1-pay Lease

doctorcox

I recently leased a new Porsche with an agreed value of $65,000. As part of the transaction, the dealer agreed to give me a $25,000 trade-in credit for my old car. However, I do not see the $25,000 trade-in credit reflected anywhere in the paperwork. For instance, on the line for "Trade-In Allowance" or other non-cash credits, the dealer wrote "N/A." Similarly, on the line for "Capitalized Cost Reduction," the dealer once again wrote "N/A."

When I confronted the dealer about this, they told me everything was correct. Has this happened to anybody else? Shouldn't the paperwork reflect the amount of my trade-in credit and how that credit was applied to the transaction?

Michaell

doctorcox said:

I recently leased a new Porsche with an agreed value of $65,000. As part of the transaction, the dealer agreed to give me a $25,000 trade-in credit for my old car. However, I do not see the $25,000 trade-in credit reflected anywhere in the paperwork. For instance, on the line for "Trade-In Allowance" or other non-cash credits, the dealer wrote "N/A." Similarly, on the line for "Capitalized Cost Reduction," the dealer once again wrote "N/A."

When I confronted the dealer about this, they told me everything was correct. Has this happened to anybody else? Shouldn't the paperwork reflect the amount of my trade-in credit and how that credit was applied to the transaction?

Yes, the trade in credit should appear in the paperwork.

Is there a $25,000 difference between the negotiated selling price and the net capitalized cost in the paperwork?

doctorcox

They used my trade-in credit to help pay the $35000 'single lease payment'. SInce the trade-in was not disclosed I didn't get the Florida sales exclusion which would have saved me $1500. I will probably need an attorney to ask the dealer to make some corrections.

Michaell

doctorcox said:

They used my trade-in credit to help pay the $35000 'single lease payment'. SInce the trade-in was not disclosed I didn't get the Florida sales exclusion which would have saved me $1500. I will probably need an attorney to ask the dealer to make some corrections.

Good luck - keep us posted on the remedies.

kyfdx

doctorcox said:

They used my trade-in credit to help pay the $35000 'single lease payment'. SInce the trade-in was not disclosed I didn't get the Florida sales exclusion which would have saved me $1500. I will probably need an attorney to ask the dealer to make some corrections.

It's possible that you don't get a trade-in credit, because you don't own the new car. (that's the way it works where I live). Just a thought. I don't know how Florida works.

doctorcox

You are probably correct. I looked up Florida laws and it's not too clear concerning leased cars.

doctorcox

If there is anyone interested, I won my suit against Porsche concerning unlawful Single Payment Leases. In Florida there will be 135 victims getting refunds averaging $3500. Look it up, Cox vs Porsche Financial Services. Next step is to fill suit in 49 other states.

doctorcox

I need to correct my March 26 post above. My lawyer advises that the case hasn't been won and is scheduled for trial next year, as things currently stand.