Can I return a faulty car to the dealer in Australia?
Yes, you can return a faulty car to the dealer in Australia under your consumer guarantees. If the car has a major problem, you have the right to choose a refund or a replacement. For minor issues, the dealer can choose to repair it.
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How it works in practice
Your Consumer Rights
Under the Australian Consumer Law (ACL), when you buy a car from a dealer, it comes with automatic consumer guarantees. These guarantees state that the car must be of acceptable quality, fit for its intended purpose, and match any description provided. If the car develops a fault that breaches these guarantees, you are entitled to a remedy.
Major vs. Minor Faults
The type of remedy depends on whether the fault is "major" or "minor." A major problem is one that makes the car unsafe, unfit for its purpose, or would have stopped a reasonable consumer from buying it if they had known about the fault. If the problem is major, you have the right to choose a refund, a replacement, or a repair. If the problem is minor, the dealer can choose to repair the car within a reasonable timeframe.
Important exceptions
You generally cannot return a faulty car if the problem was caused by your actions, such as misuse, unauthorized modifications, or failing to follow the manufacturer’s instructions for maintenance. Normal wear and tear, or if you simply change your mind, are also not valid reasons for a return under consumer guarantees. It's crucial to report the fault promptly to the dealer as soon as you discover it.
What you should do now
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Document all faults, gather proof of purchase, and record dates of incidents.
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Contact the dealer in writing, clearly explaining the fault and stating your preferred remedy (refund, replacement, or repair for major faults).
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Allow the dealer a reasonable opportunity to assess the vehicle and propose a solution.
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If unresolved, escalate your complaint to your state or territory fair trading body or consumer affairs office.
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If still no resolution, consider applying to a relevant tribunal (e.g., NCAT, VCAT) for a binding decision.
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