s argument he shouldn’t be held liable is if op was aware he didn’t qualify for the rebate and conspired with the dealer to attempt to trick the manufacturer into paying the rebate when it didn’t apply.

But just the same the dealer would have dirty hands as well and would likely lose the case if they sued do to that.

 

[LdiJ]

since deals with rebates are written with the sale price being the agreed upon price of the car exclusive of any rebates and the rebates are entered as a credit towards the amount owed, if the manufacturer doesn’t pay the rebate to the dealer, there is a balance owed on the contract. Now whether the dealer would take legal action to collect on that balance due is something you will have to ask the dealer. I have seen them become quite aggressive for considerably less money.


A lot is going to depend on how the rebates are addressed in the contract. Since many rebates are based on qualifying for them and the manufacturer is who approves the qualification, I suspect there may be something in the contract speaking to a situation where the rebate isn’t approved.

And what would be very damaging to the op’s argument he shouldn’t be held liable is if op was aware he didn’t qualify for the rebate and conspired with the dealer to attempt to trick the manufacturer into paying the rebate when it didn’t apply.

But just the same the dealer would have dirty hands as well and would likely lose the case if they sued do to that.

There is a big difference between a rebate and a discount. The OP clearly said "discount". Therefore we cannot rename it to be a rebate.

 

[justalayman]

There is a big difference between a rebate and a discount. The OP clearly said "discount". Therefore we cannot rename it to be a rebate.

Given the amount is only $600 I didnt think it was the veterans discount program since the prices ive seen discounted have been more then that but if it is the actual military discount, op has some problems. This is from GM’s web site regarding how to avail oneself of the military discount program:

Get your discount

1. Register for an account or log in.
2. Get your discount authorization code.
3. Visit your local dealership and drive home your new GM vehicle.
Have questions about the Chevrolet Military Purchase Program?
Visit our FAQ section or Contact us.

That means to buyer has to register with gm to obtain the code. If op obtained the code through fraud, the $600 may be only the beginning of his troubles.

The terms of the program state this:

By purchasing or leasing a vehicle through The Program, The Participant acknowledges these Rules and Guidelines and agrees to abide by them.

It is the responsibility of The Participant to know the rules of The Program as set forth in this document. Violations of these rules by The Participant may result in sanctions against The Participant.

 

[LdiJ]

If it was necessary to register, the salesman probably did it for them, right there at the dealership.

The bottom line is that the dealership, via its salesman, caused the entire thing to happen. The OP neither knowingly, willfully or with malicious intent entered into anything that the OP believed to be improper.

The OP paid in full for the car, got the title, and drove it home. If the 600.00 discount was improper, its the dealership's problem, not the OP's.

The dealership certainly cannot have the OP arrested for fraud, not without lying through their teethes and causing seriously bad publicity. The dealership also would be a fool to sue them, for the same reasons.

 

[justalayman]

The buyer has to register with gm. If the buyer lies, it’s fraud
The agreement is between gm and the buyer. The dealer merely allows the transfer through their dealership


It doesn’t appear the salesman could have done this without prior knowledge This is part of what is required to register for,the discount

This site now uses ID.me to verify your identity, which means it’s now easier to access your GM Military Discount. Just click the ID.me icon and enter your login credentials in the pop-up window to sign in to your account. It is recommended Veteran users verify by selecting “Check Military Service Records” in order to generate the required data to verify eligibility. Retired military service members should select the “Upload Military Documentation” option for verification.

Upload military documents or check military records

Seems like the buyer is pretty involved in registering for the discount.

ID.me is one of four companies selected by the federal government to provide a Single Sign On for American citizens that will be accepted across all government websites over the next two years. By confirming your documentation through ID.me, your identity will be verified, making you eligible for the GM Military Discount.

So the buyer must register with this Id.me site which is associated with the federal government. If op committed fraud when registering he may have a lot of issues more serious than this $600 being discussed.

And this is where it all gets fuzzy. With the military discount program the price is set by the manufacturer. The dealer can add $75.00 for doc fees to that price. There is no $600 discount because there is no discount listed The price is what gm says it is. That is why I believed it to be a rebate rather than the military discount program

Like usual you jump to unsupported conclusions. It isn’t clear where the $600 even comes from yet you have this solved. Good work Sherlock