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I'd love to hear anyone who has first hand experience in this or a similar matter, though opinions and thoughts are certainly appreciated.Specifically I'm interested if I still have a shot at the Fed and State rebates in the following scenario. Its a deal breaker for me...
I found what I thought was a great deal from a dealer on a pretty well loaded 2014 Volt advertised as 'NEW' offered for $29k (Saftey 1, premium trim, Bose+Nav). It was listed as new. I was getting ready to make the long trip to the dealer when I called for the final details. I was told that it was a 'rewound' unit, that an owner had returned it. I specifically asked it was titled to someone else and the answer was yes. There are about 400 miles on it. Dealer said they would guarantee in writing that vehicle is still eligible for CA + Fed rebates. Carfax reports 10 vehicle history records vs the average 4 for an unsold car. I'm spooked that there is either something wrong with this car, or that this vehicle is no longer eligible for the FED credit and CA Rebate ($7.5k+$1.5k). Again, a total deal breaker for me.

Your thoughts?
 

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Just a few thoughts: To be eligible for the federal credit, you must own the car on the date it was originally put into service. The buyer of a used Volt is not eligible for this credit unless the original owner never placed the car in use. As form 8936 says, one requirement for qualifying for the credit is, "The original use of the vehicle began with you."

The credit is claimed by filing Form 8936 with your taxes. Lines 1, 2, and 3 ask for the year/make/model, the VIN#, and the date the vehicle was put into service. The date YOU bought and drove it home was not necessarily the car’s original date of service.

If the car has previously been titled (and driven 400 miles), you really should ask the seller of your Volt to explain why the car is still eligible for the federal tax credit. Don’t know what is meant by a "rewound" unit. Perhaps the dealer thinks it’s because the previous owner did not file for it. If credit can go only to person who owned it at first use, perhaps the original owner remains eligible for the credit even after selling the car. Perhaps he could file an amended tax return for the year in which he purchased the car. Perhaps that person had so little taxable income for that year that it wasn’t worth the effort to file. Perhaps he just couldn’t keep up with the payments and returned the car. Thus if you try to claim the federal credit, it is possible the IRS will eventually examine your tax filing seeking credit in 2015 on a 2014 Volt with 400 miles on the odometer that had previously been titled, and ask you to explain why you and not the original owner filed for the credit.
 

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Ask if it comes with the MSO. Manufacturer's Statement of Origin.
That's what the feds need for your tax incentive.
Do NOT believe anything a dealership salesman says.
Ask to see the MSO.
 

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If in fact it was reported to DMV that it was a sold unit, there is NO WAY its a new car. Deals can be unwound.. that just means that the dealer agrees to take the car back as if the deal never happened. They will not do that if it was already reported to the DMV. The legally can't because taxes and fees have already been reported. It is now a used car. NO rebates or credits are available. I have a sneaky suspicion the buyer knew what he was doing.

Run away.. far far away

I also would suggest listening to your inner voice. You are obviously spooked. Do you think you would ever get over that or will it nag you... I know it did me and all it took for me was just a little hint that something was wrong..

My first VOLT was delivered with 120 miles on it. Really... seems a lot for a new car. It also had someone elses phone numbers and cell phone in the bluetooth listing as well as their address.
That was it for me.. I bought a NEW CAR... not someone elses reject.
 

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If the dealer is guaranteeing the rebates and that includes them giving you the money if the rebates are rejected by the fed/state, there really isn't much of a difference. The big deal is really the $9,000, does it really matter who gives it back to you?
 

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I would say even if the car was brand new with 80 miles on it this is just an okay deal. Not one I wouled rush out to purchase. Then throw in the red flags and I think this car is just asking for problems.

I suggest you keep shopping. You can do much, much better.
 

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This is really simple, if the dealer has the MSO, you can get the rebates, if no MSO, no rebates

Now, since the dealers are the one the typically handle all the paper work, and there IS delays in getting this to the DMV ( my 2013 took a month! ), it is possible a deal was backed out, the MSO never was surrendered to the DMV and the can be sold as new.

So have the MSO shown to you in person, then everything is fine
 

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I specifically asked it was titled to someone else and the answer was yes. There are about 400 miles on it. Dealer said they would guarantee in writing that vehicle is still eligible for CA + Fed rebates. Carfax reports 10 vehicle history records vs the average 4 for an unsold car.
As others have mentioned if the answer to the question of whether the car was titled to someone else is "yes" then it's not eligible for the CA and Fed rebates. Maybe the dealer doesn't understand how this works, but having the dealer put something in writing won't make you eligible if you're not.

Given this is deal at a distance I'd try and find something else. There are a few dealers in SoCal which have great prices. That may be a way away but you wouldn't have to worry about eligibility for credits and rebates on a car that might have some issues.
 

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this:
"Dealer said they would guarantee in writing that vehicle is still eligible for CA + Fed rebates. "

I would never ever trust anything a dealer writes. Let's assume the fed+state rebates are gone, what incentive will they have to actually give you the money ? I fear there might be a legal battle involved and it's probably going to cost a lot of money and in the end the consumer typically loses because of a misplaced comma in the document (which then turns out to not have any legal value at all)
 

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I agree with the above answers. However, this is not a Federal tax rebate. It is a Federal tax credit that can only be applied if you have a tax liability large enough to offset the credit. If you don't have at least a $7500 tax liability, you cannot report the $7500 federal credit.
 

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I agree with the above answers. However, this is not a Federal tax rebate. It is a Federal tax credit that can only be applied if you have a tax liability large enough to offset the credit. If you don't have at least a $7500 tax liability, you cannot report the $7500 federal credit.
Well, you can claim a credit..its just UP TO $7500... If your tax liability is $5000 You get a $5000 tax credit.
 

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Well, you can claim a credit..its just UP TO $7500... If your tax liability is $5000 You get a $5000 tax credit.
Thanks for the clarification.
 

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Specifically I'm interested if I still have a shot at the Fed (tax credit)..........
No. The "first owner" is on file for this VIN at the IRS.

I was told that it was a 'rewound' unit, that an owner had returned it.........Carfax reports 10 vehicle history records vs the average 4 for an unsold car.
"Rewound" sounds like a nice name for a lemon law return.
 

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My first VOLT was delivered with 120 miles on it. Really... seems a lot for a new car. It also had someone elses phone numbers and cell phone in the bluetooth listing as well as their address.
That was it for me.. I bought a NEW CAR... not someone elses reject.
120 or even 400 miles on a new car at delivery is not that unusual. Any new car can have many test drives, extended test drives and driven between dealers with dealer trades. You may not like the car with that many miles on it but it doesn't say much about whether it is someone's "reject"/"previously titled".

My 2014 had 6 miles on it at delivery because I did a factory order. My 2015 had about 400 miles at delivery because it sat on a different dealers lot 300 miles away for 6 months before being traded to the dealer I purchased it from.
 

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120 or even 400 miles on a new car at delivery is not that unusual. Any new car can have many test drives, extended test drives and driven between dealers with dealer trades. You may not like the car with that many miles on it but it doesn't say much about whether it is someone's "reject"/"previously titled".

My 2014 had 6 miles on it at delivery because I did a factory order. My 2015 had about 400 miles at delivery because it sat on a different dealers lot 300 miles away for 6 months before being traded to the dealer I purchased it from.
Yes, I understand, I was using this as an analogy to him being spooked about it being previously owned. I was trying to say, once that thought gets into your mind, its over,
 
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