What is the purpose of a deposit?

[briboxer]

I have become uncertain on the intent of a deposit

When someone says "please hold it a few days, I will get my funds in order, and work out banking logistics, here is a deposit (likely paypal)". You've accepted their sincerity, taken the deposit, removed the product from the market (whether it be ebay, our forum or another), and waiting for funds to show.

A few days has passed, no funds, little communication if any. Finally, "my wife won't let me, I am having banking/tax/just can't afford it issues, found a better deal, or I have changed my mind".


Here's the question...should a full deposit refund be issued?

If we were to eliminate the amount of the deposit, or who needs the money more, and concentrate on the professional principal, what do you think?

Thanks for reading

[123Blueface]

I can see it both ways and as such, I think the rules have to be specific.
It should be stated if all parties agree that it’s a non refundable deposit to hold item and no longer have it available for purchase by anyone else.

[GB-man]

Originally Posted by briboxer

I have become uncertain on the intent of a deposit

When someone says "please hold it a few days, I will get my funds in order, and work out banking logistics, here is a deposit (likely paypal)". You've accepted their sincerity, taken the deposit, removed the product from the market (whether it be ebay, our forum or another), and waiting for funds to show.

A few days has passed, no funds, little communication if any. Finally, "my wife won't let me, I am having banking/tax/just can't afford it issues, found a better deal, or I have changed my mind".


Here's the question...should a full deposit refund be issued?

If we were to eliminate the amount of the deposit, or who needs the money more, and concentrate on the professional principal, what do you think?

Thanks for reading

It’s annoying. I always decline a deposit and decline to take the watch off the market. If a watch is a slow mover sometimes I will place a “hold” on it for 24 hours but I’m not taking a deposit and I’m not offering any real time other than for a bank wire to clear.

[tyler1980]

in this situation, nonrefundable 100%. The product is available and for sale and holding it represents an actual potential loss for the seller if the buyer isnt serious since others cant buy it during that time.

In the example of an AD holding your place in line with an unknown delivery date some months or years in the future that should be refundable although i disagree for the need for a deposit in that situation at all.

[123Blueface]

Originally Posted by tyler1980

in this situation, un-refundable 100%.

In the example of an AD holding your place in line with an unknown delivery date some months or years in the future that should be refundable although i disagree for the need for a deposit in that situation at all.

Agree but in today’s litigious world we live in, specifying it in writing removes all doubt.

[dmash]

Originally Posted by tyler1980

in this situation, nonrefundable 100%. The product is available and for sale and holding it represents an actual potential loss for the seller if the buyer isnt serious since others cant buy it during that time.

In the example of an AD holding your place in line with an unknown delivery date some months or years in the future that should be refundable although i disagree for the need for a deposit in that situation at all.

Agree. and I always, always, always will invoice a deposit myself. That way, I specificallly stipulate, 'NON-REFUNDABLE DEPOSIT for xxxxxxxxxx' and include the amount of days we agree upon to 'hold' said item. Just as the above poster stated, this alleviates any uncertainty and clarifies for both parties.

[Bluside]

I have always been under the impression that a deposit on an item is refundable unless it expressly says "non-refundable" in writing.

[GoingPlaces]

Needs to be non-refundable or auto-void after a specified amount of days. I wouldn't hold for more than 3 days.

[briboxer]

Your responses are all very much appreciated, and understood. Points well taken. I think the consensus seems to be to specify in writing refundable or not.

[Chewbacca]

A traditiional Deposit means little for private sale matters.

A Partial Payment contract is what you’re looking for.

Always cut the buyer loose (fast!) and move on if they flake or even start to flake.

(Trust me.)

[briboxer]

Exactly. Rather than dwell on right or wrong, move on. It is only myself to blame for not specifying a deposit to remove a product from marketplace is "non-refundable".

[Blansky]

Originally Posted by Bluside

I have always been under the impression that a deposit on an item is refundable unless it expressly says "non-refundable" in writing.

That seems to be a common thought, but then the deposit means exactly nothing.

The seller takes it off the market and the buyer either buys or doesn't with no penalty.

Makes the idea of a deposit meaningless.

Any deposit needs a penalty for not following through on the sale.

Stores often allow deposits to be returned but that's usually for goodwill.

[Abdullah71601]

Make the deposit a significant chunk, and specify what you’re willing to refund. For example, 15% holds the watch for seven days. Depost is not refundable, but may be used within one year against another purchase.

Frivolous buyers won’t be interested in these terms, and allowing the option to buy something else keeps you from burning bridges.

[uncleluck]

I’ve seen this a few times now on another forum I frequent.

Watch goes up for sale, “deposit taken”

Few days later... “buyer can’t complete so back up for sale”


I’ve bought many watches on forums and never have (or would) I said I’d buy a watch unless I had the money in place to act instantly.

I wouldn’t take a deposit either.

[Colin G]

I'd do a non refundable deposit. Keeps the tire kickers and time wasters away.

Anyone putting a $$$ deposit on a watch should really know if they want the watch or not or if mommy (wife) will allow it.

Commit to buy or don't waste the seller's time.

[RichM]

Without a prior stipulation, I would say the “right thing” in this case is yes, refund it. Not sure that I would ever ask that of any seller on here. An AD maybe, but not here.

Just remember, Burn me once, shame on you. Burn me twice, shame on me. (Or something like that). Take it as a lesson learned.

[ᕦ(ò_óˇ)ᕤ{Adventure!)]

As everyone else has stated, definitely charge a non-refundable deposit, preferably of 10-20%.

I would actually be more at ease with a seller having such a policy because it both guarantees that I’m serious about the purchase even if delays occur & that the seller would honor and hold my item.

Many cases of me inquiring on a purchase just to be told “sorry someone offered more cash, so it’ll go to them unless you want to add”.

A deposit with clear guidelines of time vs. dollar amount will do more good than bad imo.


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