Broken Valve/ Motor Blown

I don't see restrictions against acquiring a vehicle thru RAV that isn't normally discounted or normally has ADM. Can dealers refuse to sell a vehicle to a RAV customer? I'm guessing yes, but if not, a RAV customer could effectively get the same discount on a Bullit or GT350 as they did on the original car they bought for well under invoice. Or get an early in the model year for the same discount they got on the last leftover of an earlier model year.

HoosierDaddy said:

I don't see restrictions against acquiring a vehicle thru RAV that isn't normally discounted or normally has ADM. Can dealers refuse to sell a vehicle to a RAV customer? I'm guessing yes, but if not, a RAV customer could effectively get the same discount on a Bullit or GT350 as they did on the original car they bought for well under invoice. Or get an early in the model year for the same discount they got on the last leftover of an earlier model year.

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Once the consumer has opted to participate in a Ford RAV Buy Back where the consumer has elected to get a replacement vehicle, he/she can go to their original selling Dealership OR to any Ford Dealership. The Ford Dealership cannot refuse a RAV participant.

The Dealership only serves as the middle-man in order to:
1) Help Consumer find a replacement on their lot OR on another Ford lot via their internal network. RAV doesn’t partake in helping the consumer locate another replacement.

2) Facilitate the proper transactions for signing of documents and review of the same

3) Facilitate inspection of collateral and exchange of same

ADM, discounts, incentives, “under invoice” are all null and void in the vehicle replacement process. If the consumer has elected to do a Buy Back where they opted to get another Ford vehicle, the RAV guidelines and value is strictly MSRP to MSRP.

Yes, the consumer can opt to get a replacement vehicle that is higher MSRP than their original MSRP, but current ADM, discounts, incentives, rebates, etc. cannot be applied at all. The Dealership has NO say and cannot offer consumer any such discounts or try to circumvent RAV.

Now if the consumer is NOT opting to getting a vehicle replacement, wants to walk away from Ford and wants their refund of monies paid for their Lemon, that is an entirely different process from vehicle replacement.

Cobra Jet said:

Once the consumer has opted to participate in a Ford RAV Buy Back where the consumer has elected to get a replacement vehicle, he/she can go to their original selling Dealership OR to any Ford Dealership. The Ford Dealership cannot refuse a RAV participant.

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I doubt that dealers do not have the option to refuse. Otherwise someone who bought a leftover $50k MSRP GT for $40k could opt for a $65k MSRP GT350R for another $15k out of pocket, meaning they paid $55k for the GT350R that the dealer had listed for $75k with the dealer ADM. Dealer would not willingly part with a vehicle they could otherwise sell with an ADM. It's probably works like A,Z,X plan sales do in that a dealer can refuse to do if they choose not to.

HoosierDaddy said:

I doubt that dealers do not have the option to refuse. Otherwise someone who bought a leftover $50k MSRP GT for $40k could opt for a $65k MSRP GT350R for another $15k out of pocket, meaning they paid $55k for the GT350R that the dealer had listed for $75k with the dealer ADM. Dealer would not willingly part with a vehicle they could otherwise sell with an ADM. It's probably works like A,Z,X plan sales do in that a dealer can refuse to do if they choose not to.

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Kinds of makes sense that they could do that but wouldn't that be an awesome deal if you could get away with it. Maybe the RAV program has some rules people haven't come across yet like this example.

mustang5o said:

Kinds of makes sense that they could do that but wouldn't that be an awesome deal if you could get away with it. Maybe the RAV program has some rules people haven't come across yet like this example.

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Yeah. Would be awesome if dealer contracts did say dealer must sell any car to a RAV customer. I wouldn't mind seeing someone get a GT350R for $20k less. If the contract does require them to do that, you can bet that rule would be deleted from an updated contract.

HoosierDaddy said:

I doubt that dealers do not have the option to refuse. Otherwise someone who bought a leftover $50k MSRP GT for $40k could opt for a $65k MSRP GT350R for another $15k out of pocket, meaning they paid $55k for the GT350R that the dealer had listed for $75k with the dealer ADM. Dealer would not willingly part with a vehicle they could otherwise sell with an ADM. It's probably works like A,Z,X plan sales do in that a dealer can refuse to do if they choose not to.

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I was wondering about this same example as well. I am guessing this would be an extremely rare situation. My understanding is that the dealer is just a middleman and they get some type of a processing fee for their part in the RAV/replacement vehicle process. They don't sell you the replacement car as they would in a normal purchase transaction, so they'd have to refuse Ford, not you per se.

Nanashii said:

I was wondering about this same example as well. I am guessing this would be an extremely rare situation. My understanding is that the dealer is just a middleman and they get some type of a processing fee for their part in the RAV/replacement vehicle process. They don't sell you the replacement car as they would in a normal purchase transaction, so they'd have to refuse Ford, not you per se.

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100% correct - the Dealership is the middle-man and is not “selling” anything.

When the consumer elects to participate in the RAV Buy Back AND elects to get a Ford replacement vehicle - it’s referred to as a “swap of collateral”. MSRP to MSRP. IF the consumer selects a replacement Ford with higher MSRP, they are responsible for the delta either by paying out of pocket OR if eligible based on credit, rolling that delta into the EXISTING loan.

So again, if your existing loan payoff was $15k, and the NEW MSRP delta is $10k, and fees/usage penalty/taxes is $1k, you’re refinancing $26k.

Or look at it like this (figures below are totally hypothetical, but that is how their formula works):
Original MSRP: $30k
Remaining loan amt:$15k
New replacement MSRP: $40k
Fees/useage penalty/fees: $1k
Total Customer owes or has to refi to walk away with new vehicle: $26k

As stated many times, ADM, discounts, blah blah blah do NOT apply at all if opting for a vehicle replacement.

Again, the fees/useage penalty/tax values would be dictated by your Home State Lemon Laws, it varies in every state. In some States, if replacing the vehicle there are no penalties for useage, while others there may be, etc.

Note about “taxes”:
Depending on home State Lemon laws for vehicle replacement, the consumer is responsible for paying the tax on the delta between MSRP. So for instance in above scenario, the consumer is responsible for paying tax only on $10k, NOT the full MSRP.

Note about “fees”:
DMV registration fees, Doc fees, title fees, misc. paperwork, etc. is summed into the Fee cost (same as when buying a new car). The consumer is responsible for these fees - which again is driven by the Home State Lemon Law stipulation.

The Dealership cannot add any markup to the replacement MSRP, nor can they deduct anything.

Nothing is negotiable with taxes, fees or useage penalty values as those figures are all derived from the Home State Lemon Law calculations and stipulations. Ford, Ford RAV and the Ford Dealership will not waive or adjust those values at all.

I’m not speaking out of my ass - I’ve been through the RAV Buy Back vehicle replacement, I have copies of ALL of the official paperwork. I have posted facts in this thread and others, which is exactly how the Ford RAV process works IF electing to get a Ford vehicle replacement.

I guess the only outstanding question is whether the dealer can refuse to give up an allocation/car on their lot for the purpose of the RAV/buyback program? I have no idea what the process is between Ford and the dealers since those cars are already invoiced and maybe even paid for by the dealers. In the above example, if Ford buys back someone's GT and they decide to replace it with a GT350R does the dealer have any leverage to hold on to the car and sell it as they normally would?

In the case of the GT350R example, Ford would probably give the dealer another allocation for a similar car.

Watching the YT vid and reading all of this post - I am rather glad I am in Australia.

Under the "fit for purpose" laws with our trading standards, the car would have been replaced under law! Over here, we have an issue with failed oil coolers on the 16/17 cars... where the oil cooler has been swapped to the other side of the engine for RHD conversion. These units are randomly failing, and Ford are, without question, replacing the entire engine.

Can't believe they have put you through the ringer like this.