Used car giant OzCar plunges into administration, 90 workers sacked
Used car giant OzCar has entered voluntary administration, with 90 workers losing their jobs and four NSW dealerships closing.
Documents lodged with ASIC show voluntary administrators were appointed on Thursday, affecting dealerships in Penrith, Cardiff and Gosford, as well as OzCar’s headquarters in Lansvale.
Used car giant OzCar has entered voluntary administration, with 90 workers losing their jobs and four NSW dealerships closing. Supplied
About a dozen franchised dealerships remain operating across NSW, Queensland and Victoria.
The collapse comes weeks after A Current Affair investigated OzCar following widespread complaints involving faulty vehicles, expensive financing, and unaddressed customer issues.
Among those customers were Melbourne couple Shaz and Daz, who bought a used MG as an engagement present after securing $22,990 in finance through OzCar.
They told A Current Affair the car developed problems soon after purchase, including entering “limp mode” on a freeway and failing to accelerate.
The couple said the vehicle was later taken away by OzCar for repairs and was never returned to them.
“We had the car for about 18 months, but in that total time… we had it in the driveway for four days,” Shaz said.
Following advice from the Australian Competition and Consumer Commission (ACCC) and the Australian Financial Complaints Authority (AFCA), the couple paused their loan repayments while the vehicle was unaccounted for.
When Melbourne couple Shaz and Daz bought a used MG as an engagement present, they believed they were dealing with one of Australia’s most reputable national used car networks. Nine
It wasn’t long before debt collectors pounced.
“The debt collectors were ringing daily – some days two, three, four phone calls, a couple of days up to eight phone calls,” Shaz said.
“Absolutely harassing us for money that we haven’t got for them.”
Daz said the ordeal had taken a serious toll.
“It’s affecting my mental health, my wife’s mental health,” he said.
“I think the stress really caused the stroke. I can’t keep down a full-time job, I can’t concentrate, I can’t work, I can’t sleep.”
The MG was eventually sold at auction by the financier for $5000 after the loan repayments stopped.
Following A Current Affair’s investigation, OzCar cleared the remaining $22,990 balance on the couple’s loan. Supplied
Following A Current Affair’s investigation, OzCar cleared the remaining $22,990 balance on the couple’s loan and paid them an additional $5000.
Another customer featured in the investigation, Sydney mother-of-two Natasha, said she experienced repeated mechanical problems after paying $30,000 for a Hyundai SUV through OzCar’s Campbelltown dealership.
“I honestly was scared to drive my car to be honest, especially having young kids,” she said.
OzCar later accepted the return of Natasha’s vehicle and issued a refund.
The company had also faced action from NSW Fair Trading after an investigation into its sales practices.
Fair Trading Commissioner Natasha Mann said the regulator imposed the maximum available fines, with the company fined $50,000 and directors fined $11,000.
“We hit them with the maximum fines that are available to us under the law,” Mann said.
A Current Affair confronted OzCar co-owner Brett Dale about the complaints and regulatory action.
“We sell great cars to great people,” Dale said.
“24,000 cars over 28 years… If we weren’t doing something right, we wouldn’t be here.”
A Current Affair contacted OzCar following the appointment of administrators and was told customers with concerns should contact the voluntary administrators directly.
We’d love to hear from you
