Lease papers to be recalculated by dealer

markymarkt

Hello,
I recently signed a lease. My payments are 350 for 36 months. I also purchased 3 maintenance programs. One was for $1359, another was $454 and last was $659. Totaling to $2508. I already spoke to dealer and he agreed to recalculate lease without these items. I am also pulling out of a trade in that gave me $800 for an old car. I am assuming that the $2508 plus tax will be credited minus the $800 from the trade in. So with a tax rate of 8.75 I should be getting $2728.54 in credit. If I subtract the $800 I get $1928.54 in a total credit. If I divide that by the remainder of payments of 35 I get $55.10. Is that what I can expect in term of lowering my payments? Just trying to gather as much info before I head back in. Thank you.

kyfdx

markymarkt said:

Hello,
I recently signed a lease. My payments are 350 for 36 months. I also purchased 3 maintenance programs. One was for $1359, another was $454 and last was $659. Totaling to $2508. I already spoke to dealer and he agreed to recalculate lease without these items. I am also pulling out of a trade in that gave me $800 for an old car. I am assuming that the $2508 plus tax will be credited minus the $800 from the trade in. So with a tax rate of 8.75 I should be getting $2728.54 in credit. If I subtract the $800 I get $1928.54 in a total credit. If I divide that by the remainder of payments of 35 I get $55.10. Is that what I can expect in term of lowering my payments? Just trying to gather as much info before I head back in. Thank you.

Yes... it should lower the payment by at least that... possibly a little more, because there is less money subject to finance charges.. If its much different, then I'd start asking questions.

markymarkt

Okay. Just got back from the dealer. I was able to successfully remove 2 maintenance programs and recover my trade in. However, I still have the $1359 service plan. The dealer told me because I got the car for such a low price, if I cancel this, they will re-adjust the selling price of my car! They said the deal went thru because of the trade in. they said I must keep the plan for aleast 4 months before I can recover a pro rated amount otherwise I will have to come back in and sign a new contract with a higher selling cost! Can I be forced to sign a new contract? I did not argue because It is a third party service plan I bought and I still have another 55 days to cancel with the service provider directly for a full refund. So if I contact the provider directly and get a refund, can the dealer force me to sign a new contract or raise my monthly without my consent?

kyfdx

markymarkt said:

Okay. Just got back from the dealer. I was able to successfully remove 2 maintenance programs and recover my trade in. However, I still have the $1359 service plan. The dealer told me because I got the car for such a low price, if I cancel this, they will re-adjust the selling price of my car! They said the deal went thru because of the trade in. they said I must keep the plan for aleast 4 months before I can recover a pro rated amount otherwise I will have to come back in and sign a new contract with a higher selling cost! Can I be forced to sign a new contract? I did not argue because It is a third party service plan I bought and I still have another 55 days to cancel with the service provider directly for a full refund. So if I contact the provider directly and get a refund, can the dealer force me to sign a new contract or raise my monthly without my consent?

Not a lawyer..

But, if you can cancel directly and get your money back, then I don't think the dealer can do a thing.. I doubt your ability to do that, though.

I know if you finance a loan, any service plans that are financed, then canceled, have the proceeds sent to the bank to reduce the amount owed, rather than refunded to the buyer.

As a lessee, you don't own the vehicle. It's possible that any funds from a cancellation on a lease may go to the bank that owns the car.

That's a lot of supposition and guess work, though.