Purchasing a pre-owned vehicle, picking up your dream ride, can be a thrilling experience, but it’s also a massive choice. Even after signing the contract, you may begin to question if you made the right decision in terms of the car, or the financial choices. In Victoria, you have some consumer protection – the right to a three-business-day cooling-off period when buying from a licensed motor car trader. This allows you a brief moment to take a step back, review the agreement, and ensure you’re satisfied with your decision.
When you buy from Cars24 in Melbourne, you get the bonus of Cars24’s 7-day return policy. This gives you some extra time to ensure the car is the right fit for you before you fully commit. But not all dealers offer this kind of freedom in choosing your next ride, which is where the cooling-off period comes into play.
What is the cooling-off period?
- You have three clear business days (excluding weekends and public holidays) to change your mind before taking delivery.
- Taking delivery of the car during this period means you automatically forfeit your right to cancel.
- Dealers must include a prescribed information box in the contract that explains how the cooling-off period works.
How to use your cooling-off rights?
Cooling off isn’t automatic; you must notify the dealer in writing before the period ends. You can do this by:
- Handing a note to a responsible person at the dealership
- Sending it by registered post
- Emailing or faxing the notice
Always keep proof that the dealer received your notification.
Deposits and refunds
Dealers can ask for a deposit. If you change your mind during the cooling-off period:
- They can keep $100 or 1% of the purchase price, whichever is greater.
- The rest must be refunded promptly.
Can you waive your rights?
Yes- you can sign a waiver to take the car immediately, but:
- The waiver must be signed in front of an independent witness.
- Dealers cannot pressure you into signing.
Even when working with trusted platforms like Cars24, it’s often a good idea to use the cooling-off period to make sure everything feels right.
When cooling-off doesn’t apply
The cooling-off period doesn’t apply if the car is:
- Purchased in the name of a company or body corporate
- Classified as a commercial vehicle
Final advice
Victoria’s cooling-off period is a simple but essential protection for car buyers. It gives you time to double-check the paperwork, review your budget, or just sleep on a big decision.
If you’re buying locally, remember that this period is in place for added security. But if you go with a trusted dealer like Cars24, you get more freedom to reconsider than offered by the cooling-off rule in Victoria which does not offer that freedom post taking delivery of the car. A little reflection now can save stress later, and help you drive away feeling confident in your choice.
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