Return Policy

Vehicle Return Policy Under Victorian Law

1. Scope of Policy

  • Applicability: Covers vehicles purchased from licensed motor car traders or hired through registered rental companies in Victoria 39.
  • Exclusions:
    • Commercial vehicles (e.g., company-registered or heavy vehicles) 3.
    • Private sales or auctions (no statutory warranties) 9.

2. Consumer Rights Under Australian Consumer Law (ACL)

Vehicles must meet these consumer guarantees:

  • Acceptable quality: Safe, durable, and free from defects 259.
  • Fit for purpose: Suitable for disclosed uses (e.g., roadworthiness) 29.
  • Matching descriptions: Consistency with advertised features or demonstration models 9.
    Non-compliance entitles buyers to a refund, replacement, or repair.

3. Return Conditions & Timelines

A. Cooling-Off Period (Purchases Only)
  • Duration: 3 clear business days (excludes weekends/public holidays) 3.
  • Requirements:
    • Notification: Written notice to the dealer within the period 3.
    • Delivery: Right void if vehicle is collected before the period ends 3.
    • Deposit deduction: Dealer may retain $100 or 1% of the purchase price (whichever is higher) 3.
B. Statutory Warranty (Used Vehicles)
  • Coverage: Applies to cars <10 years old and <160,000 km 9.
  • Duration: 3 months or 5,000 km (whichever occurs first) 9.
  • Remedies: Free repairs for faults affecting reasonable condition 9.
C. Major vs. Minor Problems
Issue TypeACL RemedyExamples
Major (e.g., safety failure, irreparable defect)Refund, replacement, or cancellation of saleEngine failure, structural damage 59
Minor (e.g., easily fixable defects)Free repair by dealerFaulty radio, minor fluid leaks 9
D. Rental Vehicle Returns
  • Damage liability:
    • Renters liable for up to $3,000–$5,000 (higher for prestige cars) 2.
    • Exclusions: Roof/undercarriage damage, single-vehicle accidents, or negligence 210.
  • Pre-return steps:
    1. Inspect vehicle: Document condition with photos and a signed report 2.
    2. Report damage: Dispute charges before credit card deductions 2.

4. Refund Process

  • Timeline: Refunds must be processed within 14 days of approval 9.
  • Method: Original payment form (e.g., credit card reversal) 9.

5. Exclusions

  • Voided rights:
    • Damage from misuse (e.g., racing, negligence) 10.
    • Modifications without prior consent 10.
  • Private sales: No cooling-off period or statutory warranty 9.

6. Dealer/Rental Company Responsibilities

  • Provide itemized bills for damage deductions 2.
  • Cannot redirect consumers to manufacturers for ACL claims 9.
  • Disclose defect notices for used cars 9.

7. Dispute Resolution

  • Steps:
    1. Notify the dealer/renter in writing.
    2. Escalate to Consumer Affairs Victoria (CAV) if unresolved 9.
    3. For used cars, claim compensation (up to $40,000) via the Motor Car Traders Guarantee Fund 9.
    4. Lodge with VCAT for purchases ≤$40,000 9.
  • ACCC reports: Inform national compliance (though no individual dispute resolution) 5.

Summary of Key Timelines

SituationDeadlineKey Actions
Cooling-off period3 business daysWritten notice to dealer
Statutory warranty claims3 months/5,000 kmRequest repairs for defects
ACL major failureReasonable time post-discoveryDemand refund/replacement
Rental damage disputesBefore credit card deductionProvide evidence (photos/report)

This policy aligns with the Australian Consumer Law, Motor Car Traders Act, and Victorian regulatory updates effective July 2025 237. Businesses must display these terms conspicuously in contracts.