Can the deposit be refunded if I don't want to buy the car after paying it?
1 Answers
If you paid a deposit for a car but now don't want to buy it, the deposit cannot be refunded. Below are the differences between a deposit and an advance payment: According to the Contract Law, a deposit is one of the forms of bearing liability for breach of contract. When signing a contract, the deposit must be agreed upon in writing, and the amount and delivery period of the deposit should also be specified. If the party paying the deposit fails to fulfill the obligation, they have no right to demand the other party to refund the deposit; if the party receiving the deposit fails to fulfill the obligation, they must refund double the amount of the deposit to the other party. On the other hand, there are no specific legal provisions for an advance payment, meaning it does not have the guarantee nature of a deposit. An advance payment can be regarded as a "prepayment."