Ford has warned its dealerships against imposing exorbitant lease purchase fees due to customer concerns.
With shrinking dealership inventory and car prices rising, many consumers are deciding now is the right time to exercise their vehicle purchase options. Doing so helps them capitalize on the rising cost of their car because the purchase price is determined at the beginning of a lease and does not reflect current market conditions and prices.
In a recent letter to dealers, Ford Credit said customers should not be hit with extra fees if they want to use their purchase options.
Read more: Infinity hits out to US dealers over lease buying issue
The letter said, “As you can see in the news across the country, some consumers who are using this option are publicly concerned about the fees added by dealers.” “The Ford Credit and Lincoln Automotive Financial Services policy is that the customer will be charged only the purchase option price listed in the lease agreement, including any applicable fees (title and registration) and tax.”
Direct car The report said that some dealerships have started charging fake lease fees in an attempt to capitalize on the current market.
This is not the first time this year that a carmaker has warned its dealership about purchasing issues. In February, Infinity said it had received complaints from the Better Business Bureau, the Consumer Financial Protection Bureau and the Attorney General about how dealers were conducting purchases by adding fake fees or refusing to honor lease-purchase quotes. Nissan warned its dealerships against engaging in similar practices, noting that violations could result in funding delays or inability to participate in certain purchases and leasing programs from the manufacturer.