That “Action Required” letter sounds like a scam. Did you verify that the address is legit? lol
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I don’t worry it a scam. the letter is sent by dealer’s their partner, and it was sent to dealer. They forwarded to me just to explain what is going on.
I think the sales mistook the calculation when proposing the price, if not intended to hide the tax/fee. Now the title process is suspended without the fund. My temp tag has only 3 weeks left.
I am in DE, purchased in PA. My state taxes 4.25% of the sales price ($40519), ~ $1722. Even they calculated the tax wrong from the beginning, on the contract it is already taxed $517.63 (Item 13). Should be $1200 gap.
Let them pick up the car.
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4.25% “document fee” + 2% “usage” on the monthly payment
$1,722.06 doc fee
$3.64 per month (36 months = $131.04)
I can’t find quickly if the CCR is taxable.
It is bizarre that they have $3.56 in 7-J.
If you knew the tax was wrong, why did you let them write it incorrectly? This is now a titling/registration issue.
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Thanks for going thru the numbers. I did not know it was wrong back then (just googled). I am new to leasing and they have so many numbers on the contract I can not understand. When sitting down with them, the only number I checked is the monthly payment is what they proposed.
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It’s not like you’re off by $100. It’s over $1k… if I was in your shoes, I’d tell them to come pickup the car or eat the difference.
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But I’m pretty sure that the tax owed to DE is valid. Regardless of how or where he gets a vehicle from, he will owe this “tax”.
If he somehow unwinds this, he’s going to be in the exact same situation but now he’s out his cost of shipping it across the country and has to find another equivalent deal.
LOL at the next person whining because a dealer won’t do their out of state deal…this is why…
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I would love to return it if GMF can close the loan on me. I had better options, would have chosen differently if they told me about the tax due.
He purchased it from PA and he is in DE…
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True, don’t think there’s any malice involved and it does seem like a mistake on the dealer’s side.
Just tough from a consumer’s perspective that your total cost of ownership is very different now and you may have evaluated your options differently if you knew in the beginning
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Thread was tagged ca-socal, for no apparent reason.
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i could not find the tag for DE. my bad
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fixed by typing in DE.
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exactly.
This is so unprofessional. I should be more alert when they told me one pay makes no difference when I asked about. But they are not a small dealership…
Yea at this point if your having buyers remorse you just go with the Eat it or pick it up. You signed the contract in good faith and not your fault they botched the tax Calc.
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Look, they calculated tax wrong so the deal won’t fund. They can eat it and have you redo the contract, you pay, or they take back the car.
Three options you have to choose one.
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This tax situation happened to me, recently as well with GMF.
I’m in NJ and leased in CT. They initially wrote the contract as tax on the monthly payment (like CT does) but NJ is taxed upfront on the payments.
Didn’t catch that on the contract until the finance manager called me a week later and told me they had to re-write the contract. He tried telling me that my payment might go up $10 a month , but I told him it wouldn’t be more expensive just because the tax is being collected upfront on the payments. It’s the same , just not taxed per month etc.
They overnighted me the new contract and the deal eventually got funded .
They simply got your state tax wrong. It’s not their fault , PA dealers prob don’t know too much about MD taxes. This is why some dealers refuse to do out of state deals . People will scream and say “I’m not paying that additional tax to my state” and they have to eat the loss of getting a car back and unwind a deal.
I had a Chevy dealer in central PA few months ago outright refuse to deal with me in NJ. I don’t blame them .
Either buck up the money to your state so the deal gets funded, tell the dealer to eat it , or just bring the car back .
Tuna
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I had this happen before on a jeep. I told them I am returning the car with now 250 miles on it thinking they were bluffing, and they would just end up eating it. Ends up they weren’t bluffing and took back the car.
I needed the car, and couldn’t get a better deal, so I showed up pretty embarrassed the next day and resigned the paperwork with the added tax amount.
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