I know CPOs can have accident history but I was wondering if it's possible or even legal for tesla to sell new inventory service loaner vehicles with accident history. Has there been a case where an inventory vehicles in the service loaner fleet encounter an accident and tesla still sells them as new inventory after some repairs?
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Can tesla legally sell new inventory vehicles with accident report?
- Thread starter No2DinosaurFuel
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Some inventory cars are used as loaners. That's how they get so many miles on them (some have over 1000). They are "new" in that they have never been titled and are still eligible for the federal tax credit.
They are probably closer to what a regular dealer would refer to as a "demo" car.
Most of these cars are showroom models, demos, loaners and the like.
To answer OP's question, the "new" Model S I just bought had over 8000 miles along with some rear-end damage that Tesla fixed before I picked it up.
Edit: I see Az_Rael beat me to the first point.
I guess I am not sure what the distinction would be. I think the answer is legally, yes they are sold as new, otherwise the federal tax credit wouldn't apply. I am also guessing you can get new car financing rates on inventory cars vs having to get used car financing rates.
Gotcha. Weird. My impression was inventory meant "we didn't sell this, it's waiting for an owner", not "has been sitting in a store/driven by services customers/demoed extensively". Seems misleading.
OK so little things like dirty upholstery or slightly scratches on the sides or rear doors I can understand. But if the car was involved in an accident, I think tesla should only keep those as service loaners or at least reveal it during the sale transaction to the purchaser.
Did they tell you it had rear-end damage before the sale? Or you found this out on car fax or other report?
Yeah, I think it has to do with the fact Tesla doesn't keep lots of cars parked just waiting for people to buy them like a traditional dealer. Maybe eventually they will get to that point as they grow past being production contstrained.
But those are the same. They haven't sold it, and it is waiting for an owner. During that time it may have been used as a loaner or for test drives.
I think the same happens at most auto dealers. Cars get taken out for test drives before they are sold. (Though they probably don't use them for loaners.) And yes it can be in an accident during a test drive, be repaired, and still sold as "new".
Yep, I went over quite a few inventory models with the first Tesla representative I spoke with and she pointed it out. There were other cars available that had not been damaged, but since the price was reduced significantly and I was getting a two-year lease I decided to choose the one that I did. I thought it was the best deal available at the time.
The car was perfect when they delivered it so I am very happy with the decision.
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Ok so they can be sold as new, but do they have to disclose to you the details of the accident? I mean if so, it probably means your car is diminished in value, but you are thinking it was a new car. I guess there can be a case where the car has been in an accident repaired and still sold as new? If so that seems a bit shady to me if they do not disclose the details of the accident. I mean when you buy a new car, you don't ask for the car fax because it's new and the record should be blank.
Inventory just means "Tesla has it". What they're doing with it is up to them.
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