Do you know what an “offer to purchase” is?

| Consumer bulletins

Have you ever gone into an automotive business and, after test driving a car or asking that a specific model be brought in, you were presented with an “offer to purchase”?

The document might state terms and conditions about the purchase or order of the vehicle and require some sort of upfront payment. Sometimes this document can be called an “order sheet” or “order spec sheet.” What is this document exactly? Essentially, it’s a deposit contract under a different name.

If you sign an offer to purchase, you’re signing a binding contract that usually states you are putting a deposit down in order to buy a vehicle under certain stated terms and conditions (such as the business needing to order a vehicle to their location for you to inspect before you buy).

As with any type of form or contract, whether it’s a deposit or a bill of sale, if the document requires your signature, then it’s important and should be read and understood before signing.

Here are some tips to keep in mind:

  • Print out and use AMVIC’s deposit agreement form the next time you go vehicle shopping.
  • Make sure to get in writing whether the deposit is refundable or non-refundable and under what conditions.
  • If ordering a vehicle, ensure you understand if additional funds may be required upon delivery.
  • Get all promises, assurances and conditions in writing.
  • Take your time and don’t rush into anything.

Although deposit and contract disputes will often be civil matters, AMVIC is able to look into deposit-related complaints if there is evidence the consumer was misled or an unfair practice has occurred.

You can file a complaint or call the consumer services team at 1-877-979-8100 ext. 2002 if you have any questions or concerns. Read more about deposits or find AMVIC’s helpful consumer guides on amvic.org.