Saving money in your car purchase is one of the benefits of buying US auction cars from Nigeria. Also, having a certain amount of assurance. Rules are required to guide transactions for car auctions to function correctly. Penalties are also necessary to prevent time wastage. Certainly, they help make sure that only right prospective buyers participate.
From Copart to IAAI, Manheim, and Adesa, specific actions carry with it stringent penalties. At Auto Auction Mall, we make sure we explain in as much detail as possible these penalties. You can get help via our one on one telephone assistance and as you go through the process. Many new prospective buyers may not be aware of how common and easy it is to attract penalties. We’ve identified them in the list below.
Here are four penalties you should definitely avoid:
Late Payment Fees
It is essential that you understand and have your payment plan intact before joining the auction. Most people assume that they can just make payments from their accounts without prior notice to their bank. In truth, for those who make transactions like this, it is possible.
You’ll be incurring extra charges for late payment if you don’t inform about payment complications after winning the bid. Almost all auctions give a 2 – 3 working day window if you win a bid or your offer is accepted. After this time, if the invoice isn’t paid in full, you’ll attract a late payment fee of NGN36,300 at $1 that may vary from auction to auction. To ensure not being a victim, it is essential to know that customers paying from Nigeria, for example, would need a domiciliary account to process the wire transfer and would need to purchase dollars from an FX dealer or Beaureau de Change.
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Extra Storage Charges
You’ll be charged demurrage/storage fees if your payment is delayed and your vehicle is stored at the auction lot for over four days. The charge for delayed pick up is approximately NGN9,075 per day after the four days window. So per adventure you delay payment for five days, you’d be incurring payment fees for three days and extra storage fees for one day. It would amount to NGN117, 975. That’s a lot to pay and will ultimately cancel out any savings you might have made during the purchase process. If after seven days you do not pick up, your security deposit will be used to offset your storage fees, the vehicle will be re-listed for auctions and your account will be suspended.
Forfeiting Your Security Deposit
This is the penalty for not going through with your purchase if you win a bid or your offer to buy a car is accepted by the auction house selling the car. Your security deposit is the money paid to grant you buying power that makes you eligible to make an offer on a car of your choice or participate in the many live auctions that happen daily on Auto Auction Mall. Failure to make payment after winning a bid attracts a relisting fee from the auction house which is deducted from your deposit.
The key rule to hold tightly to is to ensure you make payments when due and avoid delays. Especially if you are handling your shipping by yourself. Make sure that you’re on time and you will not have to encounter these penalties.