Tesla promised to take 2 cars in trade...now 10 days before delivery refuses!

[callmehere]

I was able to get over $8k what Tesla was willing to offer going private party, and my car sold in 1 day. If you sell private party, I'm sure you'd make more than the $3600 in tax savings, everything happens for a reason, this should end up as a win for you

 

[M109Rider]

When I placed my order the salesperson agreed that they would accept both of my cars in trade. He even checked in with manager to verify. Now, 10 days before scheduled delivery, Tesla is saying that they won't do this. They said they changed their policy and although they noted that this was the policy when I ordered but they simply changed it. I explained that this makes a difference of >$3000 for me in sales tax (tax that I have already paid on the car the second car that I plan to trade). That is a big difference. My "inside delivery specialist" (the fourth different one that has contacted my since ordering) was not at all helpful and didn't seem bothered by the fact that they agreed to one thing and now just before delivery are not honoring that agreement. Any suggestions as to how to escalate this?

Did they say why they won’t do two cars now ?
Did you ask them why ?

 

[butlermd]

not paying $3600 in sales tax? -- the math isn't adding up for me. How is that possible? How much are your 2 cars worth?

60k

 

[butlermd]

Did they say why they won’t do two cars now ?
Did you ask them why ?

The relatively rude and unhelpful "delivery advisor" said they simply changed their policy. And even though she admitted that that was the policy when I placed my reservation, they still wouldn't honor their deal.

 

[butlermd]

If you can sell the cars without difficulty, sell them, pocket the extra cash a private sale will generate vs a vis a trade in, and apply the profits to pay the tax. You should come out dollars ahead this way,
.
Robin

That is likely true, and I would have had 6 weeks to do this. However, with the trade offers I have on my cars, and the $3600 in sales tax savings it was not worth the time and effort. Now I only have a week to do it before delivery and I won't be able to make that happen and get them sold with my work schedule. thanks for the advice though.

 

[butlermd]

This situation sucks but it won't honor the verbal agreement, there's not much that can be done besides trying to escalate.

As others alluded to, trade in the more expensive car and sell the other. If the total was $58k and we use hypothetical $33k (trade-in) and $25k (private sale) values, the $25k times the tax is the "extra" tax that you would be paying which should be much less than the ~3k.

Yes, I am waiting to hear back from them. I have told them I want to trade the one car that is work about 45K and will sell the other at 18k privately. This will end up costing me about $1000 over what I was promised. I can live with that but I am not happy dealing with a business that makes one deal, acknowledges that deal but doesn't honor it because they "changed their policy".

 

[bro1999]

Yes, I am waiting to hear back from them. I have told them I want to trade the one car that is work about 45K and will sell the other at 18k privately. This will end up costing me about $1000 over what I was promised. I can live with that but I am not happy dealing with a business that makes one deal, acknowledges that deal but doesn't honor it because they "changed their policy".

Sounds like a story that a local TV station might take up in a Comsumer Affairs segment or something. The fact they admit they changed the policy after you reserved but still won't honor the old policy stinks. Hit up a local TV station and see what happens. That probably won't help you with your immediate -$3,600 problem, but could in the end.

 

[SageBrush]

This will end up costing me about $1000 over what I was promised.

If your private sale is no better than the Tesla offer. That is unlikely to be the case if you have a little patience.

I understand the annoyance at what appears to be a broken verbal promise but I suspect that even if Tesla had taken both cars you would only have received a sales tax discount from one of them due to CA law. This Tesla change may be protecting your interests as well, although it was communicated poorly.

 

[jjh1234]

Out of curiosity, has anyone ever traded in more than one car to a dealership to offset sales tax on a car purchase ?

Yes, I traded two cars on my MS75D in PA.

 

[butlermd]

So...as a matter of follow up...after a lot of back and forth, Tesla honored their original promise and took both cars. Despite a lot of discussion before hand they were still not prepared at delivery, but after 3.5 hours they figured it out. Took home my model 3 today! All’s well that ends well! They gave me a die cast model to apologize for the delay.