Excessive Wear and Tear or Overage Charges - NOT charged to a 3rd party lease company (i.e. US BANK) when in states NY, CT, NJ. Due to a Law that states 3rd party finance companies can’t charge excessive wear and tear amounts (millage over, tires, damage) due to a law protecting consumers in the North East.
Sorry if I am posting in the wrong area. new to this.
Has anyone ever heard of this? The reason I ask is because I had a 2013 Jeep grand Cherokee leased in 2013 with US Bank - I turned the vehicle in at the end of the lease 2016 (even after the inspection) and there was damage to the passagener window, miles were over by 1200 and some other nicks. The estimate was about $1500.00. But I was never charged because of the LAW I take it.
I now have a lease with Ally bank and want to know if it was just US bank or maybe the law is with any 3rd party lease.
Has anyone else heard of this? IF this is true I advise everyone to try to use it as it could save hundreds of dollars. I did have to pay the lease turn in fee of $385.00 but that was it.
Thank you in advance for any feedback or experience with this.
They can’t charge excessive wear and tear amounts or ANY wear and tear amount? Seems silly if everyone could just get the minimum mileage allotment and return a car in whatever condition and they wouldn’t be responsible for any charges at the end.
I don’t know the law. Which is why I am asking on here if anyone ever had a similar experience.
I should have been charged $1300 In overages but I wasn’t never charged anything over the disposition fee.
When I spoke to a rep at US bank he mentioned it to me and said that he wasn’t supposed to give out that information but because I was in NY it was applicable.
I have no idea if he was a liar but what’s the point.
So when I turned my Jeep lease in to the dealer I never got a bill for the overages from us bank. And I don’t know why. The estimate was done and it said $1300.
This is why I am asking on here.
I’m not trying to scam someone or make up bs. I am just telling what happened to me and trying to determine if anyone else ever had a similar experience - that’s all.
In general, in NY:
“The lessor may only charge you for excess wear and damage, if the lessor actually makes the repairs which are then reflected in a higher sale price for the vehicle which is credited to you.”
" If you return the vehicle to the lessor at lease termination, excess wear and damage charges can be assessed only under the following circumstances:
The lessor actually repairs the vehicle or gets bona fide estimate of the repair costs from a licensed appraiser;
The lessor must provide you with an itemized excess wear and damage bill and a notice of your right to a second inspection of the vehicle if you disagree with the bill.
You have a right to a second inspection at your expense by a licensed appraiser agreed to by the lessor."
This is directly from the Attorney General’s website and does not distinguish between captive and third party lessors. Note that you should generally be liable for excess mileage based on what this says, because it’s clearly delineated in the contract.
I tell you that in NJ you have rights to fight excessive wear and tear that you don’t agree with. Within 7 days of receiving the bill you have to notify that you disagree. I did that. You then have 10 days to hire your own inspector (and you pay that inspector yourself) and whatever the inspector comes up with is what you and the bank have to agree to as the final bill. This is NJ State Law. In my case I chose to exercise these rights. I was told, “sorry, the car was sold at auction”. I let them know they were violating the law and depriving me of my rights. After three phone calls, including one where I pointed out charges they sought that didn’t even agree with the “wear guide” on their own website. Ultimately, because they could not enable me to inspect the car, the $1030.00 was waived.
