SOR Fees - what is considered reasonable

[HBradley]

hornbaek said:

SOR is a scam. Either you sell it outright to the dealer for cash or not at all. The idea that you finance their inventory and give away all the upside to the dealer seems to me to be a free option for him to use your car as barter. What happens if the dealer goes bust. What happens if your car is subject to damage whilst at the dealer's premises etc etc. I am being slightly sarcastic but you catch the drift....

Edited by hornbaek on Friday 21st April 14:26

+1 on all of that, it's a bloody minefield!

[M5MarkM]

Did OP get anywhere? I Spoke with McGurk, really nice people, but they were looking to buy out right and sell on with circa 20% margin their end.

[jonby]

hornbaek said:

SOR is a scam. Either you sell it outright to the dealer for cash or not at all. The idea that you finance their inventory and give away all the upside to the dealer seems to me to be a free option for him to use your car as barter. What happens if the dealer goes bust. What happens if your car is subject to damage whilst at the dealer's premises etc etc. I am being slightly sarcastic but you catch the drift....

Edited by hornbaek on Friday 21st April 14:26

Looking solely at the money side, surely with SOR, the lessening of risk for the dealer is compensated for by a bigger %age of the selling price for the seller ? Also, presumably before you try to sell the car SOR, you ask what the dealer will pay for your car outright and only go down the SOR route if there is the potential as seller, to receive more money ? So not only do you get a greater %age, but its a %age of a bigger gross selling price

If there is no potential for at least a few thousand pounds more to the seller through SOR, I'd agree it's barmy

I am asking rather than telling - I've not done it myself before, although I am considering it as an option this summer so am interested in the thought process compared to mine above

I work in insolvency so am naturally cautious, but I don't see a risk if the dealer goes bust. Title isn't with the dealers whilst they are marketing the car and I wouldn't leave a car at a dealers unless I was happy with the insurance cover

[Ken Figenus]

At the risk of Granny/Eggs here mate Crimewatch did a feature on Williams Motors in Cardiff on this SOR thing in particular. Car sale cheques were made payable to them NOT the owner...

I'd want any sale fees to come directly to me and not go through dealer's accounts etc - even big dealers go bust and then you are in a right hole. Caution!

[3200gt]

Tell the dealer what you want back in £'s but be realistic. They'll then have to market the car to cover the costs they have.

[shuzzy]

Verdi Ferrari comes to mind. Apparently he went bust owing a lot of money to customers who had left cars on SOR basis.

[Heres Johnny]

McGurks told me they'd only take mine on SoR if I agreed a certain sale price which I deemed too low (they stated advertised price, expected sale price and what I would get). A month later they were advertising the same model but higher mileage and a year older for more. Maybe they new that car was coming and didn't want two. If they can beat you down it gives them potentially a quick sale and no real risk. They're not doing you a favour.

Ended up advertising privatel and an AM dealer travelled 150 miles to buy whereas the dealer that I bought it from knew wouldn't even quote (two year old, 10k miles V8 Vantage S.

I concluded that most dealers want a balanced portfolio of stock and if they have the niche your car is in covered, they are unlikely to want it.

[Agent57]

I think they'd rather turn your car around quickly for a modest fee that have it hanging around for months trying to get top money for it.

In terms of profit per hour or per sq. footage it's probably hard to compete with newer more expensive stock.

When I was looking for my car I enquired about another one that was SOR and the dealer seemed to be encouraging me to make an offer even if it was really low.

[Wayne95]

Any tried, or know anybody that have used TH Boler on SOR.

They have some pretty impressive sticck ( financed by owners...) with down mecstrong claims on success.

This is their preferred method, as opposed to dealers who see it if as out of the ordinary.

[RobDown]

I seem to recall a horror story on here recently regarding TH Boler (was it El Toro?).

[IanV12VR]

Quite right Rob, a horror story. There is a thread on here somewhere which doesn't make fun reading.