This is a long term rental. Definitely not a traditional lease. OP is neither a dealer nor a broker in my opinion. They are a rental car company. Anyone interested in this should go through the contract with a fine tooth comb.
This is still a great deal - $400/mo effective on a base Mach E for 36mo. Probably would have been much less fuss if you left out the weird 3 month thing in the first place. Good luck, and I hope to see some more good deals.
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Can OP explain why the cars must carry an Iowa license plate? That is still a puzzle to me on top of the issues related to early termination. In a standard lease the cars would all be registered locally (i.e., as a Massachusetts resident who leased from Audi Financial, the car is owned by AFS but has a Mass plate).
In some states (e.g., GA, MA) it will be really difficult, if not impossible, to get an insurance policy issued on a car for a resident if the car will not also carry local license plates. My experience with this has been that this group of states is very fast to enforce all sorts of penalties and fines if you issue a local insurance policy without a local license plate issued shortly after.
Thatâs because you arenât leasing the car from Ford. Youâre renting it from the OP who owns the car, and you are contracting with them. They are based in Iowa thus the Iowa plates.
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I mean if itâs a rental, then my existing policy covers it in theoryâŚ
Iâm puzzled about this too. If we follow the rental logic down its path (i.e., think of this more as a contracted extended daily / monthly rental), then theoretically wouldnât my current policy cover me for liability purposes?
Feels like this type of agreement might fall into a funky gray area between a Sixt / Hertz subscription plan where you are billed month to month and is clearly a rental vs. a traditional closed-end lease and that could be no bueno in the event of an accidentâŚ
Right. And as an example in MA if I 36 month lease a Mach e I get a $3500 rebate making it $300 effective (id4 and ariya could still be cheaper but still).
Would your policy cover a rental even if itâs longer than a month?
Probably have to ask the agent and carrier
This is a long-term lease!
It would not be based off customer demands. There would be a mutual discussion and things would not be changed just because requested.
In which case maybe this just gets added to a long list of deals that canât happen in MA because my policy wonât allow me to add a car until itâs registered with MA plates.
Most states also have requirements about vehicles being registered in that state within 30 days, etc. I donât see how this works with any of those requirements.
You also have to insure the car in the state itâs registered in. Donât know Iowaâs requirements with residents/driverâs licenses but even so, youâre technically supposed to garage the car in the state itâs insured in.
At this point, OP should just offer insurance coverage as well for a flat monthly rate. Make it Mach E subscription service
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My thoughts exactly. State Farm wonât insure it here in Cali with Iowa Plates.
So a relative who I referred to this deal here in Michigan was ready to rock on it and did all the paperwork only to find that it couldnât insured with Iowa plates and he had to pay 3k or so to transfer the registration.
Sucks because he really wanted the car but it is what it is, every state is different I suppose. I actually had multiple people interested in it he was the guinea pig.
Not just MA. I think this deal cannot go to any state where an insurer cannot write a policy if the vehicle will not have in-state plates (including Georgia, is my understanding).
If itâs a long-term lease and the car must have IA plates and the lessee has to bring insurance, this effectively makes it an IA only deal unless lessor is willing to also provide insurance like a subscription service.
Shout out to Madison, Grace and team. Smooth process, everything as described, no issue adding to my insurance (you will need to provide them documentation).
Happy to answer questions in the discussion thread
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Nice. What state are you in?