EUCs and our money

[ranchhopper]

I was talking to a friend of mine who works in the banking industry yesterday while he was over checking out one of my deuces.He was amazed by the things I told him about an unnamed auction company who is running months in arrears with our EUCs. He could only shake his head in amazement when I told him they charge us immediatly for a truck that can only picked up months later and they collect the interest on our money. My EUCs take generally five days to clear its been over a month and the wait isnt what bothers me its the fact I would rather collect the interest on MY money until the truck can be picked up. I personally know someone who spent over 8K on a really nice 813 and is now doing the waiting game just think of it almost 10K sitting in their account for two months drawing interest and thats just one of thousands seems like a pretty lucerative racket to me.

 

[mcmullag]

good point

Very good point. Makes ya wonder about things. I wonder how soon after the sale, the guv-mint gets their money for the sold item, from the auctioneer? hmmmm.....

 

[stumps]

0.75% interest, on $10,000, for 1 month is: $10,000 x 0.75/1200 = $6.25

 

[LanceRobson]

GL has nothing to do with the EUC wait after they forward the paperwork to the Defense Logistics Agency in Battle Creek, MI.

GL did it's job (inventoried the item, advertised it and sold it) and they want to be paid for that. I don't blame them. The part that irks me is that the DLA does not have a system wherein a buyer is cleared for one or more classes of supply or for specific Demil Codes and stays cleared for some reasonable amount of time. I don't know if that issue is policy within the DLA or statutory from Congress. In any case it is an inefficient PITA.

Lance

 

[Carl_in_NH]

For all their faults, the EUC wait isn’t one you can rightly blame GL for. Any wait associated with submitting the EUC to BC is GL’s responsibility. Any time the EUC is in limbo at BC rests squarely with the government and DLA.

GL wants you to get the item as soon as possible and get it off the lot, so they can roll in new inventory and sell it – making more money. They are not making anything significant off interest compared to what would be made by selling more inventory, and they need that space opened up to do that.

Blame GL when it’s their fault – inaccurate listings, stolen or missing items, damage from forklifts, and all the myriad of other transgressions they allow, but it’s not reasonable to blame them for a slow and unresponsive government agency.

 

[m16ty]

You are correct that GL has nothing to do with EUC wait time but they used to not collect any money until the EUC cleared. The fact is you bought the truck from GL, not the government. I couldn't care less when GL hands over the money to the government and don't think they should hold your money for months on end.

It wasn't as bad back when EUC wait times were averaging a couple of weeks but now with a bunch of them lasting 2 months or more, that's just crazy. I'd be willing to bet that the big dealers don't have their money held up that long.

Does anybody else know of another business that treats it's customers like GL does and is still in business? Credit Card companies come to mind but I don't think they are even that bad.

All that being said, I look at it as the "glass is half full". If GL was like going to a used car lot and driving away with your prized MV, prices would be alot higher.

 

[ranchhopper]

The purpose of starting this thread was not me being on a rant I just wanted to bring out the fact someone is still making a lot of money here not just selling trucks there has to be a better way for this system to work. Many are unemployed right now and even if the money gained from interest is a pittance to someone who really needs that money to work for them instead of a large corporation or the government is just not right. Since the sale is not a done deal until your EUC clears because if it doesnt clear for some reason the money is refunded and the truck is relotted you shouldnt be charged until you are cleared.

 

[LanceRobson]

I disagree with the thought that the sale is done when the EUC clears. The sale is done when the auction closes. The EUC is an administrative requirement of the DLA and has nothing to do with GL or the actual sale.

When you do to a traditional auction and buy a truck you pay when the gavel drops. The auctioneer does not have to wait to see if you can get insurance or if you have the correct license to drive the vehicle. With your reasoning they would have to wait to get paid until all that is done. GL simply screens the EUC documents as a self defense mechanism. They could just as easily have each of us apply directly to the DLA (which was the old route) and leave us to sink or swim.

When the auction closes GL is done with their part. The collection of EUC documents and their screeing is a courtesy, not a part of the auction process. Why should GL wait to see if the buyer is going to submit a usable EUC or pass the investigation to get paid?

The requirement to submit the EUC is the buyers responsibility and the investigation of the EUC info is the DLA's issue.

When GL waited for the EUC to clear before collecting the payment we had folks on this forum post that when they bid on and won too many items or they had buyers remorse they simply screwed up the EUC submission to avoid paying. You can't blame GL for trying to cut down on the default rate.

Using the $10,000 example above shows that the dollar amount for an individual buyer is insignificant. If that lost interest is a matter of financial strain then buying stuff at auction for other than income production is likely the wrong thing to do anyway......

Lance

 

[ARYankee]

Why don't you have to have an EUC when buying deuces off of GSA? Why is it a requirement when buying through GL?

 

[drgreg]

Taking payment for the Items, at auction close, is correct. Uncle Jug #%*# not clearing the EUC in a timely manner is not.

 

[Heavysteven]

I think of it this way. Yes, it does not seem right to hold the money for 3 months, but remeber the process keeps the prices low

 

[nhdiesel]

The EUC process itself is a joke. I can understand doing a background check on someone, but that isn't completely what the EUC is about. Just going by the name, End Use Certificate, they are concerned with how the item will be used. Does anyone really think that if someone wanted to misuse these items, they would be honest on the EUC? "Intended Use: Ship to North Korea".

So the best solution, in my opinion, would be to do a full background check when someone signs up as a member on GL. No bidding until they are cleared. Once cleared, let them bid, process the paperwork through reasonable quickly, and we can pick up our winnings a week later.

Jim

 

[m16ty]

When you do to a traditional auction and buy a truck you pay when the gavel drops. The auctioneer does not have to wait to see if you can get insurance or if you have the correct license to drive the vehicle. With your reasoning they would have to wait to get paid until all that is done. GL simply screens the EUC documents as a self defense mechanism. They could just as easily have each of us apply directly to the DLA (which was the old route) and leave us to sink or swim.

When the auction closes GL is done with their part. The collection of EUC documents and their screeing is a courtesy, not a part of the auction process. Why should GL wait to see if the buyer is going to submit a usable EUC or pass the investigation to get paid?

Yes, but at a live auction you get to leave with the item at auction close.

GL is done when the auction closes? You mean they are not required to handle the EUC process? Well you can't get a truck without filling out a EUC and I doubt you'd get very far if you sent a EUC directly to BC without going through GL.

I know how the process works but the fact still remains that you bought the truck from GL and it's their resposiblity to handle the paperwork IMO.

 

[nhdiesel]

Good points, and GL also agreed to handle this process knowing what the process was like. In my opinion, taking the money up front is a greedy thing to do. GL knows it could be months between auction close and the approval. If they aren't willing to hold off for their payment, then they shouldn't be handling the auctions. Let another company in.

With that said, as others have pointed out, there are benefits to us. If the process was quick and painless, then we would all be paying ebay or private sale prices for GL sales. There is a reason my clean Deuce was only $1010 instead of $5k. We do take advantage of GL's flawed system.

Jim

 

[Flyingvan911]

The President needs to divert those 60,000(?) new IRS agents to the DLA.

 

[rchalmers3]

Given the situation, if GL went back to collecting our money upon passing the EUC, I would be moderately less dis-satisfied with the arrangement!

Of course, if GL did that, the EUC wait would become their worry and expense then, wouldn't it?

Now that I wrote the above and read it, I have a new understanding: the expense and wait is our responsibility. We must pass EUC scruitiny and we must prod the DLA into action to have them pass us in a timely fashion.


GL holds all the cards in this game, but we have an important responsibility to our own satisfaction. Or to mitigate our dis-satisfaction.

Rick

 

[rchalmers3]

Another thought: Does ANYONE have ANY insight into how and why there is no EUC required on trucks bought from the other Federal assets liquidation company?

Is it because GSA does not sell armed or armored vehicles? Is it that GL has a broad "direct from the military" contract to sell whatever comes pouring out of the bases? Anyone got a clue?

This slow EUC process is sure to be a boon for GSA auctions......

Rick

 

[goldneagle]

Do we know whether GL pays for their inventory in advance or as soon as the item is sold? If they do it would explain why they take our money right after the item is sold. If I had money tied up in inventory i would want to recover it asap. i wouldn't want to wait months until some "bozo" got approved by the Feds before I saw my money for the items sold. GL is assuming that most buyers will be approved for the purchase.

We bid on these lots with the knowledge that it may take as much as 3 months to be cleared for pickup. It is up to us to decide if we want to put up with the process or not. If you don't like the terms you have the right not to bid!!!! If not go shop GSA or retail!!!

I am not a fan of GL by any means! In fact I hate the way they conduct business as well as the incompetence in protecting our property once the auctions are over! I put up with it because it is the only cheap game in town. From what i have seen in GSA most of the MV's seem to be at the end of their life. after alll the other agencies have beat them to the ground we get what is left of them.

 

[stumps]

When I asked a GL representative, he told me that they have to buy everything before they can offer it at auction. I'm not sure if I believe it, but that is what I was told.

-Chuck

 

[rchalmers3]

When I asked a GL representative, he told me that they have to buy everything before they can offer it at auction. I'm not sure if I believe it, but that is what I was told.

But GL is an auctioneer not a reseller??!!

You are right, that statement smells funny, like someone trying to get the dogs called offa him.

Maybe he meant to say GL gets the Gov to agree to a purchase price before the auction.....

Rick