The lease of the car is ending? Some drivers face huge fees to buy it

0

Let’s say it’s time to return your rental car. Are you buying the car outright because it’s so hard to get a new one right now?

Many drivers want to buy that car they’ve been driving for 3 years, but find themselves with a battle on their hands this year, even though they have a contract to buy it.

Tariah Wiley is one of them. She loves the 2019 Honda Civic she leased three years ago.

“I love it,” she said. “I mean I wouldn’t have kept it if I didn’t like it.”

She therefore decided to buy it when the lease was concluded, especially since she had initially been offered an excellent purchase of $15,567.

“It was said in plain language, with no way around it, it was clear,” she said.

But that was not the case. When she sat down with the dealer, she learned that it would now cost $19,834 to buy her own car. “It was about $4,300 more than I should have paid,” she said.

Wiley says the salesman’s explanation made no sense.

“They said since you are financing it, we have to buy the car from Honda, so they charge us a fee, so we have to charge you a fee.”

3-Year-Old Cars Are Worth Much More Now Than Originally Thought

This is happening more and more these days, according to Karl Brauer of the car shopping website iSeeCars.com.

Given today’s market conditions and exorbitant used car prices, he says dealers can make a lot more money by reselling your lease to someone else, which means they don’t really have the incentive to buy it at the price they agreed to a long time ago. from.

“Dealers know that the value of these cars is much higher than it was 3 years ago when that residual value was written into the contract,” Brauer said. “And it’s probably painful for them to have an empty lot and see an existing customer come in and pick up the car for residual value from 3 years ago.”

Brauer says that while it’s illegal to change a contract, be careful of:

  • Reconditioning costs.
  • Administrative fees
  • Termination Fee.
  • Mandatory extended warranty.

Tariah Wiley decided to tell the dealer that a deal was a deal.
“I know a lot of people aren’t going to stand up for themselves like I did,” she said. “But they should.”

She says the dealership eventually agreed to sell the car for what it was originally promised. So, watch out for hidden fees, so you don’t waste your money.

_____________________

Don’t Waste Your Money” is a registered trademark of Scripps Media, Inc. (“Scripps”).
Like” John Matarese Money on Facebook
Follow John on Instagram @johnmataresemoney
Follow John on Twitter (@JohnMatarese)
For more consumer information and money saving tips, visit www.dontwasteyourmoney.com

Share.

Comments are closed.