QLD Help with Car Purchase Contract Issues?

[Aarie]

Hi all,

Looking over our contract my wife signed for the purchase of a new car, there is a clause that worries me. We discussed not using the dealer's car finance as it was variable based on your personal circumstances which was fine and said we would obtain our own finance.

However, I am worried now that if we are declined by our bank the dealer may be able to pressure us into taking a much higher rate loan by saying if we don't accept it. We are in breach of the contract as we have not exercised our best efforts into obtaining finance as finance was able to be obtained, all be it at an undesirable rate. I understand in Australian Consumer Law "best efforts" is not definitive.

I already negotiated a very competitive interest rate from our bank (no pre-approval as no application was lodged) and that formed a part of the decision to purchase the vehicle.

Last time, I bought a car I wrote into the contact "subject to finance of my satisfaction" which the dealer was happy with, however they started this was absolutely unnecessary.

Am I concerned for nothing?

Thanks.

 

[Rob Legat - SBPL]

The specific clause would need to be considered, and also generally in terms of the whole contract.